Chorus signs contracts for NZ broadband construction

Visionstream and Downer have signed contracts with Chorus in New Zealand for construction of the country’s Ultra Fast Broadband (UFB) network in the greater Auckland region.

The six-year contracts are worth more than NZ$500 million each and build on existing 10-year agreements between Downer and Visionstream and Chorus.

Chorus has estimated work with UFB will cost $1.7 to $1.9 billion through to mid-2019.

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“This enables better planning for resources and materials, as well as giving the certainty that will encourage investment into processes and systems that will help get our roll out programme into a production line state,” Ed Beattie, Chorus GM infrastructure build, said in a statement.

“One of the key changes is a shift to targeted cost incentives and shared risks that will introduce a sharper focus on financial management and increase co-ordination of deployment operations in the field.”

New Zealand is rolling out a fibre-to-the-premise broadband network to more than 830,000 premises across the country, with Chorus targeting to build the network past 149,000 premises by July.

Visionstream is also involved with the roll out of the Rural Broadband Initiative (RBI) over the next three to four years in the upper north Island of New Zealand, which is rolling out high-speed broadband to premises in rural and regional areas, including 93 per cent of rural schools.

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