Extension of the declaration expiry date under section s152ALA(4) – Wholesale line rental – 2024

Overview

The Competition and Consumer Act 2010 was enacted to address the need for fair competition in the Australian market and to protect consumers from anti-competitive practices and misleading conduct. In extending the expiry date for the Wholesale Line Rental (WLR) declaration to 30 June 2029, the Australian Competition and Consumer Commission has acted under section 152ALA(4) of the Act, which allows for the modification of the declaration period to better align with market conditions and technological developments. This extension aims to ensure that the WLR service, which is integral for connecting end-users to the public switched telephone network, remains available and effective. This measure reflects a policy objective of maintaining stable and reliable telecommunications services, facilitating continued access for consumers and businesses alike.

Scope and Application

The Competition and Consumer Act 2010, as amended by the instrument C2024G00214, extends the declaration expiry date for the Wholesale Line Rental (WLR) service to 30 June 2029. This extension applies to the declaration specified under section 152ALA(4) of the Act, which pertains to the WLR service that enables end-users to connect to a carrier or carriage service provider’s public switched telephone network. The service in question allows end-users to make and receive calls of various types within the constraints of the 3.1khz bandwidth, including local, national, and international long-distance calls, while also providing them with a telephone number. Notably, this declaration does not cover services where the connectivity is provided via a Layer 2 bitstream service supplied by an NBN corporation. The Act's application is nationwide, and it applies to any entity involved in the provision of the Wholesale Line Rental service within Australia, including telecommunications companies and service providers. This extension does not alter the fundamental definitions and scope outlined in the Act or the Telecommunications Act 1997, and it does not introduce new exclusions beyond those already defined.

Key Provisions

The primary operative sections of this legislation extend the expiry date for the Wholesale Line Rental (WLR) declaration under section 152ALA(4) of the Competition and Consumer Act 2010 (the Act) to 30 June 2029. Previously, the declaration was set to expire on 30 June 2024. This extension allows the Wholesale Line Rental service to continue operating under the terms specified in Annexure 1 to this instrument, providing clarity and stability for businesses and consumers relying on this service. The Wholesale Line Rental service, as detailed in Annexure 1, enables end-users to connect to a carrier or carriage service provider’s public switched telephone network. This service includes the ability to make and receive calls with a 3.1khz bandwidth, subject to any conditions that may apply. It also provides an end-user with a telephone number. However, it specifically excludes services where the connectivity is provided by a Layer 2 bitstream service supplied by an NBN corporation. The definitions in Annexure 1 clarify terms such as "Layer 2 bitstream service," "NBN corporation," and "public switched telephone network," ensuring that all parties understand the scope and limitations of the WLR service. The Act imposes certain obligations and requirements on parties governed by this legislation. The Australian Competition and Consumer Commission (ACCC) is tasked with managing the extension of the WLR declaration's expiry date. The ACCC must ensure that the service description and conditions remain clear and accessible to all stakeholders. Additionally, providers of the Wholesale Line Rental service must adhere to the specified service parameters, ensuring they do not include services provided via Layer 2 bitstream services from NBN corporations. Breach of the provisions outlined in this legislation may lead to various consequences. While the specific offences, penalties, and civil or criminal consequences are not detailed in the text provided, the Competition and Consumer Act 2010 generally includes provisions for substantial penalties for non-compliance. These can include fines and other legal actions, which may be pursued by the ACCC or other relevant authorities. The maximum penalties for breaches of the Act can be significant, reflecting the importance of adherence to the regulatory framework.