Gattung relaxed about law changes

By BRIAN FALLOW

WELLINGTON - Telecom chief executive Theresa Gattung is unfazed by the prospect of a more stringent regulatory environment.

The Government has imposed new disclosure rules, starting in the new year, which will focus on the disclosure of the costs of providing local access and the Kiwi Share.

Labour has promised a commission of inquiry into telecommunications.

Both parties propose changes to provisions of the Commerce Act governing the abuse of market power.

Ms Gattung said she was comfortable that Labour had not prejudged the inquiry's outcome.

Despite the conventional wisdom that it was Telecom versus the rest, an inquiry would soon discover that there were quite strong disagreements among the other players.

"I don't support the view that a change of Government would inevitably be bad for us."

Though Telecom would prefer to maintain the current environment, Labour's proposed changes to the Commerce Act thresholds would only bring New Zealand into line with Australia.

"Telstra operates under that regime and grows earnings," she said.

"I don't see it as a huge problem for us."