AFR: NBN will cost taxpayers, no matter which government is in power

The national broadband policy will benefit both labor and coalition political strategies  according to the financial review  16000646 800477363 0 0 7021094 300

The government's investment in the National Broadband Network (NBN) over the next three years aims to provide telecom consumers faster and more flexible fibre, wireless and satellite services to increase communications capabilities country-wide.

For those who want to compare phone plans to find the best deal for their household or business, this may mean an increased awareness of government policy surrounding the NBN could be required.

After all, being well-informed can ease peace of mind when making a decision that could affect personal or business expenditure for an ongoing period of time.

But, as the Australian Financial Review (AFR) reported today, the NBN policy will most likely remain unchanged after the federal elections because of its projected revenue-gathering capability.

The report mentioned that both the Coalition and Labour camps were focusing on the income-generating properties of the NBN and that the scheme is considered capital investment, rather than expenditure.

According to the AFR, the opposition will look to renegotiate the $11 billion Telstra deal signed under the NBN policy, but other contracts will be honoured.

The predicted seven per cent return on investment was reported to be enough to seal the deal for both the Labor and Coalition leaders, however the cost to consumers will be significant whatever the outcome, said the AFR.

Posted by Eve Gillespie