Telstra subsidiary Sensis has launched a new Australian online auction site aimed squarely at eBay, amid the furore over eBay Australia’s controversial new insistence that most future payments can be made only by eBay’s PayPal system.

Telstra subsidiary Sensis has launched a new Australian online auction site aimed squarely at eBay, amid the furore over eBay Australia’s controversial new insistence that most future payments can be made only by eBay’s PayPal system.

Sensis CEO Bruce Akhurst claimed Australian users are “up in arms” over eBay’s decision to insist on PayPal payments, and said the Sensis service would offer ” a broad range of payment options”.

Those options will include PayPal ­ but also COD, direct bank deposits, money orders or cheques

The online auctions will be conducted under Sensis’s Trading Post banner, providing a new line of revenue to the Trading Post titles, which Telstra acquired in 2004 for more than A$600 million.

In another bid to differentiate itself from eBay, the site will list auction items for free. ” You only pay a fee if you sell your item,” Akhurst promised.

He added: “Introducing auctions opens up enormous opportunities for us to accelerate our growth online and capture a significant new market of buyers and sellers _

“We now offer a strong local alternative to eBay ­ one that lets you choose payment options and provides terrific value for money.

“Australian businesses that make their living trading online are screaming out for a way to trade online in which they have more control over how they do business. Trading Post has been listening closely and is now providing auctions with a broad range of payment options.”

Phil Leahy, president of Australia’s Professional eBay Sellers Alliance, said he was pleased Trading Post was providing a “more flexible environment and more affordable alternative”.