Senate debates

Tuesday, 12 February 2019

Documents

Universal Service Obligation; Order for the Production of Documents

4:51 pm

Photo of Stirling GriffStirling Griff (SA, Centre Alliance) Share this | | Hansard source

I seek leave to amend general business notice of motion No. 1335 standing in my name for today concerning an order for the production of documents relating to the universal service obligation reform options.

Leave granted.

I move the motion as amended:

That the Senate—

(a) notes that:

  (i) independent reviews conducted by the Regional Telecommunications Review Committee, the Productivity Commission and the Australian National Audit Office have all issued critical reports on the Universal Service Obligation (USO),

  (ii) the Productivity Commission has found the number of Australian payphones has almost halved over the last decade,

  (iii) the Department of Communications and the Arts estimates that 22% of copper services and 9% of payphones have been phased out since 2012,

  (iv) Telstra is currently paid almost $300 million a year to maintain these services under the USO,

  (v) the Department of Communications and the Arts estimates the equivalent universal broadband delivery obligation on NBNCo for fixed wireless and satellite in regional areas will cost the entity in excess of $800 million per annum, if operating on a full cost-recovery basis, and

  (vi) on 5 December 2018, the Minister for Communications and the Arts announced that the Government does not intend to change current USO arrangements, despite the Minister's report stating: "Network Strategies concluded that the delivery of voice services using wireless (mobile and fixed) and satellite technologies would be more cost effective than the current arrangements", and "Potential savings in the hundreds of millions of dollars over the period from 2020 to 2032 were identified"; and

(b) orders that there be laid on the table by the Minister for Communications and the Arts, by midday on 14 February 2019:

  (i) the high-level cost modelling of the USO reform options, and

  (ii) the advice provided by NBNCo about the financial costs of servicing additional ADSL customers.

4:52 pm

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Assistant Minister for International Development and the Pacific) Share this | | Hansard source

I seek leave to make a short statement.

Photo of Scott RyanScott Ryan (President) Share this | | Hansard source

Leave is granted for one minute.

Photo of Anne RustonAnne Ruston (SA, Liberal Party, Assistant Minister for International Development and the Pacific) Share this | | Hansard source

Releasing the high-level cost modelling of the universal service guarantee reform options and the cost impacts on NBN Co. of servicing additional ADSL costs would significantly compromise any future negotiations with the industry over the future delivery of the voice, payphone and broadband services covered by the USO. This would have the contrary effect to the motion's intent, which is presumably to achieve a lower long-term USO delivery cost. Further information on the costings will be provided in the regulation impact statement prepared by the department of communications, which will be published by the Office of Best Practice Regulation.

Question agreed to.