The Turnbull government’s budget multi-technology NBN is facing huge delays and further rising costs, according to an internal report obtained by The Sydney Morning Herald.
The internal document reveals that by the NBN’s own assessment, the rollout has fallen two-thirds short of their construction timeline. On top of that, connection costs to each premises are blowing out, a damning result for a network which was meant to be done sooner and more affordably.
To start construction on a site, the “final design” process for those connections need to be completed first, which the report says is significantly behind schedule.
As of February 19 this year, 1,402,909 premises should have been approved, however the report is stating that only 662,665 have received the tick.
Malcolm Turnbull’s favoured technology is facing big problems too, with the highly criticised fibre-to-the-node technology only active on less than one third of its budgeted target.
The NBN however has come out and rejected the claims of this report, stating that it is on track to meet or exceed its full year targets of 2.6 million homes as Ready for Service. It also defended the complexity of the project, saying the NBN rollout is “an incredibly complex project unlike any infrastructure build anywhere in the world.”
The then communications minister slammed Labor’s full fibre model before the last election, claiming it was unaffordable and not needed. He instead, put together what the government is now currently rolling out in the multi-technology network, which instead of using just fibre, it also incorporates HFC cable and fibre-to-the-node.
It was originally budgeted to cost $29.5 billion, significantly less than the $44.9 billion of Labor’s fibre-to-the-premise model, but is now looking to cost twice its original price tag.
The SMH has more.
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