Telecom prepared for competition

The future of the telecommunications industry in the Cook Islands remains unsettled despite a visit this week from some of Telecom New Zealand’s top brass Anthony Briscoe and Nick Olsen.
On Monday Briscoe and Olsen had conducted a workshop with the PM’s office to clarify the issues and continue with the dialogue.
Speaking at a press conference Friday, Prime Minister Jim Marurai clarified that Government’s policy has not changed and it remains committed to the Telecommunications Act 1999, which provides for other licencees to step up and challenge what has, to date, been a closed shop run by Telecom Cook Islands.
The prime minister indicated to the assembled media that Government supports the establishment of an open and competitive market, with the caveat that it be monitored closely by independent overseers.
With Telecom Cook Islands dangling the possibility of better and cheaper services in the future, Government also has the option of simply staying with the provider whose 10-year exclusivity contract has expired.
“They are prepared to have the market opened up,” said Marurai. “But, at the same time, they’re trying to reduce their prices. They’re gradually lowering their prices.”
According to the Prime Minister, Telecom Cook Islands is not considering fibre optics as the answer for faster and more efficient broadband service. Instead, there is talk of joining the o3b (Other 3 Billion) satellite system, which will have eight satellites in orbit by the end of 2010, with eight more to follow in the near future.
Marurai also confirmed Telecom Cook Islands recently paid another $500,000 instalment of the $3.2 million the company owes Government for this financial year.