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Postage costs set to rise by 10 per cent

The Australian Competition and Consumer Commission (ACCC) has decided not to object to Australia Post’s draft proposal to increase the prices of ordinary letter services delivered to its regular timetable, including the basic postage rate (BPR) from $1.00 to $1.10.

Australia Post is not proposing to increase the price of priority labels (50 cents), concession stamps (60 cents) or stamps for seasonal greeting cards (65 cents), such as Christmas cards.

“We are satisfied that the proposed price increases are unlikely to result in Australia Post recovering more than its cost of providing monopoly letter services, given the forecast decline in letter volumes,” ACCC Commissioner Cristina Cifuentes said.

In reaching its view, the ACCC also considered Australia Post’s progress on achieving efficiency improvements before increasing its letter prices.

“Although Australia Post has exceeded the efficiency targets it set for its monopoly letter services in 2015, it has not yet attained the efficiency levels of comparable overseas postal operators, but is on a path to bridging the gap,” Ms Cifuentes said.

“The ACCC will continue to monitor Australia Post’s progress in this area in considering any future proposal for price increases.”

The ACCC will release a final decision after it receives a formal price notification from Australia Post. This is expected to occur in December 2019.

Australia Post must also notify the minister for communications of the proposed price increases and must not increase prices if the minister disapproves within 30 days of receiving notification from Australia Post.

Australia Post currently intends to implement the increases in January 2020.

The ACCC’s view on Australia Post’s draft proposal is available at: Australia Post - letter pricing 2019

5 comments

You can't depend on Aust. Post to deliver on time. My sister sent me an important letter with Priority Paid which cost her $4.00 and it arrived a week later.?  I send out all my Greeting Cards now with e-cards. They are just beautiful and I can send out 100 cards if I wish and it only costs my joining fee. I'll give them a plug, Jacquie Lawson e-cards., they cover many topics. All my friends have joined as well. 

i got a letter from overseas all i got was the front of the envolope, another guy got a letter from his lawyer , dated 2 years before.   and what about those who have bought bulk 1.00 stamps are there still 10c stamps or will they honour them ?? ( ha ha right ................... not ) 

 

 

 

You can still use old 70c stamps or other values lower than the current basic postage rate to send your mail within Australia. Just make sure that you add other stamps to the item so that the correct postage is applied.

https://community.auspost.com.au/s/article/Can-I-still-use-my-70c-stamps?language=en_AU

Seniors can get concession stamps if you fall into any of these categories. I don’t so I miss out :(

Pensioner Concession Card

Health Care Card (all types)

Commonwealth Seniors Health Card

Department of Veterans' Affairs Card

Veterans' Repatriation Health Card

https://auspost.com.au/sending/stamps/concession-stamps

So they figure putting the price of a stamp up after increasing it and slowing down the service will enthuse people to send letters? I think the writing is on the wall for Australia Post and thats why they have diversified and created multiple income streams for themselves. The day of the posted letter is over!

How often are they increasing prices, seems to be every six months, either parcel rates or letter rate, just keeps on going up and up and up. Australia Post has the monopoly on letter deliveries and this is the problem. They have already lost a lot of parcel deliveries to other companies especially in the cities, not so much in regional areas, we need more comptetion to get them to keep their prices from going up all the time. How much more money does the CEO want to make?

5 comments