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Consumers Winners Through More Competition

The consumer was continuing to win out through competition in industries such as telecommunications, Prime Minister Jenny Shipley said today at the opening of Clear Communications new premises on Auckland's North Shore.

" The fact is that prices have come down in the telecommunications market – both for domestic and international calls, and Clear has played a very direct part in making that happen.

"The Statistics New Zealand residential telephone service price index shows that prices have declined by on average 3.6 percent per annum in real terms since March 1991.

"At the same time, investment by the industry has gone up with over 6% of GDP over the last decade (excluding smaller Internet providers) is accounted for by the telecommunications industry - $400 million of this by Clear.

"Out of all of this it is the investment in people which is really pleasing. I understand Clear has nearly 1000 staff. These are the people who will provide your future competitiveness. The quality of the physical working space Clear has created as well as the positive environment of the North Shore as a place to work will help keep staff focused and on the ball."

The Prime Minister said that telecommunications was not the only industry where competition has brought prices down – accident insurance and electricity prices are all falling for large numbers of people due to a competitive market, Mrs Shipley said.

ENDS

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