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I think everyone would have to concede that a properly regulated and grown ITC industry is pivotal to New Zealand's future in the global economy of the 21st Century.

With fuel prices soaring, and unlikely to ever return to the rates we've come to accept as "normal" in the past, a geographically remote country like New Zealand will be forced to rely increasingly on virtual exports instead of those which cost a fortune to physically transport to markets half a world a way.

We also have to wake up to the realisation that even internal communication rates play an important part in setting efficiency levels and the costs of doing business.

So what on earth was Paul Swain, the ITC minister for a supposedly centre-left government, doing when he moved to protect Telecom's monopoly over the local loop?

I'm scratching my head in an effort to come up with some logical explanation for the decision he announced yesterday and so far I've narrowed it down to one or more of the following:

Stupidity, naivety, ignorance or corruption.

I still haven't made up my mind which of the above is truly applicable.

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Of course the minister has come out with some grandiose sounding words, such as "Telecom are now on notice" -- but I think we all know that this is little more than political rhetoric.

Swain also claimed that the decision was really a difficult one and more of a "line call" than anything. Excuse me, but if such a call is so close, isn't it a politician's job to side with the best interests of the public rather than those of a multi-billion dollar corporation with a goodly chunk of overseas ownership?

We're also told that Telecom will no longer engage in the monopolistic practices we've seen it use so often in the past.

Well if Swain believes that then it's only a matter of time before someone sells him the Auckland harbour bridge in what he would doubltlessly describe as "a really good deal".

In winning this decision, Telecom has shown once again that it has more clever people in its PR department than you'll find in the entirety of government and its "advisors".

Further proof of this claim can be found in this nice piece written by Peter Griffin over at the Herald.

What is Swain doing giving Telecom the benefit of the doubt while the cosy "use Telecom as your toll carrier and we'll discount your broadband" scheme demonstrates its willingness and ability to continue with the abuse of the very monopoly that was endorsed yesterday?

Even if Telecom does wholesale its digital data services, that doesn't remove the fact that it retains a monopoly. What happens when newer and better technology than DSL appears on the scene?

Will Telecom race out and spend a fortune in capital expenditure so that Kiwis can benefit from such advances?

Hell no -- it will continue to try and squeeze the last cent of profit out of its existing infrastructure and, because it retains its monopoly, there's nothing competitors can do about it.

Compare this situation to one where everyone had direct access to the copper and you'd likely find that an unbundled environment would not only promote lower prices but also the rapid introduction of new technology, as each player attempted to gain or protect a competitive advantage.

No, I'm sorry Mr Swain, you have shown yourself to be unworthy of the portfolio you hold.

But what are the alternatives? My God! Not Maurice Williamson please!

It would appear that when it comes to ITC, both the major parties will be guided by by people who have little understanding of the issues and are seemingly unable to distinguish spin from fact. How the hell are we, as a nation, going to realise our full potential in the global economy with dullards like this at the controls?

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