Vodafone has slammed the Government's intervention into broadband pricing, saying proposals mean "taking money from New Zealand consumers and paying it to Chorus shareholders".



While it is not part of the Coalition for Fair Pricing, Vodafone's submission is broadly similar to the new lobby group, which launched the Axe the Copper Tax campaign last week.



"This intervention is quite simply a stealth copper tax on all consumers with no justification," Vodafone's statement says, calling the intervention an "ill-conceived intervention to raise copper prices above cost".



Last week the coalition, headed by Consumer NZ and including internet companies and consumer groups, said the Government's intervention amounted to a $600 million "tax" on New Zealand broadband users.



Vodafone said there was no evidence to suggest the ultrafast broadband (UFB) objectives are at risk.



"This proposal acts on a whim to deliver unnecessary corporate welfare to Chorus, at the expense of all consumers who will pay more for telecommunications services, including those consumers who gain nothing from UFB for a substantial period, if at all."



Vodafone said it "wholeheartedly supports the UFB initiative and the benefits it will bring", but the Government's proposals did nothing to guarantee its success.



"Forcing consumers to pay higher prices for copper broadband to make fibre more attractive is bad policy.



"Instead, the Government must focus on making UFB fibre more compelling and attractive. Meddling with copper prices does nothing to address this."



The battle over the Government's proposals stepped up this morning with Chorus revealing that its submission includes statements from former telecommunications commissioner Ross Patterson, which back the Government stepping into the Commerce Commission's review of pricing.



"The relative pricing of copper and fibre services was a key element of the migration strategy that was built into the contractual component of the regulatory environment," Patterson said.