NZ opens networks for spying

The New Zealand government now wants network operators and ISPs to ensure they can spy on customers using their services on behalf of police and secret service groups.

The wish will become law if a bill -- the Telecommunications (Interception Capability) Bill -- to amend to New Zealand's telecommunications legislation currently being drafted is passed.

Laws contained in the bill will force network operators to implement "technical capabilities" to intercept telephone calls and Internet communications, including e-mail.

New Zealand tax payers will foot the bill for the equipment required to spy on existing fixed and mobile voice networks installed within the first 18 months after the new laws are enacted. However operators will have to pay for spying capabilities built-in to any new or "additional" voice networks.

Internet Service Providers and network operators will have to pay for any upgrades necessary to make sure that law enforcement agencies can spy on their customers' email and Internet communications.

According to NZ Minster for Commerce and Justice, Paul Swain, the new laws will have privacy protection measures built-in to them. Before a law enforcement agency can intercept an individual's network communications it will need permission from New Zealand's High Court and from the communication company operating the network service targeted for spying.

Swain said the new legislation will bring New Zealand's laws in line with those in place in Germany, the United States, the Netherlands, United Kingdom and Australia.

In order to justify the legislation, Swain appealed to New Zealanders' sense of security in the wake of last year's terror attacks on the US.

"New Zealand has to make these changes to be certain our law enforcement and national security are not eroded by changes in technology, this has become particularly important given concerns about security internationally after the events of September 11," said Swain.

The appearance of the bill comes within weeks of Swain's announcement that New Zealand would take steps to synchronise its commercial laws with Australia's. At the time, he said it would make it easier for businesses to operate across the Tasman.

"Differences in regulatory environments make it harder for businesses wanting to operate in both Australia and New Zealand. A firm wanting to operate in the two countries has to obtain two sets of regulatory approvals and comply with two sets of rules. This can put firms off Trans-Tasman business," he said.

Australia introduced telecommunications legislation equivalent to that sought by the New Zealand government as part of the Telecommunications Act 1997. Under the act Australian carriage service providers must ensure that communications travelling across their networks can be intercepted.

In explaining the effort to co-ordinate Trans-Tasman legal environments Swain said that running a regulatory regime unique to New Zealand was "not always in our [New Zealand's] best international interests".

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