Telstra Corporation Limited has notified the Australian Competition and Consumer Commission of an access dispute with Optus Networks Pty Limited, pursuant to under clause 36 of Schedule 1 of the Telecommunications Act 1997 and regulation 3 of the Telecommunications (Arbitration) Regulations made under subclause 36(4) of Schedule 1 of the Act.
The dispute relates to the price paid by Optus for access to telecommunications towers* owned or operated by Telstra and the sites of such towers, accessed by Optus under clauses 33 and 34 of Schedule 1 of the Act.
The ACCC has commenced the arbitration process for this access dispute. Given that the legislation contemplates that arbitrations be conducted in private, the ACCC will not be making any public comment at this stage.
* 'A telecommunications transmission tower means:
(a) a tower; or
(b) a pole; or
(c) a mast; or
(d) a similar structure; used to supply a carriage service by means of radiocommunications.
'A site means:
(a) land; or
(b) a building on land; or
(c) a structure on land.
Release # MR 201/06
Issued: 5th September 2006
Background
The ACCC is vested with arbitration powers under the Regulations enabling it to make directions and 'do any such thing, as is necessary or expedient to determine a dispute'. For the ACCC to engage in arbitration, a service seeker or provider must notify the ACCC that a dispute exists if they are unable to agree about the terms and conditions on which a service is, or is to be, provided. The following are examples of things on which a service seeker and provider might disagree:
the price, or the method of establishing the price, at which the service is provided;
whether a previous determination should be varied.
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the ACCC must determine the matter, unless it decides to terminate the arbitration or the notification is otherwise withdrawn.
