12Mb broadband for all by June 2009: Govt

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Dan Warne18 June 2007, 2:40 AM

The government has finally shown its counter-plan to Labor's popular broadband plan, saying it will offer minimum broadband speeds of 12Mbit/s to 99% of Australians by June 2009.

It also announced a $2billion WiMax and ADSL2+ network to be built by Optus and Elders to service rural and regional Australia.

As expected, the government has announced the formation of a taskforce to evaluate the two competing fibre-optic proposals: Telstra vs the group of nine telcos (G9) led by Optus.

The government says it wants to make a decision "as soon as possible" and will "legislate to enable new high speed broadband network for built-up areas", indicating that it is prepared to change the competition law that has been monopoly incumbent Telstra's bugbear for so long.

"I make no apology for an ambitious timetable and I am encouraged by the level of interest shown by a number of commercial players to build a fibre optic network for Australia," said communication minister Senator Helen Coonan.

For the 1% of the Australian population living in extremely remote or sparsely populated areas, the government says it will provide a subsidy of up to $2750 per customer to get broadband installed -- most likely satellite or long-range wireless like Internode's Coorong wireless network .

“Labor’s plan is five years away and Australians simply can’t afford to wait this long," Coonan said.

"Not only is our plan a better use of taxpayer funds than Labor’s $4.7 billion ‘city centric’ network, the Government’s broadband rollout starts now with speeds between 12 – 50 megabits per second on offer."

The 50Mbit/s figure referenced by Coonan relates to Telstra's plan to use VDSL for the last mile into customers' homes. Neither the Telstra nor G9 plan delivers fibre-optic directly to homes; instead, it delivers fibre to the 'node' (a street-side cabinet) and then uses a legacy technology such as ADSL2+ or VDSL to connect to customers' homes using the existing copper phone wires.

Funny you say the Libs had been sitting on their hands. Given this is a fully costed detailed proposal ready to begin today.

Your Little Kevin was busy baying in parliament today that the Libs only released this plan to save seats. Wasn't the opposition policy put forward to win seats?

Face it the Government has green lighted a better faster and cheaper alternative!

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

Dan Warne:

I agree that it's good that the government is making an aggressive promise and that the network build won't require taxpayers' funds.

However, I also think the government is taking a big gamble by promising it in two years. Unless they've pretty much already made up their minds about who's going to 'win the tender' (so to speak) and they've already started drafting the legislative changes, I can't see how they could get an entire national fibre network done and switched on within two years.

Surely deciding the 'winner' and changing legislation will take at least 4 - 6 months, which leaves only 18 months for the build.

Also, if Telstra wins, it's probable that retail prices for broadband will skyrocket. Regardless of the reasons (whether Telstra's telling the truth about its underlying costs or not), Telstra's stated wholesale costs for the fibre network are far higher than the ADSL network available today, which will push retail costs up at all ISPs across the board.

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

McBanjo:

"an aggressive promise"

Ha, like when Johnny promised to never introduce GST in Australia.

The Liberals have come up with this plan to keep their seats, they do not have a passion behind making Australia up there with information giants like Japan and Korea.

It is Kevin Rudd who believes that we need to build internet in the 21st century, like we built railroads in the 20th.

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

nutzy:

So given that most of Gungahlin has RIMS topology and is limited to 1500, how are we going to get 8000 in this area? And in the nations capital of all places!

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

Carl:

Err that's interesting analogy - Australia's railroads are in horrible state because the governments couldn't agree on a standard guage and have all failed to maintain them. Plus try getting a train in most NSW country towns at all.

Labour's multi billion dollar broadband intiative has already been slammed by the Telco Industry as being at least 3-4 times under costed. The Government's offer whilst not as sexy at least is do-able and at limited cost to the tax payer.

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

raindog:

I doubt there would be any change for rural and regional Australia and I dont see why that portion could not be completed close to time.

It would be a very brave opposition to halt it while they decided on who knows what.

I share your fears for the city fibre roll-out, not that it could not technically be completed in the time-frame. But my fears lay in how much dirty pool and posturing will delay or impede works.

There would be litigation even if (heaven forbid) Telstra got the nod.

The irony could well be that much of the bush has 12M access before the city, and the feelings that will create will be immense. Heaven help any telco or government that perpetuates delay.

If Telsra was to win the fibre we could well end up with Wimax expansion into the city, there certainly would be demand. No matter how bizarre a situation that would be.

All Australians demand fast and affordable broadband and that's something Telstra as a monopoly supplier will never deliver.

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

64BitsOfCrap:

Does anyone think Johnny Howard cared about broadband in Australia before an election OR before Labor's plans?

Do you think the guy has a clue about what broadband actually is? He doesn't even have a computer in his office, let alone home I wouldn't think. Even if Liberals get faster broadband I won't vote them in. They're the bastards who brought up Workplace Laws....the laws that can get anyone fired. Such as myself. So Johnny, I don't give three tosses.

Though 12Mbps ADSL sounds good to me. Go Labor!!1

29 February 2008, 8:31 PM (10 months ago)report abuse Send to a friend

raindog:

So to cut out the non-core issues of your reply we have "I wouldn't think" and "Go Labor!".

Can we leave the utter rot and personal political ideology out and actually comment on the topic of the OPEL network, which as you said "sounds good to me". I'm sure the readers of this fair land will not have their voting decisions swayed either way by your barkings.

29 February 2008, 8:43 PM (10 months ago)report abuse Send to a friend

Radar5k:

"...indicating that it is prepared to change the competition law that has been monopoly incumbent Telstra's bugbear for so long."

Oh god! I hope not!:( We don't need to make it any easier for Telstra to fleece us:( If anything, we need to tie the sod down tighter.

Instead of negotiating with Telstra because they wouldn't deal with the ACCC properly, the govt should have told them, "If you won't play by the rules, then you can't play."

It's like if a football tribunal
allowed and encouraged some players to kick, punch, bite, and eye-gouge with impunity, whilst banning other players for doing the same things. Totally braindead.

29 February 2008, 8:31 PM (10 months ago)report abuse Send to a friend