Melbourne Airport will delay the introduction of its proposed taxi fee while the Australian Competition and Consumer Commission conducts its assessment of the proposed new charge.

"Melbourne Airport proposes to introduce a taxi fee of $1.40 on taxis queuing to collect passengers at the airport", ACCC Chairman, Professor Allan Fels, said today. "Melbourne Airport states the charge would enable it to recover the costs of a new taxi holding area at the airport and that the proposed charge would also recover labour costs associated with taxi traffic management and the costs of ground level roadworks near the Qantas terminal.

"The ACCC will consult with airport users before deciding whether the project meets the criteria under the Prices Surveillance Act for a price rise associated with new investment. The ACCC must be satisfied that the project as a whole is necessary and that the outgoings Melbourne Airport seeks to recover through the charge are ‘new investment’ rather than, say, replacement investment or ongoing labour costs. The ACCC will also consider the proposed structure and level of the new charge to determine whether they comply with the criteria under the Act".

Melbourne Airport has agreed to postpone the introduction of the new charge until 25 May 2001 to facilitate the consultation process.

"The ACCC invites interested parties to make submissions on the proposed fee. The ACCC has issued a short issues paper to assist interested parties develop submissions.

"Melbourne Airport’s proposal and the ACCC’s issues paper will be available on the ACCC website.