InternetNZ says an outline of the way the structural separation of Telecom might be carried out does not represent a clean separation, and can not deliver the slashing of regulation that Telecom wants.Telecom has said it is considering a structural separa
InternetNZ says an outline of the way the structural separation of Telecom might be carried out does not represent a clean separation, and can not deliver the slashing of regulation that Telecom wants.
Telecom has said it is considering a structural separation by splitting into two companies, in the context of the Government's ultra-fast broadband initiative.
Last month, the Ministry of Economic Development published a discussion document investigating what the implications would be if Telecom decided to proceed with structural separation, and setting out the Government's preliminary views on how the regulatory regime would be adapted.
It was emphasised that the opinions and proposals in the document were for discussion purposes only and did not necessarily reflect government policy. Submissions were due last Friday.
Today, InternetNZ made its submission public, with chief executive Vikram Kumar saying InternetNZ supported the concept of structural separation.
"The right solution would lead to a clean market structure, supportive of the Government's ultra-fast broadband plans," Mr Kumar said.
"Our submission makes the point that the split of assets and activities outlined in the MED document, similar to that in Telecom's proposal, can't deliver the slashing of regulation that Telecom is seeking. It does not represent a clean separation.
"The proposal leaves services that need regulating in the ServTel company that Telecom hopes to see free of regulation."
