NBN Co to delay Second Release NBN sites

Delays with ongoing Telstra negotiations over a definitive Heads of Agreement to blame

NBN Co has confirmed it expects to delay the launch of its Second Release sites as a consequence of protracted negotiations with Telstra, revealed today.

In a statement the company said delays in reaching a definitive agreement with Telstra was not affecting the progress of NBN Co’s First Release sites, which were nearing the completion of their construction phase, but that Second Release sites would.

“NBN Co has been advising communities with Second Release Sites that both the Telstra deal and the ACCC decision on points of interconnect are now being factored into the timing of future rollouts,” the statement reads.

There are 19 Second Release sites including Brisbane, Toowoomba, Bacchus Marsh, Coffs Harbour and Geraldton.

In the statement NBN Co chief executive, Mike Quigley, said negotiations with Telstra were “progressing well” and that both sides are working through the complex detail of the final negotiation and documentation process.

“A definitive agreement between Telstra and NBN Co will be good for Telstra, good for NBN Co and good for the country,” Quigley said. “It is therefore worthwhile taking the time to get the right outcome.

“A deal will lead to less disruption for the community, and reduce our rollout costs. It is better for the community and better for taxpayers”. As reported by Computerworld Australia, Telstra said today that it would push back its 1 July extraordinary general meeting, which was to allow shareholders to vote on its financial heads of agreement with NBN Co.

“Negotiations continue to progress well, with all parties working together to agree and document the various detailed arrangements required to implement a transaction of this scale and complexity,” and ASX advisory from the company reads.

“A number of matters are yet to be finalised including some that require government approval. Work continues to reach final agreement as soon as possible.”

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10 Comments

RS

1

Because of Telstra...

Does anything ever really change in Oz comms!

NBN debacle. Eco tax Stasi Net

2

As a broadband project - the NBN is now officially the largest ITC
failure in the Southern Hemisphere. World rated worst in class, least value. the most stasi, filters, control, loss of FOI, the slowest time to benefit, worst use of funds and capital.
Each trial showing less interest in a connection.
Each connection less interest in a service. <40% connection. <14% active connection decling to <8%.
A 19th century fIxed and static service design in age of mobile roaming smart device usage.
600 staff, 1,100 contractors or hangers on, for 400 active services.
$1.3b est wasted in make work as NBN burns thru the cash and achieves nothing, already superceded before it even started.
+
Australia response to the NBN - Tas Business - "NBN a secret society, wouldnt talk to us for 18 months, shameless lies & political spin" Townsville, first decent rain and puff of wind " failed almost immediately in an emergency, cost millions to repair"
Kiama " despite the massive show trial and investment no-one has found any real use for it". Brunswick " the people rent & dont speak english, (ie design completed failed in its first urban trial, it will have to be forced - Kaiser).
-
Now as expected, the Telstra infrastructure deal slips and the NBN stalls burning cash. Nothing achieved for 2 years.
Now we see the true colours of the NBN as decisions are to made to force it anyway.
"Key NBN legislation is scheduled to go before the Senate on Monday.
Under Labor's proposed legislation, Communications Minister Stephen Conroy will have powers to allow NBN Co to sell access to its network directly to transport, electricity, water and sewerage authorities.
This undermine government assurances NBN Co would be a wholesale-only operation as this would be a NBN only connection".
More lies from Conroy & Quigley as NBN deception is revealed.
+
In simple terms a massive extension of the NBN monopoly from survelliance, filters, loss of FOI or choice in Voice and traditional Data - to a NBN total digital services ECO TAX collection sniffer point forced on every person or business.
Being furtively slipped thru whilst events in the world push the NBN off the front page.
To force the NBN connection legally, whether you like it or not.
The NBN to capture voice, data, electrical, water, land use information, all usage to the Aust Tax Office, Utilities, enforcement
authorities. Courtesty of the Greens and Labor factions. So you pay your CO2 charges.
All Telstra's fault. Dont think so. Clearly the NBN cant execute or be viable as a carriage replacement without being forced and without being a framework for additional tax. To then pay for it.

RS

3

Two letter answers that tripe... BS.

In more depth, unsubstantiated, biased, BS and FUD...!

Nothing achieved for 2 years... whats NBNCo, what's the first release sites, etc operational since mid 2010, whats the backhaul rolled out in WA and SA?

Look back to your precious Coalition.. nothing in 11 years... now whinge!

Never...!

D Newman

4

@2 dont going to go in as harsh as RS, so will settle for just saying @2 there is a little bit of a tin foil hat thing going on there my friend, relax, its being built, dont sweat it.

Looking at good progress in WA, got 19 exchanges being upgraded as we speak to plug in the new Perth Geralton fibre, got more over next 2 months as south of Perth works move foreward, from where I,m sitting its going well.

SA is doing ok, only fly in the oitment as usual is (BLEEP)ing Telstra, but this has alot to do with the ACCC,s wrangling with Telstra and Telstra trying to cut a better deal after the ACCC gave Telstra a bitch slap.

For something that will never be built I am sure as hell looking at alot of fibre in the ground, people confusing test site work as the everything, they arnt seeing the massive backhaul work thats being done in the isolated places to join the dots up.

This work has been going on in the background with no fanfare, they are on time, despite rumours of engineer shortages and because its not on peoples streets it is ignored.

