Document ID: chunk:federal_register_of_legislation:F2023C00244:body:0:p14
Version: federal_register_of_legislation:F2023C00244
Segment Type: other
Provision Reference: 
Character Range: 42344–46034

First Carrier has reasonable concerns that the Second
           Carrier:

              (i)  is not creditworthy; and/or

              (ii)  has repeatedly failed to comply with the terms and
              conditions on which the same or similar access has
              been provided (whether or not by the First Carrier); then

           the Carriers must comply with the following provisions,
           as appropriate:

              (a)  The First Carrier must provide the following information
              to the Second Carrier if the First Carrier has reasonable
              concerns as specified in sub-clause 4.3(1)(i):

                (i)  specific evidence as to why the First Carrier believes
                the Second Carrier would not be able to meet
                its financial obligations with respect to access;

                (ii)  any independent supporting evidence of that
                position; and

                (iii) any other relevant information.

              (b)  The First Carrier must provide the following information
              to the Second Carrier if the First Carrier has reasonable
              concerns as specified in sub-clause 4.3(1)(ii):

                (i)  written evidence of any previous failures by the
                Second Carrier to comply with terms and conditions
                of which the First Carrier is aware;

                (ii)  a written description of the Eligible Facility to which
                the previous failure relates; and

                (iii) any other relevant information.

              (c)  A First Carrier making an assessment of creditworthiness
              for the purpose of sub-clause 4.3(1)(i) must not take into
              account amounts outstanding for access or services
              previously provided by the First Carrier to the Second
              Carrier where, in accordance with the terms and
              conditions governing the provision of such access
              or services, the Second Carrier is not required to pay
              such amounts (including a temporary suspension of the
              obligation to pay) to the First Carrier to the extent that
              there is a bona fide dispute in relation to the amounts
              outstanding by the Second Carrier to the First Carrier.

              (d)  If the First Carrier has reasonable concerns as set out
              in sub-clause 4.3(1)(i) and 4.3(1)(ii) it must, as soon
              as reasonably practicable, discuss and make reasonable
              endeavours to resolve those concerns with the Second
              Carrier.

           (2)  The parties must consider whether Financial Security
           Requirements are necessary to overcome the First Carrier's
           concerns to enable that Carrier to agree on the terms
           of access.

           (3)  The Financial Security Requirements (including the type and
           quantum) required by the First Carrier must be proportionate
           to the type and quantum of access to an Eligible Facility,
           having regard to:

              (i)  the creditworthiness information provided by the
              Second Carrier and legitimately acquired by the First
              Carrier
              in respect of the Second Carrier;

              (ii)  the Forecast Information provided by the Second Carrier
              and, accordingly, the likely credit to be provided by the
              First Carrier to the Second Carrier;

              (iii) the Second Carrier's previous record of payment,
              whether with the First Carrier or not, in respect of the
              supply of