Telstra has submitted its Structural Separation Undertaking (SSU) and Migration Plan to the Australian Competition and Consumer Commission (ACCC).

 

Telstra CEO David Thodey said that in line with the Government’s desired policy outcome and the Definitive Agreements signed with NBN Co and the Commonwealth in June, the SSU committed Telstra to structural separation over the period of the National Broadband Network (NBN) rollout.

 

“The submission of these documents is another important step in finalising Telstra’s participation in the rollout of the NBN,” Mr Thodey said.

 

“Along with seeking shareholder approval, ACCC acceptance of the SSU and approval of the Migration Plan are critical conditions precedent to the Definitive Agreements signed in June.”

 

Telstra understands the ACCC will soon commence a public consultation on Telstra’s SSU and Migration plan.

 

Telstra has submitted the SSU under the legislative regime put in place by the Government to facilitate the rollout of the NBN. The SSU fulfils two roles:

  • it commits Telstra to structural separation by 1 July 2018. This will occur through the progressive disconnection of fixed voice and broadband services on Telstra’s copper and HFC networks, and subsequent migration of these services onto the NBN;   and, 
  • it sets out the various measures which Telstra will put in place to provide for transparency and equivalence in the supply of regulated services to its wholesale customers during the transition to the NBN.

 

Consistent with the Government’s decision to frame structural separation as an alternative to functional separation for Telstra under the legislative scheme, the Interim Equivalence and Transparency measures in the SSU do not constitute functional separation

 

“We believe the interim equivalence and transparency commitments, which are binding and court enforceable, offer substantial and practical improvements in areas of known industry and regulator concern. These commitments will provide faster resolution of perceived issues and will reduce unnecessary administrative costs for all parties,” Mr Thodey said.

 

“Importantly, the SSU delivers robust, effective and appropriate equivalence and transparency during the migration period in a way that avoids the complexity, cost and industry disruption that would be caused by functional separation.”