Taylor, Taylor --- "Reforming Chinese Tele-communications Law: An Incremental Approach" [2003] SydLawRw 15; (2003) 25(3) Sydney Law Review 325
[*] LLM, LLB(Hons), BA(Economics)(Hons), BSc; PhD candidate at the University of Sydney; Senior Associate at Mallesons Stephen Jaques specialising in telecommunications and competition law. The author can be contacted at martyn.taylor@mallesons.com. This article is based on a paper submitted to fulfil an LLM coursework requirement following study at the East China University of Politics & Law, Shanghai, China as part of the University of Sydney’s LLM programme. The views expressed in this article are those of the author.
[1] The term ‘socialist market economy’, refers to a situation in which market forces are relied on to improve efficiency while the government continues to manage many aspects of economic production, including by retaining a high degree of state-ownership.
[2] See Alice Tay, ‘Introduction: Law and Legal Culture in China’ in Alice Tay & Gunther Doeker-Mach (eds), Asia-Pacific Handbook — Volume 1: People’s Republic of China (1998) at 39–53. See also Barry Naughton, Growing Out of the Plan: Chinese Economic Reform, 1979–1993 (1995).
[3] See World Bank, ‘Country Economic Review: People’s Republic of China’ PRC 2000–09 (Washington DC: World Bank, 2000), adjusted for recent statistics.
[4] See Carl Dahlman & Jean-Eric Aubert, ‘China and the Knowledge Economy: Seizing the 21st Century’, World Bank Development Study (China) (Washington DC: World Bank, 2001).
[5] Significant income disparities now exist, for example, between the richer coastal provinces and the poorer hinterland areas where ethnic minorities are heavily concentrated.
[6] Chinese economic policy for the development of the telecommunications sector is articulated within China’s Tenth ‘Five Year Plan’ (2001–2005) which sets out various targets for such matters as telephone line penetration and infrastructure investment.
[7] See Nelson, ‘Regulatory Watch: China’ (2001) 33(12) Business Asia 9.
[8] See ‘China Moves Ahead with Monopoly Phone Split’ Total Telecom Asia (11 December 2001): <http://www.totaltele.com> .
[9] China’s APEC Individual Action Plan for 2001, for example, comments that: (a) during 2002–2005, China will progressively open its telecommunications market after its entry into the WTO; (b) during 2005–2010, China will continue to implement opening policy, strengthen international cooperation and exchanges, and promote further opening of the Chinese telecommunications industry; and (c) during 2010–2020, China will actively create conditions to promote the integration of China’s telecommunications industry into the world. See Government of China, ‘Peoples Republic of China: Individual Action Plan 2001’ (Singapore: APEC, 2001).
[10] See William Melody (ed), Telecom Reform: Principles, Policies and Regulatory Practices (1999).
[11] See, for example, discussion in Peter Smith, ‘What the Transformation of Telecom Markets Means for Regulation’ in Public Policy for the Private Sector, Note No 121 (World Bank Group, 1997).
[12] See Björn Wellenius, ‘Telecommunications Reform — How to Succeed’ in Public Policy for the Private Sector, Note No 130 (World Bank Group, 1997).
[13] The ATC was established under the Telecommunications Act 1975 (Cth).
[14] The OTC was established under the Overseas Telecommunications Act 1946 (Cth).
[15] See also Telecommunications Act 1989 (Cth). This legislation was enacted following a major earlier enquiry into Australian telecommunications. See Davidson (Chairman), ‘Report of the Committee of Inquiry into Telecommunications Services in Australia’ (Canberra: AGPS, 1982). See also Minister for Transport & Communications, Australian Telecommunications Services: A New Framework, Ministerial Press Release (1988).
[16] Part 17, Telecommunications Act 1989 (Cth).
[17] Telecommunications Act 1991 (Cth), commenced 1 July 1991. Optus operated both fixed and mobile telephony networks. Vodafone operated only mobile telephony networks. See also Minister for Transport and Communications, Hon Kim Beazley, Micro-Economic Reform: Progress Telecommunications, Ministerial Press Release (17 November 1990).
[18] Part 4, Telstra Corporation Act 1991 (Cth).
[19] Parts 8 and 9, Telecommunications Act 1989 (Cth).
[20] Telecommunications Act 1997 (Cth), Act No. 47 of 1997.
