Telecommunications framework a win for consumers

Media statement

Wednesday, 04 October 2000

Telecommunications framework a win for consumers and the industry, says CLEAR

The Ministerial Inquiry into Telecommunications' recommendations for reform are pro-competition and pro-business, says CLEAR Communications.

Corporate Development Director Rhoda Holmes today welcomed the Inquiry's final report, saying its proposed framework for telecommunications would benefit both the industry and its consumers.

"It is a balanced and realistic model that gives us a set of rules and a referee, so all players can get on with the job of competing on an even footing," said Mrs Holmes.

"The Inquiry's research suggests consumers stand to save $328million each year from increased competition. That's a payoff for every business and home in the country, and a marvellous return on a projected $1.5million investment in a commercially-sensitive industry framework."

CLEAR welcomed the Inquiry's focus on light-handed regulation. The proposed model gave the industry plenty of room to settle issues by commercial negotiation, and recommended a lean, low-cost administrative structure.

Also welcome were recommendations that would vastly improve competitive access to the nation's local network. In particular, cost-based interconnection would put downward pressure on retail prices and would pave the way for increased competition.

Mrs Holmes also endorsed the Inquiry's proposal on the deferred designation of number portability, which is a critical facility for any consumer wanting to change suppliers. This proposal would give the industry time to get its house in order, and sent a signal that consumers should not wait forever for true portability.

ENDS

For further information contact Ross Inglis Public Affairs Manager CLEAR Communications Ph: (09) 912 4400 Office Ph: (021) 636 228 Mobile

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