TPG Telecom Limited has faced penalties amounting to $75,120 after the Australian Competition and Consumer Commission (ACCC) issued four infringement notices for alleged violations of the Telecommunications Act. The ACCC claims that TPG did not adhere to its joint functional separation undertaking, which is designed to maintain a clear separation between its wholesale and retail operations.

The ACCC's allegations state that from August 31, 2023, to May 22, 2024, TPG failed to implement necessary measures to prevent staff from its wholesale and retail divisions from accessing each other's premises without supervision. This breach occurred on four separate occasions when a senior wholesale staff member was found working unaccompanied in areas where retail staff were present, without adequate security barriers in place.

The purpose of these staff separation obligations is to prevent the sharing of sensitive information that could give TPG's retail operations an unfair advantage over third-party retailers using its Vision Network. Although there was no evidence of actual information sharing, the ACCC noted that the conduct could potentially harm competition in the retail broadband market.

ACCC Commissioner Liza Carver emphasized that this is the first enforcement action taken against a violation of the carrier separation rules, highlighting the authority's commitment to fostering competition in essential services like telecommunications. She reiterated the importance of compliance with these rules to ensure consumer choice and competition in the broadband market.

The ACCC has the power to impose significant penalties for non-compliance, with fines reaching up to $10 million per contravention. The authority has also published guidelines and industry guidance to help telecommunications operators understand their obligations under the carrier separation rules.