Broadband set to cost $10 a month extra

People living in the city may soon be paying up to $10 a month more for their broadband, if Telstra has its way, according to the telco's competitors.

Even though the ACCC is yet to make a decision on Telstra's latest Unconditioned Local Loop (ULL) pricing, the telco told ISPs last week that they would now be paying $30 a month per ULL. This is a national average price, which will mean an increase for metro areas and possibly a decrease in regional and rural areas.

Competitive Carriers' Coalition executive director, David Forman said in a press statement that Telstra's competitors, which rely on ULL to deliver an alternative service to Telstra, will be paying $30 a month to rent "nothing more than a piece of wire from a customer's house to a local exchange. This would force the price of broadband up by $10 or more a month.

"The ACCC has indicated that Telstra is already charging too much for ULL. To increase prices further can only be seen as an act of supreme arrogance by a powerful monopolist," he said.

Currently, ISPs have two other options to ULL that they can use to offer services. They can use Telstra's infrastructure or Line Sharing Service (LSS) which has not yet risen in price.

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