NZME offered 20 more years of radio spectrum for $11.2 million

NZME, the owner of Newstalk ZB, has been offered another 20 years of its commercial radio frequencies for $11.2 million under a deal with the Crown, according to RNZ.

The frequencies are part of the radio spectrum, the range of airwaves stations use to broadcast, and the Crown controls who may use them. The Crown valued the commercial radio industry's spectrum at $29 million for the renewal. Media and Communications Minister Paul Goldsmith proposed that figure as a compromise, and Cabinet agreed to it.

Other valuations were higher and lower. The Ministry of Business, Innovation and Employment put the spectrum at about $38 million, while a valuation commissioned by the Radio Broadcasters Association put it at $27 million.

The $29 million industry value is about 70 percent less than the Crown received in the previous renewal round in 2011. In that earlier round, MediaWorks paid $43.3 million.

Around 70 commercial broadcasters are covered by the renewal process. The ministry had earlier proposed a single renewal option providing up to 20 years of spectrum access. The Crown announced the $29 million national value for the current spectrum in January 2026, according to BusinessDesk.

Under the offer, NZME would pay the $11.2 million in four five-year instalments rather than upfront. Each payment would be made in advance at the start of its five-year period.

NZME could also give up individual licences during the 20-year term. It would not have to make payments for future periods on any licence it surrendered.

NZME has six months to accept the Crown's offer. The first payment is due in 2030, ahead of the new term starting on 3 April 2031.