The Australian Competition and Consumer Commission today mandated that telecommunications suppliers provide number portability. Number portability allows consumers to change their supplier while keeping their telephone number.
The ACCC today directed the Australian Communications Authority to require suppliers of telecommunications services to provide number portability for local telephone services, freephone services (1800 numbers) and local rate services (13 numbers) from the earliest practicable date.
"Households and businesses can potentially be significant winners from number portability which is likely to encourage greater competition amongst telecommunications carriers and service providers", the Commissioner responsible for telecommunications, Mr Rod Shogren said today.
The ACCC has directed the ACA to mandate number portability in the new Numbering Plan. Under the Plan, carriers and carriage service providers will be obliged to provide number portability as soon as possible.
"Consumers will be able to change to their preferred supplier of telecommunications services without suffering the cost and inconvenience of having to change their telephone number," Mr Shogren said.
Studies in Australia and overseas show this cost and inconvenience is a significant deterrent to consumers changing suppliers and a major barrier to competition in the telecommunications industry.
"Number portability provides the scope for new telecommunications suppliers to more readily attract customers and be better rewarded when they provide innovative and higher quality services. This increases the pressure on telecommunications suppliers to compete more vigorously, encouraging lower prices, and a greater range and quality of services.
"Number portability can especially benefit small businesses, who often spend considerable time and effort promoting their phone number. Currently the absence of number portability limits the benefits of competition to small businesses. Number portability will allow small businesses to take full advantage of the choices that will become available in a more competitive environment and choose the provider that best meets their needs at the best price without the risk of losing customers through changing their phone number."
A copy of the directions can be obtained from all ACCC offices. It is also on the ACCCs web site.
For further information about this media release: Ms Lin Enright, Director, Public Relations (02) 6264 2808 MR113/97 22 September 1997