Labor Govt Will Freeze Telstra Line Rentals
Illawarra Mercury
Monday May 3, 2004
LABOR yesterday reiterated its vow to freeze Telstra line rental charges if it won government.
Telstra last week announced it would increase line rental fees for private homes by up to $3.45 per month from June 1.
The telco will also increase call connection fees for long distance, international and fixed line-to-mobile calls by 2 to 35.
In addition, customers will be charged fees for paying their phone bills by credit card.
Opposition Leader Mark Latham on Friday pledged a Labor government would impose price controls on Telstra, saying line charges were ``getting out of control".
Opposition telecommunications spokesman Lindsay Tanner yesterday said there was no justification for Telstra's latest price hike.
``We calculate that in the last financial year Telstra made an extra $150 million out of the previous line rental fee increases, even after you take into account the slight reductions in call costs," he said.
``They are ripping more and more money out of consumers' pockets and they are not giving it back. When we come to introduce a new set of price controls as a government next year, one thing I can guarantee you is that those line rental fees will be frozen and we will make sure they give more money back in lower call costs."
© 2004 Illawarra Mercury