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Home / Business

Broadband plan code a plus for consumers

Herald online
11 Dec, 2013 08:40 PM2 mins to read

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Orcon CEO Greg McAlister and Kim Dotcom hold a press conference to announce their joining of forces to bring affordable, unlimited broadband to New Zealand. Photo / NZ Herald

Orcon CEO Greg McAlister and Kim Dotcom hold a press conference to announce their joining of forces to bring affordable, unlimited broadband to New Zealand. Photo / NZ Herald

A new code on how internet companies present broadband plans aims to help consumers compare offers from different internet companies.

Industry group the New Zealand Telecommunications Forum has come up with a code of practice for how information about broadband plans is disclosed to consumers.

The code requires the forum's members - which include CallPlus, Orcon, Snap, Telecom, Vodafone and Woosh - to provide information about broadband plans in "a comparable and consistent format".

This is to help consumers easily compare broadband plans from different internet companies. It will cover both ultra-fast broadband services and copper-line internet products.

New summaries will be made available with broadband plans from March next year and will have information on cost, the contract term, data caps and any traffic management policies.

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The code was devised following a request from Communications and Information Technology Minister Amy Adams, who welcomed the announcement this morning.

"As the Ultra-Fast Broadband network is rolled out around the country, consumers will need a clear foundation on which to consider and compare broadband offerings," Adams said.

"It is important that consumers are provided with accurate information about competing product offerings and are able to make informed choices. The introduction of a code is an important step towards improving transparency for broadband products in New Zealand," she said.

The TCF said today that a new testing method is also being developed to help consumers gauge the performance they are likely to receive from different broadband services.

Telecommunciations Users Association chief executive Paul Brislen said it was good to see consumers would get some clarity in broadband products are presented.

Brislen said previously "confusion had been used as a marketing tool" by some telcos and the code would go a way to stopping that.

The code would become increasingly important as ultra-fast broadband gets more popular, he said.

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