1Designated services and specified services Empowered by ss 4, 5, 10, 19, 29, 45, 46, 49(a), 52(a), 66–68
1Preliminary
1Interpretation and application provisions
1Interpretation
In this schedule, unless the context otherwise requires,—
actual costs saved means the net costs saved by supplying the service on a wholesale rather than a retail basis to the access seeker
avoided costs saved means the difference in the access provider's costs between supplying the service on a wholesale basis only and supplying the service on both a wholesale and retail basis, including a share of retail-specific fixed costs
Chorus's local telephone exchange means a local telephone exchange (or equivalent facility) where Chorus's local loop network terminates, whether that local telephone exchange is owned and operated by Chorus or by any other person
forward-looking common costs—
- means those costs efficiently incurred by the service provider in providing the service that are not directly attributable to providing an additional unit to that service; but
- does not include any costs incurred by the service provider in relation to a TSO instrument
geographically averaged price means a price that is calculated as an average of all geographically non-averaged prices for a designated service throughout the geographical extent of New Zealand
local loop network means that part of Chorus's copper network that connects the end-user's building (or, where relevant, the building's distribution frame) to the handover point in Chorus's local telephone exchange (including where it passes through a distribution cabinet) or distribution cabinet (or equivalent facility)
third generation cellular telephone network means a cellular telephone network based on the IMT 2000 set of radio technology standards as recognised by the International Telecommunication Union
TSLRIC, in relation to a telecommunications service,—
- means the forward-looking costs over the long run of the total quantity of the facilities and functions that are directly attributable to, or reasonably identifiable as incremental to, the service, taking into account the service provider's provision of other telecommunications services; and
- includes a reasonable allocation of forward-looking common costs.
- means those costs efficiently incurred by the service provider in providing the service that are not directly attributable to providing an additional unit to that service; but
Notes
- Schedule 1 clause 1 Chorus's local telephone exchange: inserted, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
- Schedule 1 clause 1 fixed telecommunications network: repealed, on , by section 181 of the Regulatory Systems (Economic Development) Amendment Act 2025 (2025 No 11).
- Schedule 1 clause 1 geographically averaged price: inserted, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
- Schedule 1 clause 1 local loop network: substituted, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
2Application of Baumol-Willig rule
To avoid doubt, the Baumol-Willig rule does not apply in respect of any applicable initial pricing principle or any applicable final pricing principle that provides for a forward-looking cost-based pricing method as a possible pricing principle.
For the purposes of subclause (1), the Baumol-Willig rule means the pricing rule known as the Baumol-Willig rule as referred to in Telecom Corporation of New Zealand Ltd v Clear Communications Ltd (1994) 6 TCLR 138, PC.
3Application of retail price minus avoided costs saved pricing principle
In relation to a telecommunications service, in applying an applicable initial pricing principle or an applicable final pricing principle that takes a retail price for the service and subtracts any avoided costs saved by the applicable access provider of the service, the applicable access provider is not entitled to recover any of the following things in respect of those costs that form part of the avoided costs saved associated with its retail operations:
- inefficiencies in the provision of the service giving rise to higher costs:
- profits in excess of what would represent a reasonable return (including reasonable profit) on capital invested.
Subclause (1) is for the avoidance of doubt.
4Application of pricing principles for designated interconnection access services
In applying an applicable initial pricing principle or an applicable final pricing principle, the Commission may choose different pricing principles for different call types of voice and data calls (including dial-up Internet data calls) or calls with significantly different characteristics for designated interconnection access services.
4AApplication of pricing principles for Chorus’s unbundled copper local loop network and Chorus’s unbundled bitstream access
In applying the initial pricing principle or the final pricing principle for the following designated services, the Commission must determine a geographically averaged price:
- Chorus's unbundled bitstream access service:
- Chorus's unbundled copper local loop network service.
Notes
- Schedule 1 clause 4A: inserted, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
4BApplication of pricing principles for designated access services
In applying an applicable initial pricing principle or an applicable final pricing principle, the Commission must ensure that an access provider of a designated service does not recover costs that the access provider is recovering in the price of a designated or specified service provided under a determination prepared under section 27 or 30M or a designated or specified service provided on commercial terms.
