Updated
The Government will announce the next stage in the NBN deal later today (www.sxc.hu: Rodolfo Clix, file photo)
The Federal Government is expected to announce an $11 billion deal to give the National Broadband Network (NBN) access to Telstra's fixed-line network today.
The Government has signed off on the deal, which means the NBN will rent Telstra's underground network and start taking over its fixed-line phone customers.
But Coalition communications spokesman Malcolm Turnbull says it could be done more cheaply.
Mr Turnbull is critical of part of the deal that means Telstra and Optus will both agree not to use their pay TV cables to provide broadband services.
He says the NBN should use some of Telstra's copper phone lines to deliver the broadband more cheaply - but the deal makes no provision for that.
"What it is doing is wiping out any potential competition with the NBN," he said.
"Now these HFC cables, pay TV cables, pass well over 30 per cent of Australian households and they would be able to provide real competition with the NBN network and of course keep prices low."
Mr Turnbull says it is risky for taxpayers, who ultimately own the NBN.
"If it were decided, as it should be, to use a mix of technologies to deliver fast broadband to all Australians and to use a portion of the copper network, the Government will have to go and pay Telstra even more billions. Pay twice for the same copper network," he said.
Mr Turnbull says it will be too expensive for many of those who currently do not have internet access.
"It is poverty that is denying people access to the digital economy, not technology," he said.
"So you've got to have as a key priority making your access to broadband more affordable. The NBN, because they're wasting so many billions of dollars unnecessarily, will make it less affordable."
First posted
Source: http://www.abc.net.au/news/stories/2011/06/23/3251071.htm
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