Labor Moves to Block NBN Privatisation, Opposition Says Service Not Competitive

An NBN Skymuster Satellite Truck in front of Parliament House in Canberra, Australia on Sept. 14, 2016. AAP Image/Mick Tsikas

The Albanese government has introduced a bill into Parliament to keep the National Broadband Network (NBN) in public hands.

The $51 billion (US$34 billion) NBN billion project, first announced in 2007 by the Rudd Labor government, is an Australia-wide fibre-optic network supposed to offer faster internet connections across the country.

The timing of the announcement was criticised by the federal opposition, who sa the bill’s introduction is aimed at shifting the focus away from Prime Minister Anthony Albanese’s comments about Tourette’s on Oct. 8.

The National Broadband Network Companies Amendment (Commitment to Public Ownership) Bill 2024 was introduced on Oct. 9.

NBN Belongs to the Public: Albanese

Prime Minister Albanese said the NBN was built by Australians, and it belonged to the public.

“That’s what this legislation is about, safeguarding the future of the NBN, making sure it cannot be privatised,” he said in Parliament.

“It can’t be hollowed out, it can’t be sold off to overseas interests, and making sure that every Australian whether they live in the city or in the regions or in the outer suburbs can count on the affordable, reliable and fast internet that they need and that they deserve, publicly owned and affordable for all.”

NBN Service Not Competitive: Opposition

In response, Liberal Member for Casey Aaron Violi said the bill had been rushed forward to “bring in a distraction for the prime minister.”

“Pure politics, pure spin, because in the minister’s own words it is not going to change the operation of the NBN,” he said in Parliament.

Violi raised concerns the NBN service dropped out in the Dandenong Ranges in his electorate during a festival—an area known for storms and bushfires.

Violi also said NBN satellite costs had gone up 14 percent since October last year.

He noted 270,000 Australians had chosen to take up Elon Musk’s Starlink, compared to 85,000 on NBN’s satellite service.

“People are speaking with their money and their feet,” he said.

Libertarian Senate candidate for Victoria, Jordan Dittloff, said Musk’s Starlink was outperforming the NBN.

“What private company would want to buy [a] government built white elephant NBN that is already being smashed on speed and coverage by Elon Musk owned Starlink,” he said on X.

“Government needs to get out of the way and take the hint from Japan, where the government isn’t in the internet business.”

Labor Ministers Back NBN and Public Ownership

Labor Communications Minister Michelle Rowland, however, said Australians did not trust the Coalition not to sell off the NBN “just like they did with Telstra.”

“This Bill will ensure the NBN continues to deliver for all Australians—improving digital inclusion and price certainty for industry and consumers,” she said.

“The government is delivering on our election commitments to provide fast, reliable and affordable broadband to all Australians, and only by keeping the NBN in the ownership of the Australian people will that vision continue to be delivered.”

Finance Minister Katy Gallagher said the government had invested $2.4 billion from the Oct. 2022-23 budget, to expand fibre access to 1.5 million premises by 2025.

“The NBN is critical national infrastructure, and we know that having a faster, higher quality NBN network has a huge impact on Australia’s economy—delivering a $400 billion uplift in GDP by 2030.”

“Economic analysis commissioned by NBN Co shows that for every one megabit per second increase in average broadband speed, Australia’s productivity-driven GDP increased on average by 0.04 per cent.”

Albanese Apologises for Tourette’s Comment

Meanwhile, Albanese has apologised after he asked Shadow Treasurer Angus Taylor whether he had “Tourette’s or something?” during Question Time on Oct. 8.

“I knew it was wrong as soon as I made the comment, I apologised and I withdrew as soon as I said it, but it shouldn’t have happened,” Albanese said.

“And I also want to apologise to all Australians who suffer from this disability.”