Notes
- Schedule 1 clause 4B: inserted, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
2Standard access principles for designated access services and specified services
5Standard access principles for designated access services and specified services
The following standard access principles apply to designated access services and specified services:
- principle 1: the access provider must provide the service to the access seeker in a timely manner:
- principle 2: the service must be supplied to a standard that is consistent with international best practice:
- principle 3: the access provider must provide the service on terms and conditions (excluding price) that are consistent with those terms and conditions on which the access provider provides the service to itself:
- principle 4: the access provider must, if requested, provide an access seeker with information about a designated access service or specified service at the same level of detail, and within the same time frame, that the access provider would provide that information had it been requested by one of its own business units.
Notes
- Schedule 1 clause 5(d): added, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
6Limits on application of standard access principles set out in clause 5
Principles 1 to 4 set out in clause 5 are limited by the following factors:
- reasonable technical and operational practicability having regard to the access provider's network:
- network security and safety:
- existing legal duties on the access provider to provide a defined level of service to users of the service:
- the inability, or likely inability, of the access seeker to comply with any reasonable conditions on which the service is supplied:
- any request for a lesser standard of service from an access seeker.
Principle 4 set out in clause 5—
- does not extend to any information about identifiable individual customers of the access provider; and
- is subject to the requirement that any confidential information provided to the access seeker, in accordance with that principle, must be kept confidential to that access seeker.
Notes
- Schedule 1 clause 6(1): amended, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 clause 6(2): added, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
2Designated services
1Designated access services
| Interconnection with a fixed PSTN | |||||
| Description of service: |
Origination and termination (and their associated functions) of voice and data calls (including dial-up Internet calls) on a fixed PSTN |
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| Conditions: | Nil | ||||
| Access provider: | A person who operates a fixed PSTN | ||||
| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 |
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| Initial pricing principle: |
Benchmarking against interconnection prices in comparable countries that result from the application to networks that are similar to the access provider's fixed PSTN of—
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| Final pricing principle: |
Either—
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| Requirement referred to in section 45 for final pricing principle: |
If TSLRIC is the final pricing principle, the Commission must, by notice in writing, require the access provider to calculate the price payable for the service in accordance with TSLRIC and any regulations relating to that principle not later than the time specified in the notice |
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| Additional matters that must be considered regarding application of section 18: |
In applying the initial pricing principle and final pricing principle, the Commission must consider— |
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| Chorus's unbundled bitstream access | |||||
| Description of service: |
A digital subscriber line enabled service (and its associated functions, including the associated functions of operational support systems) that enables access to, and interconnection with, that part of a fixed PDN that connects the end-user’s building (or, where relevant, the building’s distribution frame) to a first data switch (or equivalent facility), other than a digital subscriber line access multiplexer (DSLAM) To avoid doubt, unless otherwise requested by the access seeker, the supply of this service must not be conditional on a requirement that the access seeker, end-users, or any other person must purchase any other service from the access provider |
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| Conditions: |
The end-user’s building (or, where relevant, the building’s distribution frame) is not located in a specified fibre area, and either— |
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| Access provider: |
Chorus |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 and the additional limit that Chorus is only required to provide access to the trunk side of the first data switch or equivalent facility (for which purpose a DSLAM is not an equivalent facility) |
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| Initial pricing principle applicable before 16 December 2019: |
The price for the designated access service entitled Chorus's unbundled copper local loop network plus benchmarking additional costs incurred in providing the unbundled bitstream access service against prices in comparable countries that use a forward-looking cost-based pricing method |
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| Final pricing principle applicable before 16 December 2019: |
The price for Chorus’s unbundled copper local loop network plus TSLRIC of additional costs incurred in providing the unbundled bitstream access service |
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| Initial pricing principle applicable on and after 16 December 2019 |
The year 5 prices specified in Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled bitstream access service, with an annual CPI adjustment applied on 16 December in each year |
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| Final pricing principle applicable on and after 16 December 2019 |
