BP, Qantas loyalty scheme arrangements authorised

Qantas, BP Australia and independent BP petrol stations will be able to collectively participate in the BP Rewards, Qantas Frequent Flyer and Qantas Business Reward programs for five years.

The Australian Competition & Consumer Commission (ACCC) will allow BP to require BP-branded petrol stations to participate in the Qantas rewards programs as a condition of new BP petrol station franchise agreements, as well as when existing agreements are renewed.

“The proposed arrangements are likely to result in public benefits, such as providing consumers with more opportunities to accrue and redeem rewards program points and allowing BP to negotiate directly with Qantas on behalf of its petrol station franchisees,” ACCC Commissioner Stephen Ridgeway said.

The ACCC was also concerned that the sharing of consumer data between independent BP petrol stations and BP, and between BP and Qantas as a result of these arrangements had the potential to cause some harm to consumers, such as a reduction in privacy.

However, the ACCC notes that 85% of independent BP petrol stations are subject to the Privacy Act, and that BP is implementing additional safeguards to protect data that BP petrol stations receive.