The NBN is on the wrong path…

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Image from smh.com.au

After the coalition won government in 2013, the then Communications Minister and now current Prime Minister of Australia, Malcolm Turnbull promised that every Australian would have access to the National Broadband Network (NBN) by the end of 2016. This clearly won’t be happening and it’s understandable with such a large piece of infrastructure to get your cost projections wrong (including old Australian Labor Party (ALP) figures). Tasmania was to be the first state to have the NBN rolled out by the end of 2015, this has now been pushed out to September 2018. The coalition’s NBN main points of difference with their plan compared to the ALP plan was to roll it out sooner, with faster download speeds and cheaper.

The original budget for the government’s version of the NBN, which is a mixture of technologies and favours FTTN (fibre to the node) over FTTH (fibre to the house) was $29.5 billion this has blown out to $56 billion and counting. Now news is coming out from the less than 15% of Australian’s that do have the NBN, that it’s providing speeds less than the days of dial up or their ADSL2+.

Mr Bell, of Belmont North near Lake Macquarie, New South Wales lays the blame squarely at the feet of Malcolm Turnbull. He says:“My children are becoming cynical about promises made by…the Prime Minister about the fast FTTN NBN roll out. Could you please make enquiries of the appropriate officers or Ministers, as to whether the FTTN NBN will provide a worse service compared to the ADSL+2 it is replacing? At the moment that seems to be the case.”

Mr Alderton also lives in Belmont and is suffering the same challenges, He says:“What a joke, peak times download speeds around 4 Mbps, that’s less than my old ADSL2.”

Mr Wallace of Valentine, near Newcastle, thinks that the problem might be widespread. He says:“There are serious problems with the rollout across Newcastle due to the Fibre to the Node model used here…thinking about switching back to ADSL2+.”

There has been much talk about the copper wire network and how much of it needs replacing to achieve Mr Turnbull’s MTM (multi-technology mix) version of the NBN instead of the ALP version with optic fibre cable. Let’s not forget either that the ALP government had already paid Telstra $11.2 billion to essentially decommission the copper and HFC (hybrid-fibre-coaxial) networks. A figure of $55 million was given by the Turnbull government to replace the copper however a leaked document from late last year suggests a 1000% blowout with the cost being more like $641 million. The figure is so large because it’s for 8.5 million metres of copper of which is enough to lay down between Perth and Pakistan and back again. There has also been Optus HFC network documents leak revealing that the government will need to replace it to achieve it’s MTM at a cost of up to $375 million.   

So far the government and Mr Turnbull have failed in their promises with their alternative NBN. One of the reasons that Mr Turnbull has used in the past for favouring FTTN, is that AT&T also favour it yet they now offer GigaPower which is a complete FTTH network. It previously offered FTTN but it also already had mainly fibre optic cables running for most of the network, with just the last mile or so with copper cables.

It’s pretty clear that a simple roll out of fibre optic cabling replacing the old copper and pay TV networks as you went, would be easier than not only resurrecting old technology but attempting to mix it together. Fair enough if it achieves higher speeds, a cheaper budget and is delivered in a timely manner but it hasn’t to date. It’s bleeding money, yet creating profit for the likes of Telstra and Optus while Australian’s that do have the NBN are now worse off than what they were to begin with. A truly connected Australia would surely inspire further innovation and instead of the focus being on the cost it’s about time that it was looked at as an investment. An investment in the future of the people of Australia.

 

 

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