Chorus and the Local Fibre Companies’ have Deeds of Open Access Undertakings (Fibre Deeds) given under the Telecommunications Act 2001 (Act). The undertakings requires them to provide a point-to-multipoint layer 1 fibre access service (PON Fibre Access Service) from 1 January 2020 for area 1 of the governments Ultra-Fast Broadband initiative.
The Act gives the Commission a particular role in the context of the PON Fibre Access Service. We are:
permitted to assess whether offers made by Chorus and the LFCs comply with their respective obligations under the Fibre Deeds, and
if we consider that a breach of the Fibre Deeds is likely to occur or has occurred, we will decide whether to bring enforcement action.
Vocus and Vodafone sent a letter and an expert summary report by Network Strategies to the Commission outlining their concerns about the proposed PON Fibre Access Service price and pricing approach from Chorus. They have asked the Commission to consider intervening in relation to the terms on which a PON Fibre Access Service would be provided. Their letter and expert summary report, and our response, are below.
We believe there is clear public benefit in the Commission developing, in a transparent way, our views on what the equivalence and non-discrimination obligations in the Fibre Deeds (and other deeds) involve. We have therefore begun developing guidance on our interpretation of these provisions. We plan to consult on this guidance in the third quarter of this year.
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04 Jun 2019
Commerce Commission response to layer 1 fibre unbundling service letter