Telecommunications (Consumer Protection and Service Standards) Act 1999

Act No. 50 of 1999 as amended

This compilation was prepared on 26 September 2007
taking into account amendments up to Act No. 152 of 2007

The text of any of those amendments not in force
on that date is appended in the Notes section

The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section

Prepared by the Office of Legislative Drafting and Publishing,
Attorney‑General’s Department, Canberra

  

  

  

Contents

Part 1—Preliminary                                                                                                               1

1............ Short title [see Note 1]....................................................................... 1

2............ Commencement [see Note 1].............................................................. 1

3............ Objects and regulatory policy............................................................ 1

4............ Simplified outline................................................................................ 1

5............ Definitions.......................................................................................... 3

6............ Standard telephone service................................................................. 6

7............ Application of this Act...................................................................... 8

7A......... Application of the Criminal Code...................................................... 8

Part 2—Universal Service Regime                                                                               9

Division 1—Introduction                                                                                            9

8............ Simplified outline................................................................................ 9

8A......... Objects.............................................................................................. 11

8B......... Special meaning of Australia............................................................. 12

8C......... Meaning of service area................................................................... 12

8D......... Meaning of claim period................................................................... 12

8E.......... Meaning of alternative telecommunications services, or ATS.......... 13

8F.......... Meaning of approved auditor........................................................... 13

8G......... Meaning of disability........................................................................ 13

Division 2—Universal service obligation                                                        14

Subdivision A—What is the universal service obligation?                               14

9............ Universal service obligation.............................................................. 14

9A......... Determinations of what is necessary to ensure reasonable accessibility 15

9B......... What is a service obligation?............................................................ 16

9C......... Payphones........................................................................................ 16

9D......... Prescribed carriage services............................................................... 17

9E.......... Supply of standard telephone services............................................. 17

9F.......... Supply of prescribed carriage services............................................. 18

Subdivision B—Universal service areas                                                               18

9G......... Universal service areas...................................................................... 18

9H......... Effect of determination..................................................................... 19

9J.......... Transitional arrangements may be determined................................. 19

Division 3—Digital data service obligation                                                     20

Subdivision A—What is the digital data service obligation?                            20

10.......... Digital data service obligation........................................................... 20

10A....... General digital data service obligation............................................... 20

10B....... Special digital data service obligation................................................ 20

10C....... Supply of customer equipment or other goods or services.............. 21

10D....... Rebate system.................................................................................. 21

10E........ Digital data services.......................................................................... 22

10F........ Supply of general digital data services.............................................. 23

10G....... Supply of special digital data services.............................................. 24

Subdivision B—Digital data service areas                                                           24

10H....... General digital data service areas...................................................... 24

10J........ Special digital data service areas....................................................... 25

Division 4—The arrangements for fulfilling the universal service obligation    26

11.......... The arrangements that apply to universal service areas................... 26

11A....... Universal service providers.............................................................. 26

11B....... Former universal service provider may be required to provide information to current universal service provider 27

11C....... Determination of contestable service obligation............................... 30

11D....... Effect of determination..................................................................... 30

11E........ Transitional arrangements may be determined................................. 30

11F........ Section 11C temporarily limited to pilot areas................................. 31

Division 5—The default arrangements: primary universal service providers   32

Subdivision A—What are the default arrangements?                                       32

12.......... The default arrangements.................................................................. 32

Subdivision B—Primary universal service providers                                        32

12A....... Determination of primary universal service providers..................... 32

12B....... Effect of determination..................................................................... 33

12C....... Obligations of primary universal service providers.......................... 33

12D....... Transitional: when Telstra is taken to be a primary universal service provider      34

12E........ Effect of certain agreements under the Telstra Corporation Act 1991 35

12EA..... Exclusive access to universal service subsidy................................... 36

Subdivision C—Policy statements and standard marketing plans of primary universal service providers   37

12F........ Meaning of expressions.................................................................... 37

12G....... Minister may determine requirements for drafts.............................. 38

12H....... Obligation to submit a draft policy statement and draft standard marketing plan  38

12J........ Public consultation required on draft policy statement and draft standard marketing plan    38

