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Proposed UFB price changes from 1 January 2025
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On 10 April 2024 we notified you on the timing of our next fibre portfolio price adjustment. We’re proposing an adjustment to the prices we charge for fibre services from 1 January 2025 and would like your feedback on these by 16 August 2024.
The proposal takes into consideration the cost of delivering exceptional fibre services on our fibre network and the external inflationary pressures affecting our supply chain.
Regulated fibre services (Broadband Anchor Service, Voice Anchor Service, and LUDFAS) are subject to price caps which increase according to the June quarter CPI rate of inflation each year (3.3% to June 2024 – with the ratio of 1272/1231). In January 2025 we intend to adjust all regulated fibre services up to their respective price caps, e.g. the Anchor GPON 100/20/2.5/2.5 is currently priced at $0.93 below the $54.47 cap. The price cap will increase to $56.28 (3.3%) and we propose that our price increases in 2025 by $2.74 (5.1%) to meet this cap.
We’re proposing the same 5.1% adjustment for most fibre services in our portfolio (including Home Fibre 300) with the following exceptions:
- Home Fibre 50, Home Fibre 920 and Home Hyperfibre 2000/4000/8000 – we propose increasing all by 7%
- Home Fibre Starter 50 – we propose increasing the price by $5.00 (14%) where the service provider is under the retail price cap. If the retail price exceeds the retail price cap the Home Fibre 50 price will apply. We also propose increasing the retail price cap by $6 to $66 (incl GST) at the same time. Note:
- We have not increased the wholesale price on this product since launch in April 2022 (January 2025 will be almost 3-years of no price increases);
- The launch price was $38 so an increase to the proposed $40 is only a 5% increase on the launch price (noting the price dropped in February 2023 to $35 to stimulate demand)
- Small Business Fibre (500 & 920) and Small Business Hyperfibre (2000/4000/8000) – we propose that all these Business Bitstream 2 services maintain a $5 premium to the Home Fibre/Hyperfibre equivalents.
- All other Business Bitstream 2 – as signalled previously these are legacy services with better alternatives within our product range, and we propose increasing these by 10% to encourage migration.
- Business Bitstream 3 – we propose increasing all NGA Business and Business Hyperfibre plans by 4%.
- Secondary plans – we propose increasing all secondary plans by 10%. These plans have reduced significantly with the introduction of multiple primaries
- High Priority Access, Business Premium, Mobile Access, HSNS Premium, Commercial Backhaul, Chorus Data Centre Connect, Chorus Relay Connect, Chorus Exchange Connect Lit, and Chorus Regional Transport – we propose holding the current prices for these services.
A list of proposed new charges can be found here.
Important note: This proposed price increase remains subject to consultation feedback and internal approvals.
Next Steps
You can see a summary of the key milestones for this fibre price change process.
From 10:30-11:00am on 31 July 2024 we will host a call providing background information about, and an explanation of the rationale for, the proposed changes. We won’t be taking any questions or feedback during this call. All service providers are welcome to attend, contact Hamish Buchanan to register.
If you have questions, please submit them before 5pm on 7 August 2024 using our Q&A Registration process.
Please submit your feedback using our online form. We’ll then publish a customer update by 26 September 2024 letting you know whether:
- we have decided to go ahead with the proposed price change, and if
- there are any amendments to the proposal we’ve consulted on as a result of feedback.
We’ll include a high-level summary as part of that customer update.
Our default position is that we won’t identify the service providers who gave feedback nor what feedback belongs to which service provider. We’re open to making a connection between you and your feedback as part of the summary if you want us to do so.
More information?
We’ve created a dedicated project page where you’ll find all the information about these proposed price changes. For any other queries, please contact Hamish Buchanan or Alan Mitford-Taylor in the first instance.