Two telecommunications access disputes have been notified to the Australian Competition and Consumer Commission under Part XIC of the Trade Practices Act 1974.
Adam Internet Pty Ltd and Primus Telecommunications Pty Ltd have each separately notified the ACCC of an access dispute with Telstra Corporation Limited.
The Adam Internet access dispute relates to the charges associated with the supply of the unconditioned local loop service (ULLS) from Telstra.
The ULLS involves the use of unconditioned cable, primarily copper pairs, between end users and a telephone exchange. The declared ULLS is being used by access seekers to support and connect to their own infrastructure for the supply of new and innovative voice and data services, such as those involving voice over internet protocol (VOIP) and digital subscriber line (DSL) technologies.
The Primus access dispute relates to the monthly rental charge associated with the Line Sharing Service (LSS) supplied by Telstra.
The LSS allows the copper wires that provide voice telephony to also be used to supply broadband internet services by using the low frequency part of the copper line spectrum for voice and making the high frequency spectrum portion available to access seekers for supplying ADSL services. Telstra retains the ability to provide voice services and obtain line rental revenue and voice call revenue.
The ACCC has commenced the arbitration process for both of these access disputes. Given that the legislation contemplates that arbitrations be conducted in private, the ACCC will not be making any public comments at this stage.
Release # MR 026/07
Issued: 6th February 2007
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 carrier or carriage service provider
one or more standard access obligations apply or will apply to the carrier or carriage provider in relation to the declared service, and
an access seeker is unable to agree with the carrier or carriage service provider regarding the terms and conditions on which the carrier or carriage service 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.