WoG Travel Fact Sheet by JDQ4EF


									      Whole-of-Australian-Government (WoAG)
                 Travel Fact Sheet
Suppliers to WoAG Travel                            Commencement
The Australian Government has established a         1 July 2010 to 30 April 2013
panel of travel management companies
(TMCs) from which all Financial Management
                                                    How it works
and Accountability Act 1997 (FMA) (FMA)
agencies and relevant Commonwealth                  1) The Department of Finance and
Authorities and Companies Act 1997 (CAC)               Deregulation (Finance) will manage the
bodies, following a transition period, will            overarching WoAG Standing Offer
select one preferred supplier. The five TMC            Arrangements with the air carriers and
panel members are: American Express                    travel management companies.
International, Carlson Wagonlit Australia,          2) Agencies and participating CACs will put
Flight Centre (FCm), Hogg Robinson Australia           in place and manage an individual agency
and QBT.                                               agreement with one TMC through which
                                                       all air travel must be purchased.
The Australian Government has also
negotiated a range of highly competitive            Transition
discounted airfares on domestic and                 Interim Agency Agreement
international routes which can only be
booked through the TMC. The domestic                1) Agencies and CACs which have an
carriers are: Jetstar Airways, Regional Express        incumbent TMC appointed to the TMC
(REX), Qantas Airways, and Virgin Australia .          panel will be sent an interim agency
The international carriers are: Air New                agreement in May 2010, which will
Zealand, Cathay Pacific Airways, Emirates              require agency FMA Regulation 9
Airline, Etihad Airways, Jetstar Airways, Pacific      approval and relevant CAC approvals. An
Blue Airlines, Qantas Airways, Qatar Airways,          overarching FMA Regulation 10 approval
Singapore Airlines, Thai Airways, United               for the agreement has been provided by
Airlines, Virgin Atlantic Airways and Virgin           the Secretary for Finance. Agencies and
Blue International Airlines (V Australia).             CACs will also be provided with an air
                                                       travel accession form to enable access to
Products & Services                                    government fares. This requires agency
                                                       delegate approval but does not require
   Travel Management Services                         FMA Regulation 9 approval.
   Domestic Air Travel                             2) Agencies and CACs will transition to the
   International Air Travel                           interim agency agreement with their
                                                       incumbent TMC from 1 July 2010 for
Benefits                                               12 months.
   Highly discounted domestic and                  3) Agencies and participating CACs currently
    international fares                                without a TMC will need to contact
   Competitive route deals                            Finance in May 2010 for advice on
   Available Online booking tool (OBT)                transitioning to WoAG travel
   Assistance with travel policy compliance           arrangements. These agencies will need
                                                       to conduct a Request For Quote (RFQ)
   with the TMC panel to appoint a TMC by       Getting the Lowest Practical Fare
   11 June 2010.
                                                   Follow Lowest Practical Fare Policy.
4) From 1 July 2010, TMCs will commence
   providing WoAG travel services (including       Avoid flexible fares where certainty of
   the new WoAG air travel pricing) to              travel is known – most deeply discounted
   agencies.                                        tickets are changeable 24 – 48 hours
                                                    before travel.
Market Test                                        If flexibility is required, consider a less
                                                    flexible fare to the destination and
5) Agencies must conduct a RFQ with at              flexible fare on return.
    least three suppliers on the WoAG TMC          The TMCs will provide support to
    panel within the first 12 months from           agencies with obtaining the lowest
    commencement of WoAG travel                     practical fare.
6) Agencies select one supplier, execute an     Policy Requirements
    individual agency agreement (FMA
    Regulation 9 / relevant CAC spending            Domestic and international bookings are
    approval is required), report on                 to be made through the appointed TMC.
    Austender if the agreement is $10,000 or        Lowest practical fare is to be used for
    more ($400,000 for CACs).                        domestic flights:
 7) Agencies with special needs will need to        - this is the cheapest fare suiting the
    liaise with Finance before conducting the           practical business needs of the
    RFQ. Finance will provide a RFQ template            traveller
    and guidance to all agencies and will           - officials may specify destination, date,
    coordinate the timing of each agency’s              time of arrival for outbound flights and
    approach to the TMC panel.                          time of departure for return only, not
 8) Finance will provide more detailed                  an airline.
    information about transitioning to              International best fare of the day is to be
    suppliers and agencies in the coming             used for international flights:
    months.                                         - this is the cheapest fare suiting the
                                                        practical business needs of the
Booking                                                 traveller.
                                                    - this does not require officials to use
 It is mandatory to book air travel through
                                                        airlines with a poor industry safety
  the agency appointed TMC; and
 Use of the TMC online booking tool is
                                                    Frequent flyer points will not be awarded,
  highly recommended to reduce transaction
                                                     however status credit points will continue
  costs and increase efficiency.
                                                     to accrue.
User Charge                                     Further Information
The WoAG Travel User Charge will pay for the
                                                For further information or for a copy of the
cost to Finance of establishing and managing    User Guide, please contact the Travel
WoAG travel arrangements. The user charge       Contracts Management Section (TCMS) at the
will be collected by the TMC at the time of     Department of Finance and Deregulation.
Fee Type                       Transaction         TCMS Telephone: 02 6215 2447
                               Fee                 Desktop Fax:    02 6267 3049
                                                   Email:          tcms@finance.gov.au
Domestic                       $3.60
Trans Tasman / International   $10.65

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