Telecommunications Access Dispute

AAPT Ltd has notified the Australian Competition and Consumer Commission of an access dispute under Part XIC of the Trade Practices Act 1974. The dispute relates to the price paid by AAPT Ltd for originating and terminating access* to the GSM network operated by Cable and Wireless Optus Ltd.

Accordingly, the ACCC has commenced an arbitration hearing. Given that the legislation contemplates that arbitrations be conducted in private the ACCC will not be making any public comment at this stage.

Background

The ACCC is vested with arbitration powers enabling it to make directions and 'do all things necessary for the speedy hearing and determination of an access dispute'.

For the ACCC to engage in arbitration, an access seeker and/or an access provider must notify the ACCC of an access dispute. The ACCC may arbitrate an access dispute only where:

• a declared service is supplied or proposed to be supplied by a carriage service provider;
• one or more standard access obligations apply or will apply to the carrier or provider in relation to the declared service;
•  and an access seeker is unable to agree with the carrier or provider regarding the terms and conditions on which the carrier or provider is to comply with the standard access obligations.

Where a dispute cannot be resolved after private negotiations, mediation and/or conciliation, either of the access parties may refer the matter to the ACCC. Arbitration by the ACCC would be considered as a final solution for the parties in dispute. Where the ACCC is notified of an access dispute the ACCC must determine the matter, unless it decides to terminate the arbitration or the notification is otherwise withdrawn.

* 'Originating access' and 'terminating access' are services whereby calls are passed from an originating network to be completed on a terminating network. In this case, the dispute relates to Optus' charge for carrying that portion of a call which originates or terminates (as the case may be) on its mobile GSM network.