Reprint as at 11 May 2014

Telecommunications Act 2001

Public Act2001 No 103
Date of assent19 December 2001
Commencementsee section 2

Note

Changes authorised by subpart 2 of Part 2 of the Legislation Act 2012 have been made in this official reprint.

Note 4 at the end of this reprint provides a list of the amendments incorporated.

This Act is administered by the Ministry of Business, Innovation, and Employment.


Contents

1 Title

Part 1
Preliminary

Subpart 1General

2 Commencement

3 Purpose

4 Overview

5 Interpretation

6 Public notice

7 Telecommunications access codes

8 Act binds the Crown

Subpart 2Commerce Commission

Telecommunications Commissioner

9 Appointment of Telecommunications Commissioner

9A Functions of Commission in relation to sector monitoring and information dissemination

10 Performance of Commission's functions

Levy

11 Levy

12 Levy for first financial year or part financial year

13 Minister must consult before making recommendation under section 11(3) or section 12(4)

14 Late payment of levy

Application of Commerce Act 1986

15 Application of Commerce Act 1986 and Crown Entities Act 2004

16 Application of section 98A of Commerce Act 1986

17 Telecommunications Commissioner to consent to delegation of some functions and powers of Commission

Part 2
Designated services and specified services

Subpart 1Preliminary

18 Purpose

19 Commission and Minister must consider purpose set out in section 18 and additional matters

19A Commission to have regard to economic policies of Government

Subpart 2Determinations for designated access services and specified services

Application

20 Application

21 When application must be treated as application for pricing review determination

22 When application may not be made

22A Effect of application on existing agreement for supply of designated access service or specified service

23 Requirements for application

Notification

24 Commission must notify parties

Investigation

25 Commission must decide whether to investigate

Consultation

26 Consultation or conferences

Determination

27 Preparation of determination

28 When determination must be prepared

29 Requirements for determination

30 Matters to be included in determination

Subpart 2AStandard terms determinations for designated access services and specified services

Preliminary

30A Overview of subpart

30B Interpretation

Standard terms development process

30C When standard terms development process may be initiated

30D Commission must give public notice if Commission initiates standard terms development process

30E Commission must conduct scoping workshop

Standard terms proposal

30F Call for standard terms proposal

30G Requirements for standard terms proposal

30H Failure to submit standard terms proposal

30I Receipt of standard terms proposal

30J Requirement for submissions

Draft standard terms determination

30K Draft standard terms determination

30L Consultation or conferences

Standard terms determination

30M Standard terms determination

30N Commission's discretion to determine how standard terms determination is to be prepared

30O Matters to be included in standard terms determination: general

30P Additional matters to be included in standard terms determination for designated access service

30Q Standard terms determination not to include expiry date

30R Review of standard terms determination

Application of standard terms determination

30S Application of standard terms determination

30T Effect of standard terms determination on determination made under section 27

Residual terms determination

30U Purpose of residual terms determination

30V Application for residual terms determination

30W When application may not be made

30X Requirements for application

30Y Commission must notify parties

30Z Commission must decide whether to investigate

30ZA Consultation or conferences

30ZB Preparation of residual terms determination

30ZC Requirements for residual terms determination

30ZD Matters to be included in residual terms determination

Subpart 3Determinations for designated multinetwork services

Commission may initiate process for designated multinetwork service determination on own initiative

31AA Commission may initiate process for designated multinetwork service determination on own initiative

Application

31 Application

32 When application may not be made

33 Requirements for application

Notification

34 Commission must notify parties

Investigation

35 Commission must decide whether to investigate

Draft determination

36 Draft determination

37 Matters to be included in draft determination

38 Consultation, conferences, or public hearing

Determination

39 Determination

40 Matters to be included in determination

41 Determinations not invalid for certain failures

Subpart 4Pricing review determinations for designated access services

Application

42 Application

43 Requirements for application

Notification

44 Commission's requirements on receiving application

Calculation of price

45 Access provider to calculate price on request

46 Offences [Repealed]

Draft determination

47 Draft pricing review determination

48 Requirements for draft determination

49 Matters to be included in draft determination

Consultation

50 Consultation or conferences

Determination

51 Pricing review determination

52 Matters to be included in determination

Subpart 5Supplementary provisions for all determinations

53 Procedure for determinations

54 Applicant may withdraw

55 Commission's costs

56 Parties' costs

57 Enforcing directions given under section 55 or section 56(2)

58 Clarification of determination

59 Reconsideration of determination

60 Appeals from certain determinations under Part 2

61 Enforcing determinations of Commission [Repealed]

62 Expiry of determinations

63 Application of Commerce Act 1986

Subpart 6Matters relating to regulation-making powers for designated services and specified services

