TELECOMMUNICATIONS (GENERAL) REGULATIONS AMENDMENT 1993 NO. 285

TELECOMMUNICATIONS (GENERAL) REGULATIONS AMENDMENT 1993 NO. 285

STATUTORY RULES 1993 No. 285

Issued by the Authority of the Minister for Communications

Telecommunications Act 1991

Telecommunications (General) Regulations Amendment

Section 406 of the Telecommunications Act 1991 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.

Section 190 of the Act requires carriers to provide AUSTEL (the Australian Telecommunications Authority) with a written tariff of the carrier's charges for basic carriage services (BCS). BCS are defined in section 174 of the Act. The BCS concept is essentially confined to the basic connection and carriage functions on which all commercial telecommunications services are built.

Subsection 194(1) of the Act provides that a carrier must not supply BCS to a person other than a carrier unless a tariff in respect of that service is in force, and the service is included in the tariff. The purpose of section 194 is to provide consumers and competitors with accurate information as to the tariffs and terms and conditions which apply to particular services.

Subsection 194(3) of the Act allows regulations to be made exempting particular BCS or prescribing circumstances in which BCS are exempt from the tariffing requirement in subsection 194(1).

This amendment to the regulations prescribes three circumstances for the purposes of subsection 194(3):

(i)       international telecommunications transit traffic;

(ii)       short-term technical field trials and market trials;

(iii)       international telecommunications accounting rates.

(i) International telecommunications transit traffic

Transit traffic originates outside Australia and terminates outside Australia. For instance, a telephone call from New Zealand to Singapore may be carried in part by an Australian carrier. The tariffs for the carriage of such traffic are negotiated between carriers and are commercially sensitive.

The amendment to the regulations exempts transit traffic from subsection 194(1) to remove any argument that transit traffic is subject to the requirement in subsection 194(1) to file a tariff.

(ii)       Technical Field Trials and Market Trials

Before introducing new services to the general community, carriers typically conduct technical field trials and market trials of those new services. These trials allow them to test equipment and systems used to deliver services and market demand for new services.

The regulations exempt technical field trials and market trials from the effect of section 194 where the trials are of limited duration, are conducted in only part of Australia and have been notified in advance to AUSTEL. The requirement for prior notification to AUSTEL will enable AUSTEL to monitor the use of this exemption by carriers.

(iii)       International Accounting Rates.

This amendment removes any doubt that an Australian carrier can supply an international BCS to a recognised operator of a public telecommunications network in a country outside Australia without having to include the international accounting rate in its tariff. International accounting rates are commercially sensitive rates negotiated between international carriers to form the basis of the share paid by each carrier to complete the other carrier's calls.

The regulations specifically exempt such charges from subsection 194(1) and thus ensure that the international accounting rate between the Australian and overseas carrier does not need to be tariffed.

The regulations are not intended to exempt from subsection 194(1) an international BCS supplied to a retail customer in Australia. It is intended that the customer charges for such services be included in the carrier's tariff.