[21] See discussion in Explanatory Memorandum to the Telecommunications Bill 1996.
[22] See Productivity Commission, Telecommunications Competition Regulation (Canberra: Productivity Commission, 2001), chapter 3.3.
[23] See comments in Organization for Economic Cooperation and Development, Communications Outlook 1999 — Telecommunications Regulatory Issues (Australia) (Paris: OECD, 1998).
[24] See Australian Communications Authority, ‘The Australian Telecommunications Regulatory Environment: Overview’ (Canberra: ACA, 2001).
[25] See section 4, Telecommunications Act 1997 (Cth).
[26] Certain telecommunications infrastructure was also operated by the Ministry of Electronics Industry, for defence purposes, and by the Chinese People’s Liberation Army, which had its own dedicated telecommunications infrastructure.
[27] See Juujia Zhao Da, ‘Telecommunications Development and Economic Growth in China’ (1994) 18(3) Telecommunications Policy 211–215.
[28] Chinese telecommunications regulations were also simultaneously strengthened by a Directive from the State Council of China: ‘State Council Directive on Strengthening Regulations in the Management of the Telecommunications Sector’, Directive of the State Council of China (8 August 1993).
[29] See <http://www.jitong.com.cn/english/index.html> .
[30] China Telecom remains the largest network operator in China. It has extensive fixed voice and data networks including switching centres and transmission lines.
[31] Also known as the Lian Tong Corporation.
[32] See <http://www.mii.gov.cn> . The MII also assumed the telecommunications and information responsibilities of the Ministry of Radio, Film & Television (MRFT), the China Aerospace Industry Corporation, and the China Aviation Industry Corporation.
[33] The MII is now a super-agency overseeing telecommunications, multimedia, satellites, and the Internet.
[34] See J Brewis, ‘China Telecom Can Make the Breakthrough’ (1990) 180 Corporate Finance 6.
[35] See, for example, discussion in Douglas Pitt, Niall Levine & Xu Yan, ‘Touching Stones to Cross the River: Evolving Telecommunications Policy Priorities in Contemporary China’ (1996) 5:13 Journal of Contemporary China 347–365.
[36] See Ping Gao, ‘Transformation of China’s Telecommunications Sector: A Macro Perspective’ (2000) 24(8) Telecommunications Policy 719.
[37] See Xu Yan, ‘One Country, Two Systems: Contrasting Approaches to Telecommunications Deregulation in Hong Kong and China’ (1999) 23(3) Telecommunications Policy 245. See also ‘Chinese Investment Boosts Telecom’ (1999) 25(3) Consulting — Specifying Engineer 9.
[38] See discussion in M Newlands, ‘The Five Year Plan’ Communications International, London (September 2001) at 34.
[39] See M Newlands, ‘Advantage China’ Communications International, London (Sept 2002) at 33.
[40] See discussion in World Bank, Bureaucrats in Business: World Bank Policy Research Report (Washington DC: World Bank, 1995).
[41] See World Bank, ibid.
[42] Telstra Corporation Act 1991 (Cth), Act No. 146 of 1999.
[43] See, for example, Explanatory Memorandum to the Telstra (Dilution of Public Ownership) Bill 1996. See also Telstra (Dilution of Public Ownership) Act 1996 (Cth). See also Telstra (Further Dilution of Public Ownership) Act 1999 (Cth).
[44] Part 2, Division 3, Telstra Corporation Act 1991 (Cth).
[45] Part 3, Telstra Corporation Act 1991 (Cth).
[46] See ‘Telstra Corporation: Weathering the Storm’ in ABN AMRO Equities Research Report (Sydney, 2001).
[47] See ABN AMRO, ibid.
[48] Such structural separation, for example, was implemented in New Zealand in 1998 in relation to the New Zealand electricity industry and required separation of transmission line business from energy businesses. See Electricity Industry Reform Act 1998 (NZ).
[49] See ‘China: Unicom Breaks Monopoly in Telephone Service’ in China Business Information Network (New York, 1998) at 1.
[50] See ‘Into the Crucible: Chinese Telecoms’ The Economist (3 November 2001) at 79.
[51] See discussion in Xu Yan, ‘Fixed-Mobile Interconnection: The Case of China and Hong Kong SAR’, (Hong Kong Office of the Secretary General of the International Telecommunications Union, 2001).
