Australia: ACCC proposes to extend access regime on Telstra for five more years

[accc] The Australian Competition and Consumer Commission today announced it intends to extend the declarations that enable Telstra's competitors to provide fixed voice and broadband services over Telstra's copper network for a further five years.

The ACCC's draft decision forms part of its ongoing review of the declarations of the six fixed-line services, and interested parties are invited to submit responses to the draft.

"The ACCC considers there is a need for as much regulatory certainty as possible regarding the access arrangements that apply to the fixed network services for all industry participants," Acting ACCC Chairman, Mr Peter Kell, said today.

The ACCC considers the Government's National Broadband Network, announced in April 2009, will have a major effect on the future telecommunications regulatory environment, particularly in relation to the regulation of the fixed services subject to this declaration review. A lack of certainty regarding ongoing access in a period of transition could have a significant negative impact on competition and investment by both access providers and access seekers, to the detriment of end users.

With this in mind, the draft decision flags the ACCC's intention to extend each of the six declarations for the full statutory period available. The ACCC is satisfied that sufficient statutory mechanisms exist to review the regulation of fixed-line services if required at any time, given a change in market conditions or other developments, such as the NBN services becoming available.

The ACCC provided substantial analysis on fixed network issues in its November 2008 discussion paper and received a number of submissions in response. However, the draft decision provides an additional opportunity for consultation before a final decision is made, prior to the expiry of the declarations on 31 July 2009.

Submissions responding to the draft decision must be lodged with the ACCC by 25 June 2009.

ACCC proposes a five year extension for key telecommunications declarations