12K....... Approval of draft policy statement................................................. 39

12L........ Approval of draft standard marketing plan...................................... 40

12M...... Notice of decision............................................................................. 41

Subdivision D—ATS marketing plans of primary universal service providers  41

12P........ Meaning of expressions.................................................................... 41

12Q....... Minister may determine requirements for drafts.............................. 42

12R....... Primary universal service provider may submit a draft ATS marketing plan          42

12S........ Public consultation required on draft ATS marketing plan.............. 43

12T....... Approval of draft ATS marketing plan............................................ 43

12U....... Notice of decision............................................................................. 44

Subdivision E—Replacement, variation and revocation of policy statements, standard marketing plans and ATS marketing plans                                                                           45

12V....... Replacement of approved policy statement, approved standard marketing plan or approved ATS marketing plan.......................................................................................................... 45

12W...... Variation of approved policy statement, approved standard marketing plan or approved ATS marketing plan   45

12X....... Notice of decision............................................................................. 46

12Y....... Minister may direct variation or replacement of policy statement or standard marketing plan              47

12Z....... Minister may revoke approved ATS marketing plan....................... 47

Division 6—The standard contestability arrangements: competing universal service providers           49

Subdivision A—What are the standard contestability arrangements?           49

13.......... The standard contestability arrangements........................................ 49

Subdivision B—Competing universal service providers                                    49

13A....... Application to be approved as a competing universal service provider  49

13B....... Approval of person as a competing universal service provider....... 50

13C....... Date of effect of approval, or variation or revocation of approval.. 51

13D....... Obligations of competing universal service providers...................... 51

13E........ Surrender of approval as a competing universal service provider.... 52

Subdivision C—Policy statements and standard marketing plans of competing universal service providers               53

13F........ Meaning of expressions.................................................................... 53

13G....... Minister may determine requirements for drafts.............................. 54

13H....... Public consultation on draft policy statement or standard marketing plan             54

13J........ Approval of draft policy statement................................................. 55

13K....... Approval of draft standard marketing plan...................................... 56

13L........ Notice of decision............................................................................. 57

Subdivision D—ATS marketing plans of competing universal service providers              57

13M...... Meaning of expressions.................................................................... 57

13N....... Minister may determine requirements for drafts.............................. 58

13P........ Public consultation required on draft ATS marketing plan.............. 58

13Q....... Approval of draft ATS marketing plan............................................ 59

13R....... Notice of decision............................................................................. 60

Subdivision E—Replacement, variation and revocation of policy statements, standard marketing plans and ATS marketing plans                                                                           60

13S........ Replacement of approved policy statement, approved standard marketing plan or approved ATS marketing plan.......................................................................................................... 60

13T....... Variation of approved policy statement, approved standard marketing plan or approved ATS marketing plan   61

13U....... Notice of decision............................................................................. 62

13V....... Minister may revoke approved ATS marketing plan....................... 62

Division 7—Determination of alternative arrangements for fulfilling the universal service obligation                                                                                                                      64

14.......... Determination of alternative arrangements....................................... 64

14A....... Effect of determination..................................................................... 64

Division 8—Digital data service providers                                                     66

Subdivision A—General                                                                                           66

15.......... Digital data service providers........................................................... 66

15A....... Effect of digital data service provider determination........................ 67

15B....... Former digital data service provider may be required to provide information to current digital data service provider.......................................................................................................... 68

Subdivision B—Digital data service plans                                                            70

15C....... Digital data service provider must submit draft digital data service plan                70

15D....... Digital data service plans.................................................................. 70

15E........ Replacement of approved digital data service plan.......................... 70

15F........ Approval of draft digital data service plan by Minister................... 71

15G....... Public consultation—draft plan........................................................ 71

15H....... Minister to have regard to certain matters........................................ 71

15J........ Minister may formulate requirements for draft plans...................... 72

15K....... Notification of decision.................................................................... 72

15L........ Variation of approved digital data service plan................................ 73

15M...... Notice of decision on variation......................................................... 73

15N....... Minister may direct variation or replacement of plan...................... 74

15P........ Compliance with approved digital data service plan........................ 74

Division 9—Universal service subsidy                                                             75

