Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search


National acts for its Chorus mates, not Kiwis

National acts for its Chorus mates, not Kiwis

National has given its mates at Chorus a huge windfall by proposing to keep the price of copper broadband at the more expensive level of fibre broadband, Labour’s Communications and IT spokesperson Clare Curran said today.

“Amy Adams’ announcement today is outright government interference. It is price-fixing to suit its mates at a cost to consumers. She has essentially let Chorus set the price for copper broadband so that their fibre broadband is not undercut. Her decision today could breach international law and certainly breaches New Zealand’s regulatory framework.

“Amy Adams is proposing that copper broadband is charged at an equivalent price to fibre broadband, despite the Commerce Commission last year recommending that copper should be $12 a month cheaper.

“Chorus was furious with the Commerce Commission and that’s when Amy Adams climbed in and launched an inquiry as a delaying tactic.

“Now instead of the Commerce Commission setting the price, it has been side-lined and Chorus and the Government are in charge. It’s Kiwis that are paying the price. John Key promised to change the law if necessary back in December to bail out Chorus. Amy Adams is now delivering on that promise.

“This is an incredibly bad precedent. The ultra-fast broadband rollout was a public-private partnership with Chorus. But as soon as conditions change Chorus is able to renegotiate the contract.

“It’s the private company wearing the pants in this partnership.

“The price of copper broadband should be set by the Commerce Commission as an independent regulator. That way Kiwis can have faith in the system. It was working well and Kiwis were set to save $12 a month before Amy Adams stepped in.

“Even if the Commerce Commission ultimately sets the copper price, they are only allowed to do it on Amy Adams’ terms. Under GATT, global best practice requires separation between the investor and the regulator. National is acting as both.

“Labour is utterly opposed to the casual disregard for the regulatory process and favouring a private company over consumers.

“There are serious questions for the Government to answer about what benefits Chorus will reap from this intervention and whether profits will end up in overseas investors’ pockets,” says Clare Curran.


© Scoop Media

Parliament Headlines | Politics Headlines | Regional Headlines


Minister of Finance: Plan Shows $100 Billion Infrastructure Projects

Finance Minister Bill English has today launched the Government’s Ten Year Capital Intentions Plan (CIP) which shows a pipeline of $100.9 billion worth of infrastructure projects over the next decade. More>>


Werewolf: Safe Landings Gordon Campbell on the safety challenge to the Wellington runway extension.

The safety-related legal challenge revolves around the size of the 90 metre long Runway End Safety Area (RESA) being proposed for the runway extension. More>>


Environment Commissioner: We Need To Work Together On Climate Change And Farming

“The debate around agricultural emissions and the ETS has been polarised for too long,” said the Commissioner. “But the ETS is not the only way forward – there are other things that can be done.” More>>


NZ Super Fund: Seeking To Put A Market Price On Climate Change

Oct. 19 (BusinessDesk) - The New Zealand Superannuation Fund says it will devise a set of rules to assess investment winners and losers under climate change, a strategy that could rule out fossil fuels or producers such as current portfolio member Exxon ... More>>


Rejuvenation: Parata Will Not Contest 2017 Election

Education Minister and National List MP Hekia Parata has today announced that she will not be contesting the next election. She advised the Prime Minister of her decision earlier this year. More>>

Prisons Grow: Government Approves Plans For Increased Prison Capacity

Despite significant progress in reducing crime the number of prisoners has increased faster than projected. This is because the proportion of offenders charged with serious crimes has risen, meaning more people are being remanded in custody and serving more of their sentences in prison. More>>


Gordon Campbell: On Plastic Bag Activism, And Street Harassment

Amusing to see the Act Party experiencing another outbreak of young fogey-ism. What has aroused the ire of Act Leader David Seymour this time is the introduction of a Greens private members bill to the ballot process, calling for a 15 cents levy on plastic bags to reduce pollution. More>>


Unclear Weapons: US Navy Ship Cleared To Visit NZ For Navy's 75th

United States Navy ship, the USS Sampson, has been given clearance to visit New Zealand next month by Prime Minister John Key... “The process for considering the visit by the USS Sampson is the same as that used for all ships attending the International Naval Review." More>>


Get More From Scoop



Search Scoop  
Powered by Vodafone
NZ independent news