Alphabet soup: CCC calls for full ACCC oversight of NBN Co

Stephen Withers
Thursday, 01 December 2011 16:44

IT Policy - Regulation

The Competitive Carriers' Coalition has expressed concern that NBN Co is not subject to full ACCC oversight.

The Competitive Carriers' Coalition (CCC) is concerned that NBN Co is not being adequately regulated by the Australian Competition and Consumer Commission (ACCC), and is already exploiting its market power to its own advantage.

The NBN Co wholesale broadband agreement (WBA) is drafted in such a way that the company is not obliged to pass on ACCC determinations to its wholesale customers, a CCC spokesperson said.

"The CCC is a strong supporter of the NBN project, provided there is suitable regulatory oversight. All the industry has sought from NBN Co is a confirmation that it will agree to be bound by ACCC determinations and binding rules of conduct," the spokesperson said.

"The question must now be asked; why is NBN Co so determined that it will not allow retailers access to the full suite of the ACCC protections?"

The CCC spokesperson described NBN Co's efforts to force service providers to sign contracts quarantining it from ACCC protections as "extraordinary" and "a sad reflection" on NBN Co management: "Comments by NBN Co CEO Mike Quigley yesterday make clear that he has no intention of listening to the concerns of his customers and is presenting them with a take it or leave it deal. Only a monopolist can behave like this."

If NBN Co fails to come up with an arrangement that satisfies the industry, the CCC will call for legislative change to ensure the Government's intended policy is put into effect.