Commission Calls For Comments On Copper Access Deregulation

The Commerce Commission is calling for views on its draft recommendation to remove access regulation from Chorus’ copper network in areas outside the national fibre footprint.  

“This regulation has already been removed in urban areas where fibre and other more modern technologies are available – and we now see a case for removing it in more rural areas too,” says Telecommunications Commissioner, Tristan Gilbertson. 

Mr Gilbertson said technological change has eroded the natural monopoly concerns that led to copper being regulated 20 years ago when it was the only way to provide widespread phone and internet services. 

“Starlink is just the most recent example of a shift that’s seen better performing and lower cost wireless services being rolled out to rural consumers by national mobile, regional wireless (WISP) and global satellite providers.” 

Mr Gilbertson said most rural consumers can now access three alternative technologies that are often more reliable and affordable than copper.  

“Rural consumers continue to move off copper and onto cheaper and better performing alternatives in large numbers. We consider there’s now enough competitive constraint from these alternatives to warrant the removal of copper access regulation.” 

The Commission is calling for views on its draft recommendation which, under the Telecommunications Act, must be finalised for the Minister for Media and Communications by the end of the year. 

The Minister will then decide whether to proceed with the Commission’s final recommendation. 

Mr Gilbertson noted that removing regulation would enable Chorus to start withdrawing some copper services that are still used by consumers who have not yet taken up alternative technologies. 

“We believe it’s important to have a managed withdrawal process to protect rural consumers during any change – similar to the Copper Withdrawal Code that has worked well in urban areas.” 

The Commission is seeking views on its draft recommendation by 9 April 2025 and will then invite cross-submissions by 5 May 2025.

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