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

 


Chorus stitch-up a backdoor bailout

Clare

CURRAN

Associate ICT Spokesperson

11 March 2014 MEDIA STATEMENT
Chorus stitch-up a backdoor bailout

The Government has today strengthened Chorus’ monopoly in the fibre rollout and effectively handed it a backdoor bailout with taxpayer’s money, Labour’s associate ICT spokesperson Clare Curran said today.

“Yet another dodgy deal has been stitched up today. Chorus is under financial pressure after the Commerce Commission’s ruling on the price of copper broadband. Crown Fibre Holdings was told to flesh out a deal with Chorus. The result has been a backdoor bailout.

“Chorus is now able to use the normal fibre infrastructure it already has in place to count as connections to customers with UFB without actually rolling out UFB. The company gets a progress payment for every customer connection so Chorus now has a significant new revenue stream without doing any work.

“This is a bailout in all but name. It will also have a serious impact on competitors such as CityLink in Wellington, Unison Fibre in Napier and Network Tasman in Nelson.

“Someone’s got to be held accountable. Is it Chorus, Crown Fibre Holdings or the Minister? Maybe it’s all three.

“And Chorus is now being allowed to charge developers a fee to connect fibre to greenfields developments, which will lead to a rise in housing costs and is a watering down of the original contract and the Government’s intentions.

“It shouldn’t be Kiwi consumers who pay the price of incompetence and secret negotiations which have stuffed up a major infrastructure rollout,” says Clare Curran.

© Scoop Media

 
 
 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

 

Gordon Campbell: On The Ombudsman’s Verdict On Paula Rebstock And Ian Rennie

Unfortunately, the brave and damning report by Ombudsman Ron Paterson on the “flawed” and “unfair” inquiry conducted by Dame Paula Rebstock into events at MFAT pulls back the veil on a far wider issue. More>>

ALSO:

Charities' Report: Stressed Families - Overstretched Services

“Like so many of the whānau and families they serve social service organisations are under huge financial stress. The support demanded from desperate people in communities is far outreaching the resources available.” More>>

ALSO:

Detention: Wellingtonians Protest Treatment Of Refugees

Peace Action Wellington (PAW) and around 50 Wellingtonians blockaded the Australian High Commission, creating a symbolic detention centre to protest the Australian Government's policy of mandatory offshore detention for refugees and asylum seekers. More>>

ALSO:

Diver's Alarums: Breach Means Training Provider Must Repay $1.47 Million

The New Zealand School of Outdoor Studies is to repay $1.47 million (GST-exclusive) to the Tertiary Education Commission (TEC) following an investigation which showed that some student enrolments between 2009 -2014 could not be validated and that courses were under-delivered against their agreement with the TEC. More>>

ALSO:

Education: Government Plans Suggest Bulk Funding Return

Plans by the Government to return to bulk funding are likely to see increased class sizes and schools most in need missing out on much-needed resources, Labour’s Acting Education spokesperson Grant Robertson says. More>>

ALSO:

Interim Report: Auckland Looks Long Term To Pay-Per-Km Road Pricing

Aucklanders can expect to be paying variable rates per kilometre to travel on the city's most congested roads under an emerging transport strategy being formulated by the government and the Auckland Council. More>>

ALSO:

Despite Promises: Government Extends Iraq Deployment

Cabinet has agreed to extend New Zealand’s contribution to the joint New Zealand-Australia mission to train Iraqi Security Forces until November 2018. More>>

ALSO:

On The 'Terrorism' Card:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news