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VIRTUALISATION Structural Separation: Conroy's second big surprise
VIRTUALISATION Structural Separation: Conroy's second big surprise | Structural Separation: Conroy's second big surprise |
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| by Stuart Corner | |
| Tuesday, 15 September 2009 | |
  
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In late May the Australian telecoms industry was treated to the rare sight of a shadow minister coming out in support of the shadowed: shadow communications minister, Nick Minchin, issued a press release headed: "Structural separation of Telstra not supported by Labor or the Coalition." He said it was clear that neither the Rudd Government nor the Coalition was advocating the structural separation of Telstra. To support his claim that Labor was not in favour of structural separation Minchin provide an extract from the Senate Estimates Hansard in which he grilled Conroy on the question and where Conroy said that this was option was not canvassed in the regulatory reform discussion paper. This came at a time when the issue of structural separation was headline news with Optus busy lobbying on the basis of its regulatory reform submission advocating structural separation. I analysed the Government's regulatory reform discussion paper and concluded that, while structural separation was mentioned, it was not seriously considered to be an option. In fact what Conroy said in the Estimates hearing is, after a fashion, has now delivered: Minchin asked: "You are not prepared to rule out structural separation?" To which Conroy replied: "It is not in the [regulatory reform discussion] paper. I do not believe I have ever advocated it. Telstra may volunteer it. Who knows? …." Well that's pretty much where we are today: if by volunteer, you mean Telstra has been made offer it cannot refuse.
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