16.......... Determination of universal service subsidy...................................... 75

16A....... Minister must seek ACMA’s advice............................................... 75

16B....... Effect of the determination............................................................... 76

Division 10—Digital data cost of digital data service providers          77

17.......... Digital data cost of a digital data service provider for a claim period 77

17A....... Reduction of excessive costs............................................................ 79

Division 11—Regulation of universal service charges                             80

18.......... Universal service charges.................................................................. 80

18A....... Determination subjecting universal service charges to price control arrangements  80

18B....... Price control determinations............................................................. 80

18C....... Content of price control determinations........................................... 81

18D....... Price control determinations subject to determinations under Part 9 81

18E........ Compliance with price control determinations................................. 82

Division 12—Regulation of digital data service charges                         83

19.......... Digital data service charges............................................................... 83

19A....... Determination subjecting digital data service charges to price control arrangements               83

19B....... Price control determinations............................................................. 83

19C....... Content of price control determinations........................................... 84

19D....... Price control determinations subject to determinations under Part 9 84

19E........ Compliance with price control determinations................................. 85

Division 13—Assessment, collection, recovery and distribution of levy              86

Subdivision A—Eligible revenue of participating persons                                86

20.......... Participating person must lodge return of eligible revenue............... 86

20A....... Who is a participating person?......................................................... 86

20B....... What is eligible revenue?.................................................................. 87

20C....... What is an eligible revenue period?.................................................. 88

20D....... Audit report of eligible revenue return............................................. 88

20E........ ACMA may inquire into correctness of return................................ 89

20F........ ACMA to assess eligible revenue..................................................... 89

20G....... Assessment based on estimate of eligible revenue............................ 89

20H....... Levy contribution factor................................................................... 90

Subdivision B—Levy credits                                                                                   91

20J........ Claims for levy credit....................................................................... 91

20K....... Audit report of claim........................................................................ 92

20L........ ACMA to publish claims or a summary of claims........................... 92

20M...... ACMA may inquire into correctness of claim................................. 93

20N....... ACMA to assess levy credit............................................................ 93

20P........ Principles for assessing and adjusting claims.................................... 94

Subdivision C—Entitlement to levy distributions and liability for levy           94

20Q....... No levy payable unless at least one claim for a levy credit is made. 94

20R....... Levy debit of a participating person................................................ 94

20S........ Levy debit balance............................................................................ 95

20T....... Levy credit balance........................................................................... 95

20U....... ACMA to make written assessment................................................ 95

20V....... Publication of assessment................................................................. 97

20W...... Variation of assessments.................................................................. 97

20X....... ACMA may accept statements........................................................ 97

20Y....... Multiple assessments in the same document................................... 97

Subdivision D—Collection and recovery of levy                                                  97

20Z....... When levy payable........................................................................... 97

20ZA.... Levy a debt due to the Commonwealth............................................ 98

20ZB..... Validity of assessment...................................................................... 98

20ZC..... Evidence of assessment.................................................................... 98

20ZD.... Onus of establishing incorrectness of assessment............................ 98

20ZE..... Refund of overpayment of levy....................................................... 98

20ZF..... Cancellation of certain exemptions from levy.................................. 99

20ZG.... Commonwealth not liable to levy..................................................... 99

20ZH.... Performance bonds and guarantees................................................... 99

Division 14—The Universal Service Account and distributions of levy                100

21.......... Universal Service Account.............................................................. 100

21A....... Credits to Universal Service Account............................................. 100

21B....... Purposes of Universal Service Account......................................... 101

21C....... Levy distribution............................................................................ 102

21D....... Distribution of remaining balance of the Universal Service Account 103

21E........ Recovery of overpayments............................................................ 103

Division 15—Disclosure of information                                                          104

22.......... Public may request information...................................................... 104

22A....... Request for information that is unavailable under section 22......... 104

22B....... How the ACMA is to comply with a request............................... 106

22C....... Minister’s information‑gathering powers....................................... 107

22D....... Minister may modify way in which this Division applies............ 107

Division 16—Other matters                                                                                  108

23.......... ACMA must maintain Register/s................................................... 108

