Oakeshott committee to scrutinise Telstra deal

James Riley
Wednesday, 19 October 2011 09:49

IT Policy - Government Tech Policy

The powerful joint parliamentary committee overseeing the roll-out of the national broadband network will scutinise the $11billion deal between Telstra and the NBN Company, looking at questions of risk and value for money.

Committee chairman Rob Oakeshott said it expected to issue a public report on the deal by the end of the year. Telstra shareholders yesterday overwhelming supported the acceptance of the deal that will see its copper network shut down to make way for the NBN fibre roll-out.

"This deal has been one of the final steps before Australia enters the major construction and expansion stage of the NBN, so it is important the deal is done on the right terms and conditions for taxpayers," Mr Oakeshott said.

"This is where the committee will spend some time over the coming months before reporting publicly."

"The Telstra deal approved by shareholders will now be subject to detailed analysis on behalf of taxpayers, to ensure questions of risk, workforce, scheduling, and any related matters are tested on the grounds of value for money."

He said a full public hearing to be held in Sydney next Monday was expected to hear submissions on both the Telstra deal and the NBN volume construction phase.