Business

Commerce Commission looks to deregulate some fibre services

10:30 am on 19 December 2024

Photo: 123RF

The Commerce Commission is looking to deregulate some fibre services not typically provided by Chorus to end users in homes and businesses.

The commission was looking to remove regulation from four of the seven fibre services where sufficient competition exists, including voice and transport services provided in all fibre areas, and point-to-point and co-location services provided in areas that were not controlled by Chorus.

"Right now, we think regulation should remain in place for the core fibre broadband service going into homes and businesses across the country - called bitstream - but there's some competition for other fibre services, and deregulation may be appropriate," Telecommunications Commissioner Tristan Gilbertson said.

"Our decision to look at deregulation for the smaller fibre providers - Enable, Tuatahi and North Power - recognises these providers occupy a different position in the market than Chorus."

The Tech Users Association (TUANZ) supported deregulation of parts of the fibre service that don't connect directly to end users.

"While fixed wireless is becoming more competitive, we don't believe that it's a truly comparative nor equivalent service," TUANZ chief executive Craig Young said.

"The services they have decided to investigate are open to other competition but we will participate in the review to ensure that the end user is kept top of mind in any proposed change."

Gilbertson said it was important to note the commission hadn't decided to deregulate but thought there were grounds for consideration.

"Telecommunications is a dynamic market and regulation needs to keep pace with changes in the competitive landscape," Gilbertson said.

"For deregulation to take place, we need to be satisfied there's enough competition to protect the interests of consumers."