The year 5 prices specified in Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled bitstream access service, with an annual CPI adjustment applied on 16 December in each year |
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| Requirement referred to in section 45 or final pricing principle: |
Nil |
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| Additional matters that must be considered regarding application of section 18: |
The Commission must consider relativity between this service and Chorus’s unbundled copper local loop network service (to the extent that terms and conditions have been determined for that service) |
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| Chorus's unbundled bitstream access backhaul | |||||
| Description of service: |
A service (and its associated functions, including the associated functions of operational support systems) that provides transmission capability (whether the transmission capacity is copper, fibre, or anything else) between the trunk side of a first data (or equivalent facility), other than a DSLAM, that is connected to the end-user’s building (or, where relevant, the building’s distribution frame) and the access seeker’s nearest available point of interconnection |
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| Conditions: |
That either— |
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| Access provider: |
Chorus |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 |
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| Initial pricing principle applicable before 1 January 2020: |
Benchmarking against prices for similar services in comparable countries that use a forward-looking cost-based pricing method |
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| Final pricing principle applicable before 1 January 2020: |
TSLRIC |
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| Initial pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled bitstream access backhaul service, with an annual CPI adjustment applied on 1 January in each year |
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| Final pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled bitstream access backhaul service, with an annual CPI adjustment applied on 1 January in each year |
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| Requirement referred to in section 45 or final pricing principle: |
Nil |
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| Additional matters that must be considered regarding application of section 18: |
Nil |
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| Chorus's unbundled copper local loop network co-location | |||||
| Description of service: |
A service (and its associated functions, including the associated functions of operational support systems) that provides co-location facilities for an access seeker’s equipment, and access to the handover point, at Chorus’s local telephone exchange or distribution cabinet (or equivalent facility) for the purposes of providing access to, and interconnection with,— To avoid doubt, the same instance of this service can be used to support both Chorus’s unbundled copper local loop network and Chorus’s unbundled copper low frequency service To avoid doubt, access seeker equipment includes the equipment of any person other than the access seeker (including any line) if that equipment is being used to support the provision of backhaul for the access seeker To avoid doubt, this service includes access to, and the use of, space in, on, or around Chorus’s local telephone exchange or distribution cabinet (or equivalent facility) for the purposes of installing and maintaining the access seeker’s equipment |
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| Conditions: |
Nil |
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| Access provider: |
Chorus |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 and the additional limit of the interests of other service providers who are co-located in the relevant facilities |
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| Initial pricing principle applicable before 1 January 2020: |
Benchmarking against prices for similar services in comparable countries that use a forward-looking cost-based pricing method |
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| Final pricing principle applicable before 1 January 2020: |
TSLRIC |
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| Initial pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper local loop network co-location service, with an annual CPI adjustment applied on 1 January in each year |
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| Final pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper local loop network co-location service, with an annual CPI adjustment applied on 1 January in each year |
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| Requirement referred to in section 45 or final pricing principle: |
Nil |
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| Additional matters that must be considered regarding application of section 18: |
Nil |
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| Chorus's unbundled copper local loop network backhaul (telephone exchange to interconnect point) | |||||
| Description of service: |
A service (and its associated functions, including the associated functions of operational support systems) that provides transmission capacity in a network (whether the transmission capacity is copper, fibre, or anything else) between the handover point in Chorus’s local telephone exchange and the access seeker’s nearest available point of interconnection for the purposes of providing access to, and interconnection with,— To avoid doubt, the same instance of this service can be used to support both Chorus’s unbundled copper local loop network and Chorus’s unbundled copper low frequency service |
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| Conditions: |
That either— |
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| Access provider: |
Chorus |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 |
