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Coonan's doublethink on regulating for FTTN

Opinion and Analysis



She condemned the ALP for "[saying] that they will not talk about regulation before the election," describing this as "a major shortcoming [that] does not advance the debate on how best to deliver fast fixed line broadband in Australia and, on any neutral appraisal, blows Labor's credibility on how to deliver such a fundamental economic enabler such as broadband, without dismantling the competition regime."

After such a comprehensive demolition of the Opposition's performance one might reasonably expect something substantial from the Government that addresses these issues. No such luck.

Coonan said only: "I am continuing to consider the commercial fibre to the node proposals and the extent to which the regulatory framework is capable of achieving flexible solutions for the investor that does not destroy competition and continues to deliver for the long term interest of consumers. Those of you who have followed this debate will recall several occasions where I have publicly stated that I do not consider regulation to be a 'set and forget' exercise.

"I have invited would be participants, of whatever hue, to discuss with me the barriers to investment as they see it so that, where warranted, adjustments can be made. Both of the commercial proposals have merits."

Nothing very different to what the ALP is doing really. To make the point, here is a quick translation of the same issues in Coonan speak when referred to as ALP and Coalition policy.

"Major regulatory form" (ALP) translates to "I do not consider regulation to be a 'set and forget' exercise," (Coalition). "They will not talk about regulation before the election," (ALP) translates to: "I am continuing to consider the commercial fibre to the node proposals and the extent to which the regulatory framework is capable of achieving flexible solutions for the investor that does not destroy competition and continues to deliver for the long term interest of consumers [but I am not giving any details]." (Coalition)

"This refusal by the ALP to detail proposals represents "a major shortcoming [of ALP policy that] does not advance the debate on how best to deliver fast fixed line broadband in Australia." That translates to "I have invited would be participants, of whatever hue, to discuss with me the barriers to investment as they see it so that, where warranted, adjustments can be made."

Don't be fooled by Coonan's rhetoric. Both sides acknowledge that regulatory change will be required, but they don't have the answers and are expecting potential network builders to make suggestions, and they are certainly not going to show their hands. They are, to put it bluntly, between a rock and a hard place.

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