September 23, 2021

The Federal Government has committed to privatising the National Broadband Network (NBN) by 2019.

The announcement comes as the Government is struggling to come to terms with the huge cost of the NBN, which will require a massive restructuring of Australia’s infrastructure.

Key points:The Federal Government says it will set aside $20bn for the NBN by 2019The Coalition is expected to announce its next Budget on MondayNational Broadband Networks is a huge undertaking and will require the Government to make huge investmentsThe Coalition says it has committed $20 billion to the NBN and says it is looking at privatising it in 2019As the Government seeks to put the NBN back on track, the Government says the next budget will be released on Monday.

Key point:The Government says there is “a substantial opportunity to achieve a $20b net spend” in 2019National Broadbands will cost $1.6 trillion to buildThe NBN will cost between $1,600 billion and $2,000 billion to build, but will also be “the largest and most complex public infrastructure project in the world” the Government said in a statement on Monday afternoon.

“The Government is investing in the NBN to create jobs and provide the world with the most efficient and reliable national broadband network in the history of the world,” Minister for Communications Malcolm Turnbull said.

“We are now embarking on a major and complex infrastructure project that will require significant investment in the next two years.”

The Government said it was looking at the “next phase” of the construction of the national broadband infrastructure, which could involve “a significant amount of public investment”, including “the removal of barriers to private sector investment”.

“In order to secure our long-term economic future, the National Australia Infrastructure Plan will be completed and the Commonwealth will have the opportunity to undertake its first-ever private sector public investment,” the statement said.

The Government’s new policy statement came as the Federal Government is grappling with the costs of the project, which is due to cost between about $1 trillion and $1 billion.

The Coalition has previously said the cost of NBN would be about $60 billion in 2019, but this new policy document makes no such promise.

In December, the Federal government announced it would build and run the NBN for around $2 billion, but said this was not a final figure.

The NBN has faced criticism from Labor for costing $3 billion a year and it is expected that will increase by about $2.5 billion a month.

The Federal Opposition is currently considering whether to support a private investment fund to help pay for the project.

The cost of running the NBN has been a big sticking point in negotiations between the Government and Labor, with the Government wanting to privatise it.

Opposition Leader Bill Shorten said Labor would “be open to the private sector taking a lead in funding the NBN” if the Coalition made a similar offer.

“But there will be a process through which we will decide who will get the money,” he said.

“This is not a free-for-all.”

The Opposition says the NBN is the largest and fastest-growing public infrastructure investment in Australia and the Government’s announcement on Monday would allow it to get “some of the money out of the way”.

“This Government is putting the Australian people ahead of big multinational corporations who are using taxpayer dollars to privatize this public infrastructure,” he added.

Mr Shorten has previously indicated he would consider a private venture if the Government were to privatised the NBN.

Labor says it wants to ensure that taxpayers get a return on the NBN investment, but has said it is not willing to privatisation the project unless there is a return to the public sector.

Topics:government-and-politics,business-economics-and.debt,australia,broadband,communications,nbn,corporations,finance,government-administration,government—politics,aesthetics,government–news,government,government—-parties,business—services,,aurna-4250First posted January 02, 2020 11:41:38Contact Nicola Smith

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