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| Initial pricing principle applicable before 1 January 2020: |
Benchmarking against prices for similar services in comparable countries that use a forward-looking cost-based pricing method |
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| Final pricing principle applicable before 1 January 2020: |
TSLRIC |
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| Initial pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper local loop network backhaul (telephone exchange to interconnect point) service, with an annual CPI adjustment applied on 1 January in each year |
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| Final pricing principle applicable on and after 1 January 2020 |
The prices that applied as at 1 January 2020 under Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper local loop network backhaul (telephone exchange to interconnect point) service, with an annual CPI adjustment applied on 1 January in each year |
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| Requirement referred to in section 45 or final pricing principle: |
Nil |
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| Additional matters that must be considered regarding application of section 18: |
Nil |
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| Chorus's unbundled copper low frequency service | |||||
| Description of service: |
A service (and its associated functions, including the associated functions of operational support systems) that enables access to, and interconnection with, the low frequency (being the frequency band between 300 and 3400 Hz) in Chorus’s copper local loop network (including any relevant line in Chorus's local telephone exchange or distribution cabinet) that connects the end-user's building (or, where relevant, the building’s distribution frame) to the handover point in Chorus’s local telephone exchange |
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| Conditions |
Chorus’s unbundled copper low frequency service is only available where— To avoid doubt, there is no obligation on Chorus that Chorus’s copper network that connects a cabinet (or equivalent facility) and Chorus’s local telephone exchange remain in place or be maintained if that part of Chorus’s copper network is only being used to provide Chorus’s unbundled copper low frequency services |
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| Access provider: |
Chorus |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 |
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| Initial pricing principle applicable before 16 December 2019: |
Either— |
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| Final pricing principle applicable before 16 December 2019: |
Either— |
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| Initial pricing principle applicable on and after 16 December 2019 |
The year 5 prices specified in Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper low frequency service, with an annual CPI adjustment applied on 16 December in each year |
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| Final pricing principle applicable on and after 16 December 2019 |
The year 5 prices specified in Schedule 2 of the Commission’s standard terms determination for Chorus’s unbundled copper low frequency service, with an annual CPI adjustment applied on 16 December in each year |
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| Requirement referred to in section 45 or final pricing principle: |
Nil |
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| Additional matters that must be considered regarding application of section 18: |
Nil |
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| Mobile termination access services (MTAS) | |||||
| Description of service: |
Termination (and its associated functions) on a cellular mobile telephone network of any, or any combination, of the following: For the avoidance of doubt, these services include the termination of internationally originated voice calls and SMS, and voice-over-Internet-protocol-originated voice calls, where these are handed over at a mobile switching centre in New Zealand |
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| Conditions: |
Nil |
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| Access provider: |
A person who operates a cellular mobile telephone network |
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| Access seeker: |
A service provider who seeks access to the service |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 |
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| Initial pricing principle: |
Benchmarking against the costs of providing similar services in comparable countries that result from the application of—
|
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| Final pricing principle: |
Either—
|
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| Requirement referred to in section 45 for final pricing principle: |
Nil |
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| Additional matters that must be considered regarding the application of section 18: |
Nil |
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Notes
- Schedule 1 Part 2 subpart 1: amended, on , by clause 3 of the Telecommunications (Spark’s Resale Services) Order 2020 (LI 2020/182).
- Schedule 1 Part 2 subpart 1: amended, on , by section 13 of the Telecommunications (New Regulatory Framework) Amendment Act 2018 (2018 No 48).
- Schedule 1 Part 2 subpart 1: amended, on , by section 13 of the Telecommunications (New Regulatory Framework) Amendment Act 2018 (2018 No 48).
- Schedule 1 Part 2 subpart 1: amended, on (being the date of separation day, and an Order in Council (SR 2011/302) having been made under section 36), by section 68 of the Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 (2011 No 27).
- Schedule 1 Part 2 subpart 1: amended, on , by clause 3(2) of the Telecommunications (Retail Services and Bundle of Retail Services) Order 2011 (SR 2011/200).
- Schedule 1 Part 2 subpart 1: amended, on , by clause 3 of the Telecommunications (Mobile Termination Access Services) Order 2010 (SR 2010/262).