64 Mandatory review of local loop unbundling and access to, and interconnection with, Telecom's fixed PDN [Repealed]

65 Expiry of designated services and specified services [Repealed]

66 Alterations to Part 2 or Part 3 of Schedule 1

67 Alterations to clauses 1 to 6 of Schedule 1

68 Minister's recommendation subject to procedure in Schedule 3

68A Application of Schedule 3A

69 Regulations

Part 2A
Structural separation of Telecom

Subpart 1Preliminary provisions

69A Purpose of Part

69B Interpretation

Subpart 2Monitoring of shared assets, services, and systems

69C Interpretation

69D Meaning of arm's-length

69E Requirements for sharing arrangements

69F Commission must be notified of proposed and final sharing arrangements

69G Obligation to collect and retain information for monitoring purposes

69H Commission's monitoring, investigation, and enforcement powers

69I Commission may give non-compliance notice

69J Process for responding to non-compliance notice

69K Commission may decide on appropriate enforcement action if non-compliance persists

69L Application of pecuniary penalty provisions

69M Injunction may be granted by High Court

69N Minister may grant exemption from application of subpart

Subpart 3Line of business restrictions

69O No participation in supply of retail services

69P Register of non-retail users

69Q Variations to, and removals from, register

69R No services above layer 2

69S No end-to-end services

69T Enforcement of breaches of sections 69O and 69S

69U Application of line of business restrictions to related parties of Chorus

69V Injunctions may be granted by High Court for certain contraventions

Subpart 4Undertakings by Chorus

69W Purposes of subpart

69X Overview

69XA Interpretation

69XB Requirements for undertakings by Chorus relating to supply of certain wholesale telecommunications services

69XC Implementation of Chorus undertakings

69XD Chorus must publish Chorus undertakings

69XE Variation of Chorus undertakings

69XF Termination of Chorus undertakings

69XG Enforcement of Chorus undertakings

Subpart 5Miscellaneous

Public Works Act 1981

69XH Application of Public Works Act 1981

Resource Management Act 1991 issues

69XI Requiring authority status under Resource Management Act 1991

69XJ Designations under Resource Management Act 1991

Restrictive covenants

69XK Certain restrictive covenants

Government Superannuation Fund Act 1956

69XL Protection of existing members of Government Superannuation Fund

Subpart 6Taxation consequences of structural separation

69XM Interpretation in this subpart

69XN Purpose

69XO Depreciation

69XP Tax effect of distribution of ChorusCo shares

69XQ Goods and Services Tax Act 1985

69XR Prepayments

69XS Expenditure or loss incurred, and amounts derived

69XT Bad debts

69XU Unpaid employment expenditure

69XV Vesting of designated assets and liabilities

69XW Revenue account property

69XX Leased assets

69XY Finance leases: financial arrangements rules

69XZ Approved issuer levy and administrative status

Part 2B
Information disclosure requirements

69Y Purpose

69Z Parameters of Part

69ZA Interpretation

69ZB Accounting separation of Telecom [Repealed]

69ZC Information disclosure by all access providers

69ZD Miscellaneous provisions relating to Commission's information disclosure requirements

69ZE Publication of Commission's information disclosure requirements

69ZF Information to be supplied to Commission

69ZG Commission to publish summaries

69ZH Reasonable charge may be imposed for providing copies of statements

Part 3
Telecommunications service obligations

Subpart 1TSO instruments

70 Declaration of TSO instruments

71 Deemed TSO instrument

71A TSO instrument may specify total amount payable by the Crown

72 New KSO does not alter or revoke constitution of Telecom [Repealed]

73 When KSO part of original KSO ceases to have effect [Repealed]

74 Compliance with TSO instrument

75 Variation of TSO instrument

76 When instrument ceases to be TSO instrument

77 Notification of TSO instrument

78 Application of Commerce Act 1986

79 When 2 or more bodies corporate must be treated as 1 person

Subpart 2Amounts payable by liable persons to the Crown

Annual procedure for determining amounts payable by liable persons to the Crown

80 Interpretation

Requirement to produce certain information

[Repealed]

81 Subpart does not apply to certain liable persons

82 Liable persons must produce information on qualified revenue

Net cost

[Repealed]

83 Liable persons must produce information for purposes of liability allocation determination

84 Commission to prepare draft liability allocation determination

Amount of revenue received by liable persons in relation to TSO instrument

[Repealed]

85 Matters to be included in draft liability allocation determination

General provision relating to TSO cost allocation determination and TSO cost calculation determination

[Repealed]

86 Conferences on draft liability allocation determination

TSO cost allocation determination

[Repealed]

87 Commission to prepare final liability allocation determination

88 Matters to be included in final liability allocation determination

89 Payment by liable persons to the Crown

General matters

90 Crown use of telecommunications development levy

91 Commission must notify final liability allocation determination before notifying TSO cost calculation determination

TSO cost calculation determination

[Repealed]

