Trade Practices Act 1974 - Class Exemption Determination No. 1 of 2008

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Legislation au F2008L03426 Not in force Legislative Instrument

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Class Exemption Determination No. 1 of 2008

as amended

made under subsection 152AS(1) of the

Trade Practices Act 1974

This compilation was prepared on 12 February 2010
taking into account amendments up to Class Exemption (Variation) Determination No. 2 of 2009.

Prepared by the Australian Competition and Consumer Commission, Canberra

 

 

 

 

 

 

 


TRADE PRACTICES ACT 1974

 

Determination under subsection 152AS(1)

by the Australian Competition and Consumer Commission

 

Class exemption from standard access obligations

in respect of LCS

 

  1. Title [see Note 1]

This Determination may be cited as Class Exemption Determination No. 1 of 2008.

2.       Commencement and Expiry

(1)    This Determination comes into effect 12 months after the date of release of the Commission’s Final Decision on Telstra’s applications for an individual exemption from the Standard Access Obligations in respect of LCS lodged on 9 July 2007 and 12 October 2007.

(2)    This Determination will expire

(a)    five years after 24 August 2009; or

(b)    upon revocation of either the LCS Declaration, or the ULLS Declaration, whichever first occurs.”

3.       Interpretation

(1)    Unless the contrary intention appears, where the words of phrases used in this Determination are defined in the Act, the Telecommunications Act 1997, or the instrument declaring the declared service, those words or phrases have the same meaning in this Determination.

(2)    In this Determination, unless the contrary intention appears –

Commission means the Australian Competition and Consumer Commission.

Declared Service means LCS.

Exchange Service Area or ESA has the meaning given to that phrase by the Australian Communications Industry Forum Limited definition in ACIF C559:2006, Part 1.

Exemption ESA List means the list of Exemption ESAs published by the Commission on its website pursuant to paragraph 6.1(b) of the Australian Competition Tribunal’s 2009 LCS Individual Exemption Order dated 24 August 2009.

LCS means the Local Carriage Service declared by the Commission under subsection 152AL(3) of the Act pursuant to the LCS Declaration.

LCS Declaration means the declaration made by the Commission under section 152AL(3) of the Act in respect of the LCS with effect from 1 August 2006 and published in the Commonwealth of Australia Gazette No. GN 31 of 9 August 2006, as varied from time to time.

Note:   The Commission may extend or further extend the expiry date of the LCS Declaration under subsection 152ALA(4) of the Act.

Specified Class of Carriage Service Provider means the class of carriage service provider specified in Item 5 of this Determination.

Specified Class of Carrier  means the class of carrier specified in Item 4 of this Determination.

Standard Access Obligations means the standard access obligations in section 152AR of the Act.

Telstra means Telstra Corporation Limited (ACN 051 775 556)

the Act means the Trade Practices Act 1974.

ULLS means the Unconditioned Local Loop Service declared by the Commission under subsection 152AL(3) of the Act pursuant to the ULLS Declaration.

ULLS Declaration means the declaration made by the Commission under section 152AL(3) of the Act in respect of the ULLS with effect from 1 August 2006 and published in the Commonwealth of Australia Gazette No. GN31 of 9 August 2006, as varied from time to time.

Note: The Commission may extend or further extend the expiry date of the ULLS Declaration under subsection 152ALA(4) of the Act.

4.       Specified class of carrier

The class of carrier which is specified for the purpose of this Determination is the class of all carriers except Telstra.

5.       Specified class of carriage service provider

The class of carriage service provider which is specified for the purpose of this Determination is the class of all carriage service providers except Telstra.

Exemption

6.       Subject to paragraph 7, each member of the Specified Class of Carrier and each member of the Specified Class of Carriage Service Provider is exempt from the Standard Access Obligations in respect of the supply of LCS within those ESAs included in the list of Exemption ESAs published by the Commission on its website pursuant to paragraph 6.1(b) of the Australian Competition Tribunal’s 2009 LCS Individual Exemption Order dated 24 August 2009.

 

7.       The Exemption does not have effect with respect to a particular ESA until 6 months after the publication date of the Exemption ESA List on which that ESA first appears.

 

 

 

Notes to the Class Exemption Determination No. 1 of 2008

Note 1

The Class Exemption Determination No. 1 of 2008 (in force under subsection 152AS(1) of the Trade Practices Act 1974) as shown in this compilation is amended as indicated in the Tables below.

