The Government has acknowledged international criticism of its new law around online state surveillance but internet giant Google says it has failed to address those concerns.
The Telecommunications (Interception Capability and Security) Bill has been reported back to Parliament by the commerce committee.
The bill sets out how telecommunications and internet service provider companies must allow spy agencies the Government Communications Security Bureau (GCSB), Security Intelligence Service, police and others to monitor communications over their networks and services.
It has come under fire from international internet companies Google and Microsoft, which warned that it results in orders to intercept communications that conflicted with US and other countries' laws.