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More power to the ACCC says AAPT
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More power to the ACCC says AAPT | More power to the ACCC says AAPT |
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| by Stuart Corner | |
| Tuesday, 02 June 2009 | |
AAPT is calling for the ACCC to be given greater powers to provide regulated access to telecommunications services, to set prices for these services and the terms and condition of access and for the opportunities for its decision to be delayed and challenged by Telstra, or other telcos, to be greatly reduced.Featured Whitepaper
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Submissions close on 3 June and the Government is expected to make submissions public unless submitters request confidentiality AAPT is the second telco to publicise details of its submission. Two weeks ago Optus made presentations to selected journalists detailing its submission. The discussion paper issued by the Government canvassed the structural separation of Telstra, which Optus is advocating. AAPT has stopped short of this, or at least has not indicated any such position in the detail provided on its submission. However, it has flagged the problems for competitors of Telstra being a wholesale provider to both its own retail operations and those with which Telstra retail competes. AAPT CEO, Paul Broad, said: "The industry lacks simple governing rules and transparency...For example, it would be interesting to see what value Telstra's retail division would derive if it was regulated to pay the same price for services as AAPT is charged by Telstra's wholesale division." However Optus also came in for criticism on this score with Broad saying that AAPT was also concerned over Optus' ability to stifle competition in the fixed-line market. "It is unacceptable that businesses and consumers either suffer extensive delays in moving their services from Optus to a competitor, or cannot move at all, simply because there is no regulated process. It is easy to point the finger at Telstra, but Optus is equally culpable for the role it has played in prohibiting a competitive environment." AAPT argues that refusal by Telstra BigPond and Optus' retail division to participate in the existing fast-churn process ensures their customers find it extremely difficult to receive broadband services from other providers. "Due to gamesmanship by the incumbent, it is almost impossible for competitors to sign a new customer and move that customer to their network without major disruption to the customer," said Broad. AAPT also identifies a number of other competition-limiting factors, that it says are critical. These include inadequate access for rival telcos to build competing infrastructure into exchanges. "We've spent two years fighting to gain access to customers in specific areas in Melbourne," said Broad. "It is ludicrous – but all too frequent – for Telstra to 'lose the keys to the exchange'. The incumbent's power to hamstring the process must be removed." There are regulations in place designed to ensure competitors have efficient access to Telstra exchanges, but allegations that Telstra flouts these are all too common, and they appear to be not without foundation: the ACCC has launched a court case against Telstra alleging numerous breaches of these facilities access rules.
This article first appeared in ExchangeDaily, iTWire's daily newsletter for telecommunications professionals. Register here for your free trial.
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