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Commission releases revised draft TSO cost

Media Release

Issued 8 November 2006/063

Telecommunications Act: Commerce Commission releases revised draft TSO cost calculation

The Commerce Commission has revised its draft assessment of Telecom New Zealand Limited’s net cost of complying with its telecommunication service obligations (TSO) for the period 1 July 2003 to 30 June 2004.

Interested parties submitted to the Commission on the use of wireless and mobile technologies to supply the TSO. The net result of these submissions has been an increase in the cost calculated by the Commission for supplying the TSO using these technologies
The TSO cost has been assessed as being:

2001/02 / 2002/03 / Draft 2003/04 / Revised Draft 2003/04
$66M / $57M / $41M / $48M

NB 01/02 was a partial year and it has been annualised.

Interested parties have until 30 November 2006 to submit on the revision. A further ten working days will be allowed for cross submissions.

The cost when finalised will be apportioned between Telecom, TelstraClear Limited, WorldxChange Communications Limited, Vodafone New Zealand Limited, CallPlus Limited, Compass Communications Limited, Teamtalk Limited and The Internet Group Limited (ihug) in proportion to their net liable revenues.

A copy of the Commission’s draft determination is available on the website, www.comcom.govt.nz.

ENDS

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