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Telecommunications Legislation Amendment (Competition and Consumer Issues) Bill 2005

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4681-

REVISED

2004-2005

 

The Parliament of the

Commonwealth of Australia

 

THE SENATE

 

 

 

 

 

Telecommunications Legislation Amendment (Competition and Consumer Issues) Bill 2005

 

 

 

(1)     Schedule 4, heading, page 8 (line 2), omit “ Penalties ”, substitute “ Divestiture, market power and penalties ”.

[heading]

(2)     Schedule 4, page 8 (after line 5), before item 1, insert:

1A  After section 81

Insert:

81A  Divestiture—misuse of market power

                   The Court may, on the application of the Commission, if it finds, or has in another proceeding instituted under this Part found, that a person has contravened section 46, by order, give directions that the corporation divest itself of shares or assets.

[divestiture powers]

(3)     Schedule 4, page 8 (after line 23), at the end of the Schedule, add:

3  After section 151AJ

Insert:

151AJA  Taking advantage of market power

                   In determining whether a corporation has taken advantage of its market power, a court is to consider whether:

                     (a)  the conduct of the corporation is materially facilitated by its substantial degree of market power; or

                     (b)  the corporation engages in the conduct in reliance on its substantial degree of market power; or

                     (c)  the corporation would be likely to engage in the conduct if it lacked a substantial degree of market power; or

                     (d)  the conduct of the corporation is otherwise related to its substantial degree of market power.

[taking advantage of market power]

(4)     Schedule 4, page 8 (after line 23), at the end of the Schedule, add:

4  Subsection 152EF(1)

After “for the purpose”, insert “, or with the effect,”.

[prohibited conduct]

(5)     Schedule 7, page 12 (after line 25), after item 5, insert:

5A  Subsection 152AT(10) (heading)

Omit “ 6 ”, substitute “ 3 ”.

5B  Subsection 152AT(10)

Omit “6” (wherever occurring), substitute “3”.

5C  Subsection 152AT(11)

Omit “6”, substitute “3”.

5D  Subsection 152AT(12)

Omit “6” (wherever occurring), substitute “3”.

[decision timeframe]

(6)     Schedule 7, page 13 (after line 3), after item 6, insert:

6A  Subsection 152ATA(12) (heading)

Omit “ 6 ”, substitute “ 3 ”.

6B  Subsection 152ATA(12)

Omit “6” (wherever occurring) , substitute “3”.

6C  Subsection 152ATA(13)

Omit “6”, substitute “3”.

6D  Subsection 152ATA(14)

Omit “6” (wherever occurring), substitute “3”.

[decision timeframe]

(7)     Schedule 7, page 14 (after line 11), after item 11, insert:

11A  Subsection 152BU(5) (heading)

Omit “ 6 ”, substitute “ 3 ”.

11AA  Subsection 152BU(5)

Omit “6” (wherever occurring), substitute “3”.

11B  Subsection 152BU(6)

Omit “6”, substitute “3”.

11C  Subsection 152BU(7)

Omit “6” (wherever occurring), substitute “3”.

[decision timeframe]

(8)     Schedule 7, page 17 (after line 6), after item 23, insert:

23A  Subsection 152CF(5) (heading)

Omit “ 6 ”, substitute “ 3 ”.

23B  Subsection 152CF(5)

Omit “6” (wherever occurring), substitute “3” .

23C  Subsection 152CF(6)

Omit “6” (wherever occurring), substitute “3”.

[decision timeframe]

(9)     Schedule 9, page 24 (after line 4) , before item 1, insert:

1A  At the end of Division 2 of Part IIIA

Add:

Subdivision D—Reasonable access

44QA  Reasonable access

The owner of a facility that is used to provide a service must make all reasonable endeavours to accommodate the requirements of a person seeking access.

[reasonable access]

R(9A) Schedule 9, page 24 (after line 4), before item 1, insert:

1B  After subsection 7(1)

Insert:

          (1A)  The Commission established by subsection (1) must include a Telecommunications Commissioner.

[telecommunications commissioner]

(10)   Schedule 9, page 25 (after line 6), at the end of the Schedule, add:

7  After subsection 152AQA(4)

Insert:

Assessing access undertakings

          (4A)   The Commission must have regard to the determination when assessing access undertakings.

[assessing undertakings]

(11)   Schedule 9, page 25 (after line 6), at the end of the Schedule, add:

8  After subsection 152AQB(1)

Insert:

Additional core service to be determined by Minister

          (1A)  The Minister must, by written instrument, declare backhaul routes as a core service for the purpose of this section.

[core services]

(12)   Schedule 9, page 25 (after line 6), at the end of the Schedule, add:

9  After subsection 152AQB(8)

Insert:

Assessing access undertakings

          (8A)  The Commission must have regard to the determination when assessing access undertakings.

[assessing undertakings]

(13)   Schedule 11, page 29 (after line 20), after item 3, insert:

3A  After subsection 63(2)

Insert:

Mandatory divestiture

          (2A)  In accordance with subsection 63 (2), the Minister must, by written instrument, require Telstra to cease to have any interest or control in FOXTEL by the time Telstra is majority private owned.

[divest shareholding in Foxtel]

(14)   Schedule 11, page 29 (after line 20), after item 3, insert:

3B  After subsection 63(2)

Insert:

          (2B)  In accordance with subsection (2), the Minister must, by written instrument, require Telstra to cease to have any interest or control in the Hybrid Fibre Coaxial network by the time Telstra is majority private owned.

          (2C)   For the purposes of subsections (2A) and (2B), control includes control as a result of, or by means of, trusts, agreements, arrangements, understandings and practices, whether or not having legal or equitable force and whether or not based on legal or equitable rights.

[divest ownership of HFC cable]

(15)   Schedule 11, page 29 (after line 20), after item 3, insert:

3C  After subsection 63(2)

Insert:

Dividends

          (2D)  In any year, or part of a year, in which the Commonwealth holds shares in Telstra, Telstra must not pay dividends other than from profits for the financial year to which the dividends relate or are reasonably expected to relate.

[payment of dividends]