Optus on reforms: Mr O'Sullivan goes to Canberra

James Riley
Wednesday, 18 November 2009 14:58

IT Policy - Government Tech Policy

The telecommunications reform proposals before the Senate were a "once-a-lifetime opportunity" to correct a fundamental flaw in the Australian industry and shape the sector for decades to come, Optus chief executive Paul O'Sullivan has told a Canberra audience.

Following an afternoon of meetings with Senators – including Family First's balance of power senator Steve Fielding – O’Sullivan said the reforms were nowhere more important than regional Australia, which had been consigned to broadband backwater status by "more than a decade of policy failure."

"The last 12 months, and indeed this month, is among the most critical in our industry since competition was introduced," O'Sullivan told an informal gathering of senators and political staffers at Optus' Parliament House Christmas function.

"Right now we are standing on the edge of what is probably going to shape the industry most fundamentally for at least the next decade if not the next two to three."

The Senate is still expected to consider telecommunications reforms next week, despite the lengthy negotiation and debate on the emissions trading scheme (ETS) putting pressure on the Government's legislative timetable.

If an agreement can be reached on the ETS by Sunday, the conventional thinking is that there remains time to debate the telecommunications reforms – albeit in a fashion more hurried than some would like.

O'Sullivan says separating Telstra would have clear and immediate benefits for competition in the fixed market and a healthier regulatory structure would lead to the same kind of improved customer choice, affordability and innovation that has characterised the local mobile phone market.

He pointed to the launch of the iPhone just 12 months ago as an example of how – with mobile broadband services – how quickly new applications, new services and new business uses can transform a market.

The NBN, with market reform, would have the same transformative effect.

"We also very warmly welcome the Government's landmark decision to reform the regulatory environment in which our industry works."

"We actually see this as a crucial piece of reform. Just as the NBN will change the landscape, this reform legislation will change the landscape forever."

"We would urge the Senate to vote in favour of this very much needed reform."