Insight | 16 September 2010

Third time lucky - Frontier Economics bulletin

Mobile phone tower against sky

The Minister for Communications and Technology in New Zealand has finally accepted a recommendation from the New Zealand Commerce Commission (NZCC) to regulate mobile termination rates (MTRs). This follows two previous decisions to reject NZCC recommendations to regulate these rates.

Frontier (Australia)’s latest bulletin discusses some of the controversy around the latest NZCC inquiry into whether to regulate the service, and consider the likely next steps in New Zealand. It concludes that the NZCC needs to improve greatly its current approach to benchmarking to estimate credibly the cost of mobile termination in New Zealand. The bulletin also considers the implications of the latest New Zealand decision for MTR regulation in Australia.

For more information, please contact Marita O’Keeffe at m.okeeffe@frontier-economics.com.au or call on +61 (0)3 9620 4488.

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