Senate debates

Thursday, 12 December 2013

Questions without Notice

Broadband

3:14 pm

Photo of Zed SeseljaZed Seselja (ACT, Liberal Party) Share this | | Hansard source

My question is to the Minister representing the Minister for Communications, Senator Fifield. Can the minister inform the Senate of the biggest impediment to broadband availability in Australia?

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

I thank Senator Seselja for his longstanding interest in broadband. There is a clear impediment to broadband availability in Australia—

Opposition Senators:

Opposition senators interjecting

Photo of John HoggJohn Hogg (President) Share this | | Hansard source

Order on both sides!

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

The Australian Labor Party have been the biggest impediment to broadband availability in Australia. They spent six years talking up the supposed reforms, but for all their rhetoric they have failed to deliver. With the Australian Labor Party we know that once you issue the press release you can forget about delivery—issuing the press release is the focus; they think the job is done. The strategic review confirms that the project was going to cost $29 billion more than Senator Conroy ever admitted and would have taken until 2024 to complete. We have the situation where we have 1.5 million Australians who have no or inadequate broadband services, and that number barely changed during the period of the former government. In fact, it would be fair to say that never before has so much been spent on so little for so few. The coalition will prioritise those areas which need upgrades the most. We have seen time and time again the results of governing by press release, but I think it is important to listen to the words of Mr Quigley, the former chief executive of NBN, who, when asked if there were things he would have done differently, said:

You do think, should I have been more conservative? But the timescales are already set for you, the time frames are already put out there for you so there's not much you can do.

We are not going to require the hardworking staff of the NBN to defend the indefensible any longer.

3:16 pm

Photo of Zed SeseljaZed Seselja (ACT, Liberal Party) Share this | | Hansard source

Mr President, I ask a supplementary question. Can the minister inform the Senate of the importance of affordability when it comes to broadband uptake?

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

Affordability is a key determinant of access, and it is Australians on low income who often miss out when it comes to accessing the internet. For instance, over the last decade broadband prices have consistently fallen, meaning that more and more Australians, and particularly those from low socioeconomic groups, could afford the take-up of broadband service. The price of ADSL fell 69 per cent from 2005 to 2010. In contrast the NBN asked regulators for the right to lift prices on most services over the next five years, and the strategic review confirms that Senator Conroy's approach would have resulted in prices rising up to 80 per cent. Obviously, this approach would have limited availability for price-conscious consumers. The coalition will ensure that broadband remains as affordable as possible for Australian families.

3:17 pm

Photo of Zed SeseljaZed Seselja (ACT, Liberal Party) Share this | | Hansard source

Mr President, I ask a further supplementary question. Can the minister advise the Senate of the consequences in terms of take-up and affordability if the government fails to significantly reform the rollout plans it inherited?

3:18 pm

Photo of Mitch FifieldMitch Fifield (Victoria, Liberal Party, Assistant Minister for Social Services) Share this | | Hansard source

It is pretty straightforward that, if you barely roll out the network and ensure prices skyrocket, you are not going to have a lot of customers. Every target set by the previous government was missed and that was because their targets were political, not operational. The good news, though, is that NBN Co. has advised the government that, to deliver broadband sooner at less cost to taxpayers and more affordably for consumers, the NBN should be completed using a multi-technology mix. This will match the right technology to the right location and make use of existing networks where possible to deliver very fast broadband.

The great news is that this approach will save taxpayers $32 billion and get the NBN finished four years sooner and ensure that prices for consumers are lower than they would have been under Labor. The strategic review demonstrates just how far off track Labor was. (Time expired)