[52] See, for example, discussion in Xu Yan, Douglas Pitt & Niall Levine, ‘Interconnection: A Bottleneck to Future Chinese Telecommunications Deregulation?’ in Philip Enslow, Pete Desrochers & Irene Bonifacio (eds), 21st Century Communications Networks (1997) at 106–114. See also GP He, ‘Various Technical Problems in the Interconnection between China Unicom GSM Network and P&T PSTN Network’ (July 1998) China Communications at 32–35. See also SV Lawrence, ‘Telecoms Brawl’ (1999) 162(39) Far Eastern Economic Review 69.
[53] See comments by C Liu, Director of the Department of Policy and Regulations Comment on the Reform of Telecommunications in China, MII Press Release (1 January 1999).
[54] See Total Telecom Asia, above n8.
[55] See Australian Competition and Consumer Commission, ‘Record Keeping Rules for the Telecommunications Industry’ (Canberra: ACCC, 1999).
[56] As noted above, while Australia’s policy-makers emphasised market entry and competition, China’s policy-makers have concentrated on the co-ordination of efficient infrastructure investment.
[57] Tytel Pty Ltd v Australian Telecommunications Commission (1986) 67 ALR 433.
[58] See <http://www.aca.gov.au> .
[59] See <http://www.accc.gov.au> .
[60] See <http://www.dcita.gov.au/> .
[61] See, for example, Peter Lovelock & John Ure, ‘Telecommunications Policy-Making in China: A Two-Tier Bargaining Model’ (Hong Kong Centre of Asian Studies, University of Hong Kong, 1998). See also John Ure, ‘Telecommunications in China — More than was Bargained For?’ (1997) 2 New Technology Quarterly 34.
[62] See discussion in Xu Yan, Niall Levine & Douglas Pitt, ‘Competition Without Privatisation: The Chinese Path’ in Stuart Macdonald & Garry Madden (eds), Telecommunications and Socio-Economic Development (1998) at 375–392. See also ‘Beijing Telecom: China’s Role Model’ (2000) 34(11) Telecommunications 2.
[63] See Jeanette Chan, Moreia Ellis & Anthony Zhao, ‘Cable TV — What Do the New Procedures Offer’(2000) China Law and Practice.
[64] China Netcom was created from a policy proposal to build a high-bandwidth Internet network. After approval by the Chinese Government, the company was formed by the China Academy of Sciences, SARFT, the Ministry of Railways and the Government of Shanghai. See also discussion in ‘Into the Crucible: Chinese Telecoms’, above n50 at 79.
[65] See, for example, comments in C Hsu & G Chua, ‘China: With or Without Change, Telecoms Continues to See Growth and Opportunities’ (Hong Kong: Pyramid Research, 2001).
[66] Article 4 of the Telecommunications Regulations provides, for example that: ‘Telecommunications carriers shall abide by laws, follow commercial morality and accept supervision and concede to examinations according to the laws and regulations’.
[67] See comments in Xu Yan & Douglas Pitt, ‘Chapter 15: Competition in the Chinese Cellular Market: Promise and Problematic’ in David Loomis & Lester Taylor (eds), The Future of the Telecommunications Industry — Forecasting and Demand Analysis (1999) at 247–264.
[68] See Allan Zhang, ‘What’s Ahead for China’s Telecoms Market?’ (PriceWaterhouseCoopers, 2002). See also discussion regarding the ‘calling party pays’ controversy in Peter Waters & Damian Cottier, ‘Foreign Investment in China’s Telecommunications: The Impact of Global Trends’ in Paper Presented to PT Supercomm Asia 2001 (Shanghai, 2001). See also the discussion in ‘Face Value: The Minister of Arbitrary Power’ The Economist (9 December 2000) at 76.
[69] The legal ambiguity of the joint venture model sent a misleading signal to carriers such as Bell Canada, Cable and Wireless, France Telecom, NT&T, and Sprint International, which took a risk in the absence of clear rules, hoping for a future slice of China Unicom’s market.
[70] See detailed discussion in Jeanette Chan, ‘The Regulatory Waiting Game’ (1999) 26(3) The China Business Review 4. See also ‘China Closes Doors To Foreign Telecommunications Providers’ Communications Today (24 September 1998) at 1.
