Pricing Principles for the Public Switched Telephone Network Originating Access and Terminating Access Services (PSTN OTA) Determination 2009 (Cth)

Pricing Principles for the Public Switched Telephone Network Originating Access and Terminating Access Services (PSTN OTA) Determination 2009

Trade Practices Act 1974

The AUSTRALIAN COMPETITION AND CONSUMER COMMISSION makes this Determination under section 152AQA of the Trade Practices Act 1974.

Dated            3 December 2009

Graeme Samuel

Chairman

Australian Competition and Consumer Commission

1          Name of Determination

This Determination is the Pricing Principles for the Public Switched Telephone Network Originating Access and Terminating Access Services (PSTN OTA) Determination 2009.

2          Commencement

This Determination commences on the day it is made.

Note: The Australian Competition and Consumer Commission must have regard to this Determination if it is required to arbitrate an access dispute under Division 8 of the Trade Practices Act 1974 in relation to the declared services covered by this Determination (see subsection 152AQA(6)). An arbitral determination may be backdated (see section 152DNA)

3          Pricing principles and indicative prices

The pricing principles specified in Schedules 1 and 3 and indicative prices specified in Schedules 2 and 4 are to apply to the Public Switched Telephone Network Originating Access and the Public Switched Telephone Network Terminating Access Services (PSTN OTA) declared by the Australian Competition and Consumer Commission (Commission) under section 152AL of the Trade Practices Act 1974 (Act).

4          Repeal of earlier Pricing Principles Determination for the PSTN OTA

This Determination repeals the following instruments:

·Pricing Principles for the Local Carriage Service, Wholesale Line Rental Service and Public Switched Telephone Originating and Termination Services dated 29 November 2006; and

·any earlier Pricing Principles Determinations made for the PSTN OTA.

Schedule 1        Pricing principles for the PSTN OTA for the period to 31 December 2007

The price of the PSTN OTA Service should be determined on the basis of a total service long run incremental cost (TSLRIC).

Schedule 2        Indicative prices for the PSTN OTA for the period to 31 December 2007

The indicative prices for the PSTN OTA for the period to 31 December 2007 are:

2006-07	Flagfall	EMOU charge	Headline rate
CBD	0.85	0.35	0.57
Metropolitan	0.84	0.49	0.70
Provincial	0.94	0.68	0.91
Rural	2.06	3.66	4.18
Average	0.95	0.76	1.00

Schedule 3        Pricing principles for the PSTN OTA for the period 1 August 2009 to 31 December 2010

The price of the PSTN OTA Service should be determined on the basis of a total service long run incremental cost (TSLRIC).

Schedule 4        Indicative prices for the PSTN OTA for the period 1 August 2009 to 31 December 2010

The indicative prices for PSTN OTA for the period 1 August 2009 to 31 December 2010 are:

1 August 2009 – 31 December 2010	Flagfall	EMOU charge	Headline rate
CBD	0.85	0.35	0.57
Metropolitan	0.84	0.49	0.70
Provincial	0.94	0.68	0.91
Rural	2.06	3.66	4.18
Average	0.95	0.76	1.00