23A....... Delegation to the ACMA............................................................... 109

23B....... Effect of failure to publish notices in the Gazette.......................... 109

23C....... Offence of failing to lodge eligible revenue return........................... 109

23D....... Penalty for late payment of levy.................................................... 110

Part 3—The National Relay Service                                                                       111

Division 1—Introduction                                                                                        111

93.......... Simplified outline............................................................................ 111

94.......... Definitions...................................................................................... 111

94A....... Who is a participating person?....................................................... 112

Division 2—The National Relay Service                                                        113

95.......... The National Relay Service (the NRS)........................................... 113

96.......... Publication of costs of providing the NRS..................................... 113

97.......... ACMA reports and advice about NRS service plans..................... 114

Division 3—The NRS levy                                                                                     115

98.......... Levy quarters.................................................................................. 115

99.......... Persons liable to pay levy (taxpayers)........................................... 115

100........ Amount of levy.............................................................................. 115

100A..... Variation of taxpayer’s NRS contribution amount......................... 116

101........ Payment of levy............................................................................. 116

101A..... Penalty for late payment of levy.................................................... 117

101B..... Performance bonds and guarantees................................................. 117

101C..... Meaning of most recent eligible revenue assessment..................... 118

Division 4—The NRS Account                                                                            119

102........ The NRS Account.......................................................................... 119

Part 4—Continued access to untimed local calls                                               120

103........ Simplified outline............................................................................ 120

104........ Requirement to provide an untimed local call option..................... 120

105........ Untimed local call option................................................................ 120

106........ Eligible local calls............................................................................ 121

107........ Benefits for customers outside standard zones.............................. 123

108........ Standard zones................................................................................ 124

109........ Applicable zones............................................................................ 125

110........ Eligible customer............................................................................. 126

111........ Points.............................................................................................. 126

112........ Application of this Part.................................................................. 126

Part 5—Customer service guarantee                                                                      127

113........ Simplified outline............................................................................ 127

114........ Interpretation.................................................................................. 127

115........ Performance standards.................................................................... 127

116........ Damages for breach of performance standards............................... 129

117........ Scale of damages for breach of performance standards................... 130

117A..... Time for payment of damages for breach of performance standards 130

118........ Remedial directions—compliance with performance standards..... 132

118A..... Right of contribution...................................................................... 133

119........ Evidentiary certificate issued by the Telecommunications Industry Ombudsman 134

120........ Waiver of customer service guarantee............................................. 135

121........ Savings of other laws and remedies................................................ 135

122........ Breach of performance standard is not an offence.......................... 136

123........ Clause 1 of Schedule 2 to the Telecommunications Act 1997 does not apply to a breach of a performance standard........................................................................................................ 136

124........ Minister may direct the ACMA about the use of its powers under this Part        136

125........ Review of performance standards following Ministerial direction. 136

Part 6—The Telecommunications Industry Ombudsman                             138

126........ Simplified outline............................................................................ 138

127........ Eligible carriage service providers................................................... 138

128........ Telecommunications Industry Ombudsman scheme...................... 139

129........ Exemptions from requirement to join scheme................................ 140

130........ Direction to join scheme................................................................. 140

131........ Determination that a class of carriage service providers must join scheme             141

132........ Members of scheme must comply with scheme............................ 141

133........ Register of members of scheme...................................................... 142

Part 7—Protection for residential customers against failure by carriage service providers to provide standard carriage services                                                                         143

134........ Simplified outline............................................................................ 143

135........ Scope of Part.................................................................................. 143

136........ Standard residential customer......................................................... 144

137........ Protected payments........................................................................ 145

138........ Compliance with protection schemes for protected payments...... 145

139........ Protection schemes for protected payments—alternative supply of standard carriage services            146

140........ Protection schemes for protected payments—third party guarantee 146

141........ Protection schemes for protected payments—insurance cover..... 147

142........ Protection schemes for protected payments—holding of payments in trust accounts           147

143........ Waiver of protection by customers................................................ 148

144........ Incidental rules................................................................................ 149

145........ Enforcement of protection schemes............................................... 149

Part 8—Provision of emergency call services                                                    151

146........ Simplified outline............................................................................ 151

