The Government has decided to scrap a controversial part of the Copyright Act before it became law.
If passed, it would have required internet providers to cut off customers whenever there is an allegation they have breached copyright, most likely by illegally downloading music or movies.
Opponents of Section 92a are rejoicing after Prime Minister John Key announced this afternoon the bill in its current form would be scrapped, giving respite to the artists and musicians who pleaded their cases, the protesters who took to Parliament and the thousands of others who blacked out their websites and internet avatars in opposition to the bill.
"Cabinet has decided that Section 92a is not going to come into force as originally written," says Mr Key. "We've now asked the Minister of Commerce to start work on a replacement section."
It is not only the creative industries celebrating the repeal; internet service providers are also thrilled with today's announcement.
"I'm elated," says James Baddeley, Internet Service Providers Association of New Zealand. "I think it's a fantastic decision. I think again they've demonstrated a great level of pragmatism, and now we can get to work on doing it properly rather than trying to put a bandaid on top of a bandaid."
Although Mr Key acknowledged there is a definite need for tougher copyright infringement laws, he says the original legislation was fundamentally flawed.
"It calls for internet providers to cut off the internet of anyone accused of infringing copyright," says Bronwyn Holloway-Smith of the Creative Freedom Foundation. "There is no court process, no due process involved in investigating claims."
It remains to be seen what changes will be made to the revised bill, but as well as suggestions of a separate copyright tribunal there are also calls for legal alternatives to illicit downloading services.
Commerce minister Simon Power could not say when the next version of Section 92a would be completed, only that officials would begin work immediately.
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