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

 

Parliament Today:

Werewolf: The Defence Pretence

Last year, the world began spending more money on weapons again, for the first time since 2011... New Zealand belongs to a region – Asia and Oceania – where military spending rose sharply in 2015, by 5.4 per cent. More>>

ALSO:

Gordon Campbell: On Not Crying Foul, Argentina

So a couple of guys found to be criminally liable of environmental pollution in Argentina lodge an application with the Overseas Investment Office… in order to buy some prime New Zealand rural land. Seems that their factory back home had carelessly and/or intentionally discharged toxic waste into the Lujan river. Bummer... More>>

ALSO:

Urban & Rural: $303m To Merge And Modernise New Zealand’s Fire Services

Internal Affairs Minister Peter Dunne today announced funding of $303 million over five years to combine urban and rural fire services into one organisation from mid-2017. More>>

ALSO:

High Trust Regime: What Did The PM Tell His Lawyer About Foreign Trusts?

The Government stopped the IRD from reviewing New Zealand foreign trusts shortly after the Prime Minister’s lawyer wrote to the Revenue Minister claiming John Key had promised him the regime would not be changed. More>>

ALSO:

Road Crime: Wicked Campers Vans Classified As Objectionable

The definition of publication includes any "thing that has printed or impressed upon it, or otherwise shown upon it, 1 or more (or a combination of 1 or more) images, representations, signs, statements, or words", The Classification Office has previously classified such 'things' as billboards, t-shirts, and even a drink can. This is the first time the Classification Office has classified a vehicle. More>>

ALSO:

'When New' Repairs: Landmark EQC Settlement

The Earthquake Commission has cut a deal with 98 Canterbury homeowners that affirms the government entity's responsibility to repair earthquake-damaged property to a 'when new' state, as well as covering repairs for undamaged parts of a property and clarifying its position on cash settlement calculations. More>>

ALSO:

Gordon Campbell: On Kiwirail’s Latest Stint In The Dogbox

The denigration of Kiwirail continues. The latest review (based on a 2014 assessment) of the options facing the company have enabled Kiwirail to be hung out to dry once again as a liability and burden on the taxpayer. More>>

ALSO:

Royal Society Report: Good Opportunities To Act Now On Climate Change

There are many actions New Zealand can and should take now to reduce the threat of climate change and transition to a low-carbon economy, a report released today by the Royal Society of New Zealand finds... More>>

ALSO:

Get More From Scoop

 

LATEST HEADLINES

 
 
 
 
 
 
 
 
 
Parliament
Search Scoop  
 
 
Powered by Vodafone
NZ independent news