
078/05 29 June 2005
USO subsidies set for next three years
Following consultation with the Australian Communications Authority (ACA) and key industry participants the Minister for Communications, Information Technology and the Arts, Senator Helen Coonan, has set the Universal Service Obligation (USO) subsidies for the next three financial years.
The Government has accepted the advice of the ACA (soon to be the Australian Communications and Media Authority – ACMA) on the appropriate USO subsidies for the next three financial years.
“The USO is a core consumer safeguard that provides reasonable access to standard telephone services and payphones for all Australians, regardless of where they live or work,” Senator Coonan said.
“It is an important component of the Australian Government’s consumer protection arrangements.
“The USO is supported by other safeguards including the Customer Service Guarantee, the Telecommunications Industry Ombudsman, the Network Reliability Framework, and price control arrangements.”
Telstra is currently the only provider of USO services in Australia and receives a subsidy from all licensed telecommunications carriers for doing so.
“The USO continues to apply regardless of the ownership of Telstra and aims to ensure that all Australians have equitable access to telephone services,” Senator Coonan said.
“Setting subsidies for three years is in accordance with the USO’s legislative objectives and provides industry with certainty regarding the funding of the USO to assist with investment and planning.”
The baseline USO subsidies are:
|
2005–06 |
2006–07 |
2007–08 | |
|---|---|---|---|
|
Payphones |
$13,230,361 |
$13,540,286 |
$13,857,469 |
|
Standard Telephone Service |
$158,173,511 |
$144,151,276 |
$131,218,768 |
|
TOTAL |
$171,403,872 |
$157,691,562 |
$145,076,237 |
The relevant determinations are available online at www.dcita.gov.au
Media Contact: Jane McMillan 0438 690 305
www.minister.dcita.gov.au

