The National Broadband Network and Fibre in New Developments. Tim Robertson General Manager, Policy 21 October 2010

Transcription

1 The National Broadband Network and Fibre in New Developments Tim Robertson General Manager, Policy 21 October 2010

2 What is the National Broadband Network? On 7 April 2009 Gov committed to establish a new company to build and operate a super-fast National Broadband Network the NBN NBN to cover 90% of Australian homes, schools and workplaces with 100 megatbits per second broadband, remaining 10% to receive 12 megabits per second coverage. Use of fibre optics to future proof the network Directly support up to 25,000 local jobs every year, over 8 years. $43 billion total cost

3 What is super high speed broadband? Not copper or ADSL 1/2 Optical fibre 100 megabits per second Expected to reach 1 gbps in coming years

4 Why an NBN?

5 Why an NBN? Many benefits for business Increasingly demanded by consumers in new developments Many purported benefits for health, education, government programs NBN Co expected to generate a return on privatisation in the future

6 Fixed line vs wireless

7 The NBN Structure The Australian Government has created a new company, NBN Co Ltd Responsible for the rollout and delivery of wholesale-only, open access broadband across the country. NBN Co Ltd provides the infrastructure and the wholesale access for retail providers to market and deliver services to the community For the first time in Australia, Retail Service Providers will be able to access infrastructure that is not owned or operated by one of its competitors. The NBN Co will not offer services directly to consumers.

8 The NBN roll-out program to date RBBP priority location First release sites Second release sites Cities/Towns

9 The NBN roll-out program to date Up until recently, the role of Telstra in the NBN debate has been unclear Telstra owns pit and pipe infrastructure and copper network plus a growing backhaul fibre network On 20 June 2010, Government entered into a non binding heads of agreement on the roll-out of the NBN. The agreement involves: - the reuse of suitable Telstra infrastructure - the progressive migration of Telstra s copper and pay-tv cable networks to the new NBN wholesale-only network

10 Fibre in New Developments Policy History On 7 April 2009 Gov indicated it wanted FTTP installed in new developments from 1 July 2010 Government considers high speed broadband is becoming a critical utility service Makes sense to have new developments fitted with FTTP technology cheaper and easier than retrofit Government indicated that it believed it was appropriate that new greenfield developments contribute to the capital cost of the roll-out of the NBN

11 Fibre in New Developments Policy History Implementation of the policy subject to extensive consultation Established a Stakeholder Reference Group UDIA heavily involved Fibre Deployment Bill released for public comment in December 2009 and introduced into Parliament on 18 March 2010 Continuing consultation on subordinate legislation required to give practical effect to the Bill

12 Fibre in New Developments Policy History Subordinate legislation proposed: - Developments that are 200 lots/units or more and where the cost of providing FTTP is less than $3,000 per lot/unit (including backhaul costs) must provide FTTP - Developments that are smaller than 200 lots/units and/or have fibre installation costs above $3,000 per lot/unit must provide fibre ready infrastructure (pit and pipe facilities) UDIA was strongly opposed to the policy and lobbied PM & Cabinet Advocated for equitable treatment of greenfields development

13 Fibre in New Developments NEW Policy UDIA and others advocated for NBN Co to become wholesale fibre provider of last resort Gov increasingly sympathetic to the idea NBN Implementation Study supported this approach Deal done with Telstra for infrastructure Gov also announced that the NBN Co would become the wholesale provider of last resort in new developments across Australia from 1 January 2011

14 The implications of the Policy From 1 January 2011, if a developers wants NBN Co to service its development with fibre, it can go to NBN Co providing the development is within or adjacent to the NBN Co long term fibre footprint Developers must cover costs of trenching and ducting NBN Co will cover the costs of installing fibre in the development, including backhaul Major win for the development industry

15 The implications of the Policy Importantly developers can still negotiate commercial deals with wholesale telecommunications providers Provider of last resort has the same meaning as the policy that applies to Telstra under the USO NBN roll out schedule unclear may impact on timely service delivery.

16 Details on the network Network will be open access NBN CO is just the wholesaler Alternative wholesale providers will be allowed to build the network must be consistent with technical specifications of the NBN and be operated on an open access basis Consumers will be required to negotiate arrangements with retail service providers for broadband connectivity

17 Wholesale and retail business models

18 What does an open access network look like? Pay TV providers FTA TV analogue & digital extra satellite channels Business Supplementary Services Education Health Telephone Community Headend Community Network Fibre to the Home / Business Internet Pits & Pipes Media Content A choice of Retail Carriers Service Providers Backhaul Network Connects the community to wholesale and Retail Carriers Backhaul Value Add Community Services Community Portal Security monitoring CCTV Health Services Education Services etc Core Network Infrastructure FTTP Network Residential

19 A likely NBN Co. FTTP network

20 Telstra and the Universal Service Obligation USO requires Telstra to provide a telephone service to Australians upon request Has been an important factor in the roll-out of telecommunications infrastructure in new developments From 1 January 2011 Telstra will not be required to provide infrastructure in new developments, but it will be required to provide standard telephone services to end users in developments where there is no other retail service provider A new USO Co expected to operate from 1 July 2012 and provide safety net services both during and after the NBN rollout

21 Other considerations Legislation yet to be introduced into Parliament Interim arrangements remain unclear Role of Telstra in the NBN process remains unclear Politics Planning and development control The role of communications providers

22 Thank you