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I agree any new comp should consider the Sydney/Brisbane heartland of rugby, especially as most of the players will come from there. The locations of teams should probably be 40-50% from Sydney and Brisbane, and hopefully the clubs there can co-operate to own/run the 'new ARC' clubs.
But if you want to grow rugby into a national sport there should also be clubs in Perth, Adelaide, Melbourne, North Qld, etc, probably with the ability to add more clubs if the competition is successful.