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Discussion Paper

Business Information

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6. Process to Establish the Reserve Dispute Resolution Scheme

 

Within this section…

84. The process to establish the reserve scheme commences with consultation on the operating rules and governance arrangements proposed in this discussion paper. The feedback received will be taken into consideration when making recommendations to the Minister of Consumer Affairs on the final rules and governance of the reserve scheme.

85. The rules and governance arrangements will then be publicised and at about the same time the tender process to select a service provider for the reserve scheme will begin. Running concurrent with the tender process will be the process to appoint the foundation advisory body. The foundation advisory body will have a say in selecting the service provider and will work with them to fine tune the operating rules of the service.

86. After a clearer idea of the set-up and operating costs of the reserve scheme is determined with the service provider and advisory body, another, more targeted consultation process will be held to obtain feedback on the proposed funding and levies for the reserve scheme. The levies will be finalised after incorporating the feedback as required.

87. The reserve scheme is scheduled to be in place by May 2010.

Indicative timetable

  By
Analysis of submissions End August 2009
Report to Minister recommending the operating rules and governance arrangements of the reserve scheme End September
Governance arrangements and operating rules of the reserve scheme finalised End September
Tender to provide reserve scheme open.
Advisory body appointment process started
Early October
Tender closes Mid November
Advisory body appointed Early December
Successful service provider announced Early December
Levy system discussion paper released for consultation December
Deadline for submissions to levy discussion paper February 2010
Advisory body to commence working with MCA and service provider to establish reserve scheme procedures, rules, etc February
Submissions analysed and levy regulations finalised End March
Levy regulations implemented April
Reserve scheme established May 2010

Failure to receive satisfactory responses to the tender to provide dispute resolution services

88. In the event that there are no applications that sufficiently meet the criteria for delivering the reserve scheme dispute resolution services, the Ministry of Consumer Affairs will consider courses of action which could include:

  • Approaching a particular service provider who tendered to determine whether it could modify the service or terms sufficiently to reconsider acceptance of the tender; or
  • Approaching an approved dispute resolution scheme to deliver a dispute resolution service for the reserve scheme as a separate operation; or
  • Retendering for a service provider.

 

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