The Australian Competition and Consumer Commission has issued a discussion paper which marks a further step in its process of determining non-binding model price terms and conditions (or indicative prices) of access to the PSTN originating and terminating services, Unconditioned Local Loop services (ULLS) and Local Carriage services (LCS), or "core telecommunications services".

The core services are the main fixed line network interconnect or access services which competitors need in order to compete with Telstra for a variety of retail services, such as local, long-distance, international, fixed to mobile and various high-speed data services. Access to these core services is also where the main area of disputation in the industry has been.

The paper consolidates and builds upon the ACCC's work to date in relation to indicative prices for core services (see Background below). The paper has been released for public comment.

The publication of the paper is in response to new legislative requirements under section 152AQB into the Trade Practices Act 1974 for the ACCC to determine model terms and conditions, including prices, for access to the PSTN, the ULLS and the LCS. The ACCC is required to make a decision by June 2003.

The ACCC has previously issued its views on the pricing of PSTN, ULLS and LCS for the periods 1999-2002 (see Background below). The current work on indicative pricing is intended to update the ACCC's views on access pricing for future periods.

The paper also indicates the ACCC's intention to conduct the process of setting indicative prices in parallel with its consideration of Telstra's proposed core services undertakings lodged on 9 January 2003. An issues paper addressing the matters relating to the undertakings was issued on 14 March 2003 for comment.

A copy of the ACCC Discussion Paper (Model Price Terms and Conditions for PSTN, ULLS and LCS) will be available on the ACCC website.

The ACCC has called for submissions from industry participants and other interested parties by 30 April 2003.