In May we provided a customer update outlining our proposal to adjust fibre pricing and inviting Service Providers to provide feedback.

The consultation period closed on 27 May 2022. Over the past few weeks, we have reviewed and considered the feedback received and are now confirming the action we will take.

What’s happening?

Broadly the feedback we received was supportive of the process, the rationale for the changes was understood, and there was broad support on the Hyperfibre decreases. The proposed 5.49% increase is lower than some Service Providers were expecting given the general inflationary pressures. 

Taking the combined feedback into account, we are confirming our fibre price changes. You can check out the full price list for fibre services to which these price changes will be applied, including current and new price points here. 

What are the details?

We are applying an increase of 5.49% to all  fibre services we provide under the 2022 CSA from 1 October 2022 other than the alternative price adjustments listed below: 

• Anchor, declared, and linked services – the adjustment will be the lesser of 5.49% or the CPI annual percentage change for the June 2022 quarter (published by Statistics New Zealand on 18 July) (the “June 2022 CPI adjustment percentage”). For clarity this applies to the anchor broadband, anchor voice, and LUDFAS services.   
  • This will also apply to the Fibre 300 plan which we committed to linking the pricing to our regulated broadband anchor service. 
  • In the event that June CPI is lower than 5.49% we will issue a customer update to confirm the lower increase for these services. New pricing will be calculated as follows: 
    • Price on 30 September 2022 + (Price on 30 September x June 2022 CPI adjustment percentage).  
• Hyperfibre – we’re confirming price reductions across all Bitstream 2 and Bitstream 3a Hyperfibre plans to encourage early adoption. 
• Consumer Fibre Max – we want to continue to support upsell so a limited increase of 3.6% ($2.00) will apply to this plan. 
• Small Business Fibre Max – we will continue to hold the pricing of this plan at the existing $65.00 price point.
• Home Fibre Starter 50 – as this plan only launched 1 April 2022, we are not changing the price where the service provider is making it available at or below the retail price cap of $60. If the retail price exceeds $60.00 per month the standard Fibre 50 plan price will apply.
• Fibre 50 plan – we will increase the price of the Fibre 50 plan by the full March CPI (6.9%). For more information regarding the incentive relating to this plan, please see here.
• Chorus Data Connect and Chorus Relay Connect – we will not apply any price adjustment to these services.
• Mobile Access – we will not apply any adjustment to the price.  
• New services – This includes any new services launched by us after 5 May 2022 which was the date our consultation with you started. If we launch any of these types of services, we’ll provide appropriate pricing information related to those services at the time of launch.

Next Steps

Important note: This customer update serves as formal notice of the proposed price changes in accordance with clauses 24.4(b) and 24.5(b) of the Chorus UFB Services Agreement General Terms (the “Reference Offer” or “2022 CSA”) which will take effect from 1 October 2022. We’ll continue to keep our dedicated webpage up to date moving forwards.

Contact

For any queries, please contact your account team.