Liberals' Smith slams "chaotic Conroy" over NBN

Renai LeMay
04 February 2010, 10:57 AM


Shadow Comms Minister Tony Smith has branded Stephen Conroy "the master of disaster" following the Auditor General's investigation into the NBN.


The comments came after the Auditor-General released his report into the terminated $4.7 billion National Broadband Network tender process.

The report released late yesterday afternoon found Conroy’s department had canvassed options to deal with the potential failure of the process as early as August 2008, just nine months after the Rudd Government was elected to power, and seven months before the process was terminated in April 2009.

The Federal Government at that stage announced it would abandon the process and create its own company to oversee the construction and operation of the NBN.

In general, the auditor also found that the process suffered due to the Government’s wide scope, tight timeframes and some lack of clarity. A more conventional approach would have been to use a two-stage process, which would have necessitated some time frames being pushed out.

However, broadly the auditor said the process — which cost in excess of $30 million — was conducted well, within the parameters of the Government’s broadband policy and in accordance with Commonwealth Procurement Guidelines.

“It is clear from the Australian National Audit Office report into the NBN request for proposal process that Minister Conroy oversaw a fatally flawed and costly process,” said Smith in a statement. “It is also clear the Minister ignored increasing warnings that the process was failing.”

“For nearly 18 months from December 2007 until April 2009, chaotic Conroy ensured more than $30 million went down the drain.”

Smith pointed out that so far, no broadband service had been delivered through Labor’s NBN policy, contrasting the situation with the Howard Government’s OPEL bush broadband plan which was terminated under Conroy’s tenure. “This report should ring alarm bells for Australians about the failure of Rudd Labor to assess risk and ensure value for money,” he said.

Comment is being sought from the office of Stephen Conroy.

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Tin (Regular user):

Conroy's termination of the OPEL contract was stupid. It was to cost a small percentage of the NBN scheme, and would have been in place at least 4 years earlier, and probably due for upgrades anyway by the time the NBN was scheduled to roll into OPEL areas.

04 February 2010, 11:34 AM (2 years ago)report abuse Send to a friend reply

petert (Cornerstone member):

I just love it when Rudd and Co talk about their accomplishments. I suggest that they remember a few of the following: GroceryWatch, Petrol Watch, the Petrol Commissioner, 2020 Summit to which can be added projects that are a long way short of success, such as the supposed Education Revolution and thermal batts in homes. I mentioned these as examples of how the Rudd Government simply has no idea how to research, develop and implement small and large projects. And for that reason, it is highly questionable as to whether the NBN will can be properly designed, developed and implemented.

04 February 2010, 12:02 PM (2 years ago)report abuse Send to a friend reply

Raindog (User):

Quoting petert:
I just love it when Rudd and Co talk about their accomplishments.

I wish I could say the same thing but for the life of me I'm hard pressed to find anything they have promised and have actually accomplished. They have sure managed a accomplish a lot of things they did not promise. Spending over a decade of savings in three years? What would pay for them having another go?

Quoting petert:
GroceryWatch, Petrol Watch, the Petrol Commissioner, 2020 Summit

And no to forget the oh so popular "School Watch", even upsetting their heartland supporters with that one.





04 February 2010, 12:24 PM (2 years ago)report abuse Send to a friend reply

Raindog (User):

Quoting Tin:
Conroy's termination of the OPEL contract was stupid. It was to cost a small percentage of the NBN scheme

The whole NBN policy is stupid, as proposed it defies common sense business practices. Another Rudd government somewhere into the future promise.

The whole idea of mothballing existing technology and and hybrid development for a pie in the sky fibre dream has cost millions and we don't even have a single new subscriber, not one. Sure we should be encouraging best practice development and striving for excellence, but the ever present reality is that Australian communication is still via a predominantly copper network, to not utilise that infrastructure while ever it is economical to do so is madness. OPEL could have connected tens of thousands of subscribers and would likely still be a viable remote option even after fibre roll-out in more densely populated areas.

No new connections and almost zero likelyhood of any within any practical future. Value for money, I don't think so.

04 February 2010, 12:41 PM (2 years ago)report abuse Send to a friend reply

petert (Cornerstone member):

Rudd's greatest achievement is failure, after failure after failure. But what really galls me are his words about how he was never knowingly tell a lie. Nonetheless, he stands before the people of Australia and describes every one of his failures as a success.

04 February 2010, 12:51 PM (2 years ago)report abuse Send to a friend reply

BigMuz (New user):

The worst part about the NBN is that it meant that Telstra cancelled all its ADSL expansion plans 'due to the coming NBN' - so if you don't have ADSL today (like me) then you will never have it.

My exchange would have been enabled by OPEL and I would be enjoying a reasonable internet connection by now, instead I am stuck using Bigpond NextG wireless hell and its exorbitant pricing and frequent congestion.

04 February 2010, 1:22 PM (2 years ago)report abuse Send to a friend reply

Raindog (User):

Quoting BigMuz:
The worst part about the NBN is that it meant that Telstra cancelled all its ADSL expansion plans 'due to the coming NBN' - so if you don't have ADSL today (like me) then you will never have it.

Not just down to Telstra. It was Conroy who cancelled the OPEL deal, reneged on signed contracts to be exact. It's not just Telsta but the whole industry that is now locked in a wit and see pattern as a result of Rudd/Conroy dithering and incompetence.


Quoting BigMuz:
My exchange would have been enabled by OPEL and I would be enjoying a reasonable internet connection by now

You and tens of thousands of others even at a casual estimate,as would many in urban black holes now be taking advantage of expansion of existing infrastructure.


Quoting BigMuz:
instead I am stuck using Bigpond NextG wireless hell and its exorbitant pricing and frequent congestion.

a common sentiment, apart from pricing NextG is not without merit but it is far from a viable replacement for a good ADSL link.


04 February 2010, 1:33 PM (2 years ago)report abuse Send to a friend reply

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