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Newsletter -  February 2005

 
 

Promoting open market policies across the region

As a founding member of major lobby groups Competitive Carriers' Coalition (CCC) and the Asia Pacific Carriers' Coalition (APCC), Macquarie Telecom is currently working on a range of issues to ensure fairer pricing for business users.

In Asia, the APCC has formed Working Groups for each specific issue it considers most important for Governments and Regulators in Asia to consider. Issues include the pricing of Local Leased Circuit, rates charged for the termination of mobile calls, DSL availability and the opportunity for new entrants to participate as operators, particularly in developing countries such as India and China.

In Australia, as part of its mission to advance the public policy debate in support of more competitive telecommunications industry, the CCC has released a nine-point plan to ensure a competitive environment moving forward.

Issues addressed under the plan include

  • The establishment of a policy and regulatory framework able to support new investment in competitive infrastructure and technologies

  • Structural reform to address the fundamental problems repeatedly identified by the ACCC as being at the root of the failure of competition to develop satisfactorily

  • Limiting the ability of Telstra to “bundle” retail service - targeting the anti-competitive effects of Telstra linking monopoly services (like line rental and local calls) with contestable services such as mobiles and broadband

  • The addition of a divestiture power to the Trade Practices Act as a natural companion to the Mergers Power allowing the regulator to act where an anti-competitive structure is identified

  • Ending public subsidies of Telstra that are unnecessary and entrench its incumbency and market power to the detriment of competition

  • The abolition of undertakings as a mechanism to achieve industry-wide resolution of pricing disputes

  • Establishing a formal price setting regime for core access services

  • Reforming the Regulator

  • The automatic renewal of spectrum licenses under certain conditions

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