Freight & Trade Alliance (FTA) and Australian Peak Shippers Association (APSA) have been inundated by members expressing serious concerns over the increase in transaction fees to use ComPay.
WHAT IS COMPAY?
OneStop is a privately owned commercial entity supplying software solutions for the global freight and logistics community. One such product is ComPay, a sophisticated online payment system used by the Australian port community.
Developed and enhanced over many years, ComPay provides significant efficiency gains for both payers and payees with notable benefits including:
- Immediate Payment Notification: Enabling faster release of freight, crucial for meeting shipment deadlines.
- Next-Day Settlement: For debit payments from the point of authorisation, reducing delays.
- Simplified Reconciliation: Automated reporting and streamlined processes lower administrative demands.
It is important to note that while some shipping lines and freight forwarders may offer limited credit term arrangements and EFT payment options, many have traditionally mandated ComPay as the only guaranteed method to ensure timely release of delivery orders.
SUMMARY OF CHANGES
On 1 October 2024, OneStop announced a change in pricing to customers for the use of ComPay; effective 1 November 2024.- The pricing for ComPay has shifted from a flat fee of $2.99 per transaction to a variable rate of 0.48% per transaction (plus GST).
- The pricing for credit card processing fee's (CCPF) has reduced to 1.62% + GST for Visa/Mastercard transactions and has reduced to 2.66% + GST for Diners transactions.
- Storage invoices remain unchanged and will continue to incur a flat fee of $2.99 + GST.
OneStop has shared that the adjustment to the ComPay pricing structure enables continued investment in enhancing functionality, support, and payment security standards, as well as ensuring sustained and improved efficiencies for the broader port community.
INFLATIONARY IMPACTS
Member feedback suggests it is common to settle invoices containing freight charges for multiple containers (freight collect basis), which under the new ComPay model will see transaction fees rapidly escalate (refer to the below table to illustrate the impact). The fact that there is no cap per single transaction is a particular concern.
Transaction
Amount | Previous Fee
($2.99 + GST) | New Fee
(0.48% + GST) | %
Increase |
| $600 | $2.99 | $3.17 | 6% |
| $5,000 | $2.99 | $24.00 | 702% |
| $10,000 | $2.99 | $48.00 | 1505% |
| $20,000 | $2.99 | $96.00 | 3111% |
While maintaining dialogue with OneStop, it noted that they are a commercial enterprise operating in an open environment. As is generally the case in Australian commerce, it is anticipated that over time, competition will enter this market to provide similar, more cost-effective, integrated payment solutions.
In the interim, we understand that many forwarders have reverted to EFT settlement methods with feedback that various Shipping Lines are understanding of the situation and encouragingly, willing to release delivery orders on a bank remittance copy.
While this avoids the new increased ComPay charges, it is a significantly more labor-intensive manual process generating higher administration costs. In addition to recently announced stevedore Terminal Access Charge charges from 1 January 2024, increasing supply chain costs will further fuel inflation and ultimately impact Australian consumers.
For more detail, please refer to the OneStop official pricing update available HERE
Paul Zalai - Director FTA / Secretariat APSA