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| Our Finest Hour |
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| Author : Greg Adams- Editor of TUANZ Topics
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The passing into law of the Telecommunications Act last December heralded a new dawn for telecommunications users in New Zealand. TUANZ played a key role in its formation and here Topics editor Greg Adams looks at the �work behind the scenes� that some believe has been TUANZ�s greatest achievement to date.
What�s TUANZ ever done for us? Well, I�m glad you asked. There�s the obvious, of course, like this copy
of Topics. The annual awards and last month�s Education conference (see p20) are among a number of high profile events. Then there�s After 5�s seminars, luncheons, special reports, the website � I think you get my drift.
However, there�s more to TUANZ than dinners, speeches and trophies, much more. There�s an important and fundamental part of its work that goes
on largely unseen and unsung. This is the politicking. The hours of meetings and forums, informal chats and formal presentations where TUANZ represents its members� interests by providing a way for the business user to be heard at all political and commercial levels in the telecommunications marketplace.
And at no time has this been more evident than in the creation of the Telecommunications Act. A delicate process that had TUANZ to the fore, sticking up for you,
the user. It was perhaps our finest hour.
�I believe the Act was the opportunity to do what TUANZ is here to do,� said TUANZ chairman Judith Speight. �It gave us our true purpose.�
And before you say, �she would say that wouldn�t she�, Minister of Communications Paul Swain added: �TUANZ�s input as consumer representatives was vital to the process. I met with its representatives on a number of occasions and got valuable input from them on a wide variety of issues.
�TUANZ brought to the mix a single-minded focus on what was good for users.�
Those are strong sentiments, indeed, and ones from which all TUANZ members can take satisfaction.
Officially, it all started in November 1999 when
the Government announced its intention to
increase competition in the telecommunications industry. However, we need to go back to before the general election of that year for the first signs of TUANZ involvement.
�We had talked with the then Labour opposition and argued that they should hold a ministerial enquiry into Telecommunications,� explained TUANZ CEO Ernie Newman.
�At that time, National had a firm belief that the hands-off approach to regulation was the way to go but there�s every reason to believe they�ve changed their minds now.�
The new Labour Government lived
up to its promise and established
a Ministerial Enquiry � the Fletcher Enquiry � in February 2000. Interested parties, which included TUANZ, were invited to make detailed submissions.
To make sure TUANZ was able to make
the strongest advocacy of its position
Ernie Newman went to Europe to look around leading-edge markets where telecommunications were already regulated, such as in UK, Denmark, and Ireland.
�I met with people who were able to put a real context around and rationale for regulation,� he said. �I also gained a lot of important information and conviction from my INTUG peers.
�This strengthened my opinion considerably and, given the prevailing disposition to minimalist intervention, gave me the courage to be able to
argue what was a relatively unpopular policy here.
�TUANZ positioned itself as suppliers of quality information to the Enquiry and to the politicians.
We also kept them focused on the end result through the media and we made sure they were constantly aware that public opinion was seeking change.�
TUANZ made its oral submission to the Fletcher Enquiry in mid-2000, and it �gave every indication that our input was highly valued,� added Newman.
The Enquiry released its report on October 4, 2000. Although it opted for a more light-handed approach than was envisaged in its draft report in June, it largely agreed with the TUANZ view that after 15 years of deregulation, specific regulation was now needed in the New Zealand telecommunications industry.
In December 2000, the Government put forward its own recommendations and in May 2001 the Telecommunications Bill was read before parliament and referred to the Commerce Select Committee.
TUANZ now found itself keeping the focus and interest of the decision-makers in Wellington.
�We wanted to make sure the Bill reflected the enquiry recommendations as far as possible,�
said Ernie Newman. �There was the potential for
the Government to dilute it. So we spent an enormous amount of time lobbying among political parties and fostering their understanding of the issues.
�There�s a simplistic starting point that says all industries are the same. However, network
industries are different and telecommunications different again. The challenge for us was to communicate these differences, especially in the space of a half hour appointment.�
The devil was now in the detail. Changing a comma could change the course of telecommunications history. TUANZ made its submission to the Select Committee and then lobbied hard to make sure the views of the user were heard at the highest levels.
�TUANZ�s role was timely, constructive and far-sighted,�
said David Cunliffe, Chairman of
the Commerce Select Committee.
�Its submission was clear and it raised important issues of industry competitiveness that the select committee gave detailed consideration to.
�TUANZ brought with it a deep knowledge of the industry and, most importantly,
it essentially did not represent the interests of any one player in the industry. Its views were particularly significant in wholesale regulation, particularly unbundling issues and interconnection pricing.�
In November 2001, the Government released a Supplementary Order Paper that contained proposed amendments to the Bill. Among the most contentious of its changes was the specification of mobile roaming and co-location.
TUANZ also fought a rearguard action to get unbundling of the local loop but it was one area where it was unsuccessful.
�In fairness, there was a time issue here,� said Newman. �TUANZ and the Government had a fairly common view on LLU in principle, but the Minister wanted the Commissioner to settle before pursuing it. I do believe history will show that we were right.�
That TUANZ was an influential player in the development and creation of the Telecommunications Act is not in doubt. Many parties had their part to play but the hard work and determination on the part of TUANZ meant the rights of the user were always to the fore.
Indeed, the work doesn�t stop now. It will be keeping watch on the implementation of the Act and the work of the new Telecommunications Commissioner.
Why was the TUANZ role so critical?
�Education,� concluded Judy Speight. �We saw our role very much as educating various parties without
a commercial agenda.
�Objectivity, and the fact that we had got a mandate from our members, meant we were bringing the users� perspective to the mix. I like to think that we won through reasoned argument - we simplified the complex economic arguments into issues of good common sense.�
Greg Adams is editor of TUANZ Topics.
First published TUANZ Topics April/May 2002
�TUANZ 2002
Further information is available at TUANZ
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