Thursday, 23 July 2020 12:13

NZ Commerce Commission consults further on fibre input methodologies


New Zealand’s competition enforcement agency, The Commerce Commission has initiated further consultation on the development of input methodologies for the regulation of fibre fixed line access services.

Telecommunications Commissioner Tristan Gilbertson says the Commission published its draft fibre IMs decisions late last year and has decided to consult further on a limited number of issues after reviewing submissions and cross-submissions.

“I’d like to thank all parties for their very helpful submissions on our draft decisions,” says Gilbertson.

“We are seeking further feedback on a small number of issues in response to comments received in the previous round.

“We’re also keen to give parties an opportunity to provide feedback on an updated draft of the IMs themselves.

“The feedback we receive will help inform our final decisions on the input methodologies that will underpin fibre regulation going forward.”

As previously notified, the Commission says is also publishing a separate, second consultation paper on changes it is considering to its approach to valuing the financial loss asset.

“Any changes would involve adopting a discounted cash flow approach to valuation and different treatment of investments that pre-date the UFB initiative,” the Commission says.

Submissions on the main consultation paper and updated IMs are due by 13 August 2020, with cross-submissions due on 3 September 2020 - and the second consultation paper on the financial loss asset will be published on 13 August 2020.

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