Friday, 26 October 2018 10:10

More telcos liable for NZ telecoms development levy

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More telcos liable for NZ telecoms development levy Image courtesy of Stuart Miles at FreeDigitalPhotos.net

New Zealand’s competition enforcement agency, The Commerce Commission, has added two more telcos — Voyager and MyRepublic — to the list of companies liable to contribute to the country’s $50 million Telecommunications Development Levy.

The addition of the two telcos comes as the Commission released its draft determination on how much 17 telecommunications providers will each pay towards the 2017/2018 levy.

The New Zealand Government uses the annual levy to pay for telecommunications infrastructure and services which are not commercially viable, including the relay service for the deaf and hearing-impaired, broadband for rural areas, and improvements to the country’s 111 emergency service.

In its draft determination determination, released on Friday, the Commisssion proposed that New Zealand’s largest telco, Spark, and Vodafone, Chorus, and 2degrees would collectively pay more than 90% of the $50 million levy.

The Commission says Voyager and MyRepublic will be liable for the TDL for the first time this year due to their growing revenues, with revenues for each company now exceeding $10 million.

peter levy

As reported by iTWire in August, The Commerce Commission, is undertaking a study on the performance of the country’s mobile market and delivery of services to consumers.

The Commission released an issues paper calling for submissions on its initial assessment of the mobile market, saying that it is seeking evidence on how the market is performing for consumers now and whether there are any current or potential issues preventing it from delivering greater benefits for New Zealanders in the future.

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Peter Dinham

Peter Dinham is a co-founder of iTWire and a 35-year veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

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