ACCC launches public enquiry into NBN Co's access undertaking

Stuart Corner
Tuesday, 20 December 2011 14:18

IT Policy - Government Tech Policy

The ACCC has initiated its statutory public enquiry into NBN Co's special access undertaking (SAU) with release of a preliminary consultation paper but the real consultation paper seeking the views of stakeholders will not be released until mid February.

NBN Co lodged its SAU on 5 December. It sets out a regulatory framework that, once accepted by the ACCC will govern the price and non-price terms and conditions for NBN Co wholesale services for the next 30 years.

It covers all wholesale Layer 2 services provided over NBN Co's fibre, wireless and satellite networks and provides the framework in which NBN Co delivers uniform national wholesale prices across Australia.

The ACCC says this first consultation paper is aimed only at: "providing guidance on the legislative framework; providing a summary of the SAU; seeking stakeholders' preliminary views on the SAU to identify the key issues that will be the focus of the supplementary consultation paper." The second paper will provide further guidance on what the ACCC considers to be the key issues associated with the SAU.

This first paper only four specific requests for stakeholders' views:
- "Please provide views on the conduct, terms and conditions included in the SAU'¦with regard to the statutory criteria outlined in section 152CBD of the Competition and Consumer Act and summarised in section 3.3.2 [Legislative criteria for assessment of a Special Access Undertaking] of this consultation paper."

- "Is Schedule 1 [Dictionary and Interpretations] incorporated into the SAU with sufficient clarity and certainty?"

 - "Do the definitions adopted in Schedule 1 provide for effective operation of other commitments included in the SAU?"

- "Are the definitions in Schedule 1reasonable and consistent with current industry practice?"

Submissions to this first paper received by 20 January will be considered in the preparation of the second paper. Submissions received by 30 March will be considered by the ACCC in deciding whether to accept or reject the SAU.

The legislation requires the ACCC to accept or reject the SAU within six months of lodgement, but this can be extended by the ACCC if it can give grounds, and does not include the time spent on public consultation, or while the ACCC is waiting on responses from NBN Co.

The ACCC is giving no commitments but says it intends to make its decision "as soon as it is practicable to do so, taking into account the scale and complexity of the issues to be assessed, and the proposed duration for the operation of the SAU."

It plans to publish the results of its initial analysis in a draft decision and to consider submissions in response to that prior to issuing its final decision.