Optus Networks Pty Ltd and XYZed Pty Ltd have notified the Australian Competition and Consumer Commission of an access dispute with Telstra Corporation Limited under Part XIC of the Trade Practices Act 1974.

The dispute relates to the charges to be paid by Optus Networks Pty Ltd and XYZed Pty Ltd to Telstra for Unconditioned Local Loop Service. This service allows competitors direct access to Telstra's copper lines that connect customers to local telephone exchanges. This will enable other telecommunications companies to supply advanced, high-speed, including Internet, services to customers as well as local and long-distance services in competition with Telstra. ULLS was declared by the ACCC in July 1999, following an inquiry examining competition for local telecommunications services.

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