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

 

Survey Launched To Help Commission Promote Competition In Telecommunications Markets


The Commerce Commission has launched an online survey to help telecommunications stakeholders have their say on the next phase of regulation for fibre service providers.

It follows the Commission finalising the key regulatory rules, requirements and processes (known as input methodologies) for the new regulatory regime. These rules apply to Chorus and local fibre companies Enable Networks, Northpower Fibre and Ultrafast Fibre which supply wholesale inputs to retailers.

“Now the rules underpinning the regime are finalised, we want to hear from stakeholders as we work to set a revenue cap and minimum quality standards for Chorus and information disclosure requirements for all providers,” Telecommunications Commissioner Tristan Gilbertson says.

“In particular, we want to hear from wholesale customers of fibre networks about the key risks they think may lead to a lessening of competition in wholesale and retail telecommunications markets, as well as key opportunities to promote competition.

“We also want to hear what role sunlight regulation and Chorus’ price-quality path will have in mitigating risks or seizing opportunities to promote workable competition in telecommunications markets for the long-term benefit of end-users.”

The Commission expects the survey will give it a better-informed view on the extent to which the promotion of workable competition in telecommunications markets is relevant to setting the revenue cap and minimum quality standards for Chorus and information disclosure requirements for all providers. This will assist the Commission to set the next phase of regulation consistent with its obligations under the Telecommunications Act.

The information disclosure requirements will apply from January 2022 and the first price-quality path for Chorus will apply for the period January 2022 until the end of 2024.

The survey and companion paper are available here. Stakeholders can also submit a written submission via our online submission form here. Submissions close on 25 February 2021.


Background

The Government’s Ultra-Fast Broadband Initiative aims to achieve fibre-to-the-premises to 87% of the population (including 1% private fibre) by 2022. Rural areas of New Zealand are covered by the separate Rural Broadband Initiative. These new fibre networks will provide faster and more reliable voice and broadband internet services to consumers.

The Government’s Crown Infrastructure Partners contracted with four companies to build these fibre networks: Chorus and three local fibre companies – Enable Networks, Northpower Fibre, and Ultrafast Fibre.

Under the new regulatory regime in Part 6 of the Telecommunications Act (the Act), all four fibre service providers will be required to publicly disclose information about their performance, such as on their costs, prices, profitability, revenue, and capital expenditure. This is intended to shine a light on their performance for stakeholders and consumers. This is referred to as information disclosure (ID) regulation.

Additionally, the Commission will set the maximum revenue that Chorus can earn from its customers and the minimum quality standards it must meet. This is referred to as price-quality (PQ) regulation. 
 

© Scoop Media

 
 
 
Business Headlines | Sci-Tech Headlines

 

Paymark: Lockdown Equals Slowdown For Some

The three days of lockdown for Auckland earlier this month made a clear impression on our retail spending figures. While only Auckland moved into Level 3 lockdown, the impact was felt across the country, albeit at different levels. Looking at the ... More>>

Infrastructure Commission: Te Waihanga Releases Report On Water Infrastructure

The New Zealand Infrastructure Commission, Te Waihanga’s latest discussion document highlights the importance of current reforms in the water sector. Its State of Play discussion document about water infrastructure is one of a series looking at the ... More>>

Sci-Tech: Perseverance Rover Lands On Mars – Expert Reaction

NASA has landed a car-sized rover on the red planet to search for signs of past life. The vehicle has more instruments than the four rovers preceding it, and it’s also carrying gear that could help pave the way for human exploration of Mars. The ... More>>

ALSO:


ASB: Quarterly Economic Forecast Predicts OCR Hike As Early As August 2022

Predictions of interest rate rises have been brought forward 12 months in ASB’s latest Quarterly Economic Forecast. Chief Economist Nick Tuffley now expects the RBNZ to begin raising the OCR from its current level of 0.25% as early as August ... More>>

ACT: Matariki Almost A Half Billion Dollar Tax On Business

“Official advice to the Government says an extra public holiday at Matariki could cost almost $450 million,” ACT Leader David Seymour can reveal. “This is a perfect example of the Prime Minister doing what’s popular versus what’s responsible. ... More>>

Genesis: Assessing 6,000 GWh Of Renewable Generation Options For Development By 2025

Genesis is assessing 6,000 GWh of renewable generation options for development after starting a closed RFP process with 11 partners. Those invited to participate offer a range of technologies as Genesis continues to execute its Future-gen strategy to ... More>>

OECD: Unemployment Rate Stable At 6.9% In December 2020, 1.7 Percentage Points Higher Than In February 2020

The OECD area unemployment rate was stable at 6.9% in December 2020, remaining 1.7 percentage points above the level observed in February 2020, before the COVID-19 pandemic hit the labour market. [1] In December, the unemployment rate was also stable ... More>>

Stats NZ: Unemployment Drops To 4.9 Percent As Employment Picks Up

The seasonally adjusted unemployment rate dropped to 4.9 percent in the December 2020 quarter, from 5.3 percent in the September 2020 quarter, Stats NZ said today. Last quarter’s unemployment rate of 5.3 percent followed the largest increase observed ... More>>