2018-03-06 S&O Agenda - Attachment 1 to Item 2 - Public Interest Test Report

Noosa Council - Public Interest Test Report: Proposed Local Law No. 7 (Waste Management) 2017
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                                 competitiveness;
                                 (viii)     improvement in quality and safety services and expansion of consumer
                                 choice;
                                 (ix)       supplying better information to consumers and to business to permit
                                 informed choices;
                                 (x)        promotion of equitable dealings in the market;
                                 (xi)       promotion of industry cost savings resulting in a contained lower price at
                                 all levels of the food chain;
                                 (xii)      development of import replacements;
                                 (xiii)     growth of export markets;
                                 (xiv)      steps to protect the environment.

                        (b)      The effect of enacting the changes to the local law does not create any public
                        benefit and will create a long-term detriment to the public of Queensland and to the market
                        generally across Queensland applying the criteria in Re ACI Operations Pty Ltd and the
                        Competition Principles Agreement.

                        (c)      These detriments include the following:
                                 (i)        The proposed local law interferes with the normal operating market
                                 environment by forcing upon all commercial ratepayers and other businesses
                                 Council controlled waste and recycling services. This will result in significant
                                 dislocation of businesses of waste and recycling service providers throughout the
                                 Noosa Council and reduces choice for commercial premises in choosing their
                                 waste services.
                                 (ii)       If all 'waste' related services are to be provided by Council's single
                                 contractor this will have a detrimental effect on all other local business providers
                                 already operating within the region. Many small family businesses providing
                                 services will be restricted by this law and as result companies will collapse and
                                 local families will be financially compromised.
                                 (iii)      Council having control over all 'waste' will likely result in one contractor
                                 having direct access to providing all 'waste' collections in the Council area. This
                                 will result in a long- term dislocation of the existing suppliers to the market, and
                                 reduce's the number of suppliers to the market during the term of that contract.
                                 This would result in a long- term disadvantage for the commercial rate payers, not
                                 to mention the significant detriment on the public throughout the region due to the
                                 loss of competitive waste services providers.
                                 (iv)       A Council imposed monopoly significantly reduces the incentive for
                                 technical development, efficiencies, improvement in productivity and performance
                                 within the industry. Industry is largely self-regulated and the largest drivers for
                                 continual improvement is the competitive nature of the existing structure of the
                                 market. This would be significantly damaged if the waste stream is no longer
                                 available within any commercially foreseeable time.