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Posted by Tom Jensen
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19 Oct, 2026
Mandatory pricing code: necessary but insufficient
The Productivity Commission recommended consideration of a mandatory industry code with ACCC oversight, including:
- limiting fee changes to once per year
- requiring simultaneous notification of proposed increases
- empowering the ACCC to reject unjustified increases
- prohibiting resubmission of alternative increases for the same period
- enabling the ACCC to collect relevant revenue and performance data
- requiring annual reporting to transport ministers and the Treasurer
- establishing penalties to support compliance
FTA/APSA support these safeguards but warn that regulating future increases alone will not address the inflated cost base already embedded in the system.
“A mandatory code based solely on current charging structures risks regulating future increases from an already elevated and potentially unjustified cost base,” the submission states.
Revenue capping: a serious option
The organisations urge the ACCC to consider revenue‑capping models similar to those previously applied in sectors with constrained competition and high pricing power. Such a model would not prevent stevedores from earning appropriate returns but would establish reasonable boundaries around pricing behaviour and ensure charges more accurately reflect efficient costs.
FTA/APSA argue that less intrusive measures have failed to restore competitive discipline, and that revenue capping may be necessary to protect Australian importers, exporters and consumers from unjustified cost increases.
Returning charges to commercial parties: the core reform
Despite acknowledging the value of mandatory codes and revenue caps, FTA/APSA reaffirm their long‑standing position that the most effective and enduring solution remains the Productivity Commission’s Draft Recommendation 6.2:
“Terminal access charges and other fixed fees… should be regulated so that they can only be charged to shipping lines and not to transport operators.”
By requiring stevedores and ECPs to recover costs directly from shipping lines—the parties that select and contract for terminal services—pricing decisions would be subject to genuine negotiation, scrutiny and competitive pressure. This would restore commercial accountability and align Australia’s container supply chain with internationally recognised commercial norms.
A call for national reform
FTA/APSA conclude by welcoming continued engagement with the ACCC and government to develop a regulatory framework that improves transparency, restores competitive discipline and supports a more efficient and internationally competitive supply chain.
The message from industry is clear: voluntary measures have failed, costs continue to rise and structural reform is now essential to protect Australia’s trade competitiveness.
