Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

Consumers subsidise ultra fast broadband rollout

Media release: Consumers subsidise ultra fast broadband rollout


Consumers will not benefit from lower prices for their copper broadband services under proposals announced today by the Government to overrule the independent regulator's draft pricing.

Consumer NZ is most concerned a discussion document released today by Telecommunications Minister Amy Adams on pricing for wholesale ultra-fast broadband (UFB) and copper contained three options, all of which would see the price of copper much higher than the Commerce Commission is recommending.

"Not only is this bad news for consumers who will now be further subsidising the rollout of UFB, it is also particularly concerning that the Government would over-rule the Commerce Commission, which is supposedly the independent regulator", said Consumer NZ CEO Sue Chetwin.

The roll-out of UFB was meant to compete with copper services so that consumers would have choice. That choice would be for cheaper copper and slower services or more expensive UFB with better quality and faster services on offer.

"However, the Government has succumbed to pressure from Chorus, which successfully tendered for most of the country's UFB roll-out and was planning to use high copper prices to pay for it", Chetwin said.

"Effectively today's announcement means ordinary New Zealanders will be subsidising Chorus and its shareholders."

Consumer NZ will be joining Internet NZ and the Telecommunications Users Association in opposing the proposals.


ENDS


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Super Fund/Canada Bid v NZTA: Tow Preferred Bidders For Auckland Light Rail

The two preferred delivery partners for Auckland light rail have been chosen and a final decision on who will build this transformational infrastructure will be made early next year, Minister of Transport Phil Twyford announced. More>>

ALSO:

9.3 Percent: Gender Pay Gap Unchanged Since 2017

“While it has remained flat since 2017, the gender pay gap has been trending down since the series began in 1998, when it was 16.2 percent,” labour market statistics manager Scott Ussher said. More>>

ALSO:

Ex-KPEX: Stuff Pulls Pin On Media Companies' Joint Ad-Buying Business

A four-way automated advertising collaboration between the country's largest media companies is being wound up after one of the four - Australian-owned Stuff - pulled the pin on its involvement as part of a strategic review of its operations ... More>>

Bus-iness: Transdev To Acquire More Auckland And Wellington Operations

Transdev Australasia today announced that it has agreed terms to acquire two bus operations in Auckland and Wellington, reaching agreement with Souter Investments to purchase Howick and Eastern Buses and Mana Coach Services. More>>

ALSO: