ACCC and Telstra talking to resolve FTTN deadlock

Stuart Corner
Wednesday, 12 April 2006 19:05

IT Policy - Regulation

The ACCC has responded to speculation that it is about to cut a deal with Telstra over Telstra's request for regulatory relief for its FTTN network by issuing a press release to "reassure the telecommunications industry and the public that decisions about access to any fibre-to-the node network would only be made after public scrutiny and due process."
The move comes in the wake of press reports that the two were close to a deal, and that the Competitive Carriers Colation had warned the ACCC that any such deal would be illegal unless taken following a full public discussion.

The release acknowledged that the ACCC and Telstra had been "discussing a possible investment by Telstra in a FTTN network upgrade", and quoted ACCC chairman, Graeme Samuel, saying: "The discussions have been constructive. However, no decisions have been made, nor any agreement reached".

The ACCC said that "these discussions should put Telstra in a position to develop a comprehensive undertaking, which can be submitted to full public consultation. The ACCC would then be able to receive and fully consider the views of the industry and the public before making any decision on access arrangements, including whether and how the existing ULL declaration should continue to apply either where FTTN has been rolled out or elsewhere." It suggested that an undertaking could be received and a process of public consultation could begin as early as May.

It added that any regulatory outcome should take into account the incentives for investment in a FTTN network upgrade, the desirability of promoting competition and the interests of all stakeholders – including those carriers who have already made broadband investments based on the existing unbundled local loop declaration.