Table of Instruments

Title

Date of FRLI registration

Date of
commencement

Application, saving or
transitional provisions

Class Exemption Determination No. 1 of 2008

10 Sep 2008 (see F2008L03426)

22 Aug 2009

 

Class Exemption (Variation) Determination No. 2 of 2009

20 Nov 2009 (see F2009L04299)

18 Nov 2009

 

Table of Amendments

ad. = added or inserted      am. = amended      rep. = repealed      rs. = repealed and substituted

Provision affected

How affected

Paragraph 2(2).........

rs. F2009L04299

Paragraph 3(2).........

am. F2009L04299

Paragraph 6...........

rs. F2009L04299

Paragraph 7...........

ad. F2009L04299

Attachment A..........

rep. F2009L04299

 

 

 

 

 

 

 

Overview

The Trade Practices Act 1974, enacted by the Australian Parliament, is the foundational piece of legislation that governs the Australian Competition and Consumer Commission (ACCC). This Act aims to regulate anti-competitive practices and ensure fair trade within Australia. The Class Exemption Determination No. 1 of 2008, made by the ACCC under subsection 152AS(1) of the Trade Practices Act 1974, provides a class exemption from the standard access obligations in respect of the Local Carriage Service (LCS). This exemption applies to all carriers and carriage service providers except Telstra, within specific Exchange Service Areas (ESAs) listed on the ACCC's website. The determination was introduced to address the need for a streamlined regulatory approach for services that are not provided by Telstra, ensuring a balance between competition and service provision in the telecommunications sector. The policy objective is to facilitate fair competition and efficient service delivery in the telecommunications market, while also allowing for regulatory flexibility in designated areas.

Scope and Application

The Class Exemption Determination No. 1 of 2008, made under subsection 152AS(1) of the Trade Practices Act 1974, provides a class exemption from standard access obligations in respect of the Local Carriage Service (LCS) for a specified class of carriers and carriage service providers, excluding Telstra. This determination came into effect 12 months after the release of the Australian Competition and Consumer Commission’s Final Decision on Telstra’s applications for an individual exemption from Standard Access Obligations in respect of LCS, which were lodged on 9 July 2007 and 12 October 2007. The exemption applies to all carriers and carriage service providers except Telstra, and it operates within specific Exchange Service Areas (ESAs) listed by the Commission on its website. The exemption does not take effect in a particular ESA until six months after the publication date of the Exemption ESA List. This determination will expire five years after 24 August 2009 or upon the revocation of either the LCS Declaration or the Unconditioned Local Loop Service (ULLS) Declaration, whichever occurs first. The Commission may extend the expiry date of the LCS Declaration or the ULLS Declaration under subsection 152ALA(4) of the Act. The application and effect of this determination can be further extended or modified through subordinate instruments.

Key Provisions

The Class Exemption Determination No. 1 of 2008 (F2008L03426) establishes a class exemption from the standard access obligations in respect of Local Carriage Service (LCS) for certain carriers and carriage service providers under the Trade Practices Act 1974. Section 6 of the Determination specifies that members of the Specified Class of Carrier and the Specified Class of Carriage Service Provider, excluding Telstra, are exempt from these obligations for LCS within certain Exchange Service Areas (ESAs). The Specified Class of Carrier and Carriage Service Provider are defined in Sections 4 and 5 respectively, and the ESAs are detailed in the Exemption ESA List published by the Australian Competition and Consumer Commission. The exemption does not apply until six months after the publication date of the Exemption ESA List for each ESA (Section 7). The obligations imposed by this Determination primarily concern the specified carriers and carriage service providers, excluding Telstra, who are exempt from standard access obligations for LCS in the designated ESAs. These entities are expected to comply with the terms and conditions outlined in the Determination, ensuring they do not provide LCS in the specified areas without the need to meet the standard access obligations. The Specified Class of Carrier and Carriage Service Provider must adhere to the definitions and provisions as set out in Sections 4 and 5, respectively, to benefit from the exemption. Any breach of the provisions of this Determination may have significant consequences. While the Determination itself does not explicitly list offences, penalties, or consequences for non-compliance, any actions that contravene the Trade Practices Act 1974 or other relevant legislation could result in civil or criminal penalties. Under the Trade Practices Act, penalties for breaches can include substantial fines and, in severe cases, imprisonment. The exact penalties would depend on the nature and severity of the breach, as well as any other applicable laws. It is essential for the parties involved to ensure strict compliance to avoid such repercussions.

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