Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 

NZ Business Reputation At Risk

NEWS RELEASE 14 OCTOBER, 2001


NZ Business Reputation At Risk

The handling of changes to telecommunications law is becoming a significant issue in the information communications technology (ICT) sector.

The Executive Director of the Information Technology Association of New Zealand (ITANZ), Mr Jim O’Neill, said today there was a good deal of disquiet among ICT companies that the government planned to reverse specific assurances that it would not regulate the mobile telephone market.

“Commercial investment judgements during the radio spectrum auction process and subsequently during the development of cellular networks were made on the basis of Government assurances that there would be no regulation and that normal commercial practices would be followed.

“Advice of the Ministry of Economic Development was that the costs of regulating national roaming between competing mobile phone companies would outweigh the benefit of regulation.

“Now, however, the Government has signalled its intention to bring in an amendment to Parliament providing for regulation of the market.

“ITANZ regrets that the Minister of Information Technology has found it necessary to announce such action. We look forward to an explanation from him of the reasons for this action, bearing in mind that he has always shown high regards for principles of natural justice, respect for property rights and due process.

“Overseas companies investing in New Zealand must be in a position to know that when assurances are given by a Government of the day these assurances will be honoured, or will be amended only when there is an extremely compelling and acceptable reason for doing so. This is particularly important for ICT companies that are considering making investments here.

“One of New Zealand’s significant assets is perceptions abroad that it is a western nation where the rule of law, property rights and due process are upheld. Any threat to this perception must be treated extremely seriously.

“It is particularly disturbing that, according to the Minister of Finance, the Government was convinced to change its mind after evidence was presented in secret to the Commerce Select Committee of Parliament. That this evidence was presented by a company with competitive interests in the mobile market added to concerns about processes being followed.

“Care must be taken that the manner of entry of new players into the mobile telephone market is achieved without any loss of New Zealand’s reputation internationally as a nation that respects property rights and due process.

“Regulation in itself is a legitimate tool of government. But regulation contrary to previous assurances raises questions, particularly when a practicable and workable code of practice for all players in the market might well be an acceptable alternative to all parties

“ITANZ will seek discussions with the Government on the issue.”

Ends


For further information:
Jim O’Neill
Executive Director, ITANZ
Tel: (04) 472-2731 or 025-249-5657


© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 


Serious Fraud Office: Commences Enquiries Into Allegations Of COVID-19 Wage Subsidy Fraud
The Serious Fraud Office has commenced a number of enquiries into alleged abuse of the Government’s COVID-19 Wage Subsidy. Director Julie Read said the allegations relate to multiple complex cases of potential fraud that have been referred to the agency following extensive investigations ... More>>



Environment: Preliminary Environmental Data On New Zealand’s Air Quality Released Today

The Ministry for the Environment and Stats NZ have published the Our air 2021: preliminary data release today. We are currently working to revise the Our air 2021 report to incorporate analysis of the World Health Organization (WHO) 2021 air quality guidelines that were released on 23 September 2021... More>>


Statistics: Food Prices Rise For Sixth Consecutive Month
Food prices rose 0.5 percent in September 2021 compared with August 2021, mainly influenced by higher prices for grocery food and meat, poultry, and fish, Stats NZ said today. September’s movement is the sixth consecutive monthly rise. After adjusting for seasonality, prices rose 0.9 percent... More>>



Reserve Bank: Robust Balance Sheets Yield Faster Economic Recovery

Stronger balance sheets for households, businesses, financial institutions and the government going into the pandemic contributed towards maintaining a sound financial system and yielding a faster economic recovery than following previous deep recessions... More>>


Transpower: Releases Independent Report Into Events Of August 9
Transpower’s Chief Executive Alison Andrew has today released an independent report into the grid emergency of August 9 when insufficient generation was available to meet demand, leading to some customers being disconnected... More>>

Bayleys: Latest Lockdown Adds Further Fuel To Industrial Property Market

The recent construction shutdown resulting from Auckland’s Covid 19’s lockdown restrictions has put additional pressure on an industrial property market that is already struggling to keep pace with demand... More>>