Treasurer wants ‘essential’ powers for ACCC amid Middle East crisis
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The news: Treasurer Jim Chalmers wants “essential” new powers for the ACCC before the global oil shock escalates, arguing current laws are not fit for purpose in a quickly evolving crisis.
The context: In a letter to the states and territories on Thursday, Chalmers said businesses had identified prohibitions in the Competition Consumer Act (CCA) that “are not appropriately adapted to a fast-evolving, economy-wide shock”.
The CCA prohibits anti-competitive practices, though the Australian Competition and Consumer Commission (ACCC) can provide exemptions for businesses to act “in publicly beneficial conduct”.
Under Chalmers’ proposed changes, the threshold for triggering the sped-up process from the ACCC would be lower than a national declared emergency.
“This process would only be available if the treasurer determines that exceptional circumstances present an imminent threat to Australia’s economy,” he wrote.
“These new provisions will … be essential in the event that the current situation escalates beyond the current Stage 2 of the National Fuel Security Plan (NFSP).”
Normally, changes would require a three-month consultation period with the states and territories, though Chalmers has requested that be waived and the proposal be put to an immediate vote.
Prime Minister Anthony Albanese said on Wednesday that Australia was “faring well” during the global oil shock, but the prospect of an extended conflict has raised fears the country may move into Stage 3 of the NFSP.
That would include prioritising fuel for critical sectors and releasing additional fuel reserves.
What they said: “Given the urgency of the current situation and the need to mitigate the impact on the Australian economy, we need to act quickly and decisively,” Chalmers wrote.
“The ACCC would ... be empowered to make authorisations and exemptions, with appropriate safeguards in place.”
The source: Jim Chalmers letter
