Headline: Kiwis paying extra for broadband
Kiwis will pay $150 more a year for their broadband than they should thanks to the National Government – and John Key knows it, says Labour Leader David Cunliffe.
“John Key’s government is planning to keep the price of copper broadband services artificially high because it has a political problem and is trying to make its ultrafast broadband plan more attractive to consumers.
“The Commerce Commission’s draft determination would have cut prices for broadband by up to $12.50 a month. But the Minister’s proposals override the independent regulator, and would keep prices higher for longer.
“John Key’s claim in Parliament today that “under every scenario consumers will pay less” is just plain wrong. Every scenario put forward by the Government in its discussion document would see Kiwis pay more than they would under the Commerce Commission’s plan.
“This is corporate welfare. National is once again propping up big business at the expense of Kiwi families.
“Embarrassingly, John Key’s former boss at Bankers Trust, Gavin Walker, is the chair of Chorus’ UFB Steering Committee. Given the $600-million estimated subsidy involved, that is just too close for comfort.
“It’s more of the same from the Government that gave SkyCity extra pokies and an extended gambling licence in a sweetheart deal, and pumped $30-million into Rio Tinto just to get its asset sales agenda over the line.
“National is out of touch if it thinks Kiwis want the government looking after big corporates at their expense.
“John Key should butt out of this entire process and let the regulators do their job. That’s the only way that consumers will get a fair go under National,” says David Cunliffe.
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