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Hot Topic Budget 25
Hot Topic Budget 25
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Faster fibre network on the cards for Southland

Broadband connectivity in Otago and Southland could get a major shake up from a new fibre optic consortium aiming to end the traditional copper network monopoly.Pending government backing, Flute Network intends to invest in an ultra-fast (capable of 100 M

NBR staff
Wed, 13 Jan 2010

Broadband connectivity in Otago and Southland could get a major shake up from a new fibre optic consortium aiming to end the traditional copper network monopoly.

Pending government backing, Flute Network intends to invest in an ultra-fast (capable of 100 Mbit/s speeds) fibre optic broadband network through parts of the South Island.

Flute Network is a joint venture partnership between Dunedin and Central Otago’s Aurora Energy, along with Southland’s Electricity Invercargill and The Power Company.

Aurora CEO Grady Cameron said Flute was developing a proposal to co-invest with the Government to deploy and operate fibre optic infrastructure as part of the Crown’s ultra-fast broadband initiative (and its aim to give 75% of New Zealanders access to ultra-fast fibre networks within 10 years). The bid would be made by the end of the month.

If successful in the bid, Flute planned to remove Southland and Otago’s reliance on traditional telco network providers, delivering what it said would be a long overdue step up in broadband capability needed to move the region forward.

Mr Cameron believed Flute had the substantial regional infrastructure needed to quickly and effectively roll out a fibre network to much of the South.

“We have comprehensive lines networks in place already and are more focused on regional economic development, spill-over, social and environmental outcomes than those traditional telecommunication players, whose motivation is more purely commercial,” he said.

PowerNet CEO Martin Walton said the Flute approach to fibre would be cross-regional, not just focused in urban areas, ensuring the rural sector is well catered for with substantially faster broadband speeds.

“In an infrastructure sense that means we’ll be focusing on urban fibre, regional backhaul and rural hybrid deployments,” he said.

“We want our customers to make use of applications like real-time video conferencing but that can only happen with acceptable broadband speeds. Currently that is not a reality for most but fibre will change that.”

Aurora Energy and the management company representing the other Flute partners, PowerNet, are part of the New Zealand Regional Fibre Group (NZRFG), a collective of 19 lines and fibre companies stretching the length and breadth of the country.

Another NZRFG collective just before Christmas – the Waikato-based WEL consortium – was formed before Christmas.

NBR staff
Wed, 13 Jan 2010
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Faster fibre network on the cards for Southland
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