7 Feb 2014

Chorus gets deadline

10:31 am on 7 February 2014

The Commerce Commission has set a deadline of 1 December to determine the actual cost to Chorus of providing broadband access to its copper network across the country.

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Photo: RNZ

Previous indications were that the review could take years.

1 December is the same day the Commission has ruled as the date by which Chorus must halve its wholesale price for broadband access to $10.92.

That ruling was based on benchmarking against other similar countries.

Telecommunications Commissioner Stephen Gale said the new price would have a significant impact on the fixed-line telecommunications market, so it was important the commission took steps to provide certainty by December.

Radio New Zealand's business editor said the commission is setting itself a very tight deadline, given previous predictions on the length of time it could take. But if the Commission is able meet this deadline, it would avoid having to decide whether to make the resulting price retrospective.