Commonwealth Numbered Regulations - Explanatory Statements

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TELECOMMUNICATIONS REGULATIONS 1991 NO. 200

Statutory Rules 1991 No. 200

Telecommunications Regulations

Issued by the Authority of the Minister for Transport and Communications

Section 406 of the Telecommunications Act 1991 provides that the GovernorGeneral may make regulations for the purposes of the Act.

Section 4 of the Acts Interpretation Act 1901 allows the making of Regulations under an Act where an Act is expressed to confer power to make Regulations and before that Act comes into operation.

The Telecommunications Act 1991 (the Act) has received Royal Assent and will commence operation on 1 July 1991.

The Act provides for the continued existence of the Australian Telecommunications Authority and for new rules regulating the telecommunications industry. Significantly the Act provides for the licensing and regulation of general carriers and public mobile carriers who are the primary suppliers of line link facilities and basic carriage services and for the regulation of other service providers. The Act also provides for technical regulation within the industry.

The Telecommunications Regulations provide for Regulations dealing with four matters under the Act. These matters concern the prescription of external territories under the Act, the supply of an Ancillary Communications Service (ACS) by a broadcaster by use of reserved line links, the prescription of classes of earth station for the supply of an international satellite service and the prescription of telecommunications services in the supply of which discrimination by a dominant carrier is allowed.

Regulation 3 prescribes the external territories to which the Act applies.

Section 5 of the Act provides for the prescription of external territories. Section 30 of the Act provides for the extension of the Act to such external territories (if any) as are prescribed. Regulation 3 provides that the Cocos (Keeling) Islands and Christmas Island are prescribed external territories. This gives effect to the Government's policy that these territories should be subject to Commonwealth law. The Government will cc-sult with the Norfolk Island Government as to the appropriateness of prescribing that territory as a prescribed external territory.

Regulation 4 prescribes an ACS as a telecommunications service which a broadcaster may supply using its reserved line links.

Section 99(1) of the Act provides that a broadcaster (defined in section 99(2)) may install or maintain a reserved line link for the purpose of using it for or in relation to the supply of broadcast programs or the supply of prescribed telecommunications services by means of prescribed transmitters. Regulation 4 provides that a broadcaster can use its reserved line links in supplying an ACS by means of a radiocommunications transmitter for which the broadcaster holds a licence of a prescribed kind. This right will help ensure efficient delivery of ACS.

Regulation 5 prescribes classes of earth stations which may be used for the supply of an international satellite service.

Section 103 of the Act provides for the operator of a prescribed satellite earth station to supply an international satellite service using a satellite-based facility operated by another person. Regulation 5 prescribes the classes of earth stations, as defined in the Radiocommunications (Licensing and General) Regulations, which may be used in supplying an international satellite service.

Regulation 6 provides for a carrier which is dominant in a market for certain telecommunications services to discriminate between persons, in relation to charges and conditions, in supplying those services.

Section 183 of the Act provides that a carrier that is in a position to dominate a market for a particular kind of telecommunications service must not discriminate, between persons who acquire in that market telecommunications services of the same kind, in relation to the charges or terms and conditions on which the services are supplied. Subsection 183(2) provides that the prohibition on discrimination does not apply in relation to prescribed telecommunications services.

Regulation 6 provides that a carrier that is in a position to dominate a market for a particular kind of telecommunications service may discriminate between persons who acquire in that market the following services.

•       Customer Access supplied to businesses or charitable institutions: This enables Telecom to charge different charges (higher or lower) to businesses and charitable institutions. Ability to discriminate in the supply of this service reflects established commercial practice under which business customers are charged more than residential customers and charitable institutions have access to concessional charges.

•       Submarine cable capacity: Ability to discriminate in the supply of this service is required because of the institutional practices of international submarine cable consortia which oblige a carrier to provide capacity (which it would not generally supply to the public) for other international telecommunications operators.

Attachment - Telecommunications Regulations

Details of the Regulations are as follows:

Regulation 1 provides for the citation of the Telecommunications Regulations.

Regulation 2 provides that expressions in the Regulations have the meaning given in Regulation 2, unless the contrary intention appears.

Regulation 3 provides that the Cocos (Reeling) Islands and Christmas Island are prescribed external territories for the purposes of section 5 of the Act.

Regulation 4(a) provides that an Ancillary Communications Service (ACS), that is a secondary radiocommunications service for or in relation to the supply of which a broadcaster may install or maintain a reserved link, is a prescribed telecommunications service, and is supplied by means of facilities that include a radiocommunications transmitter in relation to which the broadcaster holds a licence of a prescribed kind.

Regulation 4(b) prescribes the following licences for the purposes of paragraph 99(1)(b) of the Act: Ancillary Communications Service Network, Class A; Ancillary Communications Service Network, Class B; Narrowband Area Station, Class A; Narrowband Area Station, Class B.

Regulation 5 provides that for the purposes of sections 103(1) and 103(2) of the Act earth stations licensed under any of the following categories of the Radiocommunications (Licensing and General) Regulations are prescribed earth stations: Earth Station, Australian Satellite Service, Class A; Earth Station, Australian Satellite Service, Class B; AUSSAT receive-only earth station; Earth Station, Classes A, B, C, D, or E; Earth Station, Classes A, B, C, D, or E (receive-only).

Regulation 6 provides for the exemption under subsection 183(2) of the Act of prescribed telecommunications services from the prohibition on discrimination in the supply of telecommunications under section 183(1) of the Act.

Regulation 6(1) provides that a carrier in a position to dominate a market may discriminate between persons in supplying Customer Access to businesses, customers who elected to be treated as if they were conducting a business, Government Departments and instrumentalities and charitable institutions. The Regulation sets out the characteristics of such a service.

Regulation 6(2) provides that a carrier in a position to dominate a market may discriminate between persons in supplying submarine cable capacity to international telecommunications operators subject to the terms and conditions of the relevant cable construction and maintenance agreement. The Regulation sets out the characteristics of such a service.