NBN announces price freeze in SAU
The National Broadband Network Co (NBN Co) has announced a freeze of its wholesale price of its consumer and business products for the next five years, and to peg any future price rises to below that of the inflation rate.
The price freeze pledge is contained in the newly resubmitted Special Access Undertaking (SAU) the company lodged with the Australian Competition and Consumer Commission (ACCC) last week.
The SAU sets out a 30-year period of key terms and conditions of access to the National Broadband Network that will apply to telecommunications companies and internet service providers.
The SAU also provides an ongoing role for the ACCC, which will be tasked with overseeing the company’s expenditure, service levels and customer engagement.
Jim Hassell, NBN Co Head of Product Management and Industry Relations said: “The revised SAU strikes the right balance between the interests of NBN Co, the industry and most importantly, consumers.
“It provides strong commitments to maintain the affordability of our wholesale prices, to develop new products in conjunction with our customers to meet emerging needs, and to incur costs in a prudent and efficient manner.
“The SAU strikes a balance between the certainty we need for a significant capital investment in long-lived infrastructure, and the fact that telecommunications is a dynamic and rapidly changing industry, making it difficult to specify contractual and other terms too far in advance.”
The SAU and supporting material is available on the NBN Co website at http://www.nbnco.com.au/getting-connected/service-providers/sau.html