ACCC sets Telstra wholesale ADSL price

The price has been declared for 12 months, with a final price to be set by the watchdog

The Australian Competition and Consumer Commission (ACCC) has declared a discounted price for wholesale ADSL services sold by Telstra to retail competitors, in an effort to eliminate competition issues.

The ACCC has declared an interim wholesale price which will be in place for the next 12 months, as the watchdog commences an inquiry into setting an appropriate final access determination.

"As a result of these decisions, end-users can expect to have access to a greater range of competitive fixed-line broadband internet service offerings," ACCC acting chairperson, Michael Schaper, said in a statement.

Pricing starts at $25.40 per month for end users in zone 1 (metropolitan areas), $30.80 per month for Zone 2/3 (rural and regional areas) and for aggregating virtual circuit or VLAN will cost $45.50 per megabit per second (Mbps) until 30 June 2012 and $33.65 per Mbps from 1 July.

The inquiry into setting a final access determination will consider the structure and level of pricing for wholesale ADSL services and whether the determination should limit the application of the declaration to certain carriers in certain regions.

The ACCC has called for submissions on the matter by 30 March.

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