2Designated multinetwork services
| Local telephone number portability service | |||||
| Description of service: |
A service that enables an end-user of a fixed telephone network service to change providers of that service but to retain the same telephone number within a local calling area |
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| Conditions: | Nil | ||||
| Access provider: |
Every person who operates— |
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| Access seeker: |
Any person who— |
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| Cellular telephone number portability service | |||||
| Description of service: |
A service that enables an end-user of a cellular telephone network service to change providers of that service but to retain the same telephone number (including the same cellular network access code) |
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| Conditions: | Nil | ||||
| Access provider: |
Every person who operates— |
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| Access seeker: |
Any person who— |
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|
National toll-free telephone number portability service
[Expired] | |||||
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Telecom's fixed PSTN to mobile carrier pre-selection service
[Expired] | |||||
Notes
- Schedule 1 Part 2 subpart 2 Access to, and interconnection with, Telecom's fixed PDN: repealed, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Bundle of retail services offered by means of Telecom's fixed telecommunications network: substituted, on , by clause 3 of the Telecommunications (Initial Pricing Principle) Order 2003 (SR 2003/357).
- Schedule 1 Part 2 subpart 2 Interconnection with fixed PSTN other than Telecom's: amended, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 National toll-free telephone number portability service: expired, on , by section 65(1)(a).
- Schedule 1 Part 2 subpart 2 Telecom's fixed PDN backhaul: repealed, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's fixed PSTN to mobile carrier pre-selection service: expired, on , by section 65(1)(a).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled bitstream access: inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled bitstream access backhaul: inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled copper local loop network: inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled copper local loop network backhaul (distribution cabinet to telephone exchange): inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled copper local loop network backhaul (telephone exchange to interconnect point): inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
- Schedule 1 Part 2 subpart 2 Telecom's unbundled copper local loop network co-location: inserted, on , by section 56 of the Telecommunications Amendment Act (No 2) 2006 (2006 No 83).
3Specified services
| National Roaming | |||||
| Description of service: |
A service (and its associated functions) that enables transmission of cellular mobile traffic by means of the access provider's cellular mobile telephone network between (but not including) the cellular mobile device of the access seeker's end-user and the access seeker's handover point (or equivalent facility) and that enables an end-user who subscribes to an access seeker's cellular mobile service to use services (except value-added services) within the area where the access provider has a cellular mobile telephone network, but which is outside the coverage area of the access seeker's cellular mobile telephone network |
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| Conditions: |
All of the following:
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| Access provider: |
A cellular mobile telephone network operator who operates a cellular mobile telephone network |
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| Access seeker: |
A cellular mobile telephone network operator (except Spark or Vodafone New Zealand Limited or their successors or subsidiaries) that holds sufficient radio spectrum rights to enable that operator to roll out a cellular mobile telephone network that provides cellular mobile services to at least 65% of the New Zealand population |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 and additional limits, which must be set by taking the following matters into account:
|
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| Additional matters that must be considered regarding application of section 18: |
The Commission must establish roll-out milestones and roll-out thresholds that ensure that the access seeker has strong incentives to roll out its cellular mobile telephone network in an efficient and timely manner |
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| Co-location on cellular mobile transmission sites | |||||
| Description of service: |
A service that enables co-location of cellular mobile telephone network transmission and reception equipment (including any necessary supporting equipment on or with the following facilities (relevant facilities)):
|
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| Conditions: | Nil | ||||
| Access provider: |
Every person who operates a cellular mobile telephone network |
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| Access seeker: |
Any person who— |
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| Access principles: |
The standard access principles set out in clause 5 |
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| Limits on access principles: |
The limits set out in clause 6 and additional limits, which must be set by taking the following matters into account: |
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| Additional matters that must be considered regarding application of section 18: | Nil | ||||
|
Co-location of equipment for fixed telecommunications services at sites used by Broadcast Communications Limited
[Expired] | |||||
Notes
- Schedule 1 Part 3 Co-location of equipment for fixed telecommunications services at sites used by Broadcast Communications Limited: expired, on , by section 65(1)(a).
- Schedule 1 Part 3 Co-location on cellular mobile transmission sites: amended, on , by section 6 of the Resource Management (Natural and Built Environment and Spatial Planning Repeal and Interim Fast-track Consenting) Act 2023 (2023 No 68).
- Schedule 1 Part 3 National Roaming: substituted, on , by clause 3 of the Telecommunications (National Roaming) Order 2008 (SR 2008/251).
- Schedule 1 Part 3 National Roaming: amended, on , by section 37(1) of the Telecommunications (New Regulatory Framework) Amendment Act 2018 (2018 No 48).


