Regulator announces TSO

9 Jul 2007

New Zealand’s telecoms regulator, the Commerce Commission, has set out the latest payments due under the Telecommunications Service Obligations (TSO) system, which calls for smaller operators to subsidise Telecom New Zealand’s network rollouts in unprofitable rural areas. Local website reports that the country’s alternative providers will be paying around NZD66,000 (USD51,500) a day under the TSO, with the total due for the 2004/05 year set at NZD71.4 million, while the total for 2005/06 has been set at NZD78.3 million. Telecom bears 69% of this cost, with the other telcos, mainly Vodafone and TelstraClear, paying the remainder.