On 30 March 2012, the Minister for Infrastructure and Transport together with the Assistant Treasurer announced the Government’s response to the report by the Productivity Commission into the Economic Regulation of Airport Services. The Government broadly agreed with the Productivity Commission’s recommendations and will:
- Transfer Adelaide Airport from the existing monitoring regime to the 2nd tier price and quality of service reporting process established by the National Aviation Policy White Paper (December 2009);
- Extend monitoring of airport pricing by the ACCC for another seven years to 2020, and include airport car parking prices and costs;
- Improve how the quality of service provided by airports is measured and monitored to make sure it is accurate and relevant;
- Encourage the ACCC to use its existing powers to investigate if it believes there are concerns about airports abusing market power, including being able to recommend a full pricing inquiry to the Minister responsible for competition; and
- Continue to implement the Government's initiative of planning coordination forums and community aviation consultation groups to address ground transport and planning issues and improve community engagement.
A Regulation Impact Statement was jointly prepared by Treasury and the Department of Infrastructure and Transport and was assessed as adequate by the Office of Best Practice Regulation.
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