Ken O'Dowd (Flynn, National Party) Share this | Link to this | Hansard source

My question is to the Prime Minister. I refer the Prime Minister to the ACCC report into telecommunications services, released last week, which found that the average cost paid by households for telecommunications services decreased by over six per cent in 2008-09 and by over 18 per cent for wireless broadband. Given that households are paying less and less for telecommunications services, and especially for wireless broadband, why has the NBN implementation study recommended that the NBN Co. should be permitted to increase real prices for its broadband services?

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

I thank the member for his question. Can I say to the member that what we know from international studies, including the work of the OECD, is that Australia has very high broadband prices. We know that. Then we ask ourselves, ‘What is the solution?’, particularly when we know people’s demand for broadband, for the services that broadband can bring, is growing over time. You do not need to be an expert in telecommunications to work that out. Just think about your own home use or business use of broadband services 10 years ago compared with what you use today and imagine where we will be in 10 or 15 or 20 years time. Then think about the service adaptation that we are seeing, like the service adaptation in health, where you can have a consultation with a doctor through video conferencing in real-time with the diagnostics on the page so that if you are in a rural community and the doctor is in a metropolitan centre you can converse with each other as if you were in the same place. Obviously requirements for data transfer are growing.

In these circumstances the solution the nation needs is the National Broadband Network bringing fibre with its capacity and bringing competition on price. This is pivotal to an understanding of the National Broadband Network—that retail providers will be competing on price, on the quality and innovation of their products. If you believe that competition is a good thing, if you believe that markets work best when there is competition, if you believe, having looked at other areas of human experience in our market economy, that competition has brought benefits, then you would support competition in the retail service provision in the national broadband area, and that is what the National Broadband Network will bring.

So can I say to the member opposite who asked the question: I am sure that your constituents ask you, as a new member, ‘When will I get better broadband services?’ I know that members get these questions all the time. I do, members of the government do and clearly members of the opposition do. We know that, because many members of the opposition have been out spruiking about delivery of broadband to their constituents even though they then come to this parliament and oppose it. We have got the member for Dickson, who has been out there saying that he is working hard to ensure residents in Pine Rivers have access to broadband. We have got the member for Dawson, who is urging broadband equity.

George Christensen (Dawson, National Party) Share this | Link to this | Hansard source

Mr Speaker, a point of order under relevance. What have the coalition’s comments got to do with the question? The question was about pricing.

Harry Jenkins (Speaker) Share this | Link to this | Hansard source

The member for Dawson will resume his seat. The Prime Minister understands that her response needs to be directly relevant. The Prime Minister.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

What I am pointing to is the communication to constituents about price questions and the benefits of retail competition—the question I was asked. To the member for Dawson, who raises the point of order, I note that he was running on the ABC news saying that he urged broadband equity, so I thank him for his support for the National Broadband Network. It is much appreciated. Thank you very much.

Joe Hockey (North Sydney, Liberal Party, Shadow Treasurer) Share this | Link to this | Hansard source

That was our policy actually.

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

Now the shadow Treasurer is yelling out, ‘It’s our policy.’ Is that ‘Can Co.’, ‘Can’t Co.’, ‘Won’t Co.’, ‘Slow Co.’? Which policy is that? Is it No. 16, 17, 18, 19, 20?

Opposition Members:

Opposition members interjecting—

Julia Gillard (Lalor, Australian Labor Party, Prime Minister) Share this | Link to this | Hansard source

Which policy is the shadow Treasurer shouting about? As the opposition sits there in denial of the future, as the opposition sits there weltering in its bitterness and its divisions, as it sits there privileging its political interests over the national interest every day, we will get on with the job of building the National Broadband Network. (Time expired)