Alex Zaharov-Reutt
Thursday, 05 June 2008 18:25
Opinion and Analysis
Page 2 of 3
Forman’s comments continue: “At a time when interest rates are increasing, food costs are on the rise and petrol prices are at an all time high, this is a simple proposal to strip money from Australian families to satisfy the greed of Telstra’s insatiable monopoly demands.”
Forman continues for several paragraphs more (in quotation marks):
“The additional 15 per cent cost consumers would face under Telstra’s FTTN model is equivalent to charging a private ‘Telstra Tax’ on broadband services. There is no point building a new network if customers can’t afford the service.”
“The difference between such a private tax and a normal Government tax is that it all flows to Telstra. As a nation we cannot afford to let Telstra recreate another monopoly.”
“Telstra has for three years offered only small glimpses of what it was demanding from successive Federal Governments and has refused to reveal publicly the full detail of its plan to build a fibre to the node network. It is clear that it has something to hide.”
“This analysis shows why Telstra has not gone public.”
“No responsible Government could agree to Telstra’s exorbitant terms for return on investment and price protection. The cost to the economy and to ordinary Australian is too great.”
Telstra spokeswoman Kate McKenzie told the Australian Broadcasting Radio network that the
report is “bogus”.
"I guess if you pay somebody to say what you want them to say, they say it”, said McKenzie.
"At this stage, I don't know how they can possibly make such an assertion because not only do we not know exactly what network's going to be built, we don't know what cost it is.”
What else does Telstra’s Kate McKenzie say, and what are my own personal thoughts on the issue? Please read on to page 3.
