Crown Fibre Holdings

Crown Fibre Holdings

Crown Fibre Holdings (CFH) is a New Zealand state-owned company building a fibre to the home network by means of a public-private partnership. It aims to spend NZ$1.5b and connect 75% of New Zealand's population. It was created as part of National Party's 2008 election promise.[1][2]

Contents

Targets

CFH plans to connect fibre to all schools, all public hospitals, most private health facilities and most businesses by 2015. Urban and suburban residential areas will have fibre connected gradually, with new development areas being a high priority. Eventually, it plans to connect 75% of the population by 2019.

Partner companies

Telecom will split Chorus off into a separate company by the end of 2011 and CFH will invest NZ$929 million directly in Chorus with 50% being non-voting shares and 50% interest free loans.[3] For the other three companies, they will each form a joint venture known as a Local Fibre Company with CFH: Whangarei Local Fibre Company Limited, UltraFast Broadband Limited.

Technology

CFH plans to provide speeds of at least 100Mbit down and 50Mbit up. The technology used will be GPON for residential and point to point for large businesses. Dark fibre would also be available for special use.

Regulatory holiday

Initially, CFH would not be subject to the regulations placed on other telecommunications companies by the Commerce Commission until 2020. After protests by telecommunications companies, consumer groups and opposition parties,[4] the government allowed CFH to be regulated by the Commerce Commission.[5] However, the government agreed to pay compensation to the partner companies if they lose money as a result of Commerce Commission regulation.[6]

References

  1. ^ "Crown Fibre Holdings". MED. 9 September 2010. http://www.med.govt.nz/templates/Page____42183.aspx. 
  2. ^ "Crown Fibre Holdings Board appointments". New Zealand Government. 29 October 2009. http://www.beehive.govt.nz/release/crown+fibre+holdings+board+appointments. 
  3. ^ Fletcher, Hamish (25 May 2011). "Green light for two Telecoms". NZ Herald. http://www.nzherald.co.nz/connect/news/article.cfm?c_id=1501833&objectid=10727823. 
  4. ^ "Eleven telcos, consumer groups unite against Crown Fibre bill". National Business Review. 11 April 2011. http://www.nbr.co.nz/article/eleven-telcos-consumer-groups-unite-against-crown-fibre-bill-ck-90449. 
  5. ^ Joyce, Steven (18 May 2011). "Regulatory forbearance to be replaced". Crown Fibre Holdings. http://www.crownfibre.govt.nz/news/government-updates/regulatory-forbearance-to-be-replaced.aspx. 
  6. ^ Bennett, Adam (18 May 2011). "Joyce scraps regulatory holiday from broadband bill". New Zealand Herald. http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=10726351. 

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