Cable & Wireless Optus has initiated arbitration proceedings with the Australian Competition and Consumer Commission (ACCC) regarding local number portability (LNP) call routing. This follows 18 months of unsuccessful negotiations with Telstra.

The arbitration will centre on Telstra's refusal to route calls made to Cable & Wireless Optus local call customers to the Optus exchange closest to the customer. Instead, calls are being arbitrarily routed to any Optus exchange - an action which costs Cable & Wireless Optus several millions of dollars a year in increased routing and provisioning costs.

According to Cable & Wireless Optus' Director of Regulatory & Public Affairs, Mr Stephe Wilks, Cable & Wireless Optus has been forced to request the ACCC use its arbitration powers after lengthy negotiations with Telstra have proved fruitless.

"Unfortunately, Telstra has insisted on using its standard tactics of delay and obfuscation when negotiating important industry issues. This issue has been on the table since November 1997 and requires resolution if LNP is to work effectively.

"Cable & Wireless Optus is simply requesting Telstra upgrade its network switches in line with the ACCC's ruling on LNP."

The ACCC ruling on local number portability requires that carriers upgrade their networks to allow customers to keep their existing telephone numbers when switching carriers. Telstra is required to provide the equivalent level of service to ported numbers as to non-ported numbers.

"Telstra's refusal to upgrade its network in line with the ACCC's LNP ruling not only places an unfair burden on Cable & Wireless Optus, but will also impact on other carriers which attempt to offer comparable local call services in the future," said Mr Wilks.

For more information:
Glen Thomas
Cable & Wireless Optus
Phone: 02 9342 6064
Email: glen.thomas@cwo.com.au