National’s broadband roll out will be ultra-slow

Confirmation today by Minister for Communications and Information Technology Steven Joyce that National’s plans to deliver ultra-fast broadband will take a year to create and a decade to deliver will send shockwaves through the industry, Labour Communications and Information Technology spokesperson Clare Curran said today.

“There are now serious questions about the impact of the government’s dithering on the industry due to loss of confidence and anxiety about which way the government was likely to proceed,” Clare Curran said.

“Before Christmas, Mr Joyce said he would take until the end of January to announce his plans. He has now revealed he has no plan, which confirms Labour’s worst fears.

“Mr Joyce said in the House today it would take one year to consult, six to deliver broadband to schools and businesses and 10 years to deliver broadband to 75% of homes.

“In the meantime, dozens of broadband projects all over New Zealand which were poised to receive millions of dollars in investment through the Broadband Investment Fund are severely compromised or will continue in a reduced fashion.

“This will chill investment and inhibit business and grassroots activity and cause major investors to hold back on ICT development projects.

“It is completely irresponsible to come into government without a proper plan behind a key policy initiative and make the industry wait for a year.

“ICT was one of the few bright sectors underpinned by the Labour Government’s unbundling of the local loop and the operational separation of Telecom.

“But now, in a climate where New Zealand is facing perhaps its worst recession ever, incentives to industry are required right now. Not in a year’s time, let alone 10 years.

“Today’s revelation is a bombshell which will reverberate around the industry,” Clare Curran said.

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