House debates

Wednesday, 15 November 2023

Committees

Communications and the Arts Committee; Report

4:12 pm

Photo of Brian MitchellBrian Mitchell (Lyons, Australian Labor Party) Share this | | Hansard source

On behalf of the Standing Committee on Communications and the Arts, I present the committee's report entitled Connecting the country: mission critical—inquiry into co-investment in multi-carrier regional mobile infrastructuretogether with the minutes of proceedings.

Report made a parliamentary paper in accordance with standing order 39(e).

by leave—I rise to present the report Connecting the country: mission critical—inquiry into co-investment in multi-carrier regional mobile infrastructureundertaken by the House Standing Committee on Communications and the Arts. The inquiry explored Australia's digital divide in mobile telecommunications services and how infrastructure might best be funded and deployed to improve connectivity and competition. Members heard from many people and stakeholders across the country. We received 43 submissions, held 17 public hearings and visited Adelaide, Alice Springs, Canberra, Geelong, Launceston, Perth and Sydney.

In a nutshell: where there's no coverage, people are desperate to receive it; and, where there is one carrier providing coverage, people would like more, to offer competition and choice. It's a given than more carriers in any given location should translate to better, more reliable and cheaper services as carriers compete for custom. The conundrum is how to encourage commercial enterprises to enter low-margin markets and remain there.

We heard a common refrain from industry stakeholders: expansion to regional and remote areas is becoming less attractive or less commercially viable. A central reason is that the cost to build and operate tower and related backhaul infrastructure can significantly outweigh the revenue such investments generate. The returns are stacking up less, especially when compared to the revenue that can be generated by redirecting those same investment dollars to more profitable markets. Demand for connectivity is rising fast, whether it's Davenport or Dubbo, but so are the costs, while revenues are flattening. This means the models that support regional investments from both private and public sectors need to adapt.

The most clear and obvious change the inquiry identified is for significantly increased levels of infrastructure sharing. The economic benefits of co-investment and spreading the costs of network deployments across multiple operators were clear from the evidence provided in hearings and submissions. A variety of models and approaches to enable increased sharing were presented. These ranged from active sharing of radio access networks and spectrum through to more modest increased co-location of passive equipment. Models were presented from across industry, including from model network operators, tower owners and public sector funders.

The committee has made a number of important recommendations in light of the evidence received. It includes a call for the government to increase targeted funding towards investing in shared infrastructure through trials and pilot schemes where active sharing is able to be proved out from both commercial and technical perspectives. A trial program to mandate open access to government funded infrastructure in non-urban areas is supported along with mandating potential licence terms for open access and active sharing.

The committee recommends strategies to improve planning for mobile infrastructure and allow co-location of carriers and efficient construction alongside energy transmission and transport development. The harmonisation of planning and environmental regulations is considered vital to avoid costly approvals. A re-evaluation of the Mobile Black Spot Program is recommended to ensure it remains fit for purpose. This is in tandem with a recommendation for a new contemporary universal service obligation to work in today's mobile environment. Also suggested are licensing provisions with time frames for unused spectrum holdings in non-urban areas.

The committee heard evidence from many business sectors and governments and individuals about how essential mobile coverage is to modern Australian life no matter where you live. A lack of access greatly impacts the livelihoods of regions, particularly Indigenous communities, remote farming communities and isolated tourist destinations. Many locations and the highways and roads that join them are peppered with black spots. Mobile connectivity is not a nice-to-have; it's a must-have. Government services are increasingly delivered digitally, and in many remote First Nations community the mobile is the most accessible medium to access services.

These communities bear a disproportionate impact on living standards due to scant or zero connectivity. This has led to innovative local solutions being developed to enable participation in modern service. While these local solutions don't provide a true mobile service, including for safe travel, the systems partially meet community need via wi-fi hubs and low earth orbit satellite. The committee recommends the Australia government fund place based solutions for reliable and secure telecommunication services in these communities, including land based infrastructure.

Finally, the committee heard of the vital importance of mobile connectivity and reliability in non-urban Australia during emergencies and natural disasters. The committee learnt of the possibility of mandating roaming between carriers during an emergency event, which would greatly improve safety and disaster responsiveness. The evidence was compelling, and its importance was not lost on the committee. This is an issue we believe requires urgent consideration.

I'd like to thank the many people and organisations who participated in the inquiry via submissions and through evidence at hearings. I thank my committee colleagues—I note Mr Coulton is in the House—and, of course, Deputy Chair Archer for their very constructive input and the committee secretariat for pulling it together. It's fair to say, the inquiry—perhaps a bit like this speech—ended up going longer and deeper than we'd first thought it might, but I'm very pleased with the results. I believe we've delivered a robust set of recommendations that provide a solid foundation for the minister to work with. It's a great shame the public doesn't see more of how these committees work. They do some of the best work I've been part of as a member of the House, with members from across the aisle and crossbench working together to find solutions for the common good. I commend the report to the House, and I move:

That the House take note of the report.

Photo of Sharon ClaydonSharon Claydon (Newcastle, Australian Labor Party) Share this | | Hansard source

In accordance with standing order 39, the debate was adjourned, and the resumption of the debate made an order of the day for the next sitting.