Guy Barnett (Tasmania, Liberal Party) Share this | Hansard source

A lot of people are very upset and concerned in Tasmania, and it is not just businesspeople. Senator Conroy, your representation, your involvement, would be most welcome. I can personally advise you that you are welcome to attend that meeting and make it very clear to Tasmanian stakeholders and businesspeople how you intend to find a solution. Tasmanians want to be treated like our city cousins on the mainland in Melbourne and Sydney. Labor’s proposal does not have a solution. I call not only on Senator Conroy but also on the federal Labor member for Bass and the Labor Party in Tasmania to explain to Tasmanians how they will upgrade the state’s woeful bandwidth capacity in a timely manner. The coalition government had a fully funded solution: the OPEL network, which would have been up and running by July 2009. The OPEL network was a partnership, as colleagues know, between Optus and Elders, and would have provided much-needed competition in the Tasmanian market.

The ALP, both in opposition and in government, publicly committed to honouring the contract between the Commonwealth and OPEL. However, on 2 April 2008—just last month—the Minister for Broadband, Communications and the Digital Economy, Senator Stephen Conroy, who is opposite me here in the chamber and is listening carefully to these points that are being made, announced that he had cancelled the OPEL contract, claiming that OPEL had failed to meet the terms of the contract. Senator Conroy claimed at the time that the OPEL network would only cover 72 per cent of identified underserved premises—less than the 90 per cent minimum required by the contract. Let me make it clear that OPEL insists Senator Conroy’s decision was based on flawed departmental advice, which is why he must publicly release both OPEL coverage data and his department’s coverage analysis, for independent comparison and verification. Put it on the table—let us find out exactly where the facts lie.

The shadow minister has been referred to—Bruce Billson. He is doing a sterling job in standing up for what is right, for trying to get a solution not only in Tasmania but across the country. I commend the shadow minister, Bruce Billson, for his leadership and efforts to try and get a solution. It is interesting to note that he said that the OPEL project would have seen the installation of 1,361 WiMAX base stations in 97 electorates across Australia, as well as the installation of ADSL2+ equipment in 312 telephone exchanges and the rollout of 15,000 kilometres of fibre backhaul. He also said that Labor MPs across regional, rural and remote Australia, whose electorates were going to greatly benefit from the OPEL network, must explain why they supported its termination and how the government plans to deliver high-speed broadband services to them by the middle of 2009—despite not having an alternative plan. Well, where are we now? We are nearly in the middle of 2008.

In the Tasmanian seat of Bass alone, held by the federal member Jodie Campbell, there are an estimated 5,371 underserved premises. The electorate was set to receive nine new WiMAX base stations and OPEL ADSL2+ equipment in five telephone exchanges. Currently, the Tasmanian broadband market is monopolised by Telstra, as I indicated earlier. I am not saying that is any fault of Telstra—it is just the fact: they have the monopoly. The OPEL network promised to introduce competition. But, with OPEL being axed, and with the ‘solution’ that the federal ALP have put forward not due until 2012, the only timely hope for affordable and fast broadband in the state is for the Tasmanian government to finish negotiations with CitySpring, the owner of the Basslink fibre-optic cable. It is a disgrace that we have a second fibre-optic cable across the Bass Strait lying dormant—in fact, it has been dormant for nigh on five years now and has not yet been commercialised. Goodness gracious me! How are we running the state? How are we running the country under federal and state Labor? It is not good enough. People coming from a business background, or any sort of background, know that you cannot go sitting on these arrangements for five years. It has been five long years and they have not undertaken the appropriate negotiations! Of course people are frustrated and upset in Tasmania. The stakeholders are very angry, and no doubt they will continue to express their views until they get a solution. And I will be working with them, shoulder to shoulder with the Tasmanian Liberal Senate team, to see if we can sort this out as soon as possible—and, indeed, with Will Hodgman, the Leader of the Opposition in Tasmania. I know he is very keen that these matters be sorted out as soon as possible.

The Tasmanian taxpayers are paying $2 million a year to CitySpring—literally, it seems to me, in terms of broadband, for nothing. Nothing has happened! Could the Tasmanian Labor government please make it clear what their future intentions are and how they are going to solve this? They do not understand the true cost of our lack of broadband. It is not just about being able to stream YouTube videos or download games. It is about vital government services, especially in the areas of health and education. They can take advantage of high-bandwidth applications to improve services. This is about moving forward into the 21st century in the technology age that it is. And it is moving fast. The Tasmanian state government are sitting on their hands, and they have been for too long. It is not only businesses that are affected here. It is people in health, education, the community sector and across the board.

It is clear that at the moment businesses are paying a very real and high cost. In a media release, Digital Tasmania, a grassroots community action group, quoted a Tasmanian entrepreneur, Gary Price. The media release said:

Gary Price is an event producer who ran a successful small business in Sydney before moving to Tasmania nearly 10 years ago. He now operates The Grange Conference and Meeting Centre.

As many of you know, that is in Campbell Town, a wonderful little town with a can-do attitude in the northern midlands of Tasmania. The media release continues, quoting Gary Price:

“I own and run a brand new function centre in Campbell Town. Part of my original business plan for this new complex called for the provision of high speed internet and 2-way video conferencing.”

Mr Price was disappointed to discover that due to the high costs of connecting to Tasmania, his ISP could only deliver a lower speed ADSL1 connection.

“I still don’t have 2-way video conferencing but at least I can supply a basic internet connection into my conference rooms.”

He views high speed broadband as an essential element of his business.

“We will host close to 1000 meetings here in 2008. Most are Government and corporate clients. A high-speed internet connection into meeting rooms is now a standard part of corporate presentations.”

Mr Price fears that with ISPs now pulling out of providing high speed ADSL2+ in Tasmania his chances of being able to obtain 2-way video conferencing are even more remote.

Digital Tasmania said this in a media release on 5 May 2008—less than 10 days ago.

Along with Digital Tasmania, I would like the Tasmanian Labor Treasurer and the Tasmanian government to answer the following three questions: when will capacity be available on the Basslink fibre-optic cable for ISPs and other large commercial data users? When will capacity be available on the fibre-optic network laid with the gas pipeline for ISPs and other large commercial data users? What is the location of the points of presence that the Connect Tasmania Core provides? Those are some key questions. No doubt there are many other questions that the stakeholders want to put to the Tasmanian government and the federal Labor government. They want answers and they want them fast. We cannot keep waiting.

The ALP needs to explain to the people of Tasmania how it plans to provide decent broadband access to the state in a reasonable time frame. The OPEL proposal might not have been perfect but it promised to be running by mid next year, which is in stark contrast to the ALP’s proposed network, to be running by 2012. It also promised competition, with at least two wholesalers servicing our state. I understand there are two known tenders for the ALP’s fibre-to-the-node network. I assume that Telstra will be at least one of those likely to secure it, but that remains to be seen. I think it is a reasonably fair assumption. I stand to be corrected. But it will not break the monopoly situation. It will give Telstra little incentive, in my view, to improve the Tasmanian situation before the more lucrative mainland capital cities and will see Tasmania continue to be a broadband backwater. I stand to be corrected, and perhaps Telstra can make it clear to me and the other stakeholders that that is not the case. I know they try hard and they make an effort. I commend Noel Hunt in Tasmania and Michael Patterson, who does an excellent job in Northern Tasmania representing Telstra Country Wide. They put in a big effort. They work hard. I commend them for what they do. But it is a big concern for stakeholders in Tasmania. We cannot afford another five years of Labor inaction on this matter.