House debates

Thursday, 15 May 2008

Telecommunications Legislation Amendment (National Broadband Network) Bill 2008

Consideration in Detail

12:34 pm

Photo of Nola MarinoNola Marino (Forrest, Liberal Party) Share this | Hansard source

I rise to voice my concerns about the Telecommunications Legislation Amendment (National Broadband Network) Bill 2008. Federal Labor promised to connect 98 per cent of Australians to high-speed broadband internet services with the rollout of a new fibre-to-the-node network but has provided a very short time frame of 25 July for tenderers to develop and cost their bids. This needs to be a truly competitive process to ensure proposals are accurate and efficient in order to facilitate such a rollout using taxpayer funding.

But an important element in efficiently deploying a fibre-to-the-node network for the national broadband network is likely to be the efficient use of existing infrastructure, particularly elements of Telstra’s fixed-line customer access network and elements of certain carriers’ optical fibre core networks. All proponents need to have access to this information. But it still may not be sufficiently detailed or technical for a proponent to develop with confidence a fibre-to-the-node network design and costing. If this information is not available early in the process, some proponents will be at a competitive disadvantage in terms of their development proposals for accurate commercial submissions to the national broadband network process.

This legislation was designed to facilitate the exchange of crucial information relating to existing fibre broadband infrastructure and provide confidentiality protections in relation to its use. This information is required by telecommunications carriers wanting to lodge a proposal for the construction of a national broadband network. More than a month ago Senator Conroy put out a formal request for proposals with a tight 25 July deadline knowing that potential bidders did not have access to necessary information in order to cost and shape credible bids. Despite the lack of detail surrounding the government’s proposal, the only certainty is that the government is willing to spend $4.7 billion of taxpayers’ money on a broadband plan, without a tender process that reflects the magnitude of this critical infrastructure project.

National broadband network tenderers require technical information about certain aspects of the existing fixed network in order to develop and cost their bids. The amendment would insert a new part 27A into the act. Part 27A would set out a scheme for the provision of information as specified by the minister in a disallowable instrument and for protection of the information provided by carriers.

The bill itself says very little. Neither does the bill provide any detail or clarity as to how confidential information will be protected from misuse. The minister made an earlier threat that, if telcos did not provide information about existing network infrastructure, he would legislate to make them. Despite a willingness by companies to provide information on a voluntary basis, with appropriate safeguards in place, which could have been negotiated, the minister quickly pressed forward to deliver on his legislative threat.

The demand for telecommunications carriers to detail all of their existing infrastructure and private investment highlights how competition and market forces are driving significant fibre deployment and the rollout of higher speed broadband networks. Telstra, which holds the vast majority of existing fixed-line broadband infrastructure information, has already handed over to the department details about existing exchanges, pillars, distances through ducts et cetera—material which would assist proponents in costing and developing their bids. Confidentiality of protected carrier information is vital.

The opposition are committed to assisting the government to get its muddled national broadband network process on some type of credible track. While we do not intend to oppose this bill, we are seeking to make some important amendments. This bill as it stands raises more questions than it answers. The opposition are committed to doing all we can to ensure this bill is a clear and detailed piece of legislation that assists with the exchange of existing broadband infrastructure information while providing adequate safeguards for how this information is used. This is particularly important in my electorate of Forrest.

The government argues that considerations will be addressed in the yet to be disclosed instruments. However, safeguards are already available through the ACCC, the Productivity Commission and Infrastructure Australia. The government should not sideline these agencies but include them in the process.

The tender deadline needs to be extended to allow for a more realistic and fair process for all potential proponents. The government should have put more detail into its national broadband network policy to bed down crucial regulatory detail before going to tender. It should also understand the commercial reality of seeking tenders. For parties to enter into an agreement, full disclosure by both parties is required—all parties being fully aware of all conditions and knowing present and future considerations. (Time expired)

Comments

No comments