NBN 'Reckless': Minchin

Rudd govt selective in its use of NBN support data

Shadow minister for Communications Senator Nick Minchin has pointed to the findings of two studies as evidence of the “expose the recklessness” of the Rudd Government’s $43 billion National Broadband Network.

Senator Minchin today said the most salient findings of the October 2008 Australian Industry Group and Deloitte Survey of 526 CEOs: High Speed to Broadband – Measuring Industry Demand for a World Class Service had been ignored.

Specifically, Minchin claimed that 47.9 percent of surveyed CEOs indicated they would not pay a premium to access higher speed broadband, while 25.8 percent would pay a premium for higher speeds.

The same study found that almost 40 percent of CEOs did not know what their organisation’s current broadband speeds were, while just 17 percent believed faster broadband was likely to generate new products and services.

Minchin also pointed to the findings of the August 2008 Charles Sturt University’s Household Technology Survey of 700 households across the country.

He said the study found 67 percent of households said higher speed broadband was not a priority in their household budget, and that only 11 percent of households said they were certain or almost certain to upgrade to a higher speed broadband service over the next 12 months.

Just 18 percent of households felt the Federal Government’s broadband initiatives would help their household, Minchin said.

"These results hardly support the Government's dangerous assumption that customers will be prepared to use a premium broadband network and pay accordingly for the privilege, at levels which ensure its commercial viability," Minchin said in a statement.

"The Rudd Government has not conducted any cost-benefit analysis, cannot provide any projections of likely take-up, or give any indication of what consumers will have to pay to use this service.

Communications minister Stephen Conroy’s office was repeatedly contacted but did not respond with comment by deadline.


A spokesperson for Senator Conroy said there was a growing body of work supporting high-speed broadband as a potential driver for productivity across the economy.

The spokesperson pointed to prime minister Kevin Rudd’s statement on 7 April that the investment was expected to generate additional economic activity worth some $37 billion (Treaury estimate) over the life of the project. An additional quarter per cent of GDP every year for the life of the project.

The spokesperson also pointed to a number of supporting studies, including a study conducted on behalf of the European Commission and published in 2008 found that broadband has a positive impact on growth, productivity and employment levels.

The report found broadband led to improvements in labour productivity of 5 percent on average in the manufacturing sector and 10 percent on average in services. Broadband led to creation of 105,000 net new jobs in Europe in 2006, the spokesperson said.

Join the newsletter!

Error: Please check your email address.
Rocket to Success - Your 10 Tips for Smarter ERP System Selection

Tags national broadband networknick minchincharles sturt universityStephen Conroy

Keep up with the latest tech news, reviews and previews by subscribing to the Good Gear Guide newsletter.

Tim Lohman

Show Comments



Victorinox Werks Professional Executive 17 Laptop Case

Learn more >

Sansai 6-Outlet Power Board + 4-Port USB Charging Station

Learn more >



Back To Business Guide

Click for more ›

Most Popular Reviews

Latest Articles


PCW Evaluation Team

Louise Coady

Brother MFC-L9570CDW Multifunction Printer

The printer was convenient, produced clear and vibrant images and was very easy to use

Edwina Hargreaves

WD My Cloud Home

I would recommend this device for families and small businesses who want one safe place to store all their important digital content and a way to easily share it with friends, family, business partners, or customers.

Walid Mikhael

Brother QL-820NWB Professional Label Printer

It’s easy to set up, it’s compact and quiet when printing and to top if off, the print quality is excellent. This is hands down the best printer I’ve used for printing labels.

Ben Ramsden

Sharp PN-40TC1 Huddle Board

Brainstorming, innovation, problem solving, and negotiation have all become much more productive and valuable if people can easily collaborate in real time with minimal friction.

Sarah Ieroianni

Brother QL-820NWB Professional Label Printer

The print quality also does not disappoint, it’s clear, bold, doesn’t smudge and the text is perfectly sized.

Ratchada Dunn

Sharp PN-40TC1 Huddle Board

The Huddle Board’s built in program; Sharp Touch Viewing software allows us to easily manipulate and edit our documents (jpegs and PDFs) all at the same time on the dashboard.

Featured Content

Product Launch Showcase

Latest Jobs

Don’t have an account? Sign up here

Don't have an account? Sign up now

Forgot password?