Tuesday, 13 October 2020 11:08

Commerce Commission releases rules to safeguard NZ fibre broadband consumers Featured

By

New Zealand’s competition regulator, The Commerce Commission, has released its first set of final decisions on the input methodologies that will apply to fibre fixed line access services, with new rules designed to safeguard consumers of fibre broadband.

The Commission says the input methodologies are designed to incentivise fibre providers to innovate, invest, and improve their efficiency so that consumers receive high quality and affordable broadband services.

Telecommunications Commissioner Tristan Gilbertson said the decision on input methodologies covers core areas including cost allocation, capital expenditure, returns to investors and quality – with a further decision to follow on the Commission’s approach to the financial loss asset on 3 November 2020.

The Commission says that, as with other regulated sectors, the input methodologies are designed to give fibre providers upfront certainty on the regulatory rules, processes and requirements that will be applied to their businesses, while also counterbalancing their incentives to maximise profits at the expense of consumers.

“I am grateful for the extensive engagement we have received from stakeholders as we have moved through this process over the past two years,” Gilbertson said.

“Input methodologies have never been set for fibre networks before – so this has been pioneering work for the Commission and the industry.”

The Commission announced that it will now move into the second and final stage of the process for fibre regulation where it will use the input methodologies framework to set detailed regulatory requirements for each of the regulated fibre networks.

For New Zealand’s largest telco, Chorus, The Commission has said that regulation will take the form of a revenue cap that ultimately constrains the price consumers pay for broadband - with regulation also seting the minimum quality standards Chorus must deliver, including in relation to customer service, service availability and network performance.

Chorus and the other local fibre companies will also be required to publicly disclose information about their performance, including in relation to profits, quality of service and expenditure - enabling stakeholders, including consumers, to gauge how effectively the regulatory regime is promoting the long-term benefit of end-users.

“I look forward to continuing our work with the industry and other stakeholders to lock down these arrangements before the new regime commences on 1 January 2022,” Commissioner Tristan Gilbertson said.


Subscribe to ITWIRE UPDATE Newsletter here

GRAND OPENING OF THE ITWIRE SHOP

The much awaited iTWire Shop is now open to our readers.

Visit the iTWire Shop, a leading destination for stylish accessories, gear & gadgets, lifestyle products and everyday portable office essentials, drones, zoom lenses for smartphones, software and online training.

PLUS Big Brands include: Apple, Lenovo, LG, Samsung, Sennheiser and many more.

Products available for any country.

We hope you enjoy and find value in the much anticipated iTWire Shop.

ENTER THE SHOP NOW!

INTRODUCING ITWIRE TV

iTWire TV offers a unique value to the Tech Sector by providing a range of video interviews, news, views and reviews, and also provides the opportunity for vendors to promote your company and your marketing messages.

We work with you to develop the message and conduct the interview or product review in a safe and collaborative way. Unlike other Tech YouTube channels, we create a story around your message and post that on the homepage of ITWire, linking to your message.

In addition, your interview post message can be displayed in up to 7 different post displays on our the iTWire.com site to drive traffic and readers to your video content and downloads. This can be a significant Lead Generation opportunity for your business.

We also provide 3 videos in one recording/sitting if you require so that you have a series of videos to promote to your customers. Your sales team can add your emails to sales collateral and to the footer of their sales and marketing emails.

See the latest in Tech News, Views, Interviews, Reviews, Product Promos and Events. Plus funny videos from our readers and customers.

SEE WHAT'S ON ITWIRE TV NOW!

BACK TO HOME PAGE
Share News tips for the iTWire Journalists? Your tip will be anonymous

WEBINARS ONLINE & ON-DEMAND

GUEST ARTICLES

VENDOR NEWS

Guest Opinion

Guest Reviews

Guest Research

Guest Research & Case Studies

Channel News

Comments