The purpose of this Circular is to announce a change in the policy on frequent flyer points awarded for air transport under the NSW Government contract for Air Travel and Related Services. Current policy (Circular No 99-60) provides that points accumulated in the course of official travel may be used only for official purposes.

The change in policy has regard to airline practices in awarding frequent flyer points to individuals; difficulties in accounting for the use of points; and constraints in using points for corporate purposes The new policy is set out below.

• Frequent flyer point accumulation will cease from 1 July 2002 for Qantas and QantasLink flights. Qantas will request its Oneworld alliance partners not to offer frequent flyer points. Contract details are available from the Department of Public Works and Services.
• Public agencies and public officials, including other people travelling at Government expense, are not to seek or accept frequent flyer points from any airline in respect of official transport with effect from 1 July 2002. Agencies are to ensure that transport booking procedures inform people travelling and airlines that points are not to be sought or allocated, and that choice of airline, particularly for transport overseas, is not influenced by the availability of frequent flyer points.
• The risk of improper use of frequent flyer points credited to agency corporate accounts or individual accounts in respect of official transport before 1 July 2002 should be considered in agency internal audit programs. If there is an unacceptable risk that points may be used improperly, the points should be surrendered to the relevant airline. To surrender points, airlines require written advice from the account holder.

C Gellatly
Director-General

Issued: Ministerial and Parliamentary Services Division
Contact: Angelina Anassis
Telephone: 9228 4904
Email: [email protected]
File: MAP/00440
This Circular has amended Circular No 99-60