The government had a large role in the structural and operational separation of Telecom into two companies - Telecom (now Spark) and Chorus.
Operational separation was completed in 2008, and structural separation was finalised in 2011.
Operational separation of Telecom
The Telecommunications Act required Telecom's operations to be separated.
A plan for the operational separation of Telecom New Zealand was approved by the Government in early 2008.
- The three-way operational separation of Telecom is set out in the Telecommunications Act 2001.
- Separation day was 31 March 2008.
Preceding this, Telecom submitted two draft plans, which were amended in response to public submissions received.
The Minister for Communications declined to approve Telecom's first two draft plans, and issued a notice of requirements setting out which parts needed further changes.
Telecom's third draft was approved by the government on 30 March 2008.
Find out more
- Telecom Separation Plan - an introduction to Telecom's undertakings [PDF 41KB]
- Telecom Separation Undertakings [PDF 525KB]
- Acceptance of the separation plan by the Minister of Communication and Information Technology [PDF 57KB]
- Telecom's letter to the government to reaffirm its commitment to rural communities [PDF 492KB]
- Telecom's letter to the government to explain information disclosure and its management of commercial and confidential customer information during the separation [PDF 477KB]
Structural separation of Telecom
Telecom has been split into two separate companies - Telecom (now Spark) and Chorus. The split was part of the agreements to roll out Ultra-Fast Broadband.
- Regulatory framework for the separation of Telecom [PDF 17KB]
- Telecom's Kiwishare and telecommunications service obligations [PDF 27KB]
Consultation on the impact of structural separation
Telecom's structural separation into two independent companies (Telecom and Chorus) was a major change in the telecommunications industry's structure and regulatory regime.
Because of the significance of this change, we gathered public feedback on a discussion document to consider the split's implications for the:
- Regulatory framework for copper services.
- Operational and accounting separation of Telecom.
- Local service telecommunication service obligations.
Submitters were then invited to provide feedback on the other submissions received.
- Discussion document (submissions closed October 2010): Regulatory Implications of Structural Separation [PDF 235KB]
- Letter sent to submitters to invite cross-submissions [PDF 15KB]
- 2Degrees [PDF 601KB]
- Business NZ [PDF 105KB]
- Commerce Commission [PDF 231KB]
- Counties Power Ltd [PDF 94KB]
- Digital Auckland Working Party (confidential sections have been withheld) [PDF 151KB]
- Federated Farmers of New Zealand [PDF 131KB]
- Dave Heatly & Bronwyn Howell [PDF 610KB]
- InternetNZ [PDF 139KB]
- New Zealand Regional Fibre Group [PDF 1MB]
- Rural Women New Zealand [PDF 150KB]
- Telecom New Zealand Ltd [PDF 592KB]
- Telecommunications Carriers Forum [PDF 101KB]
- TelstraClear Ltd [PDF 312KB]
- Telecommunications Users' Association of New Zealand (TUANZ) [PDF 59KB]
- Vector Ltd [PDF 410KB]
- Vodafone [PDF 193KB]
- Michael Wigley [PDF 187KB]