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Telecommunications reforms finalised

Stuart Corner | June 2, 2017
Expected to come into force in 2020.

"Giving service providers and network operators a more predictable pathway for the costs we will face from 2020 on will allow us to focus on ensuring we can confidently invest to bring the best of new products, services and innovation to New Zealanders," he said. 

Commenting on the decision not to further regulate the mobile market, Wesley-Smith said: "By global measures New Zealand is very well served by three mobile service providers who compete aggressively on price, speed and coverage. The next challenge for our sector is to extend the next generations of mobile broadband technologies deep into rural New Zealand, where the economics of service delivery are more challenging."


 TUANZ suggestions incorporated

TUANZ CEO, Craig Young said his initial take on the government's announcement was that several of TUANZ's proposals during the earlier stages had been taken up. 

"Today's package confirms most of the details around the post 2020 regulatory environment for fixed lines services," he said. "While the basis of it remains significantly unchanged since previous announcements, there are a number of changes where some of TUANZ concerns have been considered. 

"We are pleased to see that while it does not fully address our concern that the 100Mbps download product will be superseded by faster service even as early as 2020, it is an improvement to see that the anchor product that will be price capped for fibre services has now been defined as an entry level product rather than the most popular." 

He added that TUANZ remained concerned over the deregulation of copper services inside UFB areas, but said it would work with the Commerce Commission on ensuring there were strong consumer protections within any customer migration codes put in place post the deregulation.   

"Rural users will be relying on the copper network for many years to come and so regulation of price and quality of that network as well as the protections under the TSO will remain incredibly important," he said. 

He welcomed the minister's announcement of an independent review of the mobile market. "We have been consistently calling for an independent review of the mobile market to ensure that it is delivering internationally competitive services to New Zealanders, and it is pleasing to see the announcement that the Minister will provide a recommendation to the Commerce Commission that they undertake such a study, albeit of the wholesale part of the market," he said. 

He also welcomed plans to strengthen the Commerce Commission's powers around consumer service and consumer disputes, but said: "There remains significant work that still needs to be undertaken as well as more detail that needs to be developed in the substantive parts of the proposal. There are other changes made that need to be considered such as the impact of removing the restrictions on Chorus relating to layer 2 and end to end services."

Source: Computerworld NZ


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