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22/01/2016

Update: Implementation of the Final Pricing Principle and Labour Cost Index price changes

Informer 315: 22 January 2016

With our implementation plan now ready we want to keep you informed about the changes we’ll be making.

What's happening?

On 15 December 2015 the Commerce Commission set the final prices for layer 1 (UCLL/UCLFS) and layer 2 (UBA) copper services, alongside various non-recurring charges associated with those products.

The Commerce Commission also approved Labour Cost Index (LCI) price changes on 28 October 2015.

Now that we’ve had a chance to develop the full implementation plan, we need to let you know of a couple of updates since Informer 311 (Final Pricing Principle outcome) that we released on 16 December 2015.

What's the detail?

It looks likely we will complete the testing for the revisions to the bill earlier than we initially expected. This means we’re in a position to apply both the new prices and adjustments for the first time from our 27 February 2016 bill run. We will then capture in-flight orders over subsequent months.

We can also confirm that there will be no structural change to the format of the bill, only the price points are changing for the services below.

Overview of change
The changes affect the monthly rental, transaction and ancillary charges for the following products:

  • Baseband
  • UBA
  • Basic VDSL
  • Boost VDSL
  • UBA Backhaul (plus LCI)
  • UCLL
  • UCLL Backhaul
  • UCLL Co-location (plus LCI)
  • Sub Loop UCLL
  • SLU Backhaul (plus LCI)
  • SLU Co-location (plus LCI)
  • SLES
  • Commercial Backhaul (plus LCI)
  • Exchange Space (plus LCI)
  • NGHS
  • Handover Products
  • Enhanced Co-location

A full list of affected products and spot codes can be found on the customer website.

Please note:

  • LCI price changes were approved by the Commerce Commission on 28 October 2015. However, we’re only applying LCI to prices that are not impacted by FPP. We will make these changes and any adjustments back to 16 December 2015 at the same time as implementing the FPP price changes.
  • We are also altering the monthly rental of SLES so that the combined price for SLU and SLES is then the same as the UCLL monthly rental. 

Need more information?

If you would like more detail on our proposed billing process and the revised pricing can be found on our website.

If you would like to discuss your bill in more detail please contact your Account Manager.

For any Spark Agency related price change queries please contact your Spark Account Manager directly.