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Telecommunications Act 2001

Fibre fixed line access services - Regulating fibre fixed line access services

171: Determinations must reflect actual costs of Crown financing

You could also call this:

"The government's lending costs must be factored into decisions about fibre service prices."

Illustration for Telecommunications Act 2001

When a decision is made under section 170, it sets the maximum amount of money a fibre service provider can charge. You need to know that this decision applies to the money a fibre service provider can earn. The Commission must make sure the decision reflects the actual costs of any money the government lent to the provider.

The Commission looks at the costs incurred by the provider during the time the decision applies. You are affected by this decision if you use fibre fixed line access services. The decision is part of the Telecommunications Act 2001 and is related to a section 170 determination.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS131960.

Topics:
Money and consumer rights > Consumer protectionBusiness > Industry rules
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170: Determinations by Commission under this section, or

"The Commission's Decisions on Fibre Service Providers"

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172: When Commission must make initial section 170 determinations, or

"When the Commission must decide rules for fibre service providers before they start."

Part 6Fibre fixed line access services
Regulating fibre fixed line access services

171Determinations must reflect actual costs of Crown financing

  1. This section applies if a section 170 determination sets maximum revenues that may be recovered by, or the maximum price or prices that may be charged by, a regulated fibre service provider.

  2. The Commission must ensure that the maximum revenues, or the maximum price or prices, reflect, in respect of any Crown financing, the actual financing costs incurred by the provider (or a related party) in the regulatory period to which the determination applies.

Notes
  • Section 171: inserted, on , by section 24 of the Telecommunications (New Regulatory Framework) Amendment Act 2018 (2018 No 48).