The plug has been pulled on plans to build a town-wide Wifi network in Wairoa after ratepayers voiced their opposition to funding the project.
Wairoa District Council had promoted the initiative, which it believed had the potential to collectively save residents millions of dollars a year in internet and phone charges.
It would have involved the council borrowing $900,000 to set up a town-wide Wifi network with access to the internet through 150 hot-spots set up on street light poles.
The $270,000 annual cost of running the network would have been met through an increase in rates, with the average urban ratepayer facing a rise of $22 per month, or $264 a year.
The council said the network would have enabled residents to quit their existing telecommunications providers, collectively saving the town's 1990 households between $2.3 million and $6 million - depending on how many made the switch.