Clare Curran
Communications and IT spokesperson

22 February 2010 Media Statement
Make consumers your priority Steven

Communications Minister Steven Joyce must put consumers first when responding to the Commerce Commission’s report on mobile termination rates, Labour Communications and IT spokesperson Clare Curran said today.

“For some time mobile phone companies have been charging customers unjustifiably high rates to make calls and send texts between networks,” Clare Curran said.

“It’s pleasing to see Vodafone and Telecom offering to phase in reductions in rates, but it is now vital that Steven Joyce keep Kiwi consumers in mind when considering his course of action.

“Customers need to come first. It’s a reality that there must be a charge, but it needs to be fair.”

Clare Curran said the termination rates should also not be barrier for new players the mobile phone market.

“While the two established players in the market have offered to lower termination rates by around 80 percent, it still does not go far enough to reduce the major issues for new entrants to the market,” Clare Curran said.

“Steven Joyce must consider the long term implications of leaving those barriers in place. It will stifle the growth of new players in the market and will leave consumers paying high termination rates.

“The split decision from the Commissioners also highlights that there are still details to be debated around whether regulation could be part of the response from the Government.

“Labour will now carefully consider both trains of thought offered in the Commission’s report and form an opinion in the best interests of consumers.”

ENDS

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