Bruce Scott (Maranoa, National Party) Share this | Hansard source

I rise to speak on the National Broadband Network announcement yesterday by the federal government and the lauding of this policy. The government went to the last election with a $4 billion policy, which has now become a $43 billion policy, with a very scant economic model. Any of the modelling that I have seen would ask: why have businesses in the private sector not already done it if the project is so good?

What they have apparently offered—that is, what they have come to a heads of agreement with Telstra for—is $9 billion compensation to Telstra. In other words, that will go to Telstra shareholders, with another $2 billion to follow. Where is the economic modelling to say that the access to infrastructure that they are going to give to the National Broadband Network, to the NBN, is worth $11 billion? The Telstra board have a responsibility to call an extraordinary shareholders meeting before the next federal election and explain their decision to their shareholders. In the announcement yesterday the Prime Minister said that this would not be wrapped up until after the federal election. I would say Telstra’s board of management and executives were perhaps a part of the Rudd government’s re-election team, unless they were prepared to go to their shareholders and give an open account of why the access to infrastructure they were giving to the NBN was worth $11 billion. It could be worth more. Let us get a commercial assessment of what it is worth. Then we might have some open accountability in this government, which we see very little of.

The Minister for Broadband, Communications and the Digital Economy and the Prime Minister said, on the one hand, ‘The whole of Australia will have access to high-speed internet through the optic fibre cable network,’ and yet they said, ‘Ten per cent of it will remain on copper.’ The minister for communications on the ABC this morning said that 10 per cent would remain on copper. That will be those communities with fewer than 1,000 people. It will probably end up being communities with fewer than 2,000 or 3,000 people. The solution from the minister was, ‘Possibly they will get wireless or satellite internet.’ That is not what they said, prior to the last federal election, they believed they could deliver. I say to the people of rural and regional Australia: do not buy this model, because if they are re-elected you will have to carry the commercial risk for the $43 billion, $33 billion or $32 billion of borrowings but you will not get the benefit of optic fibre cable delivered to your community.

It was quite clear from the minister for communications that 10 per cent of Australia would not be participating in this rollout of optic fibre cable. There is a long way to go in this debate, and I for one will want to keep this minister, this government and Telstra’s board of management held to account. (Time expired)

See this speech in context