Regulators question Chorus price premium

TOM PULLAR-STRECKER
Last updated 09:20 30/05/2014

Relevant offers

Industries

BMW and Charge Net to create 'electric highway' in NZ by 2018 Trade Me bids on New World Little Garden set reach more than $150 Disney said to be working with adviser on bid to buy Twitter Auckland roading contracts awarded on bribes and corruption, Crown says Hellaby takeover would create Australia's leading automotive market company Rocket Lab's Mahia launch site prepared for takeoff Privacy commissioner John Edwards weighs in on Yahoo hack Technology hubs putting Auckland on the map Daylight saving a 'non-event', especially compared to school holidays, EMA says Hewlett-Packard draws the line on 'non-genuine' printer cartridges

Regulators have questioned whether Chorus will be allowed to charge extra for the improved copper broadband services it announced this month.

The telecommunications infrastructure company said two weeks ago that it planned to offer internet providers a copper broadband service with more reliable speeds, called Boost HD, that would guarantee customers would be able to watch a high definition video stream without interruption even at peak times.

While its pricing will initially be the same as its existing copper broadband service, at $44.98 a month, Chorus has not committed to lowering the price once the regulated price of its standard copper-based service falls to $34.44 a month in December.

The Commerce Commission said in a statement this morning that it would consult the industry on whether Chorus should be allowed to apply a price premium for Boost HD and its related service Boost VDSL.

It expects to issue a final decision in July.

The December price reduction may be subject to change next year, and could even be reversed, as Chorus has exercised its right to demand the commission carry out a more detailed review of the prices it should be allowed to charge for access to services provided on its copper network.

Ad Feedback

- Stuff

Special offers

Featured Promotions

Sponsored Content