Vodafone rules out legal challenge to TSO

22 Apr 2005

The New Zealand subsidiary of Vodafone has revealed that it will not be taking legal action in an attempt to overturn a ruling by the country’s telecoms watchdog which requires the telco to pay subsidies towards rural telephony services. According to a Dow Jones report, Vodafone says it will instead be pushing for a change in government policy to reduce payments required by the Telecommunications Service Obligation (TSO). Last month the Commerce Commission said that Vodafone must pay NZD13.5 million under the TSO, which calls for alternative operators to subsidise the rural telecoms networks maintained by the country’s dominant fixed line telco, Telecom New Zealand. The charge relates to the period between 1 July 2002 and 30 June 2003.

New Zealand, Spark, Vodafone New Zealand