Dead on Lil Skater.
You need to repair it. I had this conversation with the RTA about a month ago. If there is no TV point at all, and never has been - you do not need to install one for a tenant. If there is a socket in the wall that doesn't work, (either it's broken or has never worked) - then you need to rectify. If the socket is there, the assumption is that it is in working condition.
I wouldn't rent a property in which I couldn't watch tv - and if someone told me that it was just a dummy, or not working and to deal with it - I'd be annoyed.
Same thing goes with other appliances - like air conditioners, dishwashers etc. One of out clients has been challenged recently by new tenants for not repairing 20 year old air conditioners that haven't worked for years. Even though it was advertised with no air-con, the fact that they were visible in the photos and at the inspection was cause enough to force the owner to replace them.
And just FYI - the RTA have told me before that in new buildings, the owners must supply an operable phone line for safety of the tenants. Most new buildings have the sockets but the builders don't connect them to anything - and the owners have to pay Telstra to come and connect.
Matt