Coalition promises 50Mbps NBN for 'vast majority' of households

Assumptions based on overseas experiences

The Coalition has announced a “vast majority” of households would access speeds up to 50Mbps for $29.5 billion under its broadband policy – but not until 2019.

Opposition leader Tony Abbott and shadow communications minister Malcolm Turnbull unveiled their formal broadband policy in Sydney today.

The Coalition’s version of the NBN would achieve minimum speeds of 25Mbps and reach up to 100Mbps by 2016.

“By the end of our second term, should we get one, by 2019 the vast majority of households will get access to 50Mbps,” Abbott said.

Under the Coalition, 71 per cent of Australia would have fibre-to-the-node (FFTN); 22 per cent would have fibre-to-the-premise; 4 per cent would have fixed wireless; and 3 per cent would have satellite.

The Coalition expects its NBN would be completed in 2019 at a capital expenditure cost of $20.4 billion, requiring $29.5 billion in funding.

The Coalition will also carry out three inquiries if it wins the next election. A commercial review would be completed in 60 days looking at how quickly the NBN could meet objectives.

An audit would also be carried out on Labor’s NBN and an independent study, possibly carried out by the Productivity Commission or Infrastructure Australia, would assess Australia’s telco and broadband needs for the future, alongside a cost benefit analysis.

The Coalition would continue to roll out fibre-to-the-premise (FTTP) in greenfield estates and high demand areas, such as business centres, educational centres and hospitals.

In other areas it will deploy fibre-to-the-node, which Turnbull said saves around three-quarters of the cost of FTTP due to reduced labour requirements.

“A substantial majority of people in the fibre-to-the-node footprint will receive 50Mbps or more – that’s very high speeds. The goal is for the minimum to be 25Mbps, but that will only be a minority,” Turnbull said.

In areas where copper is in poor condition, Turnbull said copper could include remediated or a business decision could be made to replace degraded copper with fibre.

When questioned about the lifespan of copper, Turnbull said “nobody knows”.

“It may be a very long time, but it depends on the technological developments … You can’t predict the future with great certainty, so what you do is you build in that flexibility,” he said.

“When Labor says they’ve got a technology that’s future proof, they are kidding themselves. Believe me, there is no technology that is future proof. If you haven’t learnt that you’ve been asleep for the last 20 years.”

A Coalition NBN would require a renegotiation of a key $11 billion contract with NBN Co and Telstra, which Turnbull said could be achieved “speedily”, with Telstra possibly better off under a Coalition NBN due to faster payments to the telco.

The $800 million Optus agreement with NBN Co would remain unchanged, with Turnbull stating Optus has indicated it wants to move away from an HFC network.

Revenue under a Coalition NBN would remain the same, Turnbull said, and entry level prices for consumers would be on par with ADSL2+ prices, as per Labor’s pricing claims.

Based on what the Coalition has called “conservative” and “reasonable” assumptions, it has pegged Labor’s NBN as eventually costing $94 billion.

Turnbull stated the Labor government has “no idea” how much the NBN will eventually cost as no cap has been placed on funding for the project.

“If you combine a more realistic approach for pricing and a less expensive network for service, you can see that broadband costs are considerably lower under the Coalition,” Turnbull said.

“This will deliver all of the services and applications Australians want and are prepared to pay for online, but it will do so sooner and cheaper.”

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Tags Tony AbbottMalcolm TurnbullNational Broadband Network (NBN)Coalition broadband policy

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15 Comments

Gail

1

$27.5 billion in funding for the ALPs future ready fibre solution
OR
$29.5 billion in funding for the coalitions patchwork outdated half-baked solution
The coalition has not shown how its plan would be remotely profitable, so it will likely be a burden to taxpayers until eventually sold off to Telstra boosting their monopoly.

