The development of the Republic as an e-commerce centre and competition in the telecommunications sector is being hampered by Telecom Eireann practices, the Association of Licensed Telecommunications Operators (ALTO) claimed yesterday.

Members of ALTO, who include Esat Telecom, OCEAN, Cable and Wireless, MCI Worldcom and NTL, have referred some 15 issues of dispute with Telecom to the Office of the Director of Telecommunications Regulation (ODTR). Operators are heavily dependent on circuits supplied by Telecom for both customer and network connections, and complain that the delivery of leased lines can take up to 12 months.

"Telecom Eireann's practices and behaviour in dealings with other operators are proving an obstacle to investment and the development of competitive telecommunications networks," said Mr Eddie Brennan, chairman of ALTO. Eireann will become a more independent organisation after the recent float and realise that the dominant operator does best when the market grows fastest." However, Telecom refuted charges that it uses its dominant market position to hinder competition. "We are doing everything we can to facilitate new entrants," said Mr Gerry O'Sullivan, the company's director of corporate relations.