Conroy hands off greenfields fibre discretion

 

ACMA and councils might take over.

The Australian Communications and Media Authority and local councils could be enlisted to enforce exemptions for the rollout of fibre in new housing estates, according to Senator Conroy's department.

Assistant Secretary for the NBN and fibre rollout regulation at the Department of Broadband, Communications and the Digital Economy (DBCDE), Philip Mason, told a Senate Committee that it was "not intended" that Senator Conroy would handle every case for an exemption from deploying fibre.

Where cases fell outside of the rules for deploying fibre in greenfields estates, it would be left to either the local planning authority - or potentially ACMA - to determine whether an exemption was appropriate.

"Perhaps we're speculating a bit," Mason told the Committee after making the remarks.

"We've got to vote on this [greenfields] legislation," Liberal Senator for Queensland Ian Macdonald responded. "If you're speculating, how do you think we're going to [be able to approach the vote]?"

It was earlier understood that estates that had difficulties with deploying fibre under a mandate to come into effect July 1 could apply directly to the Minister for an exemption from the rules.

This proposal would put the Minister's discretion in the hands of other authorities, who would then have to interpret cases against a set of criteria provided by the Department.

The comments at the Senate Committee cloud an already complex issue which is suffering greatly from a lack of clarity.

The Government had promised to reveal detailed plans in subordinate legislation but has so far only released a "position paper" on the subject late Friday evening.

It still hoped to have the legislation passed by the end of June.

Mason said the DBCDE would take into account submissions from the paper "in parallel" with drafting of the subordinate legislation.

A large number of questions were to be answered by the Department on notice, partially due to the overrun from previous sessions and also the complexity of the subject matter.


Conroy hands off greenfields fibre discretion
"This is a greenfields. There is no encumbant and no monopoly. Either a carrier puts up or stays out. They can't just use Telstra. Telstra apparently has already offered to build the ducts. What ..."
By Bob
 
 
 
Comments: 3
Bob
Apr 20, 2010 8:56 AM
So we are going to spend $40 Billion on this and no one's in charge? Simple rule - whoever runs the fibre, owns the fibre and commercial reality applies. If you are too expensive someone will do it cheaper.
Tenoq
Apr 20, 2010 11:15 AM
Unfortunately it's not that simple Bob: we're talking about infrastructure. Relying on market forces does not give the best outcome when it comes to monopoly infrastructure.

Imagine if toll road operators were given free reign on their pricing: you can't just say "it's too expensive so someone else will build another road". It doesn't work like that. Similarly, if your electricity company decided to hike your prices 400%: that doesn't automatically mean someone else will jump in, lay the cables, build a power plant and offer you competitive prices.

The fact that telecommunications is infrastructure seems to escape most people. You can't rely on the market to offer the best price/product when by definition it's a monopoly market.
Bob
Apr 20, 2010 12:25 PM
This is a greenfields. There is no encumbant and no monopoly. Either a carrier puts up or stays out. They can't just use Telstra. Telstra apparently has already offered to build the ducts. What more do the pretenders need?

If the government wants to do something positive in infrastructure it should not be in technology that changes rapidly and they have no expertise, it should be in water and roads that last 50 years and can employ a wide range of Australian labour.
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