blog The Coalition’s NBN policy launch may have been variously greeted with both strong derision and cautious support in varying measures, but with Labor’s poll numbers in the basement the telco industry is starting to use the policy to start planning for a post-Labor NBN. And, according to a report in The Australian (read the whole story here), at least one private-sector operator believes the Coalition policy – which includes a 50% subsidy for private operators prepared to roll out open, NBN-compliant fibre – will be a big money-spinner:
GreenFields Operators Australia group spokesman Michael Sparksman said….it represented a great opportunity for greenfield operators. [He] said up to 300,0000 of the 1.5 million homes built in the past 10 years might be suitable candidates for fibre replacement because of lack of service or poor copper service. That means, at a cost of about $1500 a connection in brownfield areas, the Coalition could be facing up to $225 million in co-funding costs.
Sparksman went on to admit that the figure was “highly speculative”, but his back-of-envelope calculations nonetheless offer some food for thought to those interested in considering the likely economic impact of the Coalition’s policy, which unabashedly favours Australia’s private telecommunications sector as the preferred vehicle for NBN rollouts over and above the government-directed FttN rollout. Of special note: Sparksman’s estimated cost of $1500 per fibred brownfields home, which is less than half the $3600 per home figure used throughout the Coalition’s NBN policy.
Image credit: Egrian, Public Domain