On 24 September 2019, the Treasurer decided to revoke the declaration of the shipping channel service at the Port of Newcastle (Port) in light of recommendations made by the National Competition Council (NCC). This decision marks the first time that the new Part IIIA declaration criteria of the Competition and Consumer Act 2010 (Cth) (CCA) has been tested since the reforms following the Harper Review.
The Australian Competition and Consumer Commission (ACCC) Chair Rod Sims and some industry stakeholders argue that this decision may have a detrimental impact on the economy as it allows the Port to operate as an unregulated monopoly.
The decision has sparked debate around the efficacy of the current access regime to regulate non-vertically integrated monopolies. What are the implications that flow from this decision, and what may lie ahead for regulation in this area?