House debates

Thursday, 9 August 2007

Telecommunications Legislation Amendment (Protecting Services for Rural and Regional Australia into the Future) Bill 2007

Second Reading

11:51 am

Photo of Judi MoylanJudi Moylan (Pearce, Liberal Party) Share this | Hansard source

It is a great pleasure to be able to stand here and support a substantial electorate that includes urban, rural and regional constituencies. I am very proud, of course, of what the Howard government has managed to achieve in telecommunications. Telecommunications, like much of the technology we use today, is a work in progress; things are changing dramatically all the time. We are seeing that now with the Next G mobile phone network and the things that it can do. When you think back to the old mobile phones we used to have, you realise that they were a pretty basic service. Representing an electorate that has both urban and substantial rural and regional constituencies makes the future of equitable telecommunications a very high priority for representatives such as me, and there are many others in this place who represent mixed electorates.

Adequate telecommunications services today are not optional extras. In an increasingly global trading environment it is just as important, probably even more important, for rural and regional industries as well as individuals to have access to fast, efficient telecommunications services as it is for those in the cities. I was therefore pleased when the government conducted the first independent inquiry into telecommunications in regional, rural and remote areas before the full privatisation of Telstra.

It is not a matter of who owns Telstra, as I have said many times to people in the constituency of Pearce. What is important to them is the timely, efficient, affordable and fast delivery of telecommunications. My constituents want affordable access and they want reliable, speedy services and the maintenance of their services in peak condition. They want a government that recognises that telecommunications and a lot of other technological advances today are works in progress, and we need to continue to move with the times and have the flexibility to ensure that our constituencies have the best possible options and that there is strong competition in the telecommunications industry.

Over the years that this government has been in power, telecommunications affordability has improved dramatically. The Besley report—the initial report that the government commissioned—recommended that the government continue financial and strategic assistance to areas outside the boundaries of cities and suburbs, and the government responded positively to that. Four years later the government followed up with a review of services in regional, rural and remote areas. The Estens report recognised that progress had been made following the Besley recommendations but reported that further improvements could be made to the delivery of telecommunications to rural, regional and remote areas.

This is a government that is sensitive to the needs of the community and that makes the necessary adjustments as the technology improves and is able to deliver better outcomes for all Australians. I am very pleased to say that the government accepted all of the recommendations made in the Estens report and committed $2 billion to be directed specifically to improving telecommunications services in rural, regional and remote communities. There has been a consistent commitment by the government to ensure that community service obligations, particularly in rural areas, are a top priority. The future-proofing of telecommunications in rural Australia included the establishment of the $2 billion fund once the Telstra sale legislation received royal assent. In addition, over $1 billion in direct capital was made available to invest in the Connect Australia initiative, which has been welcomed by the people in the electorate of Pearce. It will ensure nation-wide fast, affordable broadband connections for all.

It is very difficult to understand the unwarranted attack being made on the government by some members sitting on the other side when you consider that, since 2001, 4.3 million homes and small businesses have gained access to broadband services and the average price paid by consumers has dropped by more than 64 per cent. In regional Australia an additional 1.3 million premises have broadband access as a result of more than $500 million in subsidies that have been made available by this government. So the attack by the member for Richmond and others is totally unwarranted.

The aim of the government is to ensure that, by 2009, 99 per cent of Australian households and small businesses will be able to access high-speed broadband services with a capacity for live video streaming, five-second CD downloads and multichannel television. Most importantly, the plan includes fast-speed broadband to rural and regional communities at prices comparable to those charged in metropolitan areas. The establishment of the Communications Fund, a perpetual fund, means that moneys will be invested initially in a short-term deposit with the Reserve Bank of Australia until a framework can be established on a permanent basis, primarily investing in short-term, low-risk assets to ensure that there is a fund to continue to meet the undoubted changing needs of rural communities into the future. This is smart management of public money. It is smart management to have a perpetual fund, one that we invest a capital amount in and have the interest accruing to that going to continually update services to people living in rural areas. It is anticipated that the Communications Fund will earn interest of up to $400 million, and every three years that will be reinvested into telecommunications in rural, regional and remote areas of need.

The Telecommunications Legislation Amendment (Protecting Services for Rural and Regional Australia into the Future) Bill 2007 ensures the longevity of the Communications Fund and therefore ensures continuous improvement to rural, regional and remote area services. The priorities for the use of this money will be determined by regular independent reviews. The legislation to preserve this fund is in direct response to the opposition’s threat to abolish the Communications Fund and spend the entire capital on a broadband network in highly commercial and predominantly metropolitan areas.

