Telecom wins concessions from govt 

Communications and information minister Steven Joyce hasapproved a fourth variation to Telecom's operational separationundertakings, which helps clear the way for New Zealand's biggesttelephone company to participate in government's ultra fastbroadband initiative.

The variations mean Telecom no longer has to migrate itsexisting broadband customers onto the new wholesale broadbandservice; does not have to create a new VoIP over copper service byDecember for its 17,000 existing customers, and no longer has tobuild a new set of wholesale operational support systems that arenot consistent with the industry structure implied by UFB.

The changes will serve the best interests ofcustomers

"I believe the changes will serve the best interests ofcustomers and also allow Telecom to develop services and systemsthat are consistent with the changes being brought about by theultra-fast broadband initiative," said Joyce.

The head of the national telco's Chorus unit, Mark Ratcliffe,told BusinessDesk the company has been "sharpening its pencil"since losing out in the first round of preferred partner choices,which were announced last month and went to three regional bids ledby electricity network companies in Timaru, Whangarei, and theWaikato.

The operational separation undertakings

The operational separation undertakings, which had the effect ofsplitting Telecom into three separate business units, came intoeffect on 31 March 2008, with specific provision was made to allowfor Telecom to apply for variations to the undertaking.