Page 4883 - Week 13 - Wednesday, 11 November 2009
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Canberra shoppers. All that is perhaps missing from the wording in these parts of Mr Seselja’s motion are phrases congratulating the ACT government for recognising and articulating these truths and pursuing them through concrete policy development.
I refer again to the welcome endorsement of the government’s stance by two leading consumer advocates, Christopher Zinn of Choice and University of New South Wales Professor Frank Zumbo. They have agreed that the ACT government’s new supermarket policy will curb fast-rising grocery prices so long as independent players can grow quickly enough.
While the ACT government has said that it will implement the recommendations of the Martin report, it has also indicated that it will do this through an implementation plan. This phased process will allow further refinement and consultation to deliver the best possible result. The Leader of the Opposition is well aware that this is the course being pursued.
The Supermarket Competition Coordination Committee, which the government has established, is currently developing the implementation plan and reviewing the proposed competition criteria in the Martin review. Input from the supermarket industry is being sought to develop the criteria as part of the implementation plan. It is clear from these discussions that the eligibility criteria proposed in John Martin’s report will be refined and this process is now proceeding. Again, the Leader of the Opposition is aware of this.
The implementation plan is well underway and will be submitted to the government by the end of this month. It is likely that the implementation plan will address some of the apparent confusions in the mind of Mr Samuel, but foremost it will be designed to promote competitive tension between all of the players. Since the release of John Martin’s report there has been considerable interest generated and a number of national and local supermarket operators have indicated that they would like to expand their operations in the ACT.
The new policy will provide opportunities for further investment in areas where Canberra shoppers have been disadvantaged by an undersupply of supermarket capacity. Mr Martin drew attention to the lack of choice for shoppers in areas such as Dickson and Kingston. Robust competition criteria are being developed for use in assessing eligibility for supermarket sites in those places and other supermarket sites across Canberra.
Coles and Woolworths are not outside this process but a part of it. Both are busily working on innovative proposals to improve the quality of the Canberra shopping experience. Supabarn is seeking to expand its wholesaling operations. New entrants such as Franklins have expressed their interest in operating new stores in Canberra, and international players such as Costco have become aware of the opportunities in the ACT. The implementation plan is being developed with strong community and stakeholder engagement and will provide further opportunities for existing and new entrants to the Canberra market.
The ACCC’s own grocery inquiry in 2008 considered Australian consumers would significantly benefit if Coles and Woolworths faced more competition. One can only
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