92 Annual telecommunications development levy may be reduced by Order in Council

Subpart 2ATSO charges payable by the Crown

Assessment of compliance

93 Assessment of compliance with TSO instrument

93A Matters to be included in draft TSO cost calculation determination [Repealed]

93B Conferences on draft TSO cost calculation determination [Repealed]

93C Commission to prepare final TSO cost calculation determination [Repealed]

93D Requirements for final TSO cost calculation determination [Repealed]

93E Matters to be included in final TSO cost calculation determination [Repealed]

Calculation of amount payable by liable person

[Repealed]

93F Calculation of amount payable by liable person [Repealed]

TSO provider may request TSO cost calculation determination

94 TSO provider under TSO instrument without specified amount may request TSO cost calculation determination

Calculation of amount payable by TSO provider

[Repealed]

94A TSO provider who requests TSO cost calculation determination liable for costs in certain circumstances

94B Withdrawal of request for TSO cost calculation determination

94C TSO charges deemed to be zero if TSO provider does not request TSO cost calculation determination

Annual procedure for determining TSO charges payable by the Crown

94D Calculations of net cost and auditor's report must be given to Commission

94E Considerations for determining net cost

94EA Calculations of net revenue and auditor's report must be given to Commission

94EB Considerations for determining net revenue

94F Commission to prepare draft TSO cost calculation determination

94G Matters to be included in draft TSO cost calculation determination

94H Requirements for draft TSO cost calculation determination

94I Conferences on draft TSO cost calculation determination

94J Commission to prepare final TSO cost calculation determination

94K Matters to be included in final TSO cost calculation determination

94L Payment by the Crown to TSO provider

Subpart 3Remedies and miscellaneous

Remedies

95 Application of sections 96 to 98 to TSO instruments that are company constitutions [Repealed]

96 Power of court to grant relief in respect of TSO instrument

97 Court must take public interest into account

98 Certain matters not to prevent making of order under section 96

99 Amounts identifying particular TSOs in invoices not permitted [Repealed]

Miscellaneous

100 Right of appeal to High Court

100A Procedure for determinations

100B Commission must include information about deemed TSO instrument in TSO cost calculation determinations

100BA Commission must include information about spending of TSO charges paid in relation to deemed TSO instrument

100C Duties of Commission in complying with sections 100B and 100BA

101 Regulations

101A Review of local service TSO arrangements

Part 4
Networks

Subpart 1Network operators and networks generally

Declarations of network operator status

102 Persons declared to be network operators

103 Ministerial requirements for declaration

104 When declaration must be revoked

105 Declaration made or revoked by notice in Gazette

Connection to network

106 Operator must agree to connection to network

107 When operator must not agree to connection to network

108 When operator must not refuse to agree to connection to network

109 Regulations

110 Actions for damages for contravention of section 106

111 Injunctions may be granted by High Court for contravention of section 106

Information requirement

111A Information about interconnection arrangements

Misuse of network

112 Misuse of telephone device

113 Indecent telephone calls for pecuniary gain

114 Interception of telecommunications for authorised purposes [Repealed]

115 Offence to use or disclose certain information for unauthorised purposes [Repealed]

Evidence

116 Computer records

Subpart 2Maintenance of networks

Preliminary

117 Meaning of maintenance

118 Meaning of evidence of authority

118A Notices under this subpart

119 Criteria for setting reasonable conditions

Rights of entry to land in respect of lines

120 Application to District Court

121 Court order

122 Contents of court order

123 Service of order

124 Production of order

Rights of entry to land in respect of existing works and existing lines

125 Rights of entry to land

126 Conditions of entry to land

127 Evidentiary presumption

Interference with lines

128 Request for removal or trimming of trees

129 Application to District Court

130 Court order

131 Costs of removal or trimming of trees

132 Removal of trees, etc, in emergency

133 Production of authority

134 Costs of removal of trees, etc, in emergency

Lines or wireless works on roads

135 Construction or repair of lines or wireless works on roads

136 Notice requirement

137 Network operator to be notified of conditions

138 Failure to notify conditions

139 Urgency

140 Offence to not comply with any of sections 135, 136, and 139

141 Appeals by network operators to District Court

Telephone cabinets, etc, on roads

142 Construction, etc, of telephone cabinets or other similar appliances

143 Network operator to be notified of conditions

144 Failure to notify conditions

145 Urgency

146 Offence not to comply with section 142 or section 145

147 Appeals by network operators to District Court

Local authority, etc, requiring work to be done

147A Local authority, etc, may require lines, etc, to be moved

147B Cost of work required under section 147A

147C Relationship with section 54 of Government Roading Powers Act 1989

Miscellaneous

148 Alteration to line or wireless works on road requested by owner

149 Lines must not interfere with public traffic

150 Lines over navigable waters

151 Network operator must avoid interference with traffic

152 Offence to contravene any of sections 149 to 151

153 Charging for access to road reserve

154 Compensation

155 Protection of existing works

Subpart 3Access to multi-unit complexes to which fibre-to-the-premises is to be deployed