147........ Provision of emergency call services.............................................. 151

148........ Compliance with determination...................................................... 155

149........ Access to emergency call services.................................................. 155

150........ Ministerial pricing determinations.................................................. 156

151........ Access to be provided.................................................................... 157

Part 9—Price control arrangements for Telstra                                                158

152........ Simplified outline............................................................................ 158

153........ Definitions...................................................................................... 158

154........ Minister may determine price control arrangements...................... 158

155........ Effect of price control arrangements............................................... 159

156........ Alteration of charges subject to price control arrangements........... 159

157........ Carrier charges subject to notification and disallowance................ 160

158........ Alteration of charges subject to notification and disallowance....... 160

Part 9A—Telephone sex services                                                                             162

158A..... Simplified outline............................................................................ 162

158B..... Unacceptable conduct in relation to a telephone sex service.......... 162

158C..... Supply of goods or services not to be tied to the supply of telephone sex services               165

158D..... Regulations may prohibit or regulate certain telephone sex services 166

158E...... Aiding, abetting etc......................................................................... 166

158F...... Evidentiary certificate—telephone sex service............................... 167

158G..... Onus of proof—agreement and limiting access.............................. 167

158H..... Approved prefix............................................................................. 167

158J...... Telephone sex service..................................................................... 168

158K..... Telephone sex service provider...................................................... 168

158L...... Voice call......................................................................................... 168

158M.... Savings of other laws...................................................................... 169

158N..... Transitional..................................................................................... 169

Part 9B—Independent reviews of regional telecommunications             170

Division 1—Independent reviews of regional telecommunications 170

158P...... Reviews of regional telecommunications to be conducted by the RTIRC               170

158Q..... Report of review............................................................................. 172

Division 2—Regional Telecommunications Independent Review Committee (RTIRC)             174

158R..... Establishment of the RTIRC.......................................................... 174

158S...... Functions of the RTIRC................................................................. 174

158T..... Membership of the RTIRC............................................................ 174

158U..... Appointment of RTIRC members................................................. 175

158V..... Acting appointments—RTIRC Chair............................................ 176

158W.... Procedures...................................................................................... 176

158X..... Disclosure of interests.................................................................... 177

158Y..... Remuneration and allowances......................................................... 177

158Z..... Leave of absence............................................................................. 178

158ZA.. Resignation..................................................................................... 178

158ZB... Termination of appointment.......................................................... 178

158ZC... Other terms and conditions............................................................ 179

158ZD.. Assistance to RTIRC..................................................................... 179

Part 9C—Communications Fund                                                                                180

Division 1—Introduction                                                                                        180

158ZE... Simplified outline............................................................................ 180

158ZF... Definitions...................................................................................... 180

Division 2—Establishment of the Communications Fund                     182

158ZG.. Establishment of the Communications Fund.................................. 182

158ZH.. Establishment of the Communications Fund Special Account....... 182

158ZI.... Purposes of the Fund Account....................................................... 182

158ZJ.... Credit of $2 billion to the Fund Account....................................... 183

158ZJA. Balance of the Fund must not fall below $2 billion........................ 183

158ZK.. Transfer of financial assets to the Fund......................................... 183

158ZL... Grant of financial assistance to a State........................................... 184

158ZM. Grant of financial assistance to a person other than a State........... 184

158ZN.. Delegation by Secretary of the Department................................... 185

Division 3—Investment of the Communications Fund                           186

158ZO.. Investment of the Fund.................................................................. 186

158ZP... Management of investments of the Fund....................................... 186

158ZQ.. Derivatives...................................................................................... 187

158ZR... Bonus shares etc............................................................................. 187

Part 10—Miscellaneous                                                                                                  188

159........ Direction to Telstra to comply with this Act................................ 188

159A..... Review of operation of Parts 2 and 5 of this Act........................... 188

159B..... Connect Australia package............................................................. 189

160........ Regulations..................................................................................... 189

Notes                                                                                                                                          191

An Act about telecommunications, and for related purposes

Part 1—Preliminary

  

1  Short title [see Note 1]

                   This Act may be cited as the Telecommunications (Consumer Protection and Service Standards)