Labour puts Telecom on short notice

By Adam Gifford

Labour has signalled it will take on Telecom as part of its policy to encourage New Zealand firms to adopt electronic commerce.

In its "Labour Online" ecommerce policy, launched today on its site at labour.org.nz, Labour promises to "ensure there is an appropriate competitive regime in place in the telecommunications industry to encourage innovation and investment in information technology".

Commerce spokesman Paul Swain said a three person independent inquiry team will be established as soon as possible after the election and given six months to look at interconnection arrangements, number portability, the requirement competing internet service providers route calls though the 0867 network, bundling of services and other issues.

"The competitive framework in telecommunications is not right," Mr Swain said.

"Telecom and the High Court are the quasi regulatory authorities. We cannot have that if we are to have a knowledge economy. We have roadblocks on the information superhighway."

He said the Government's failure to respond quickly to the internet and the explosion in electronic commerce meant New Zealand was failing as countries like Ireland, Singapore, Australia, Canada, the UK and the US transform their economies into "knowledge export platforms" in an effort to capture the economic and social benefits of exporting knowledge.

"Failure to act will consign New Zealand to a future of falling standards of living, increasing emigration and a shrinking of the productive base."

Many of Labour's proposals, such as making government departments buy supplies on line, were matched by the Government in its launch last week of its electronic government vision statement.

Mr Swain said much of National's vision is "Maurice Williamson's techno babble", and National is hampered by its hands off approach to markets.