(1) This section applies to a service supplied by Australia Post (a bulk interconnection service ) under which bulk quantities of letters are delivered within Australia at reduced rates provided that:
(a) they are lodged at an office of Australia Post specified as mentioned in paragraph (2)(a); and
(b) they have, before being lodged, been sorted in accordance with the terms and conditions of the service.
(2) The terms and conditions of a bulk interconnection service must:
(a) specify the offices of Australia Post at which letters must be lodged for delivery under the service; and
(b) allow letters to be lodged for delivery under the service at any office so specified; and
(c) provide for the rate reduction mentioned in subsection (1) to include a component that is Australia Post's estimate of the average transport costs per letter avoided by Australia Post in respect of letters lodged for delivery under the service.
(3) The terms and conditions of a bulk interconnection service are not required to be limited to the matters mentioned in this section.