ACCC Review Telecommunications Pricing

The ACCC has announced a fundamental review of the access pricing principles for telecommunications services.

The ACCC’s review into telecommunications access pricing principles will apparently “provide as much certainty as possible to industry and consumers”, according to chairman Graeme Samuel.

“This is a critical review of pricing principles which have been in place since 1997. Since this time the telecommunications regulatory, technological and competitive landscape, have and continue to evolve, and a review is timely,” Samuel said in a statement on their website.

“Industry continues to raise issues regarding the revaluation and hypothetical optimisation of existing network assets which are key to the current pricing principles, and a review is likely to be well accepted by the sector. It will draw a line in the sand and address the pricing principles afresh for the new environment.”

As a result of the review, the ACCC has determined to maintain the current pricing principles and indicative prices for fixed line services until 31 December 2010.
These services enable Telstra’s competitors to provide fixed voice and broadband services over Telstra’s copper network.

“This will provide as much certainty as possible to industry and consumers while the fundamental approach to pricing is being reviewed,” Samuel said.

The review and current prices apply to:

  • the unconditioned local loop service (ULLS);

  • the line sharing service (LSS);

  • the public switched telephone network originating access (PSTN OA) service;

  • the public switched telephone network terminating access (PSTN TA) service;

  • the local carriage service (LCS);

  • and the wholesale line rental (WLR) service.

The final pricing principles and indicative prices determination is available on the ACCC website at: Final Pricing Principles Determination for Fixed Services.