Conroy’s latest back-down raises more questions about NBN roll-out

December 10, 2010

The Gillard Government’s capacity to deliver fibre optic connections to 10 million Australian premises is in disarray, after it was confirmed just 1000 premises of first-release sites on the mainland would be connected to the NBN by the end of 2011.

The scheduled NBN roll-out has been further compromised by Communications Minister Senator Stephen Conroy’s back-down on providing fibre optic connection to all new dwellings.  Yesterday Senator Conroy agreed fibre optic will now only be connected to new developments with more than 100 premises. Smaller developments will receive copper or wireless connections from Telstra.  This is an expensive duplication showing typical Labor mismanagement.

Shadow Regional Communications Minister Luke Hartsuyker said the Communications Minister had again been caught out by his own dubious figures.   “The commercial reality is that, once again, Senator Conroy’s NBN figures just don’t add up.  It is estimated that about 210,000 new dwellings will be built each year during the roll out of the NBN.  If NBN Co can’t deliver fibre optic for all new urban dwellings how are they going to connect the millions of existing premises across the country?  By the Minister’s own numbers, NBN Co will have to connect 5000 homes a day if they are to complete the roll-out within nine years.

“However, NBN Co has now confirmed in 12 months time, only 1000 premises of the first-release sites on the mainland will be connected. This delay and the fact the Minister has now admitted NBN Co can not commit to delivering fibre optic connections to all new urban premises again raises questions about the Government’s management of this $50 billion project.

“The Minister’s decision to allow Telstra to continue to install copper or wireless into small scale developments flies in the face of everything Minister Conroy has been saying about the importance of fibre optic technology.  Federal Labor has a shocking record of delivering programs and Senator Conroy’s latest back-down is why there is so much scepticism about the Government’s capacity to deliver its National Broadband Network promise.

“Rolling out fire optic cable on Greenfield’s site is a lot easier than installing it into existing premises. If Labor can’t efficiently install fibre optic on new housing estates, how can anyone believe they will deliver 5000 connections to existing premises each and every day,” Mr Hartsuyker said.

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