Public must be reassured on broadband deals

An independent review of the Government’s broadband deals must be undertaken urgently following serious conflict of interest allegations against its top adviser on broadband, says Labour’s Communications and IT spokesperson.

“New Zealand consumers must be reassured that they won’t be screwed by the broadband deals being announced by this government,” Clare Curran said.

“Bruce Parkes, the man responsible for designing the Government’s broadband scheme, is at the centre of anti-competitive findings against Telecom which saw the company fined $12 million in the High Court this week.

“Yesterday breezy dismissal by Communications Minister Steven Joyce of conflict of interest concerns is hardly reassuring to the public,” Clare Curran said.

“He says this despite his adviser being specifically named in a High Court judgement against Telecom as being central to developing the anti-competitive product which resulted in this record fine against Telecom.

“Yesterday Steven Joyce awarded taxpayers money to deliver rural broadband to Telecom and Vodafone.

“Bruce Parkes designed the rural broadband scheme. How much closer to a conflict of interest can you get?

“The broadband scheme was designed in secrecy and hidden from the public. Telecom is likely to gain the most from winning contracts in the rural and urban programmes.

“Telecom cannot be trusted to deliver the best deals for New Zealand customers. Neither, it seems, can the Government,” Clare Curran said.