Summary of ICT Policy Initiatives

Schedule 3 Mobile Roaming Investigation

The Commerce Commission has announced that it intends to commence a Schedule 3 investigation into whether regulation of the national mobile roaming service should be extended to include price.

Recommendation to Regulate Mobile Termination Prices

The Commerce Commission has released its draft report recommending that the mobile termination prices should be regulated.

Sub-loop decision Released

The Commerce Commission has released its decision on the price and non-price terms on which Telecom must make the unbundled sub-loop services available to other telecommunications providers.

Change to Telecom’s operation separation undertakings

Communications and Information Technology Minister Steven Joyce has approved a variation to Telecom's operational separation undertakings, which came into force in March 2008.

Budget kick starts broadband investment

Budget 2009 has allocated $290 million for the 2009/10 financial year for the initial implementation of ultra-fast broadband. The government has committed to $1.5 billion over 10 years to rollout ultra-fast broadband.

School broadband given boost in Budget

Budget 2009 gives a $34 million boost for school access to high-speed broadband.  The funding means schools will have access to an 80 percent government subsidy to upgrade their networks if they are not ready to take advantage of high-speed broadband.

New Spectrum Allocations Proposed for New Technologies
A discussion paper seeking input into a proposed reallocation of radio spectrum in the 806-960 MHz band has been released.

The discussion paper reviews the efficiency of spectrum allocations in the 806-960 MHz band, principally for non-cellular applications, and considers options for replanning these allocations to achieve greater efficiency.

The government is seeking feedback on the proposals by 30 June, 2009.

Review of Backhaul Services Finalised
The Commerce Commission has finalised its first review of backhaul services.  Backhaul is the final link connecting competitors’ networks to Telecom’s local loop, so those competitors can provide services such as landlines and broadband to consumers.

Radio Licensing Paper Released
A discussion paper on spectrum management in the radio licensing regime has been released.  Radio spectrum managed under the radio licensing regime is a significant resource for New Zealand’s ICT infrastructure and supports a wide range of public and private uses including public safety, emergency and defense services.

Submissions on the paper close on 19 May 2009.

Government Releases Broadband Investment Proposal
The Minister for Communications and Information Technology has announced the release of the proposed investment model to deliver on the government’s commitment of ultra fast broadband to 75% of New Zealanders.

Accounting Separation of Telecom
The Commerce Commission has issued the regulatory requirements for the accounting separation of Telecom.

Under the requirements, Telecom must publish financial and other information about its retail, wholesale and network business activities.  This information will be publicly available and is designed to inform a wide range of people about the operation and behaviour of Telecom’s business activities.

Mobile Termination Announcement
The Commerce Commission has given feedback to three telecommunications companies on their proposed undertakings for mobile termination access services.  The undertakings were submitted to the Commission as an alternative to regulation.

Draft Backhaul Review Released
The Commission releases a draft report as part of the review of the Unbundled Copper Local Loop (UCLL) Backhaul Service.  The review was announced in January 2009 and is assessing on which parts of Telecom New Zealand’s network that it must supply the UCLL backhaul service in response to a request of an access seeker.

After considering submissions from interested parties, the Commission expects to release the final review report and give public notice of the result of the review in mid-April 2009.

Government Opens Up Spectrum for More Broadband Infrastructure

The Minister for Communications and Information Technology announced that applications are open for access to the Managed Spectrum Park in the 2.5 GHz radio spectrum band.  This spectrum band offers potential for new regional wireless broadband services to be rolled out.

Applications close on 4 September 2009 and initial licences will be allocated towards the end of 2009.

Cellular Spectrum Transfers

Two cellular spectrum transfers that will improve infrastructure for mobile network operators and promote competition in the New Zealand mobile market were announced.

Vodafone and the Crown have completed a settlement process for Vodafone to renew rights to spectrum it uses to provide cellular services.  In addition, the Crown has swapped some spectrum with the anticipated new entrant to the mobile market, NZ Communications.

Statement of Economic Policy Transmitted

The Minister for Communications and Information Technology has transmitted a Statement of Economic Policy to the Commerce Commission concerning international commitments in the telecommunications domain.

The Statement provides that it is the economic policy of the government that decisions concerning the regulation of telecommunications services should be consistent with, and take full account of, New Zealand’s relevant international commitments, as expressed in bilateral and multilateral international instruments in effect in New Zealand.

Government Readies for New Moves on Broadband

Communications and Information Technology Minister Steven Joyce announced that the Broadband Investment Fund (BIF), suspended at the time of the election, will not proceed, and funding for the Digital Development Council and Forum (DDC) will be withdrawn immediately.

Government Shared Network to be Discontinued

State Services Minister Tony Ryall announced the previous government's Government Shared Network (GSN) is to be discontinued because it is financially unsustainable.  Participating government agencies will be moved to a new provider in the private sector.

The GSN is a network linking government agencies with high speed internet and telecommunications services.

Review of Backhaul
The Commerce Commission announces it is commencing a review under Section 30R of the Telecommunications Act 2001 of the links that provide access seekers using the unbundled copper local loop (UCLL) service with a backhaul link between the telephone exchange housing their equipment and their interconnect point.  This will determine whether Telecom is obliged to supply the regulated backhaul service to users.

Mobile Termination Undertakings Received
The Commerce Commission has received undertakings from Vodafone, Telecom and NZ Communications in relation to the provision of mobile termination access services (MTAS).  The undertakings have been received in the context of the Commission’s investigation into whether or not MTAS should become regulated services under Schedule 1 of the Act.

Under the Act, telecommunications companies that supply mobile termination access services are able to submit undertakings with the Commission, as a proposed alternative to regulation.