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The Australian Rugby Union and the New South Wales Rugby Union have reached agreement on a way forward to create an elite Rugby competition to better prepare players for Super 14 Rugby and the Wallabies.
An independent consultative process will be undertaken to meet Australia's long term goal while the Australian Provincial Championship satisfies a short-term World Cup goal.
ARU Managing Director Gary Flowers welcomed the agreement following a meeting with ARU Chairman Dilip Kumar, NSWRU Chairman Arvid Petersen and NSWRU Chief Executive Officer Fraser Neill.
"By concentrating on the common ground, I think we have arrived at a sensible way forward. Both parties recognise the need and we now have a process in place that will see us work cooperatively at achieving a long term solution." Mr Flowers said.
"The consultative process will be broad based including NSWRU stakeholders as well as ARU stakeholders including the Queensland Reds, the Brumbies and the Western Force. Mr Flowers said.
NSWRU Chief Executive Officer Fraser Neill said NSWRU stakeholders need to be recognised for the role they play in developing professional players.
"Our clubs are the lifeblood of NSW and Australian Rugby. That said, we recognise the importance of getting a competition up for next year in terms of developing players for Rugby World Cup 2007. On that basis, we will participate next year."
"But an independent process involving our stakeholders is critical in developing an expanded elite competition ." Mr Neill said.
Key points in the agreement are:
* An inclusive, independent consultative process with key stakeholders involved in developing professional players to determine the structure and make-up of the elite competition.
* NSW will enter a side in the Australian Provincial Championship next year.
* All parties committed to the creation of a new elite Rugby competition as early as 2007 subject to the outcomes of the process above..
* Cooperation to ensure minimal impact on the Tooheys New Cup next year.
Mr Flowers stressed that Japan would not participate in the APC next year, but was likely to play matches against the Brumbies and the Western Force.