Australia’s number one telecommunications provider has this afternoon announced it has handed the Australian Competition and Consumer Commission (ACCC) a revised undertaking for its structural separation as part of its deal with NBN Co.
The revised document has been submitted by Telstra - following the initial submission then revision last year - to the ACCC following a number of points of issue being raised following continual meetings with both the public and the ACCC.
“I am pleased the ACCC has acknowledged that their concerns have been addressed and I note their commitment to consider the SSU promptly,” Telstra CEO David Thodey said in a statement today.
The approval of the structural separation of Telstra is the last thing standing between a sign-off on the deal between Telstra and the body responsible for the roll-out of Australia’s new high-speed network, NBN Co.
As part of the deal, Telstra must structurally separate wholesale from retail divisions – and this must be approved before the deal between NBN Co and Telstra for the long-term lease of Telstra’s infrastructure such as ducts and piping can be finalised.
However Telstra says it believes the changes made to the revised proposal are largely non-material, and don’t require re-approval from shareholders, saying today that it believes the changes “do not constitute material change in the context of the Proposed Transaction approved by Telstra shareholders in October 2011.”
“Largely procedural” matters will be continued once ACCC approval is received, Telstra said.
Telstra was forced to submit a revised undertaking last year following the initial submission, however it too also failed to gain the approval of the ACCC. This edition of the undertaking, Telstra says, fixes the “clarification on the operation of the overarching equivalence commitment, and how wholesale customers access reference prices for regulated services.”
The revised undertaking will be published on the ACCC website shortly, Telstra says.