155A Overview

155B Interpretation

Statutory right of access to multi-unit complexes

155C Nature of statutory right of access to multi-unit complexes

155D Preconditions before statutory right of access to multi-unit complexes may be exercised

155E How statutory right of access to multi-unit complex must be exercised

Process

155F Requirements in respect of preliminary notice

155G Opting out of providing access under subpart

155H Requirements in respect of second notice

155I Access orders from District Court

Code

155J Preparation of Code

155K Approval and status of Code

Consumer complaints system

155L Compliance with rules and binding settlements

155M Offence to fail to comply with District Court order

156 Notices to be in writing [Repealed]

Part 4AA
Services provided using networks developed with Crown funding: Undertakings regime and Commerce Act 1986 authorisations

Subpart 1Preliminary provisions

156AA Overview

156AB Interpretation

Subpart 2Undertakings relating to networks developed with Crown funding as part of UFB initiative

156AC Purposes

Requirements for undertakings

156AD Main requirements for undertakings

156AE Minister may determine further requirements for undertakings

156AF Minister must issue and consult on draft determination

156AG Procedural requirements for determination

Process for submission and consideration of undertakings

156AH LFC must submit undertaking for approval by Minister

156AI Minister may approve or decline undertaking

Implementation of undertakings

156AJ Implementation of undertaking

156AK LFC must publish undertaking

Variation and termination of undertakings

156AL Variation of undertaking

156AM Procedure for variation of undertaking

156AN Clarification of undertaking

156AO Termination of undertaking

Effect of undertakings in relation to unbundling of certain services

156AP Commission may not recommend or investigate unbundling of point-to-multipoint layer 1 services

Enforcement of undertakings

156AQ Enforcement and remedies under Part 4A

156AR Power of court to grant relief in respect of undertakings

156AS Interrelationship of remedies

Subpart 3Information disclosure by LFCs with undertakings

156AT Purpose

156AU Commission must require disclosure by LFCs

156AV Further powers of Commission relating to information disclosure

156AW Commission may publish reports, etc, on information collected

Subpart 4Undertakings relating to networks developed with Crown funding as part of Rural Broadband Initiative

156AX Interpretation of this subpart

156AY Requirements for undertakings under this subpart

156AZ Application of provisions in subpart 1

Subpart 5Commerce Act 1986 authorisations in respect of Rural Broadband Initiative

156AZA Restrictive trade practices authorisations in respect of Telecom and Vodafone participation in Rural Broadband Initiative

Subpart 6Commerce Act 1986 authorisations in respect of Ultra-fast Broadband Initiative

156AZB Interpretation for this subpart

156AZC Restrictive trade practices authorisations in respect of participation in Ultra-fast Broadband Initiative

156AZD Business acquisition authorisations in respect of participation in Ultra-fast Broadband Initiative

Part 4A
Enforcement

Subpart 1Enforcement of statutory and regulatory provisions

Preliminary

156A Application of section 156B

156B Enforcement actions that Commission may take

156C Matters that Commission must take into account in deciding what enforcement action to take

Civil infringement notice

156D Civil infringement notice

156E Objection to civil infringement notice

156F Commission must consider objection

156G Effect of withdrawal of civil infringement notice

156H Consequence of not paying pecuniary penalty specified in civil infringement notice

156I Right to appeal

156J Decision on appeal

156K Commission may publish information about issue of civil infringement notice

Pecuniary penalty

156L Pecuniary penalty

156M Further penalty may be imposed for continuing breach

Subpart 2Enforcement of determinations, approved codes, and undertakings

156N Interpretation

156O Complaints of breach of enforceable matter

156P Enforcement by High Court

156Q Remedies for breach of enforceable matter

156R Limit on amount of pecuniary penalty

Part 5
Miscellaneous

157AA Minister must review regulatory framework

157 Regulations

158 Enactments amended

159 Certain provisions in 1987 Act repealed

160 Transitional provision for declarations made under section 2A of 1987 Act

161 Transitional provision relating to repeal of section 5C of 1987 Act

Schedule 1
Designated services and specified services

Schedule 2
Telecommunications access codes

Schedule 3
Procedure for altering regulated services

Schedule 3A
Undertakings

Schedule 3B
Annual telecommunications development levy

Schedule 4
Enactments amended

Telecommunications Amendment Act (No 2) 2006

Infrastructure (Amendments Relating to Utilities Access) Act 2010

Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011

Reprint notes