- Optus joins Telstra in offering compensation to customers for slow NBN speeds
- Staff writers, News Corp Australia Network
- Contributed by: Pina ( 10 articles in 2017 )
INTERNET speeds over the National Broadband Network could soon improve as retailers are now buying more bandwidth, the competition watchdog says.
Providers acquired more of what is called Connectivity Virtual Circuit (CVC) in September than they did in June, the Australian Competition and Consumer Commission said in its latest report on the NBN.
ACCC chairman Rod Sims said adequate CVC is essential for households and businesses to get the speeds they are promised, and the watchdog is closely monitoring how much CVC is being bought and used.
“This report provides a clear indication of the level of competition developing over the NBN,” ACCC Chairman Rod Sims said.
ACCC releases quarterly report on the NBN wholesale market
If only all of Optus’ download speeds were as fast as its ambassador Usain Bolt.
The development comes a day after Telstra said it would refund 42,000 because of their slow internet speeds.
An Optus spokeswoman confirmed to the ABC that the company is “working with the Australian Competition and Consumer Commission” and has provided the consumer watchdog with detailed information and data it requested.
“We are examining the detail of the announcement by the ACCC, but can confirm that Optus is taking action to provide appropriate remedies to those customers where it has been confirmed that the underlying NBN service cannot deliver the speed they signed up for,” the spokeswoman told the ABC.
“Optus is considering a range of measures for customers depending on their individual circumstances.”
Yesterday in a press release announcing Telstra’s move, Mr Sims said telcos not delivering on promised NBN speeds was an “industry problem where consumers are not getting the speeds they are paying for”.
The telcos have pointed the failure to deliver promised speeds to NBN copper wire access, mainly for fibre-to-the-node (FTTN) and fibre-to-the-building (FTTB) connections.
“Our investigation revealed many of Telstra’s FTTN and FTTB customers could not receive the maximum speed of their plan. Even worse, many of these customers could not receive the maximum speed of a lower-speed plan,” Mr Sims said.
“We expect RSPs to provide consumers with accurate information upfront about the internet speeds they can expect to receive, and then deliver on those promises.”
Telstra had notified the ACCC of some issues, but not all, relating to affected customers, which were then uncovered by the investigation.
Mr Sims said another issue was where speed could be delivered technically but the RSP had not purchased enough capacity from the NBN to provide the speeds which it is advertising, including at peak times.
“To address this second problem of under provisioning, the ACCC is urging all ISPs to advertise the typical speeds customers can expect in the busy evening period between 7pm and 11pm,” he said.
Telstra said it will contact customers affected over the coming weeks.
If Telstra customers have a concern the ACCC has urged them to contact the telco giant directly.
Likewise with Optus customers.
Optus chief Allen Lew: NBN blame game is pointless - The Australian 12 Aug 17
Optus admits customers may have been overcharged for NBN speeds - 9 Nov 17
Optus' Allen Lew says all telcos will need to face up to NBN refunds - 10 Nov 17
NBN slow speeds: Optus says customers are entitled to refunds - Aug 21, 2017