Updated: NBN will cost ISPs $24 per month at least

Updated: NBN will cost ISPs $24 per month at least

Pricing means Australians will likely be charged at least $24 a month as the cheapest Internet available

The National Broadband Network will cost wholesale ISPs a minimum of $24 per month for the most basic plan, according to NBN Co’s business plan.

The information was provided as part of NBN Co’s business plan, which was released earlier today after significant pressure from opposition and industry groups.

The plan revealed a basic NBN connection with 12Mbps downstream and 1Mbps upstream connections will cost ISPs $24 per month. Examples of ISPs include Telstra, iiNet, Internode and iPrimus.

“As well as the access charge there will be a capacity charge for the shared resource between the premises and the point of interconnect,” it said. “This charge is shared across manu end-users on the RSP (retail service provider’s) service and will add around $1 for end-users on average data rates.”

The move means that Australians are likely to pay more than $24 per month for Internet of any type as dial-up fixed-line are gradually removed from use.

The Prime Minister, Julia Gillard, said the $24 price tag was affordable for Australians in a press conference held in Canberra.

“Through the NBN we will be able to get the productivity benefits for our economy,” she said.

The other plans will have the following wholesale costs:

  • 25Mbps downstream/5Mbps upstream: $27 per month
  • 25Mbps downstream/10Mbps upstream: $30 per month
  • 50Mbps downstream/20Mbps upstream: $34 per month
  • 100Mbps downstream/40Mbps upstream: $38 per month
  • 250Mbps downstream/100Mbps upstream: $70 per month
  • 500Mbps downstream/200Mbps upstream: $100 per month
  • 1000Mbps downstream/400Mbps upstream: $150 per month

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Tags nbn conational broadband networkacccISPswholesale pricingRSPs


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