Telecommunications (Operational Separation) Determination 2007 (SR 2007/302) (as at 01 January 2009)

Reprint as at 1 January 2009

Telecommunications (Operational Separation) Determination 2007

(SR 2007/302)


Note

Changes authorised by section 17C of the Acts and Regulations Publication Act 1989 have been made in this reprint.

A general outline of these changes is set out in the notes at the end of this reprint, together with other explanatory material about this reprint.

This determination is administered by the Ministry of Economic Development.


Pursuant to section 69F of the Telecommunications Act 2001, the Minister of Communications makes the following determination.

Contents

1 Title

2 Commencement

Part 1
Outline, interpretation, and provisions of general application

3 Outline of determination

Separation day

4 Separation day

Application to services

5 Specification of relevant services

6 Application to relevant services

7 Application of arm's-length rules to relevant services

8 Determination does not require Telecom to provide access to other services

Interpretation

9 Meaning of equivalence of inputs

10 Meaning of resale equivalence standard

11 General interpretation

12 Status of examples

Arm's-length rules

13 Overview of arm's-length rules

14 General rules applicable to all personnel (except to extent that exceptions apply)

15 Role of TCNZ board and chief executive

Part 2
Fixed network access service business unit (ANS unit)

Establishment and assets

16 Outline of Part 2

17 Establishment of Access Network Services unit

18 Access Network Services unit must control access network

19 Access Network Services unit must have sufficient influence over other assets

20 Minimum requirements for undertakings about operation of Access Network Services unit

Relevant services

21 Access Network Services unit must provide relevant services

22 Specific responsibilities of Access Network Services unit

23 Fibre to premises

24 Access Network Services unit must provide relevant network access services on equivalence of inputs basis

25 Different standards of equivalence for regulated network access services

26 Migration to equivalence on legacy services

27 Access Network Services unit must build services and systems ready for equivalence of inputs standard

Stand-alone and arm's-length rules applying to Access Network Services unit

28 Access Network Services unit must act on stand-alone basis and at arm's-length

29 Separate management and reporting lines for Access Network Services unit

30 Employees of Access Network Services unit may not work for any other Telecom business unit

31 Setting Access Network Services unit annual and long-term corporate plans and technology plans

32 Implementation of plans and day-to-day management

33 Access Network Services unit must formulate its own commercial policies

34 Access Network Services unit must act in its own best interests

35 Access Network Services unit must not discriminate

36 Access Network Services unit must have trading arrangements

37 Access Network Services unit must not disclose customer confidential information

38 Access Network Services unit must not disclose commercial information

39 Access Network Services unit must have localised incentive arrangements

40 Accommodation for Access Network Services unit

41 Branding for Access Network Services unit

42 Staff of Access Network Services unit

43 Consultation about changes to access network, etc

44 Other relevant services that Telecom chooses to supply

45 Process for Access Network Services unit requests

Part 3
Wholesale business unit

Establishment, assets, and services

46 Outline of Part 3

47 Establishment of wholesale unit

48 Wholesale unit must have sufficient influence over relevant assets

49 Wholesale unit must provide relevant wholesale services

49A IP interconnection services

50 Specific responsibilities of wholesale unit

51 Wholesale unit must provide certain relevant services on equivalence of inputs basis

52 Wholesale unit must provide resale services on resale equivalence standard

53 List of improvements to resale services directed to achieving resale equivalence standard

54 Different standards of equivalence for regulated wholesale services

55 Wholesale unit must build services and systems ready for equivalence of inputs standard

56 Other relevant services that Telecom chooses to supply

Arm's-length rules applying to wholesale unit

57 Wholesale unit must act at arm's-length from retail

57A Arm's-length rules may be relaxed for resale purposes

58 Separate management and reporting lines for wholesale unit

59 Employees of wholesale unit may not work for retail unit

60 Wholesale unit must formulate own commercial policies

61 Wholesale unit must not discriminate

62 Wholesale unit must have trading arrangements with retail unit

63 Wholesale unit must not disclose customer confidential information

64 Wholesale unit must not disclose commercial information

65 Wholesale unit must have localised incentive arrangements

66 Accommodation for wholesale unit

67 Staff of wholesale unit

68 Legal and regulatory staff working for wholesale unit

69 Telecom must maintain DSPL and RSPL

Part 4
Retail unit

Establishment, assets, and services

70 Outline of Part 4

71 Retail unit need not control any specific assets

72 Retail unit need not provide any specific services

Arm's-length rules applying to retail unit

73 Retail unit must act at arm's-length from Telecom's fixed network business units

74 Employees of retail unit may not work for certain other units

75 Retail unit must not influence commercial policy of Telecom's fixed network business units

76 Staff of retail unit

Part 5
Telecom's fixed network business units

Arm's-length rules applying to fixed network business units

77 Employees of Telecom's fixed network business units may not work for retail unit

78 Telecom's fixed network units must not disclose customer confidential information to retail unit

79 Telecom's fixed network units must not disclose commercial information to retail unit

Part 6
Enforcement and oversight for compliance with separation plan

Independent Oversight Group

80 Establishment of Independent Oversight Group

81 Appointment of members of IOG

82 Functions of IOG

83 Funding and support of IOG

Support office

84 Establishment of support office

85 Employment of staff for support office

86 Funding and support for support office

Performance measures, audit, and other checks of compliance with separation plan

87 Performance measures and other checks of compliance with separation plan

88 Audit

89 Reports containing confidential or commercially sensitive information

Part 7
Miscellaneous and transitional provisions

Carve-outs from arm's-length rules for shared groups and services

90 Rules for corporate centre participation in formulation of commercial policy, etc

91 Rules for shared groups in relation to commercial information and customer confidential information

92 Amendments to shared group people and roles

93 Certification by managers of shared groups and services that separation undertakings complied with

Miscellaneous provisions

94 Consultation with access seekers about which unit they prefer to deal with

95 Force majeure

96 TCNZ and subsidiaries must establish arrangements to ensure compliance, etc

97 Determination does not limit outsourcing

98 Shared assets and systems

99 Conditions on use of shared services

99A Exception to arm's-length rules for access planners

100 Advisors

101 Confidentiality requirements not limiting

102 Certification by TCNZ board, TCNZ CEO, and managers of required Telecom business units that separation undertakings complied with

103 Whistleblowing

Transitional provisions

104 Statement of assets of ANS unit as at separation day

105 Inadvertent failure to comply with arm's-length rules before 31 December 2008

106 No breach for trivial non-compliance

Schedule 1
Implementation timeframes

Schedule 2
Shared groups and services

Schedule 3
Tier sites

Gazette information

Reprint notes


Determination