Australia Post to charge 50 cents extra per air mail parcel
Australia Post will soon charge customers an extra 50 cents per parcel sent overseas by air mail to cover the cost of upgraded security.
The price rise is planned from September 1.
It covers business and private air mail and economy air mail parcels sent overseas, not letters.
The hike was revealed during Senate estimate hearings this week.
Last year the government introduced new requirements for Australia Post to receive proof of identity from customers lodging overseas-bound mail.
Australia Post corporate secretary Michael McCloskey said the 50 cent rise was planned for September to cover the cost of the new security arrangements.
“I am not sure of the timing of the announcement, but the increase is planned for 1 September,” he told Tasmanian Labor Senator Sue Mackay.
“It will be in the order of 50 cents per parcel.”
The money would help cover security measures estimated to cost the organisation $4 million a year, he said.
“Our estimate is that on an annual basis the additional costs – and this would include licensees – are in the order of $4.1 million,” Mr McCloskey said.
The increase comes after the price of stamps rose to 50 cents from 45 cents this year.
Australia Post this week told the committee it gave up its entire $300 million profit last year to boost the government’s bottom line.
Australia Post handed its after-tax profit of $291.8 million to the government, comprising an ordinary divided of $175.1 million and a special dividend of $116.7 million.
Senator Mackay today said it was hard to see how the price hikes were anything other than a grab for cash by Treasurer Peter Costello.
“Given the cost of ordinary stamps has risen this financial year from 45 cents to 50 cents and that Australia Post has admitted on Tuesday that the cost of parcels will increase by 50 cents per parcel, it is hard to see these price rises as anything other than another grab for cash by Mr Costello,” Senator Mackay said.
She suggested Australia Post should absorb the extra cost.
“Given Australia Post made a profit of $291.8 million, which was whipped away by the treasurer, why should Australians pay extra for stamps and parcels so that the government can secretly grab back the money in a dodgy sleight of hand?” she said.