It would be a big shock to the likes of poster 2 at how much has been put in the ground already, and how that makes Tony Abbotts view totaly redundent, and its an issue thats going to bite him in the rear because he doesnt understand it, which with some irony I note poster 2 suffers from the same affliction.

Raymond

5

Wonder why people hate Telstra so much! there would be no way I would let any of my board sign away my network if the commercials are not there! Telstra have some faults, but not in this case.

So NBN is going well and making progress? after four years! so it bloody should! but it is not!

Who is the tier1 contractor that lost $10 mill on Kiama and Townsville, and has pulled out of anymore tier 1 building!

I seem to recall certain types coming on here naming people from that contractor and quoting what a fab job Kiama was ! does he still work there? or as it happens, is he on leave??

And what is the betting how Telstra shareholders will vote?

Yes a very long way to go, I have 100mbps what is everyone going on about !

Chris

6

So the NBN has no customers? Let me tell you, at second release site, Bacchus Marsh, we're straining at the leash. On my new housing estate we're on a snail slow ADSL rim connection. The NBN can't come quick enough. That's the general view expressed at a residents meeting here only a few weeks ago.

Our only fustration is that it's the older part of the town which will benefit first from the rollout, but we're heartened by the assurance we got from NBN that once they start fibering up an area then they won't stop.

Francis Young`

7

So Raymond says he has 100 Mbps now. But 70% of Australians still have ADSL slower than 2 Mbps, or else no broadband at all.

"So NBN is going well and making progress? after four years! so it bloody should! but it is not!" says Raymond.

In fact on 24 November 2007, which is less than 3.5 years ago Kevin Rudd inherited and cancelled the failed $20 billion OPEL plan and attempted NBN Mark I, which also proved to cost $20 billion to build, and would have delivered universal but very ordinary service.

So it was not until May 2010 (ten months ago) that we got a universal broadband solution fully costed at $43 billion. In November 2010 Telstra came on board, reducing the build cost to $36 billion and shortening the construction time.

After ten months, 90% of the 6000 potential fibre customers in Armidale are actually connected and about to come online. Ditto Willunga, and nearly as many in Kiama. These first-release rollouts have optimised techniques for the wider build, while backend network and billing systems are now operating and staffed. Townsville's mostly aerial fibre build (following the Telstra copper profile) suffered rain delays and category 5 Cyclone Yasi, causing 3 of its 79 aerial fibre links to need re-splicing, but it too will be online in a few months.

A number of Tasmanian customers are already using 400 Mbps upstream speeds and gigabit downstream speeds.

This is a ten-year national project that is optimally designed, fully costed, on time and budget and has only spent $662 million to date. By the 2013 elections half a million Australian premises will be using it, and not until six months later at the earliest can the Senate majority change in a way that would curtail it. By then there would be a massive public outcry against stopping the NBN as everyone would know someone who has benefited from the seamless high speed service and the competitive retail market.

The valuable Senate Committee process is identifying and improving things in the legislation, but every time this transparent process (heard live on ABS News Radio) yields a big tick for a piece of legislation, the opposition continues to play the fool with it at taxpayer expense, and further delays our network. Telstra wants and deserves certainty the same as the rest of us. Would our elected representatives please earn their tax-funded pay for a change and deliver it?

Nick

8

@7 OPEL $20Billion I think it was more like $2Billion http://en.wikipedia.org/wiki/OPEL_Networks

IF that had of happened the bush would have already had the back haul and Upgraded ADSL exchanges.

Drake

9

#Francis Young
"Telstra came on board 'shortening' the NBN delivery time"
The NBN rollout has just delayed another 2 years.. so not correct
"Townsville needed some minor resplicing."
That showed the design and lack of resilence failures of the NBN in our yearly cyclone/flood event. knocked out for months. imagine a decent bushfire or other event. The fragile NBN is a community risk in design. Arial stringups between the swaying palms and gum trees across the baking desert and flooding plains. 35,000 km of it.
"The NBN is going well".... No it is not.
On rollout and reveal; the community, business, industry and political sentiment has swung massively against it. <35%.= from a post election position of >65% (ie opinion has now hardened and shifted against it to be a majority of opinion).
It stands fractured, politized, a mess, inept, without broad support.
Negative comment, esp from Industry and business as well as community leaders completely exceeds any positive support.
The opposition now fairly represents Industry, business, community opinion that the NBN both dangerous and risky.

"Will our politicians now get on with the further NBN sucess including changing the laws to assist to that"
That legislation to control POI, collusion with Telstra, remove FOI, delay the outcome, reveal the lie in pricing (city/rural) as a broken promise, remove choice and competion, control the ACCC,
gain regulatory 'authorities' control to force it is not good legislation. It in fact attempted to change the laws to then deny the 'NBN promises' of access, choice, freedom, and transparency.

The simple fact is an embattled NBN hiding furtively behind a screen of secrecy and relying on an increasing desperate Goverment and minister using legal and legislative changes so it can even exist.
This is why our NBN under Conroy & Quigley has become a laughing stock across the world.

Khalm

10

I personally like the idea of having an internet infastructer at least equal to that of third world nations but at the current level of government interference this will never happen what we need is say telstra, optus, and whats left of the nbn co to get together and say this is what's going to happen and replan and redesign the entire scheme then go ahead and do it, instead of talking about it and roadblocking it the government should back off and throw money at it.

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