The key component of the changes to the Act was Part 2A which set out the requirements for the Operational Separation of Telecom New Zealand with the following purposes:
- to promote competition in the telecommunications markets,
- to require transparency , non-discrimination and equivalence of supply in relation to certain services, and
- to facilitate efficient investment in telecommunications services.
Operational Separation
Part 2A of the Telecommunications Act 2001 requires Telecom to establish a number of business units that are required to supply certain "relevant" services to both external and internal customers on the same terms and conditions.
