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Major Mail Users speak back to Australia Post

Monday, 03 March 2008
By Print 21 Online Article

As the ACCC continues its investigations into Australia Post’s call for a price increase, Major Mail Users has wasted no time in voicing its opposition.

"An unjustified postage price increase is the last thing the industry needs," said John Gilroy, of Major Mail Users.

In its latest newsletter, Major Mail Users claimed that the postage price increases is an attack on the business of bulk mail. "Safe in its own monopoly cocoon, protected from the competitive forces that all others have to contend with, Australia Post can only project massive bulk mail postage increases as the way ahead with no improvements on the service," the newsletter said.

Australia Post provided the ACCC with a draft price notification on 5 February 2008. The ACCC has now given interested parties until 4 April to submit papers on issues which they consider relevant to its assessment of the proposed increases.

"The ACCC has identified a number of specific issues for comment," said the paper. 24 key points will be taken into consideration by the ACCC, including factors such as the implications of more frequent price notifications for cost efficiency, the impact of future price increases on customers’ planning and the extent to which the level and the timing of price changes has an impact on mail volumes. To read these points in full, visit here.

The ACCC will release its verdict in late July 2008.

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