The Shadow Minister for Communications and Broadband, Malcolm Turnbull, has demanded that the NBN Co provide updated financial and operational projections that accurately portray NBN Co’s current business plan, and the current expectations of NBN Co’s executives, directors and shareholders.

 

In a statement, Mr Turnbull said that given the NBN Co has been granted a statutory monopoly, it was critical that an appropriate regulatory framework was developed covering dealings between the NBN Co and retail service providers wanting to sell fixed line communications services to Australian households or businesses.

 

“Given its market power and monopoly status, the onus should be on NBN Co to be transparent, fair and consistent in its dealings with carriers. Before obtaining ACCC approval for its Special Access Undertaking, NBN Co must be required to finalise its Wholesale Broadband Agreement and make all terms, conditions and other commercial arrangements available for scrutiny by the public, the industry and the regulators.

 

“How can the ACCC be asked to give the green light to the SAU until all of these details are settled and transparent? Frankly, the recent drive by NBN Co to gain the whip hand in its dealings with retail service providers and avoid ACCC oversight of its pricing and investment plans raises a red flag.

 

“What does the NBN Co know about the eventual cost of its network (and the prices needed to meet its target return on capital) that everyone else doesn’t? We know the rollout targets contained in the NBN Co 2011-2013 Corporate Plan released in December 2010 have already been missed, and the financial projections were obsolete the day they were released.

 

“It is imperative that Parliament and Australian taxpayers urgently be provided with updated financial and operational projections that accurately portray NBN Co’s current business plan, and the current expectations of NBN Co’s executives, directors and shareholders.”