Telecommunications Development Levy

The TDL replaces the Telecommunications Service Obligations (TSO) liability allocation process and streamlines the process for industry contributions to the TSO and government led improvements to New Zealand’s telecommunications infrastructure.

The Commission is required to prepare an annual TDL liability allocation determination in accord with subpart 2 of Part 3 of the Telecommunications Act 2001. The TDL is used to pay for TSO services, the Rural Broadband Initiative (RBI) and other telecommunications developments.

The first TDL LAD was completed for the 2010/11 financial year, and was a transitional year for liability allocation purposes. The Telecommunications (TSO, Broadband, and Other Matters) Amendment Act 2011 implemented a limited version of the new liability allocation determination using the liable persons for the 2009/2010 TSO Cost Allocation Determination, and the 2010 definition of qualified revenue (revenue earned from a PSTN (public switched telephone network). 

From 2011/12 onwards, the Commission will use new definitions of liable person and qualified revenue, and the new system will utilise different processes for identifying liable persons.  

To explain how liable persons will be identified and confirmed the Commission has prepared the Draft Notification of Potential Liability for the Telecommunications Development Levy 2012. This document follows the earlier discussion document, Determining the liability allocation for the Telecommunications Development Levy for 2011/12 and beyond, and further details the Commission’s position on criteria for TDL liable persons.  This draft notification also provides an indicative list of potentially liable persons. 

Interested parties are encouraged to provide comment on the Commission’s views.  Submissions are due by 5pm Wednesday 9 May 2012. Cross submissions have been published on 25 May 2012.