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Technology news and Jobs arrow Cornered! arrow USO review buried in National Broadband Net process
USO review buried in National Broadband Net process E-mail
by Stuart Corner   
Thursday, 31 July 2008
Shadow communications minister, Bruce Billson has called for communications minister, Stephen Conroy to "emerge from his NBN fog and confusion to clarify the status of the buried USO review." iTWire has bad news for him. The USO is now well and truly wrapped up in that 'fog and confusion'.

The review was initiated by the previous government with the release of an issues paper on 15 August 2007. When the comment period closed, just before the Howard Government was voted out of office, it had received 47 submissions from major carriers, government agencies and consumer groups.

ITWire questioned the minister's office some time ago on the review and was told "USO issues are clearly relevant to the National Broadband Network competitive assessment process, which is now 'live'...It can be expected that decisions on Australia's universal service regime will be made at the same time as the Government makes decisions on the National Broadband Network."

However, it is questionable whether the NBN process can adequately address the full range of issues thrown up by the USO review. According to Billson, "The USO review must take into account and respond to the evolving needs and expectations of consumers along with advancements in mobile telecommunications and broadband technologies. For example, research released today by the government's own Australian Communications and Media Authority highlights the growing trend of consumers substituting mobile phones for fixed line telephones." The NBN does not address mobile communications services at all.

Billson added: "The USO is an important safety net for consumers designed to ensure that all Australians, regardless of where they live have access to namely standard telephone services, payphones and prescribed carrier services on an equitable basis." The NBN process does not cover payphones.

Also Billson reminds us that "When in Opposition Senator Conroy argued a funding shortfall in delivering the USO meant several hundred million dollars extra should be found from somewhere. He also said he would have the USO independently reviewed by the Productivity Commission, but since the Federal election there have been no review updates or indication of when it will be completed or what form it will take." There is no intention to involve the Productivity Commission in the NBN process.

Billson has called on Conroy to "emerge from his NBN fog and confusion to clarify the status of the buried USO review; whether he stands by his USO funding shortfall claims he made in Opposition; where the additional funding will come from and to reassure communications users and stakeholders that the Rudd Government will take USO issues and responsibilities more seriously very soon."

An issue related to the USO is the local presence plan which Telstra was required to develop by the previous government. On 1 July 2006, the previous minister approved Telstra's Local Presence Plan which remains in force until 30 June 2009. Clause 32(39) of Telstra's carrier licence conditions requires that as soon as practicable, and in any event within 60 days after the end of each financial year, Telstra must give the minister and the Australian Communications and Media Authority (ACMA) a report setting out details of the progress made in implementing its local presence plan during that year; and make a summary of the report available to the public. Look out for it in a month's time.

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