[71] These foreign investors received a return of their principal plus a nominal return well below that anticipated. See discussion in Xu Yan & Kali Kan, ‘Dancing with Wolves: Is Chinese Telecommunications Ready for the WTO?’ China Academy of Telecommunications Research (Ministry of Information Industry, Beijing) and Department of Information and Systems Management (Hong Kong University of Science and Technology, Hong Kong) 2000. See also Z Xiaohua, ‘China’s “F–C–C” Schemes: Are Early Birds Targets?’ (1998) 9(19) Telecommunications Reports International 10.
[72] See Organization for Economic Cooperation and Development, ‘Relationship between Regulators and Competition Authorities’, Committee on Competition Law and Policy (Paris: OECD, 1999).
[73] See Peter Smith & Björn Wellenius, ‘Mitigating Regulatory Risk in Telecommunications’ (World Bank Group, 1999) at 2. See also World Bank, Bureaucrats in Business, above n40.
[74] See Explanatory Memorandum to the Telecommunications Bill 1996.
[75] See list of registered industry codes at <http://www.aca.gov.au/codes/index.htm> .
[76] Part 3, Telecommunications Act 1997 (Cth).
[77] Part 4, Telecommunications Act 1997 (Cth). See Department of Communications, Information Technology and the Arts, ‘Telecommunications Carrier Industry Development Plans: Information Kit for Carriers’ (Canberra: DCITA, 1999).
[78] See Part XIB and Part XIC of Australia’s Trade Practices Act 1974 (Cth) as discussed below.
[79] See, for example, Parts 17 to 22, Telecommunications Act 1997 (Cth). See also, for example, Parts 4 to 8, Telecommunications (Consumer Protection and Service Standards) Act 1999 (Cth).
[80] Part 23, Telecommunications Act 1997 (Cth).
[81] See Part 6, Telecommunications Act 1997 (Cth). See also Part 6, Telecommunications (Consumer Protection and Service Standards) Act 1999 (Cth).
[82] Part 22, Telecommunications Act 1997 (Cth).
[83] Part 16, Telecommunications Act 1997 (Cth).
[84] Sections 61–63, Telecommunications Act 1997 (Cth).
[85] Schedule 1, Part 2, Telecommunications Act 1997 (Cth).
[86] See Telecommunications (Universal Service Levy) Act 1997 (Cth). See also Part 2, Division 13, Telecommunications (Consumer Protection and Service Standards) Act 1999 (Cth).
[87] Schedule 1, Parts 3 to 5, Telecommunications Act 1997 (Cth).
[88] Part 24, Telecommunications Act 1997 (Cth).
[89] See discussion in X Xu, ‘China’s Telecoms Industry Paves the Way to WTO Accession’ (2001) 20(1) International Financial Law Review 31.
[90] See Werner Knetsch, ‘Inside Chinese Telecoms’ (1999) 33(8) Telecommunications 19. See also John Wang, ‘Signs of Opening in Telecom’ (1999) 26(3) The China Business Review 7.
[91] Regulations of the People’s Republic of China on Telecommunications, Order No. 201 of the State Council, 25 September 2000 (Telecommunications Regulations 2000).
[92] See comments in Jamie Horsley, ‘China’s New Telecommunications Regulations and the WTO’ (2001) 28(4) The China Business Review 34.
[93] However, while in Australia the distinction is established by broad statutory principles, the Chinese approach relies on the relevant government agency to pre-determine the classification of particular services within comprehensive classification catalogues. See Article 8, Telecommunications Regulations 2000. See also discussion in Stephen Lawson, ‘China Spells out Some Telecommunication Services Rules’ (2000) 22(44) InfoWorld 68.
[94] Article 8, Telecommunications Regulations 2000 defines ‘basic telecommunications services’ as ‘the provision of public network infrastructure, the transmission of public data and basic voice communication’ with examples set out in the Attachment to the Telecommunications Regulations 2000.
[95] Article 8, Telecommunications Regulations 2000 defines ‘value-added telecommunications services’ as ‘the provision of telecommunications and information services through public networks’ with examples set out in the Attachment to the Telecommunications Regulations 2000.
[96] See Bing Zhang, ‘Assessing the WTO Agreements on China’s Telecommunications Regulatory Reform and Industrial Liberalisation’ (2001) 25(7) Telecommunications Policy 461.
[97] Preselection refers to the ability of a customer to pre-determine their service provider on a permanent basis. Number portability refers to the ability of customers to keep their telephone number when they change their telephone service network provider.
