RESTRICTED
WORLD TRADE S/C/N/7
22November 1995
ORGANIZATION
(95-3847)
Original: English Council forTrade inServices
AUSTRALIA NEW ZEALAND CLOSER ECONOMIC
RELATIONS TRADE AGREEMENT
Joint Communication from Australia andNewZealand
Thefollowing communication hasbeenreceived fromthegovernments ofAustralia andNew
Zealand.
____________
PROTOCOL ONTRADE INSERVICES TOTHE
AUSTRALIA NEW ZEALAND CLOSER ECONOMIC
RELATIONS TRADE AGREEMENT
Inaccordance withparagraph 7(a)ofArticle VoftheGeneral Agreement onTrade inServices
(GATS), thedelegations ofAustralia andNewZealand hereby notify theCouncil forTrade inServices
thattheyareparties totheProtocol onTrade inServices, made under theAustralia NewZealand Closer
Economic Relations Trade Agreement which entered intoforce on1January 1989 andwhich isof
thetypereferred toinparagraph 1ofArticle VoftheGATS.
ThetextoftheProtocol onTrade inServices, including thelistofservices towhich thisProtocol
shallnotapply(called“inscriptions”),madeunderArticle2.4oftheProtocol,wascirculatedtomembers
oftheGroup ofNegotiations onServices on16September 1988 (MTN.GNS/W/47).
Since theconclusion oftheProtocol, Australia andNewZealand havefurther liberalised trade
inservices andhaveaccordingly modified thelistofinscriptions asoriginally appended totheProtocol.
Aconsolidated textoftheinscriptions reflecting allamendments made todateisattached forthe
information ofGATS members.S/C/N/7
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SERVICES INSCRIBED BYNEW ZEALAND AND AUSTRALIA
1. NewZealand inscriptions
(Where anactivity isdescribed further, theexemption interms ofArticle 2.4ofthisProtocol
applies tothedescription only.)
Aviation
Airways Services
UndertheCivilAviationAct1990,theAirwaysCorporationofNewZealandisthesoleprovider
ofareacontrol services, approach control services, andflight information services. TheCivilAviation
Amendment Act1992 repealed these provisions, butwitheffect fromadate(ordates) tobespecified
byOrder(s) inCouncil which maybemade onlyontherecommendation oftheMinister ofTransport.
Suchrecommendation(s) maybemade onlyfollowing consultation withtheCivil Aviation Authority
andiftheMinister issatisfied thatanappropriate safety regulatory regime isinplace inrespect of
theservices concerned.
International carriers flying cabotage
Following passage oftheAirFacilitation (Domestic Passengers andCargo) Act1994,
NewZealand isinaposition tograntcabotage rights, buttheserights could notbeexclusive toAustralia.
Communications
Telecommunications
TheArticles ofAssociation oftheTelecom Corporation ofNewZealand Limited, which can
onlybeamended withtheconsent oftheGovernment, limittheshare-holding byanysingle entity to
49.9percent.
Postal services
NewZealand Posthasastatutory monopoly onthecarriage ofletters weighing 200grams
orless. Themainexemption tothemonopoly isthatanyone isabletocarry letters 200grams orless
provided theycharge aminimum feeof$(NZ).80 perletter.
Shipping
Coastal Shipping
TheMaritime Transport Act1994 allows cargo orpassengers (coastal cargo) tobepicked up
from oneportinNewZealand andcarried toanother bythree categories ofship. These are:
- NewZealand ships;
- ships coming toNewZealand toloadcargo forunloading overseas ortounload cargo
which wasloaded overseas;S/C/N/7
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- ships which theMinister ofTransport authorises totrade onthecoast when there are
noships from either oftheabove twocategories available tocarry coastal cargo.
Authorisation tocarry coastal cargo mustbeobtained fromtheMinister ofTransport
wellinadvance oftheintended carriage.
Authorisation tocarry coastal cargo issubject tocompliance withother relevant provisions
oftheMaritime Transport Actandwithother law,including theResource Management Act,the
Immigration Act,andborder control legislation.
2. Australian inscriptions
(Where anactivity isdescribed further, theexemption interms ofArticle 2.4ofthisProtocol
applies tothedescription only.)
Telecommunications
Restrictions imposed ontheforeign ownership andcontrol ofcarrier licensees byconditions
oftheirlicences andtheForeign Acquisitions andTakeovers Act1975.
Airport services
Access toprovision ofairport services isingeneral subject topolicies oftheCommonwealth,
theFederal Airports Corporation andlocalairports owned andoperated bylocalstateauthorities and
bodies.
Domestic airservices
Twoairlines policy inforce untilOctober 1990. Thereafter, foreign investment inestablished
Australian domestic airlines ornewdomestic airline business willgenerally bepermitted (subject to
normal FIRB guidelines except where theapplicant isaforeign international airline operating services
toAustralia, inwhich casethelevelofinvestment willbelimited tolessthan15percentinanyone
domestic operator). State governments holdpowers toregulate intrastate aviation oneconomic and
public interest grounds.
International aviation: passenger andfreight services
Scheduled passenger andfreight services between Australia andNewZealand aregoverned
bytheprovisions ofanintergovernmental airservices agreement which hastreaty status. Itrequires
bothsides todesignate andlicense theirairlines operating suchservices.
Applications fornon-scheduled (charter) passenger andfreight services from NewZealand
toAustralia areapproved where compatible withpublished policy criteria.
Coastal shipping
Cabotage policy.
Broadcasting andtelevision
Limits onforeign ownership assetoutintheBroadcasting Act1942.S/C/N/7
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Broadcasting andtelevision (short-wave andsatellite broadcasting)
Basic health insurance services
Third-party insurance
Workers ’compensation insurance
Postal services
TheAustralian Postal Commission (Australia Post) has,under section 29oftheAustralian
Postal Corporation Act1989,theexclusive righttocarryletters forreward within Australia andbetween
Australia andotherplaces outside Australia, ieservices reserved exclusively forAustralia Post. Section
30oftheActsetsoutanumber ofexceptions tothereserved services ofAustralia Post. Following
amendments totheActwhich tookeffect on5December 1994, themainexceptions toAustralia Post’s
reserved services areletters weighing more than250grams; thecarriage ofletters inAustralia or
internationally where thecharge orfeeisatleastfourtimes thestandard letter rate;thecollection of
mailinAustralia fordelivery toanother country; themovement ofdocuments within document exchange
services; andthecarriage ofletters between offices ofthesame organisation byathirdparty.