'Back to the 60s' as ombudsman finds systemic issues in telco services

Telecommunications ombudsman calls for root and branch review of telco regulations In short: Nearly 27,000 Australians from regional, rural and remote areas have lodged complaints with the telecommunications ombudsman in the past two years. Complaints include a decline in coverage since the 3G shutdown, extended delays with faults being fixed and onerous requirements around identification and needing to conduct transactions in person. What's next? The report makes 11 specific recommendations, with an overarching key recommendation for the federal government to commission a root and branch review of the regulatory framework. Living on the Princes Highway on the NSW South Coast, Gerry McLaughlin's reception can be patchy but when it does drop out he can still call Triple Zero (000). So it came as a shock earlier this year when he spotted a new symbol on the signal section on his phone, accompanied by a text message from Telstra informing him it was operating in satellite mode. "It said this function only has the ability to send text messages, move to an area of mobile coverage if you need to ring Triple Zero," he said. "First off, I thought: 'Where am I going to drive? Where do you go to get mobile coverage in the event of emergency?'" Published maps show Mr McLaughlin's Conjola property should have good coverage across all networks, so under Triple Zero custodian laws if his Telstra service was not available he should expect to be able to access another available network to make an emergency call. With his phone now instead switching to text only satellite he was concerned a call might no longer be an option, especially given he is in a bushfire-prone area that was razed during the Black Summer bushfires. "I rang them up and they told me that if you need emergency service, just text a friend and get them to call it." He contacted the Telecommunications Industry Ombudsman to seek a resolution, but he said he never received a straight answer. Telstra declined to be interviewed but in a statement to the ABC a spokesperson said: "Being connected to Telstra satellite does not stop a compatible device from using another available mobile network to make a Triple Zero call." Mr McLaughlin was one of 27,000 regional Australians that took their frustrations to the ombudsman over the past two years, with a report released today showing consumers in those areas continue to face major challenges. Ombudsman Cynthia Gebert said in the regions, "losing connectivity isn't just an inconvenience". "It can mean that they're unable to call for help in an emergency, stay connected for the purposes of farming equipment or just the internet generally and stay in touch with families," she said. Ms Gebert said isolation and a lack of competition meant "the safety risks are more amplified" in the regions compared to similar issues experienced by metro consumers. "That leaves people vulnerable to service failures, technology changes and rising costs." 'Back to the 60s' Common themes identified in the report include significant delays in connections and repairs, confusion around the ability to call Triple Zero in some areas, and onerous requirements around identification and requirements to visit physical stores. Ms Gebert said for many customers, the 3G shutdown in 2024 has also had an ongoing impact. "We heard from some consumers who have gone back to UHF radios, for example, just to make sure that they can continue to have a reliable way of communicating with other people," she said. "There's a quote in there that someone says they feel like they've gone back to the 60s, it's not what you expect in 2026." Other examples included a man who made three separate 350 kilometre round trips in an attempt to purchase a new handset from a store. On two of those occasions he was told beforehand that it was ready to be picked up, which turned out not to be true and as such he was left without a phone. In Western Australia a 90-year-old woman living alone in an area without mobile service reported that her landline, which also supported her medical alarm, was not working. The issue remained unresolved despite multiple attempts to contact her telco, and came at a time when she had a medical emergency and was unable to call for help. "One that really stuck out was a consumer that had to wait five months for a connection after 20 cancelled technician appointments and several appointments that went ahead and failed to connect," Ms Gebert said. "I can't think of many worlds where that would be considered reasonable." 'Root and branch review' recommended In addition to 11 specific recommendations, the report made an overarching key recommendation the federal government "conduct a root and branch review of the telecommunications regulatory framework". Ms Gebert acknowledged there have already been several reviews and reports by various agencies and committees on this issue in recent years, and another one currently being led by the Australian Competition and Consumer Commission. "There is some really good content in those reviews and reports … things that haven't been actioned, that if actioned in a really sensible, not piecemeal, but really sensible way, would deliver improved outcomes for rural, regional and remote consumers," she said. The specific recommendations include ensuring timely access to technicians for installation and repairs, modernising identification requirements, and developing an independent database similar to the US National Broadband Map that shows what services are available in a particular area. The report acknowledged that the federal government is introducing Universal Outdoor Mobile Obligation (UOMO) legislation to mandate minimum mobile service requirements, but suggested it could be improved by strengthening protections and compensation for consumers experiencing unreasonable delays. The Independent Member for Indi, Helen Haines, has been working with the government on amendments to the UOMO bill, including fault rectification time frames, which she said was backed up by the "damning" report. "We know that if you live outside of a metropolitan area you've got to wait longer to get faults repaired and this has direct material implications for people's quality of life and safety," she said. "Things like power backup to mobile phone towers during emergency situations such as bushfires, floods, emergency events is a cause for enormous concern and again needs fixing." Ms Haines said while she "could see a need" for an overarching review there was enough evidence from other reports to push ahead. "I want to see those immediate and urgent recommendations in regard to service delivery and reliability acted on because we've got solutions that could go to that immediately." In a statement a government spokesperson pointed to the UOMO bill it has before parliament, amendments currently with the Senate to make industry codes enforceable, and the Triple Zero Legislative and Regulatory Review that is currently underway. A Telstra spokesperson said they agreed the framework should be reviewed so that it "remained fit for the future". "As demand for connectivity continues to grow, it's important that regulatory settings encourage investment, strengthen resilience and support innovation across the sector," they said in a statement.