Australia Post payment boost for LPOs and CPAs

Licenced Post Offices and Community Postal Agencies will receive a $51.4 million boost in payments from Australia Post in line with recommendations from a recent Senate inquiry into postal network performance.

Senator for South Australia Anne Ruston, who chaired last year’s inquiry by the Senate Environment and Communications Committee, said the payment boost signalled an improved relationship between Australia Post and the national network of LPOs and CPAs.

“I think this is an excellent outcome for LPOs and CPAs, which constitute more than 80% of Australia’s post office network,” Senator Ruston said.

“Our inquiry found many issues were contributing to difficulties in the relationship between Australia Post and the network. Chief among these was the rapidly changing nature of how the network was being used by consumers, including a substantial reduction in letter volumes.

“Our report made a number of recommendations to improve this relationship, and I’m pleased to note that efforts on all sides have improved to the benefit of the Australian community.”

Australia Post’s announcement includes a new small post office support plan increasing the minimum annual payment to almost 1000 smaller post offices in regional, rural and remote communities, and an increase in the street carded parcel rate benefitting more than 1800 LPOs.

“While letter volumes have substantially declined, parcel volumes have significantly increased,” Senator Ruston said. “Australia Post’s move to increase the parcel handling payments from 60c to $1.60 recognises this change and will greatly assist in improving the sustainability of LPOs.

“The increased support from Australia Post reflects increased consultation with the network, which was the most important recommendation of the inquiry. I congratulate all stakeholders on this outcome.”