Competition in New Zealand's telecom market appears to be good, so good that the Commerce Commission has recommended that the business data and bundled resale service market shouldn't be subject to regulations set by the Telecommunications Act of 2001.
What's driving the country's Commerce Commission to consider such a move are the introduction of new competing services and low take-up.
Telecom New Zealand currently provides wholesale network services to competing service providers. When a competitor and TNZ can't agree on terms, the Commerce Commission would work as an arbitrator to come up with an agreement.
"The commission's view is that regulatory intervention in telecommunications markets should be scaled back in areas where we consider there is effective competition, or when alternative services are available to access seekers.," said Dr. Ross Patterson, New Zealand's Telecommunications Commissioner in a statement. "Regulation should not impose or maintain burdens which are unnecessary, and it is the commission's objective to reduce regulation of telecommunications markets as effective competition develops."
- TeleGeography has this article
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