[98] Article 31, Telecommunications Regulations 2000.
[99] Article 32, Telecommunications Regulations 2000.
[100] Article 39, Telecommunications Regulations 2000.
[101] Article 34, Telecommunications Regulations 2000.
[102] Article 34, Telecommunications Regulations 2000.
[103] Article 36, Telecommunications Regulations 2000.
[104] Article 61, Telecommunications Regulations 2000.
[105] Section 4, Telecommunications Regulations 2000.
[106] Article 37, Telecommunications Regulations 2000.
[107] See Johanna Plante, ‘Telecommunications Co-regulation: The Australian Experience’ in OFTEL Stakeholder Workshop on Industry Self-regulation (London, 2000). See also K Nicolaïdis, ‘Co-regulation: Beyond Traditional Standardisation’ in Alan Sykes (ed), Products Standards for Internationally Integrated Goods Markets (1995). See Julia Black, ‘Constitutionalising Self-regulation’ (1996) 59 Mod LR 25 at 27.
[108] See Marlyn Taylor, ‘Light-handed Regulation of Telecommunications in New Zealand: Is Generic Competition Law Sufficient?’ (1999) 2 International Journal of Communications Law & Policy 42. See also Mark Armstrong, ‘Competition in Telecommunications’ (1997) 13(1) Oxford Review of Economic Policy 64. See also Mark Armstrong & John Vickers, ‘Competition and Regulation in Telecommunications’ in Matthew Bishop, John Kay & Colin Mayer (eds), The Regulatory Challenge (1995) at 288–307.
[109] See David Lewin & Richard Kee, Interconnect: A Global Guide to Effective Telecommunications (1997).
[110] See, for example, Michael Klein, ‘Competition in Network Industries’ in World Bank Working Paper — Infrastructure (Washington DC: World Bank, 1996). See also, for example, David Newbury, Privatisation and Liberalisation of Network Utilities (1997). See also Stanley Gorinson, ‘Essential Facilities and Regulation’ (1989) 58 Antitrust Law Journal 871.
[111] Part 9, Division 4, Telecommunications Act 1991 (Cth). See also AUSTEL, ‘Customer Access Arrangements for Interconnection/Equal Access’, Report to the Minister for Transport and Communications (Melbourne: AUSTEL, 1991).
[112] Section 191, Telecommunications Act 1991 (Cth).
[113] Part 8, Division 5, Telecommunications Act 1991 (Cth).
[114] See Fred Hilmer, Mark Rayner & Geoff Taperell, National Competition Policy: Report by the Independent Committee of Inquiry (Canberra: AGPS, 1993).
[115] See Explanatory Memorandum to the Trade Practices Amendment (Telecommunications) Bill 1996.
[116] Part XIB, Division 3, Subdivision A, Trade Practices Act 1974 (Cth).
[117] Section 151BX(3), Trade Practices Act 1974 (Cth). See also Australian Competition and Consumer Commission, ‘Anti-competitive Conduct in Telecommunications Markets’ (Canberra: ACCC, 1999).
[118] To date the only competition notices have been issued against Telstra and relate to Internet interconnection (1998), commercial churn (1999) and wholesale broadband (2002).
[119] Part XIC, Division 2, Trade Practices Act 1974 (Cth).
[120] See Australian Competition and Consumer Commission, ‘Telecommunications Services — Declaration Provisions, A Guide to the Declaration Provision of Part XIC of the Trade Practices Act’ (Canberra: ACCC, 1999).
[121] Part XIC, Division 8, Trade Practices Act 1974 (Cth).
[122] See discussion in Productivity Commission, above n22.
[123] Schedule 1, Parts 3 to 5, Telecommunications Act 1997 (Cth).
[124] See, for example, paragraph 18 of Schedule 1, Part 3, Telecommunications Act 1997 (Cth).
[125] See discussion in Australian Competition and Consumer Commission, ‘Access Pricing Principles: Telecommunications Guide’ in ACCC Discussion Paper (Canberra: ACCC, 1997). See also discussion in Australian Competition and Consumer Commission, ‘Assessment of Telstra’s Undertaking for Domestic PSTN Originating and Terminating Access’ in ACCC Final Decision (Canberra: ACCC, 1999). See also Henry Ergas, ‘TSLRIC, TELRIC and Other Forms of Forward-Looking Cost Models in Telecommunications: A Curmudgeon’s Guide’ in Paper prepared for the 1998 EU Competition Workshop at the Robert Schuman Centre of the European University Institute (1998).
