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Options For Reform Of The Telecommunications Access Regime 31 August 2009

Telecommunications Access disputes are exempted from Trade Practices Act Part 3A and are dealt with in Part 11C. As part of the Federal Government's April 2009 announcement of the National Broadband Network, options for reform of the telecommunications competition framework were advanced.

Whilst no legislation has been, set the Federal Government has indicated that it is prepared to review Part 11C access arrangements by retaining the current regime, which includes a negotiate/arbitrate model, but with a view to making that model work more effectively by limiting opportunities to challenge procedural matters in the Courts and by setting time limits.

A second option is the replacement of the negotiate/arbitrate model with a streamlined regulatory process dictated by the ACCC.

Concerning anti-competitive conduct provisions concerning the telecommunications industry (Part 11D) the Federal Government has announced that it is considering reforms including:

  • removing any requirement to undertake consultation before issuing a Competition Notice;
  • requiring the ACCC, when issuing a Competition Notice, to provide guidance to the recipient on how to rectify the anti competitive conduct and have the Competition Notice removed;
  • giving the ACCC the power to impose binding rules of conduct when issuing a Competition Notice in order to provide certainty on the outcome of competition notices as a means of prompt resolution; and
  • abolishing the Competition Notice regime and empowering the ACCC to issue binding rules of conduct where it considers a party is engaging in anti competitive conduct.
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