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Regulator alters rule to tap Telstra phone access regime

http://business.theage.com.au/regulator-alters-rul [2008-7-15]

Tag : Access Floor System

TELSTRA'S ability to block competitors from installing their ownbroadband equipment in Telstra telephone exchanges has beencurtailed by a new policy from the competition regulator.
The record-keeping rule, which demands greater disclosure ofinstallation requests made by other telcos, removes the anomalywhere Telstra's obligation to grant access would be overridden ifTelstra - without independent verification - claimed there was noadditional space in exchange buildings.
Now, if Telstra wants an access exemption it has to submit adetailed floor plan of the exchange, and a list of how much spaceit wants reserved, to the Australian Competition and ConsumerCommission for approval.
"The ACCC believes that there is a strong need for independentoversight of Telstra's processes to cap exchanges to ensure thatTelstra is held accountable and access seekers are not unreasonablydenied access to Telstra exchanges," said ACCC chairman GraemeSamuel.
iiNet chief executive Michael Malone said Telstra had voluntarilycut its list of "capped" exchanges by about half in recent months,making it easier for rival access, but nevertheless said the ACCCintervention was needed.
"Telstra's (recent) goodwill is very good but you can't always relyupon that … at least under this now there will be a processwhere the ACCC will say, 'well, demonstrate to us that an exchangereally is capped'," he said.
The new policy also ensures greater disclosure for the currentqueueing system, where applicant telcos are told only what numberthey are in the installation queue, and given no indication whichtelcos are in front of them nor the expected time frame forinstalling their equipment.
Telstra now has to inform the ACCC the name of each telco in thequeue, when they first applied for access to the exchange, and thestatus of their application. The ACCC is, however, yet to decidewhether all that information will be publicly available.
Telstra dismissed the ACCC policy as "yet another time-consuming,expensive process that does nothing to help consumers", claimingthe delays were caused by the "unprecedented demand" for access toits exchanges.
But Optus director of government and corporate affairs MahaKrishnapillai said the access problems identified by the ACCC inthis policy "went to the heart of how they (Telstra) are able toslow down or frustrate the roll-out of competition".
"This is exactly why we need an independent, structurally separatedTelstra Wholesale, so that everyone in the sector can be seen toget fair treatment," Mr Krishnapillai said.
http://tinyurl.com/5aygku

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