Bob

2

4 years ago when I moved into my current house I was unable to get any fixed broadband so went with a 3G service and upgraded to a 4G service last year. So now with ADSL2+ made available via one of Telstra's 'top hat' upgrades I find myself unwilling to opt for the slower speed of that service, even though I could get more usage at a lower price.
The constantly improvements made in technology, the coalition repeatedly refers to, are in mobile not copper fixed line technologies.
By the time the coalitions $30 billion white elephant is complete, who the f**k would want to use it.
The NBN fibre is actually providing a faster alternative to any other connection technology available or in the foreseeable future. I hope that fibre will continue to roll out and past me soon.

industry observer

3

I thought Abbott understood that two tin cans and a bit of string were not going to cut it. Poor Malcolm, fancy having to try to sell this load of cods-wallop

Raymond

4

I wonder why nobody complains about the $800mill wasted on the NBN Satellite venture?
And remember fibre to the home is not fibre INTO the home, anyone need a quote to connect from the box into how many points you need! absolute gold mine. or if you live in an apartment on any level do you need the connection from the box on the outside of the building!

Backally Whisperer

5

@Raymond go to the NBN website , it clearly covers all your questions about apartments.

The 2 new KA band sats are not a waste they are a vast improvement over the older sats, same off the shelf sats were launched less than 2 years ago in the USA, the improvement was very noticeable, plus they have capacity to handle other functions paid by who ever requires...

I just had 4 CAT 6 points put into my house, $425 all up, but could of gone wireless gateway for what $129, Im not a fan of wireless because of latency.

And while im on, the NBN box and power cuts, telephone will still work, due to back up battery (roughly 5 year life, replacement $40 roughly), if you dont have a non wireless back up phone for power cuts, well honestly im suprised you found this website.

However im in an area that in the winter loses power for a couple of days 3 or 4 times in the winter and I have slaved in a back up power supply of my own.

Some commonsense and 10 mins of Goggling really will save allot of people looking like they are still enthralled at talking pictures.

Raymond

6

Ah believe the NBN web site, believe Conroy?? can't do that, What you may have missed is the Satellite that has not been launched yet, to get flight path and positioning you apply to the UN, Indonesia gained the preferred NBN position some months ago.

Cowcakes

7

I am curios as to why the coalition has not mentioned upload speeds. Surely for anyone working from home and small business upload speeds are just as important as download.

gnome

8

@4 Raymond, we've missed you and your laughable endless FUD about everything NBN!

As for your wail about 'a quote to connect from the box', the answer is exactly the same as for ADSL - a Wi-Fi router will do the job nicely.

You probably knew that anyway but couldn't resist a bit more OMG type FUD...

Raymond

9

@6 go back underground dear boy, you have no idea!
Perhaps you can explain who will build it in the NT.
Perhaps being the fibre expert you can explain the system to be used stringing fibre with the power cables.
Perhaps you can explain what they will do with a satellite that now will not have a footprint over Oz
Perhaps you can explain how happy and excited the 2000 installs in that mega hive of industry Tasmania, how they all feel about NBN.

Philip Helmston

10

Im sorry Raymond but going to call you out on the sat path, the 2 geostationary positions are still official and in the same locations and have been approved, there has been no change, and seeeing as both are over the Australian landmass in a synch state, I cant for the life of me work out the complete garbage you wrote.

Raymond

11

Philip,
If you were involved in the design, planning, and build you just might understand. They were all questions to be answered by the resident genius Gnome.
You are wrong on the Sat positioning! simple as that.
Regards

gnome

12

@11 Raymond, some people say little and run the risk of being thought ignorant...

...while you yap away erratically and fully confirm the fact.

Philip Helmston

13

@Raymond yet again,

I'm sorry, your saying your involved in the design,planning and build, I would in the kindest possible terms suggest you seek some help Sir.

After seeing your responses and your general tone to a number of peoples "opinions", I would be very suprised if you held any sort of management role at all in anything.

Maybe as a paid blogger, but seeing as they are mostly freelance, no management there either..

NewSat's angry lobbying involved paying dubious low rent types to denouce and demonise the KA sat purchase, and seeing as the sat slots ARE STILL CONFIRMED, that leaves me with the impression that is the shoe that no doubt fits.

Gary Khol

14

@Philip please dont feed the troll, he has been on here for a number of years with some very very wild claims, and even if they are a political lackey for whoever, they are quite pathetic, just do what all the regulars do and ignore the obviously less than blessed fellow.

K Deem

15

This sums up the whole NBN issue, I must admit I had a good chuckle at this, as comedy that hits close to the bone often does.

http://www.abc.net.au/news/2013-04-11/clarke-and-dawe-a-very-smooth-presentation/4622942

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