New Zealand Government Readies For New Broadband Initiative

by Mary Swire, Tax-News.com, Hong Kong

06 February 2009

New Zealand's Communications and Information Technology Minister, Steven Joyce, has moved to clear the decks of the previous government's broadband programmes in preparation for the next move towards the roll-out of ultra fast broadband.

Joyce says the Broadband Investment Fund (BIF), suspended at the time of the election, will not proceed, and funding for the Digital Development Council and Forum (DDC) will be withdrawn immediately. He explained:

"The BIF was not compatible with the government's roll out of ultra fast broadband. It had its own specific set of criteria and was not focused on our key objective of achieving widespread ultra fast broadband."

"Funding for the DDC has been withdrawn because it is our intention to work instead directly through the relevant industry groups.

"We remain committed to engaging with the groups represented by the DDC but believe that direct interface is a much more effective means of receiving input and advice from these organizations."

Joyce says he will be announcing the next steps towards the roll out of ultra fast broadband in the near future.

"I am having good discussions with stakeholders and will present a paper on options to Cabinet soon", he confirmed, concluding:

"This is a NZD1.5bn (USD770m) investment and, to get this right the first time, we will work carefully through the detail and ensure we have the right structure in place to secure the digital infrastructure which is so important to New Zealand's future prosperity."

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