[126] See Telstra Carrier Charges — Price Control Arrangements, Notification and Disallowance Determination No. 1 of 2001.
[127] China Telecom, for example, retains a monopoly over international calls and has a 99 per cent market share in basic fixed-line telephony. See International Telecommunications Union, World Telecommunications Development Report 2001 (Geneva: ITU, 2000).
[128] Article 4, Telecommunications Regulations 2000.
[129] General Agreement on Trade in Services, Annex B of the Agreement Establishing the World Trade Organisation, dome at Marrakesh on 15 April 1994 (1994) 33 ILM 1167 (GATS). GATS Annex on Telecommunications (1994) 33 ILM 1192 (Telco Agreement). See Reference Paper (1997) 36 ILM 367. See also Laura Sherman, ‘Introductory Note on Reference Paper to the Telecommunications Annex to GATS’ (1997) 36 ILM 354. See discussion in Phillip Spector, ‘The World Trade Organisation Agreement on Telecommunications’ (1998) 32 International Lawyer 217.
[130] The Law for Countering Unfair Competition adopted at the Third Session of the Standing Committee of the Eighth National People’s Congress in China and promulgated on 2 September 1993. This law does address some competition issues. For example, Article 12 prohibits tie-in sales. Article 27 prohibits price fixing or bid rigging. However, the Law is principally directed at fair trading in general and addresses such matters as bribery, deceptive advertising and coercive sales. The Law is not as comprehensive as the generic competition laws of most nations.
[131] Due to regulatory concerns over ‘vicious competition’ leading to the devaluation of state assets, China Telecom and China Unicom were required by the MII to comply with price controls. China Unicom was only permitted to reduce its tariff by a maximum of 10 per cent below the regulated rate. Although some local operating companies of China Unicom and China Telecom sought to circumvent this regulation by offering discounts to subscribers, they were immediately prohibited by MII from doing so. In April 2000, the MII required China Telecom and China Unicom to execute an agreement, and each party agreed to follow the regulated tariff of the MII.
[132] See Lorien Holland, ‘Tuned in to China’ (1999) 162(1) Far Eastern Economic Review 1.
[133] Over the past several years, China Telecom has sought to rebalance its telecommunications tariffs to better prepare for greater competition in basic telephony services. Its previous pricing structure was based on high installation fees but low monthly fees and call charges. However, the latter barely covered the operating costs of local operating companies.
[134] Prices are still considered high in China. See discussion in Charles Dodgson, ‘China Looking for the Great Leap Forward’ Communications International, London (November 2000) at 84.
[135] Article 25, Telecommunications Regulations 2000.
[136] Regulations for Administration of Interconnection of Public Telecommunication Networks, promulgated by the MII with effect from 10 May 2001.
[137] Article 22, Telecommunications Regulations 2000. See discussion in Xu Yan, ‘The Impact of the Regulatory Framework on Fixed-Mobile Interconnection Settlements: The Case of China and Hong Kong’ (2001) 25(7) Telecommunications Policy 515.
[138] Article 23, Telecommunications Regulations 2000.
[139] Article 42, Telecommunications Regulations 2000.
[140] See Frank Fishwick, Making Sense of Competition Policy (1993). See also discussion in R Shyan Khemani, J William Rowley & Leonard Waverman, ‘Competition Policy, Accountability and Economic Adjustment’ (1999) International Business Lawyer 482. See also discussion in Claudio Crishtak, Bita Hadjimichael & Ulrich Zachau, Competition Policies for Industrialising Countries: World Bank Policy and Research Series Paper 7 (Washington DC: World Bank, 1989).
[141] See the earlier discussion in Section 3 of this paper.
[142] See earlier discussion relating to the TSLRIC pricing model.
[143] See ‘China Cuts Prices for Telecom Services’ (1998) 20(11) East Asian Executive Reports 17. See also discussion in ‘China: Opening China’s Telecom Market: Process is Slow, Nontransparent, Piecemeal and Often Frustrating’ (1998) 20(11) East Asian Executive Reports 8. See also discussion in The Economist, above n50.
