§ Mr. Doverasked the Secretary of State for Industry what progress he has made towards permitting private sector companies to supply telex teleprinters for connection to the British Telecom telex network in competition with British Telecom.
§ Mr. Kenneth BakerArrangements are well in hand for the drafting of approved standards for single channel voice frequency telex teleprinters. It is expected that these standards will be published in October this year so that manufacturers can be ready to market this new technology apparatus as soon as the BT telex network is ready to accept them. Once the standard is published, any supplier will be able to submit appparatus for testing by the British Appprovals Board for Telecommunications and, if it is 367W approved by the BABT, such apparatus may be supplied for connection to the BT telex network in competition with BT as soon as the network can accept it, probably from mid-1983 onwards.
I have been concerned about the delay in these arrangements, particularly since BT is already supplying several types of 80-volt telex teleprinters manufactured in this country which have been approved by BT for connection to the BT network. My hon. Friend the Member for Maldon (Mr. Wakeham) informed the House on 15 March—[Vol. 19, c. 2.]—that there were various technical difficulties to be overcome before permission could be given for the private sale of this apparatus. I am pleased to inform the House that these difficulties have been overcome.
From 1 July 1982 the three manufacturers of some 80-volt telex teleprinters which have been already approved by BT will be permitted to supply this apparatus in competition with BT. Because of the imminence of the conversion of the telex network it is not intended to approve any additional 80-volt apparatus.
The companies will be required to enter into standard suppliers' agreements with BT to indemnify BT against damage to its network caused by privately supplied equipment. Suppliers will also be required to make arrangements which satisfy BT on the following points:
- —they or their customers will meet the cost of converting privately supplied 80-volt telex teleprinters to SCVF operation when changes to the BT telex network make this convertion necessary; BT will be responsible for approving the convertion units;
- —security of answer back mechanisms;
- —arrangements for the installation, bringing into service and maintenance of privately supplied apparatus.
BT will retain exclusive responsibility for bringing telex teleprinters into service and will provide a clearly identifiable connection point and signalling earth but the private sector will be responsible for installation and maintenance of the apparatus it supplies. BT has made its plans on the basis that private supply would not be permitted until October 1982 and the accelerated introduction of competition means that in the period July to September it may not have the resources to bring into service more than 3,000 privately supplied telex teleprinters.
BT is currently preparing revised tariffs to identify separately the rental charge for lines to telex exchanges and charges for bringing telex teleprinters into service. I have asked BT to construct the new tariff structure in a way that safeguards the principle of fair competition with the private sector.
This is a significant further step towards free competition and the Government expect this to improve the telex facilities available to British industry and commerce. It is up to the private sector firms concerned to seize the competitive opportunity I have opened up to them; they should be aware that British Telecom Enterprises intends to compete vigorously.