This should ring alarm bells for those increasing numbers of Australian people living and working in rural, regional and remote areas of the country, as it would leave several million people and important industries—including mining, farming and pastoral businesses—without any targeted assistance for basic telecommunications services. It would be a bad day for all but a few Australians, perhaps those living in the leafy suburbs of some of the major capital cities. For a state as big and as diverse as Western Australia and for an electorate as large and as diverse as the electorate of Pearce, it would be a disaster.

Nothing hampers development and prosperity more than poor transport and poor telecommunications. This is something the Howard government understands deeply and has made considerable investment in. The government has demonstrated its commitment to delivering modern telecommunications to all Australians through HiBIS, the Broadband Connect incentive program and Metropolitan Broadband Connect. The Australian Broadband Guarantee provides subsidised broadband for very remote locations that may not be covered by the new regional network. I do not have very remote locations in my electorate, but there are many people in this big country that live in remote areas, and they are entitled to also share in the wealth and to have affordable services delivered to their regions. The Clever Networks and the CCIF programs support the latest in broadband technology to deliver virtual health care, remotely accessible interactive education services and integrated statewide emergency services.

While the opposition talks about the value of broadband, the government is actually delivering services and outcomes that are making a real contribution to remote area health and education services. The government has been thinking and planning ahead, with a $60 million investment in the Advanced Networks Program to ensure Australia’s active participation in global development of advanced networking technologies—applications, services and content. National ICT Australia has for some time been working on Super G and 4G mobile wireless technologies, which will provide faster data rates, larger coverage and terminals at lower cost, and will reduce network deployment costs.

Diverting slightly from the bill, I know that many people, including those in the country, are looking forward to using the impressive Next G technology, but there are still accessibility issues in many country areas. There is some alarm that Telstra intends to disconnect the CDMA network by January 2008. When the Labor government was last in office, Labor legalised an arbitrary switch-off date for the analog network, without any plans for an orderly transition, and left many regional and rural Australian without a replacement service. This government will not do that. The government remains alert and sensitive to ensuring that the needs of those living in rural, regional and remote areas are met and that there is a seamless transition from the current CDMA technology to the new Next G technology.

Having conveyed to Minister Coonan the concerns raised with me by people in the Pearce electorate about the lack of adequate cover at the moment through the Next G mobile phone network—there is certainly a lot of anxiety about that in the country—I am pleased to hear of the minister’s quick response. The government’s decision to issue a draft licence condition on Telstra, requiring them to keep the CDMA network open until the government is satisfied that Telstra has made good on its promise that the Next G network provides coverage and services as good as, if not better than, those of the current CDMA network, will be very welcome.

Those living in rural, regional and remote areas are relieved that the government has intervened to ensure that country mobile phone users are not left high and dry, as they were by the actions of the previous Labor government, when they were in office. They will not be left high and dry with this government’s proposal to make sure that that transition is seamless and that there is not a premature closure of the CDMA network.

In making the announcement, the minister has directed the Australian Communications and Media Authority to undertake independent coverage audits of both the CDMA and Next G networks. ACMA requires 12 weeks to complete the audits and the government needs time to consider those findings in order to ensure that services in rural and regional areas are protected. There is no doubt, judging by some of the comments I have heard in my electorate, that there is a high level of anxiety at the present time about the coverage at the moment.

Coming back to the bill that is before us today, the amendment legislation protecting the future of the Communications Fund and the delivery of broadband services, it is clear that Labor does not have a genuine broadband strategy for those people living beyond our major capital cities. The Leader of the Opposition has no detailed plan, no technical backing and no plan for the 25 per cent of people living outside the metropolitan region. They will be left abandoned and stranded without the services available to those in the cities if Labor is given a chance to act on its promise to scrap this fund.

By way of contrast, the government is committed to responding in a timely way to provide up-to-date services to those living in rural Australia. The massive investment made available through the Communications Fund will provide certainty and security for the increasing population and for important rural and mining industries operating outside the metropolitan area. It will mean services in rural Australia will keep pace with the rest of the nation and remain affordable. This bill secures the Communications Fund to protect the long-term interests of rural, regional and remote Australians so that affordable telecommunications can be delivered to all Australians.

I have to say that I think Minister Coonan, the Minister for Communications, Information Technology and the Arts, is doing an absolutely outstanding job in constantly looking at the current requirements of all telecommunications users and making sure that Australia has a comprehensive policy to deliver these services and to ensure that there is competition in the market. So, where services have not always been delivered very speedily in the past, they will be delivered because there will be competition to make sure that telecommunications companies are out there making sure that the public are getting value for money with the services that they deliver. I commend the work that our minister is doing in telecommunications. It is a very important service which the Australian public are entitled to. I very strongly support this bill, which protects the future of this fund to continue to deliver affordable, relevant services to all Australians, particularly those living in rural, regional and remote Australia.

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