Release of SOP on the Telco Amendment Bill

STOCK EXCHANGE ANNOUNCEMENT 24 October 2018 Release of Supplementary Order Paper on the Telco Amendment Bill The Government has now released its Supplementary Order Paper (SOP) to the Telecommunications (New Regulatory Framework) Amendment Bill. "We welcome this step towards a new regulatory framework for New Zealand's key communications infrastructure. We look forward to the passage of the Bill and to starting work on implementation" said Kate McKenzie, Chorus Chief Executive. The SOP includes a number of detailed changes which appear to be improvements for certainty. These include: o Clarification of the Select Committee's recommendations on the treatment of Crown Infrastructure Financing; o Oversight by the Commerce Commission of exemptions from the business line restrictions from the date of implementation; o The requirement for the Commission to set specified fibre areas to de-regulate copper by 1 January 2020; o The requirement for a 111 code to ensure that vulnerable end users can have an ability to call 111 in the event of a power failure. The SOP confirms that the price cap for our anchor service will be set with reference to price caps agreed with Crown Infrastructure Partners (CIP). We have agreed a new price cap with CIP for our 100/20 service of $46 from 1 July 2019. A copy of the SOP can be found here https://www.parliament.nz/en/pb/bills-and-laws/supplementary-order-papers/doc ument/SOP_80839/telecommunications-new-regulatory-framework-amendment Chorus looks forward to the passage of the Bill and to working with the Commerce Commission to implement the new regulatory framework in a timely manner. ENDS For further information: Nathan Beaumont Stakeholder Communications Manager Mobile: 021 243 8412 Email: nathan.beaumont@chorus.co.nz Brett Jackson Investor Relations Manager Mobile: 027 4887808 Email: brett.jackson@chorus.co.nz End CA:00325683 For:CNU Type:GENERAL Time:2018-10-24 08:33:24