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Local Residential Telephone Service Quality Measures

11. The local residential telephone service quality measures agreed between the Crown and Telecom and referred to in this Deed are as follows:

11.1 Line connect speed capacity for standard Internet calls

The measures (which apply for standard Internet calls from and after the second anniversary of the commencement date) are:

1. 95% of all existing residential lines meet the 14.4 kps connect speed;
2. 99% of all existing residential lines meet the 9.6 kps connect speed.

For the purposes of assessing Telecom's performance against these measures:

3. an inability for an existing residential line to reach the kps connect speed measure arising from an event of force majeure or a specified matter beyond Telecom's reasonable control is to be disregarded;
4. the measurement will consist of the application of a calibrated model to the installed local access plant records held by Telecom.

11.2 Additional connect speed measures

In addition, in any event, from the commencement date, connect speed will be generally maintained to the normally achievable connect speed of:

1. in the case of existing residential lines, existing residential lines as at the commencement date; and
2. in the case of existing residential lines that are altered or replaced by Telecom ("altered lines"), such altered lines as at the date of such alteration or replacement, as applicable.

In meeting its obligation, Telecom is only obliged to act as a reasonable and prudent telecommunications service provider with:

3. comparable network characteristics;
4. a comparable physical and legal environment; and
5. comparable telecommunications service obligations,

would act.

In assessing whether these measures under this clause 11.2 of this Schedule are being met, the following matters will be taken into account:

6. whether the lines are being maintained to a standard consistent with then applicable internationally acceptable norms;
7. whether lines are being altered or replaced in a way that reflects the efficient management and evolution of the access network and associated services;
8. the range of capabilities of dial up Internet service data modems generally available and in use at the commencement date; and
9. that events of force majeure and specified matters beyond Telecom's reasonable control which impact on connect speed will be disregarded.

For the avoidance of doubt, nothing in clause 11.2 of this Schedule guarantees that the connect speed of any particular existing residential line will be maintained at:

10. the normally achievable connect speed of other existing residential lines; or
11. the connect speed that applied to that line at the commencement date.

11.3 Unsuccessful standard residential call attempts that under normal conditions cannot terminate as a percentage of total standard residential call attempts.

The measures are:

1. not in excess of a 1% average for non-NSBC linked call attempts; and
2. not in excess of a 2.5% average for NSBC linked call attempts;

computed nationally on a yearly basis for each year ended on the anniversary of the commencement date.

For the purposes of assessing Telecom's performance against these measures, unsuccessful call attempts arising from:

3. an event of force majeure or a specified matter beyond Telecom's reasonable control; or
4. an outage in an access network;

are to be disregarded.

11.4 Unsuccessful standard Internet call attempts that under normal conditions cannot terminate as a percentage of total standard Internet call attempts.

The measures are:

1. not in excess of a 1% average for non-NSBC linked call attempts; and
2. not in excess of a 2.5% average for NSBC linked call attempts;

computed nationally on a yearly basis for each year ended on the anniversary of the commencement date.

For the purpose of assessing Telecom's performance against these measures, unsuccessful call attempts that cannot terminate arising from:

3. an event of force majeure or a specified matter beyond Telecom's reasonable control; or
4. an outage in an access network;

are to be disregarded.

11.5 Whole minutes of Telecom complete switch downtime for standard residential calls.

The measure is that the number of minutes of Telecom complete switch downtime for standard residential calls is no more than an average of 50 minutes per existing residential line per annum, computed on a yearly basis for each year ended on the anniversary of the commencement date.

For the purposes of assessing Telecom's performance against this measure:

1. outages, including those arising from loss of links to remote line units due to bearer failure, are to be treated as complete switch downtime (except where (b)(i), (ii) or (iii) below apply);
2. the following are to be disregarded:
1. downtime arising from an event of force majeure or a specified matter beyond Telecom's reasonable control;
2. downtime arising from an outage in an access network; and
3. partial outages (for example, failure of a part of the exchange or failure of some calls routed via the exchange);
3. the assessment is weighted by the number of lines affected so as to give an average national measure;
4. exchanges that switch only toll and international calls will not be included in the assessment.

11.6 111 calls that under normal conditions are answered by the 111 National Service Centre within 15 seconds.

The measure is greater than 85% of calls answered within 15 seconds, computed on a yearly basis for each year ended on the anniversary of the commencement date.

For the purpose of assessing Telecom's performance against this measure, calls that are not answered within 15 seconds as a result of the effects of:

1. an event of force majeure or a specified matter beyond Telecom's reasonable control; or
2. an outage in an access network;

are to be disregarded.

11.7 Whole minutes of complete 111 National Service Centre downtime that arise from reconfigurations in Telecom's network.

The measure is no more than 120 minutes per annum, computed on a two year rolling average basis for each year ended on the anniversary of the commencement date. For the first computation, data from the first year after the commencement date and the year prior to the commencement date will be used to calculate the two year rolling average.

For the purposes of assessing Telecom's performance against this measure, downtime as a result of the effects of an event of force majeure or a specified matter beyond Telecom's reasonable control is to be disregarded.

11.8 Whole minutes of complete 111 National Service Centre downtime that do not arise from reconfigurations in Telecom's network.

During the first two years from the commencement date, Telecom will collect data regarding 111 National Service Centre downtime that does not arise from reconfigurations in Telecom's network. Telecom will provide the Crown with a summary of this information. The parties will use this information with the aim of establishing a residential telephone service quality measure for whole minutes of complete 111 National Service Centre downtime that do not arise from reconfigurations in Telecom's network, which is to apply from the second anniversary of the commencement date.