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  • Labor's Reckless Broadband Plan - More Evidence of Government Dysfunction

    30/07/10

    A report today suggesting today that the cost of Labor’s National Broadband Network (NBN) could double to $86 billion, provides more evidence of Labor’s total incompetence when it comes to managing taxpayers’ money. This is a dysfunctional Government.

    If it was good enough for Julia Gillard as Deputy PM to defend her questioning of age pension increases and paid parental leave in Cabinet as ‘holding them up to the light” because of the costs involved, she should have done the same with Labor’s reckless $43 billion broadband proposal.

    It is all very well for Julia Gillard to justify removing Kevin Rudd as Prime Minister five weeks ago on the grounds that the Government had lost its way, but the dysfunctional mismanagement continues.

    ABC News this morning reported broadband industry consultant Malcolm McKenzie’s prediction that the cost of Labor’s NBN could double.

    If that were the case $86 billion would represent many times the amount of taxpayer’s money spent on pink batts and Gillard school halls.

    This is potentially $86 billion of taxpayers’ money that Labor is prepared to spend – again billions of dollars of borrowed money without the slightest regard for taxpayers.

    No business in Australia would make a risky investment in such an amateur fashion.

    Consumers will inevitably pay significantly more than they currently do to use the existing broadband network.

    The Coalition does not support Labor’s reckless NBN. We would not proceed with this arrangement if elected.

    The Coalition will reveal our own broadband plan for the future during the course of the campaign - a responsible alternative policy to deliver better, reliable and affordable broadband.

    It will ensure those in under-served broadband areas receive a better service as quickly as possible and promote the broader commercial rollout of better broadband more generally. There will be no misuse of taxpayers’ money.

    Just three years ago Labor said they were fiscal conservatives – and made a $4.7 billion broadband commitment. Now their broadband plan could cost $86 billion.
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