Telecommunications levy contribution

Here at Vodafone Next Gen, we’re always looking to keep prices down, however, recent changes across the Telecommunications industry mean you’ll see some changes to your bill.  From December 2015 onwards we will be applying a telecommunications development levy to any fixed line or broadband plans you may have with us.

This contributes towards payments Vodafone Next Gen makes to the Government such as the Telecommunications Development Levy and the Telecommunications Regulatory Levy.

Click here for FAQs

When will this come  into effect?

1 December 2015

What does this mean if you're a Vodafone Next Gen residential customer?

If the services you have incur this charge, from December 2015 onwards a 99c incl. GST per month contribution will be applied to your bill per site.

Call us on 0800 123 456 if you have any questions about your bill.

What does it mean if you’re a Vodafone Next Gen business customer?

If the services you have with us incur this charge you will see a notification on your bill.

From December 2015 onwards an 85c excl. GST per month contribution will be applied to each of your fixed line and broadband connections, depending on the services you have with us.

Call us on 0800 123 456 if you have any questions about your bill.


FAQs

Why has Vodafone Next Gen added this cost to my bill?

Recent changes across the telecommunications industry mean that from December 2015, we will be applying a telecommunications levy contribution of 99c incl. GST (85c ex GST) per month to fixed line or broadband plans, depending on whether you are a residential or business customer.This contributes towards payments Vodafone Next Gen makes to the Government such as the Telecommunications Development Levy and the Telecommunications Regulatory Levy.

What is the Telecommunications Development Levy and why is a contribution being implemented now?

The Telecommunications Development Levy is a levy the Government charges telecommunications providers and is spread across operators in the industry. Established in 2011 at $50 million per year, the cost was signalled to reduce to $10 million a year from 2016.

Recent changes to legislation following the 2015 Budget, saw the Government move to continue the levy at $50 million until 2019. This represents a $33 million increase in expected costs for Vodafone New Zealand over the three year period.

This change has meant we've had to re-look at how we manage these costs - which are unique to our industry. The Telecommunications Development Levy contribution is a charge that you’ll see on your bill from Vodafone, as a contribution towards these costs.

What does the contribution cover?

This contributes towards payments Vodafone Next Gen makes to the Government - such as the Telecommunications Development Levy and the Telecommunications Regulatory Levy.

The Telecommunications Development Levy supports the expansion of broadband coverage in rural areas, reduction of mobile coverage black spots and other industry-wide initiatives.

The Telecommunication Regulatory Levy is Vodafone Next Gen's share of costs to fund the regulation and monitoring of telecommunications services by the Commerce Commission (an independent Crown entity).

Isn’t this just a way of increasing Vodafone Next Gen's profit?

No, this contribution is to help manage this increase in expected costs and to make these costs more transparent to our customers.

When does this charge come into effect and how will I know?

The contribution will come into effect from 1 December 2015. If you’re a Residential fixed line or broadband customer, you will have received a message on your November 2015 bill.

If you are a business broadband customer who incurs the levy, you will have received a message on your November 2015 bill.

What products are eligible for the contribution?

All home fixed line and broadband products incur the telecommunications levy contribution. 

Business broadband products incur the telecommunications levy contribution, depending on the agreement you have with us.

I have multiple services with Vodafone Next Generation Services. How am I going to be charged?

  • If you are a Residential customer, you will receive a 99c incl GST per month (85c ex GST) charge per property.

  • If you are a business customer broadband you will receive an 85c ex GST charge for each broadband connection that we bill you for on a monthly basis, depending on the services you have with us.

Do I need to change my Direct Debits or Automatic Payments?

No changes need to be made to your Direct Debits.