Sony (actually, Playstation has their own entire division, run as a separate entity. Sony Central knew nothing about how PS maintenance was handled. George, they gave me the exact same 1300 phone number) are quite happy to service and/or replace my PS3. Because it's a 60GB (and therefore (loosely) "compatible" with PS and PS2 games), and of course, 60GB models are no longer commercially available, they will replace my PS3 with a "remanufactured unit of same specification, of similar age and condition". Alternatively, they will service repair my unit.
They will probably do the former (since it's less hassle for them), in which case, I'll have a replacement in 20-25 working days from receipt of my PS3. If they repair instead of replace, it will be 6-8 weeks. Either way, I'll be without PS3 for at least a month.
And yes, it's out of warranty (I bought it second-hand 4 months ago), therefore "outside of warranty fees will apply".