Group unhappy with fibre decision

The New Zealand Regional Fibre Group is unhappy at missing out yesterday on being short-listed for the Government's rural broadband initiative (RBI).

The group, which includes Aurora Energy, Network Waitaki and PowerNet, in the wider Otago region, questioned why the Ministry of Economic Development was persevering with contracting a single service provider for the RBI.

Communications and Information Technology Minister Steven Joyce announced that proposals from Torotoro Waea, FX Networks-OpenGate and Telecom-Vodafone were on the short list.

The mix was a Maori-led consortium, a blend of fibre and wireless networks and two of the country's largest telcos.

Fibre group chief executive Vaughan Baker said the group was disappointed not to be in the final mix and believed the Ministry for Economic Development should have required the separation of the services from the underlying utility fibre infrastructure.

"It is disappointing that our wholesale only, service provider agnostic approach has not been allowed to make the short list."

The group understood that the rural presented a different set of challenges from the urban market.

However, it believed that the separation of the connectivity infrastructure from the services carried over it was in the best interests of the customer, Mr Baker said.

Telecommunications Users Association chairman Pat O'Connell said the trio on the short list offered different solutions to the problem of delivering ultra-fast broadband to rural and remote locations.

"The association has long believed the rural sector of New Zealand has been under-served by the telco industry, despite being the backbone of the New Zealand economy.

"Even the split in funding between the ultra-fast broadband initiative and the RBI is heavily weighted towards urban use."

 

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