Turnbull brings NBN cost-benefit analysis bill to parliament
- 25 October, 2010 13:59
- Comments 3
Shadow Communications Minister, Malcolm Turnbull, has introduced legislation into Parliament to force a cost-benefit analysis out of the National Broadband Network (NBN).
Meanwhile, Communications Minister, Senator Stephen Conroy, today spruiked a new report by the Australian Industry Group (AIG) which stated an NBN-style project would drive “unprecedented opportunities” for Australian businesses. It will also provide benefits in applications delivery in areas such as e-health, age care, land management and education.
“This is the latest in a range of reports which finds that ubiquitous, open-access broadband connectivity will deliver a step-change in the way business is carried out across the country,” Senator Conroy said in a statement.
The NBN Financial Transparency Bill will require the Federal Government to publish a 10-year business case for the $43 billion network including key financial and operational indicators by November 19. It would also allow the Productivity Commission to conduct a detailed cost-benefit analysis on the NBN to be presented to Parliament by May 31 next year.
“This vast project the Government has stated will continue to be constructed for most of this decade,” Turnbull said. “So it is entirely reasonable for the Parliament to be provided with a 10-year business case rather than a business case over any short period.”
Turnbull flagged the private member’s bill last week when he revealed he had the Coalition’s backing.
He also said on Network Ten’s Sunday show on the weekend that the NBN proposition would be “incredibly persuasive” if the project was to be given a seal of approval by the Productivity Commission.
As stipulated by the Bill, NBNCo would have to disclose how many premises the fibre network would reach each year as well as how many consumers and businesses it expects to take up services on the network.
The proposed cost-benefit analysis would take into account different technologies to which high-speed broadband can be deployed to all Australians “with an estimate of the likely timeframe and cost of each option”.
A spokesperson for Senator Conroy said Turnbull's intentions for introducing the bill are misleading.
"Malcolm Turnbull and his colleagues are only interested in delaying the National Broadband Network, not delivering real reforms for Australians," the spokesperson said.
Independent MP, Tony Windsor, has already come out to show his support against a cost-benefit analysis.
Turnbull said the bill would complement his intended motion of creating a joint select committee from both the Upper and Lower Houses to oversee the NBN rollout. The committee would have four Government, four Opposition and two crossbench members and senators.
The Labor Government has defended its decision to not order a cost-benefit analysis on the NBN with Prime Minister, Julia Gillard, claiming the project should be "reverse engineered" in order to gauge its benefits to Australia”.
Nominations for the 2012 ARN IT Industry Awards open on Tuesday, June 12.
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Comments
Halibut
Again Turnbull has only spoken of being this being "incredibly persuavise", and not committing at all to accepting the Productivity Commission findings.
In other words he does not intend at all to accept and abide by the productivity commission findings, because if he was going to accept the findings and reccommendations of the process he is trying to force, he would commit to it right now.
He is like someone demanding an umpire make a decision, but he only wants the other team to be bound by the decision, not himself.
Thus it is clear he is only cynically interested in being obstructionist, he fears and the coalition fears a successful NBN rolled out by Labor, more not.
Otherwise he would commit today to accepting the Productivity Commission findings that he is demanding.
Anyone who demands a productivity commission review but is not ready to accept the reccommendations is not being honest and is looking to waste massive time and costs simply to dely what he fears.
Instead of "Enter the Dragon" we have "Enter the Dragging..."
pat
I believe that Malcolm Turnbull has been listening to the public of Australia. We are all curious as to why the model proposed by Senator Conroy will cost substantially more than that spent by the US on their telecommunications system. There is also substantial doubt if super fast broadband is required now, or in ten years time, by the bulk of Australia's population (up to90%) A serous analysis of costs will establish if the system that Senator Conroy has designed is indeed the best option , and in the best interests of Australia . There may be a better way to approach the Australian telecommunications upgrade which will leave more money in the budget for other critical industries - $43bn is a profound amount to spend on a project that has not yet had a detaled forward plan fully costed and made public for comment. I also ask is this a repeat of the Telstra fiasco. The development of a another monopoly. Our Members of Parliament should ensure that Government does not make the same mistake twice.
kai wen
if you want private enterprise to put in half the dollars you will have to better than "cost benifit" it needs to be "profitable".
Even if no one can see the "elephant in the room" they should be able to smell it.
if it is a "social benifit" and companies put money in its called a charity, so the government will have to go it alone for the next 10-20 years till it becomes profitable.
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