Wednesday, 16 March 2016 05:55

NBN prices are OK says ACCC Featured

By Staff Writers

The Australian Competition and Consumer Commission has determined that the National Broadband Network company’s prices are not too high and that the government owned company responsible for administering the NBN is earning revenue within allowable limits.

The ACCC is required to make annual determinations on NBN Co’s revenue controls in accordance with the Long Term Revenue Constraint Methodology (the LTRCM), which is set out in NBN Co’s special access undertaking (the SAU). The latest determination is for the 2014/2015 financial year.

The SAU establishes part of the regulatory framework for the National Broadband Network (NBN) and includes important provisions to encourage NBN Co to incur expenditure efficiently.

“The revenue control provisions in the SAU set out the method for determining the amount of revenue NBN Co is allowed to earn each financial year to recover its costs of providing services,” ACCC Commissioner Cristina Cifuentes said.

“Having assessed NBN Co’s proposal against the methodology in the SAU, the ACCC has made the draft decision to accept the values proposed by NBN Co for determining allowable revenues for 2014-15.”

Where NBN Co is unable to recover the allowed revenue in a particular year, any shortfall is put into NBN Co’s cost recovery account. NBN Co will have the opportunity to recover its accumulated losses over time as the take-up of NBN services increases.

In making the draft determination on NBN Co’s revenue controls, the ACCC is proposing to accept NBN Co’s actual capital and operating expenditure for the year.  The ACCC has also decided to accept the proposed values for regulated assets and accumulated losses.

In addition to the revenue control provisions, the SAU includes a cap on the prices that NBN Co is allowed to charge for its services.

“The ACCC is satisfied that NBN Co’s prices did not exceed the applicable maximum regulated prices in 2014-15,” Ms Cifuentes said.

In its proposal, NBN Co has also requested a minor amendment to the ACCC’s 2013-14 determination to correct for an error in its submission. The ACCC will consider NBN Co’s proposed amendment in the same process as the draft determination.

The ACCC invites stakeholder views on its draft determination for 2014-15, including reasons for those views. Submissions are due by 5pm on Friday 15 April 2016.

The ACCC’s draft determination, its reasons for making this draft determination, and NBN Co’s 2014-15 LTRCM proposal and supporting documents, are available at: NBN Co - Special Access Undertaking.

Read 3083 times

Please join our community here and become a VIP.

Subscribe to ITWIRE UPDATE Newsletter here
JOIN our iTWireTV our YouTube Community here
BACK TO LATEST NEWS here




ELASTICON SYDNEY 2024 LATEST ADVANCEMENTS IN GENERATIVE AI

On 20 February, keynote addresses from NAB, Canva, AWS, and Google Cloud, among others, will feature at ElasticON Sydney 2024.

This event will explore the latest advancements in generative AI

The one-day conference, hosted by leading search analytics company Elastic, will include networking drinks, hands-on labs, technical sessions and a stellar line-up of keynote speakers from finance, technology, and government e=sectors.

ElasticON Sydney 2024 promises to be an enriching experience with a comprehensive exploration of the latest developments in security, observability, generative AI and their real world applications

Don't miss out on this opportunity to network and find answers for what's next from your industry peers and leaders


Register for ElasticON Sydney 2024

REGISTER HERE!

PROMOTE YOUR WEBINAR ON ITWIRE

It's all about Webinars.

Marketing budgets are now focused on Webinars combined with Lead Generation.

If you wish to promote a Webinar we recommend at least a 3 to 4 week campaign prior to your event.

The iTWire campaign will include extensive adverts on our News Site itwire.com and prominent Newsletter promotion https://itwire.com/itwire-update.html and Promotional News & Editorial. Plus a video interview of the key speaker on iTWire TV https://www.youtube.com/c/iTWireTV/videos which will be used in Promotional Posts on the iTWire Home Page.

Now we are coming out of Lockdown iTWire will be focussed to assisting with your webinars and campaigns and assistance via part payments and extended terms, a Webinar Business Booster Pack and other supportive programs. We can also create your adverts and written content plus coordinate your video interview.

We look forward to discussing your campaign goals with you. Please click the button below.

MORE INFO HERE!

BACK TO HOME PAGE
Share News tips for the iTWire Journalists? Your tip will be anonymous

Subscribe to Newsletter

*  Enter the security code shown:

WEBINARS & EVENTS

CYBERSECURITY

PEOPLE MOVES

GUEST ARTICLES

Guest Opinion

ITWIRETV & INTERVIEWS

RESEARCH & CASE STUDIES

Channel News

Comments