ACCC accepts TPG Telecom’s functional separation plan

8 Apr 2022

A joint functional separation undertaking submitted by TPG Telecom Limited on behalf of itself and its various subsidiaries has been accepted by the Australian Competition and Consumer Commission (ACCC).

As previously reported by CommsUpdate, in November 2021 TPG submitted the undertaking to the watchdog which would apply to all local access lines that it controls. With the ACCC having consulted on the matter it has now confirmed its acceptance of TPG’s joint functional separation undertaking, noting that this will come into force on 7 October 2022. The undertaking will apply to all local access lines that TPG controls supplying superfast carriage services wholly or principally to residential customers, including its existing fibre-to-the-building (FTTB) and TransACT networks, as well as any new ‘superfast’ local access lines that TPG might deploy.

In the wake of the ACCC’s final decision on the matter, local news outlet iTnews cited John Rutherford, TPG Telecom’s Group Executive Wholesale, Enterprise and Government, as saying: ‘Acceptance of the undertaking provides TPG with greater flexibility to expand its fixed line network footprint and to compete in wholesale and retail markets … This supports our pro-competitive strategy for continued growth in the Australian market … This is a positive result for TPG and provides much needed regulatory certainty to enable further investment into our network.’