[144] Australian Telecommunications Numbering Plan 1997, made by the Australian Communications Authority pursuant to subsection 455(1) of the Telecommunications Act 1997 (Cth).
[145] Part 22, Telecommunications Act 1997 (Cth).
[146] See discussion by the ACA at <http://www.aca.gov.au/number/local.htm#Mobile> .
[147] This is a condition of Telstra’s carrier licence.
[148] See discussion by the ACA at <http://www.aca.gov.au/consumer/uso/whatistheuso/usointro .htm> .
[149] Section 9, Telecommunications (Consumer Protection and Services Standards) Act 1999 (Cth).
[150] See Peter Cribbett, ‘Population Distribution and Telecommunications Costs’ (Canberra: AusInfo, 2000).
[151] See Australian Communications Authority, Telecommunications Universal Service in Australia, ACA Media Release (7 January 1998).
[152] See Minister for Communications, Information Technology and the Arts Richard Alston, Government sets USO Telecommunications Subsidies for 2000–01, Media release 64/01 (17 April 2001).
[153] Article 27, Telecommunications Regulations 2000.
[154] Article 28, Telecommunications Regulations 2000.
[155] Article 29, Telecommunications Regulations 2000.
[156] Article 30, Telecommunications Regulations 2000.
[157] Article 44, Telecommunications Regulations 2000.
[158] See K Wieland, ‘All Eyes on Mainland China’ (2001) 35(1) Telecommunications 17.
[159] See discussion in Bing Zhang, ‘Telecom Competition, Post–WTO Style’ (2000) 27(3) The China Business Review 12.
[160] Part 2A, Division 4, Telstra Corporation Act 1991 (Cth).
[161] Part 2A, Division 8, Telstra Corporation Act 1991 (Cth).
[162] Part 2A, Division 9, Telstra Corporation Act 1991 (Cth).
[163] The relevant requirements are set out in the Foreign Acquisitions and Takeovers Act 1975 (Cth) and Foreign Acquisitions and Takeovers Regulations 1989 (Cth).
[164] See <http://www.firb.gov.au/> .
[165] Sections 18 and 19, Foreign Acquisitions and Takeovers Act 1975 (Cth).
[166] See Federal Treasurer Peter Costello, Singapore Telecommunications Limited — Application for Foreign Investment Approval to Acquire Cable & Wireless Optus Limited, Press Release No 060 (22 August 2001).
[167] See LD Chuang, ‘Investing in China’s Telecommunications Market: Reflections on the Rule of Law and Foreign Investment in China’ (2000) 20(3) Northwestern Journal of International Law & Business 509.
[168] See M Mueller, ‘The WTO and China’s ban on Foreign Investment in Telecommunication Services: A Game-Theoretic Analysis’ (2000) 24(8) Telecommunications Policy 731. See also P Westover, ‘M&A in Asia: An Overview of the Telecoms Sector’ (2001) 20(9) International Financial Law Review 31.
[169] See B Etzel, ‘The Next Telecom Homeland: China’s Acceptance into WTO This Month Boosts Prospects’ The Investment Dealers’ Digest (New York IDD, 12 November 2001) at 1.
[170] The Provisions on the Administration of Foreign-Invested Telecommunications Enterprises, Decree No. 333 of the State Council of the People’s Republic of China, promulgated by the State Council on 11 December 2001, took legal effect from 1 January 2002.
[171] This could occur, for example, by establishing a subsidiary in China or acquiring a stake in a Chinese firm.
[172] A Chinese–foreign equity joint venture is a form of limited liability company with a registered capital set by law as a proportion of its total investment. The venture remains subject to Chinese law in general as well as specific laws for foreign-investment enterprises. See, for example, discussion in YY Wu, ‘Joint Venture Law of the People’s Republic of China’ in Tay & Doeker-Mach, above n2 at 498–526. See also discussion in BC Potter, ‘China’s Equity Joint Venture Law: A Standing Invitation to the West for Foreign Investment?’ in Tay & Doeker-Mach, id at 527–553.
[173] See detailed discussion in ‘China Opens Door to Telecom but MII Still Guards the Gate’ (2002) 5(2) World Telecom Law Report 24. See also discussion in Clifford Chance, ‘Investing in China’s Telecom Sector: China Opens its Telecoms Services to Foreign Investment’ (Shanghai: Clifford Chance, 2002).