The Commerce Commission (“Commission”) gives public notice under section 179(2) of the Telecommunications Act 2001 (“Act”) that it has published draft amendments to the Fibre Input Methodologies Determination 2020 [2020] NZCC 21 (“fibre IMs”).

Summary of the Draft Amendments

The draft amendments have been published in the [Draft] Fibre Input Methodologies Amendment Determination 2023 [2023] NZCC [XX] (“draft amendments determination”).

The draft amendments determination would amend the fibre IMs in the following respects:

1. to enable the benefits of Crown financing received prior to 1 December 2011 but enjoyed during the financial loss period to be included in the calculation of the financial loss asset;
2. to amend clause B1.1.2(9)(c) of Schedule B of the fibre IMs so that the provision references the calculation of the UFB opening asset value for all regulated fibre service providers, rather than just Chorus;
3. to enable the weighted average cost of capital (WACC) determinations made for Chorus ID to be made within two months of the start of Chorus' disclosure year, rather than one month; and
4. to introduce a wash-up for the revenue effect of the difference between Chorus’ forecast and actual opening RAB values for the second and subsequent regulatory periods (the “opening RAB wash-up”).

Further Information

Copies of the draft amendment determination, and the supporting draft reasons paper, are available on the Commission’s website at www.comcom.govt.nz.

Dated at Wellington this 29th day of March 2023.

COMMERCE COMMISSION.