Senate debates

Monday, 18 June 2007

Questions without Notice

Broadband

2:43 pm

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Minister for Communications, Information Technology and the Arts) Share this | Hansard source

Thank you, Senator Conroy, for the question. I must say that you have a wonderful problem when you are arguing about whether you are extending coverage 20, 40 or 50 kilometres from an exchange, when the Labor Party’s proposal is for no more than four. Obviously the manufacturer’s fact sheets on WiMAX technology acknowledge the source of the manufacturer’s claim for 50 kilometres. Conservatively, we—together with Optus, Elders and the Opel venture and those advising me—are not claiming greater than 20 kilometres under the current iteration of the technology. We do not overpitch this; we say what it will do. We could have exaggerated this. We could have relied on various other materials that are available, but we will not do that. We make the claims that are deliverable—and deliverable to 99 per cent of Australians.

In another part of his question, Senator Conroy talked about his proposal—I think he mentioned it, although we do not seem to be hearing much about that—but I can talk about alternative policies. This must be a deeply embarrassing moment for the Labor Party, which has held onto broadband and the need for investment in infrastructure as some sort of mantra that was trotted out by an economically illiterate Mr Rudd and Mr Tanner, who does not even know that we have 24/7 broadband services and international diagnosis, and it was trotted out by Senator Conroy, who clearly does not understand the capacities of the WiMAX technology. It is important, in all the circumstances, that we take a deep breath and look at what is in this package. In this package there is a whole new national network that is probably the most important step for competition since deregulation in telecommunications. A structurally separated, wholly independent network will be available to all retail. Any wholesaler can access the network at parity prices.

The package also includes an expert task force to assess options for a commercial fibre rollout by way of competitive bids. We have said that we are not prepared to lend ourselves to the Labor Party’s totally irresponsible plan of raiding the Future Fund to make this hopeless foray of fibre into the bush. As Senator Minchin has said, we will quarantine it. We will legislate so that the Labor Party will not be able to help itself to $2 billion of money that has been set aside for future upgrades of this WiMAX technology. This brings me to the point that 20 kilometres will ensure that we can get this network to 99 per cent of Australians. They have never had it before, and they certainly will never get any kind of fibre line under Labor’s policy unless they live within four kilometres of an exchange. The other important thing is that we have done this in a cost-effective way for taxpayers. The Labor Party, who are incapable of managing this economy, are going to grab $4.7 billion of taxpayers’ dollars for a network that will not go even 20 kilometres. (Time expired)

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