Stuart Corner
Monday, 05 March 2007 10:49
Opinion and Analysis
Page 1 of 2
Almost two years ago The Federal Government promised $50 million to fix up broadband black spots in metropolitan areas. It has so far spent less than $250,000.
In the May 2005 Budget the Federal Government allocated $50 million over three years to fund the rollout of broadband services in urban areas where problems with network infrastructure made it unlikely that affordable broadband would be offered commercially.
There was to be $10 million available in 2005-2006 and $20 million in each of the following two years. Applications from service providers were expected to open in the second half of 2005. In August 2005, communications minister, Helen Coonan, released a
discussion paper on the programme, saying that it would offer Internet service providers subsidies in return for connecting consumers in metropolitan areas who cannot currently receive broadband, to affordable broadband services. Industry and other key stakeholders were requested to provide feedback on the issues raised in the discussion paper by 31 August 2005.
Draft guidelines for the programme were release on 17 November, by which time the need for the project had reduced considerably: from an estimated 900,000 services to 200,000. Coonan explained: "Two years ago there were 900,000 premises in metro areas that could not access an ADSL or wireless broadband service. Today that number is only 200,000 for the whole of Australia...Because of constant technology upgrades and the rapid expansion of wireless broadband coverage, that number will continue to drop." What a surprise!
Coonan went on to explain how the programme would work. "[A] web site will allow customers in metropolitan Australia to identify the full range of broadband services available to them and to register their interest in receiving MBC services. This online tool will also benefit registered Internet service providers who will have access to information on where best to target their broadband roll-outs.
"The guidelines released today set out the proposed rules for the operation of the program and invite feedback from stakeholders. A final set of guidelines will be released once submissions are considered. The program will commence on January 1, 2006."
