Parliamentary Debate

QUESTIONS FOR ORAL ANSWER QUESTIONS TO MINISTERS : Technology---Research and Development

Technology---Research and Development

11. JOHN TAMIHERE (NZ Labour---Hauraki) to the Minister of Communications: What action is the Government taking to promote the uptake of technology based development in New Zealand?

Hon. TREVOR MALLARD (Acting Minister of Communications): The Government has agreed that the 2 gigahertz auction will commence on 10 July this year. Part of the spectrum available in this auction will support exciting developments in cellular mobile technology, known as third generation technology. Implementation of this technology is critical to New Zealand's economic development. It will lead to additional knowledge-based employment. To ensure there is effective competition in the provision of these services, the Government has decided that a cap will be placed on the amount of third generation spectrum that can be acquired by individual bidders in the auction. This cap will allow at least four competitors to provide these services.

John Tamihere: How will this auction contribute to Maori development?

Hon. TREVOR MALLARD: The Government has decided that preferential bidding access to one of the four 15 megahertz blocks of third generation spectrum will be given only to those parties able to demonstrate some commitment to involve Maori in the development of this spectrum. This is likely to be telecommunications working in partnership with Maori. The third generation spectrum will provide significant opportunities for new investment and technological advancement in New Zealand's telecommunications sector. The Government considers that it is very important to ensure that Maori can take part in this process.

Dr the Hon. Lockwood Smith: Did the Minister bring forward the announcement of the telecommunications inquiry to the day before Telstra Saturn went public on its $1 billion investment, to avoid the embarrassment of having to explain why the inquiry was still necessary, or is he going to claim that he knew nothing of that decision?

Hon. TREVOR MALLARD: I raise a point of order, Mr Speaker. I am finding it quite hard to get the relationship between a third generation spectrum and a telecommunications inquiry. They do both have the word ``technology'' but I think we need a closer link than that to get a relationship.

Dr the Hon. Lockwood Smith: The question specifically asked what action the Government was taking to promote the uptake of technology based development. Telecommunications did feature in the Minister's answer. Telecommunications are clearly a part of technology development.

Mr SPEAKER: The member is perfectly justified in asking the question.

Hon. TREVOR MALLARD: I will answer the member's question in two parts. The substantive answer is no. The additional answer is that there is a fundamental difference in approach between the previous Government and this Government. That Government was prepared to have every single block of spectrum owned by one organisation. The previous Government's documents make it clear that it was prepared to have every bit of spectrum owned by one organisation. All three blocks it was putting up for auction could have been owned by one organisation. We say that competition is important. We want the price down, we want the technology used, and for that reason we have taken quite a different approach in this area.

Jeanette Fitzsimons: What steps has the Government put in place to ensure that technology based development like this, or any other, focuses on technology that is environmentally sustainable?

Hon. TREVOR MALLARD: As part of this particular arrangement, we have put nothing in place to ensure that it is environmentally sustainable. I know, though, that there are discussions to be had as to, for example, the location of the transmitters. There is a lot of work to be done in that area. I think that if we can get co-locations, it would substantially help the environment both visually and for those people who have other concerns in other ways as well.

Dr the Hon. LOCKWOOD SMITH: I ask the Minister specifically: did he or did he not know anything of the Telstra Saturn investment decision prior to announcing the Government's ministerial inquiry into telecommunications?

Hon. TREVOR MALLARD: No.

Dr Muriel Newman: Has the Minister resolved the Maori claim on the airwaves, which postponed the auction last year; if so, can he inform the House how he has done so?

Hon. TREVOR MALLARD: This Government has confirmed the decision of the previous Government in relation to the claim with regard to the spectrum.