Internet speed

The Telecommunications Industry Ombudsman (TIO) handles complaints about internet speed. Consumers with these complaints claim that the speed of their internet service is intermittently or always slow. Some consumers also claim that the speed their internet service is able to achieve does not equal the speed that their service provider claimed for the service.

Consumers may access the internet using different services, including dial-up, ADSL broadband, cable broadband, wireless broadband, 3G High-Speed Downlink Packet Access (HSDPA) and broadband over powerlines.

How the TIO investigates complaints about internet speed

When we receive a complaint about internet speed, we seek answers to the following questions:

• What type of internet service is involved?
  
  
• Are there are industry regulations that set minimum speeds or benchmarks for the relevant service technology?

Dial-up benchmarks Telstra has agreed to ensure minimum transmission speeds of at least 19.2 kilobits as a condition of its licence agreement as a network carrier. While this condition is not binding on other network carriers, the TIO views it as an industry benchmark. Regardless of which network a customer is connected to, we expect the standard telephone line to be capable of a minimum transmission speed of 19.2 kilobits per second. ADSL benchmarks ACIF Code C559:2006 Unconditioned Local Loop Service (ULLS) Network Deployment (Part 2) sets out Spectral Compatibility Benchmarks for carrier or carriage service providers that use the copper access network to provide DSL.

• Before the consumer purchased the service, what representations did the service provider make about the speed of the service—either directly to the consumer or via advertising or in the terms and conditions of the service?
  
  
• Are those representations based on reasonable grounds?
  
  
• Did the provider advise the consumer of the likelihood of the service achieving the speeds claimed for the service?
  
  
• Did the provider tell the consumer about factors that might affect the speed of the service? If so, when and how?

  Factors that can affect the speed of a service While not all of the following factors are within the control of a service provider, they are known in the industry to limit the speed achieved by a service. Telephone line technology and service quality Distance from the telephone exchange, i.e. the length of copper wire from the exchange The number of, and type of, other services being used over copper pairs in the same cable by other customers The configuration and line quality of the copper wire pair between the exchange and the customer’s premises Electrical interference from outside sources, e.g. electric motors and electric fences The configuration of the copper wiring within the customer’s premises The customer’s hardware or modem The software configuration and application on the customer’s computer, in particular how it uses the uplink back to the exchange The capacity of, load on, and access data rate of the destination host computer which the customer is accessing

• What is the average speed achieved by the customer’s service, what variations in speed has the service experienced, and for what percentage of time is the service able to achieve speeds as represented by the provider?
  
  
• What are the customer’s usage patterns?
  
  
• Has the customer and/or provider tested the service? If so, how did they test the service and what do the test results show?
  
  
• What if any suggestions or instructions has the provider given to the customer about improving the speed of the service? Did the customer act on that information and what was the result?

Note: when considering questions relating to a provider’s representations about the speed of a service, and provision of information about factors affecting the speed of a service, the TIO is guided by the ACCC’s Information Paper Broadband Internet Speed Claims and the Trade Practices Act 1974.

Possible outcomes

If the information the TIO collects indicates that:

• a provider did not base its representations about the speed of a service on reasonable grounds, or
• a provider did not adequately tell the customer about factors that might limit the speed of the service, and/or
• the speed achieved by the customer’s service is consistently lower than the speed advised in the provider’s representations, and no other factors outside the provider’s control significantly affected the speed,

we would generally expect a provider to:

• release the customer from the contract without penalty, and
• refund the cost of any equipment, if the customer returns it in reasonable condition.

In addition, in appropriate circumstances, we may also expect a provider to refund part or all of the service access fees incurred up to the termination of the contract.

The TIO’s jurisdiction does not extend to directing a provider to upgrade infrastructure or make other commercial decisions that would increase the speed of an internet service. Rather, in such circumstances we would consider it fair and reasonable for the consumer to be restored to the position that existed before they applied for a service. In particular, we would seek to ensure that the consumer has not been financially disadvantaged by events.

Next: Acceptable Usage Policies

Last updated: 23 January 2008 (original title Slow Line Speed)