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Chorus deal doesn't go far enough

Labour Party

Friday 2 November 2012, 10:14PM

By Labour Party

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The Government’s new deal for ultra-fast broadband connections is of little use as it will expire before most New Zealanders get a chance to be connected, says Labour’s Communications and IT spokesperson Clare Curran.

“I want to see a deal that helps New Zealanders access ultra-fast broadband but today’s doesn’t go far enough. This package expires in 2015 and most New Zealanders won’t have access to ultra-fast broadband by then.

“There’s also no detail on how many households will benefit from $20 million over three years.

“Chorus acknowledged yesterday at its shareholders’ meeting that 80 per cent of current revenue is from copper and will remain the majority of its revenue for the next eight years. Copper pricing is the greatest issue for Chorus and New Zealand needs to know more about what lies behind this deal.

“National’s flagship ultra-fast broadband programme is going ultra-slow. Just 700 people have connected as residential customers. This is not the brighter, faster future promised.”