The consortium said the so-called Special Access Undertaking lodged with the Australian Competition and Consumer Commission (ACCC) was the next concrete step toward building a competitive broadband fibre network in Australia.
The G9 members are AAPT, iiNet, Internode, Macquarie Telecom, Optus, PowerTel, Primus, Soul and TransAct. It said the proposal would deliver consumers greater choice and better prices than what is currently available, and what would be available from a Telstra FTTN network.
The proposal outlines access costs for establishing a Fibre Access Network Operating Company (FANOC), and sets out the wholesale pricing model for network access.
The network would initially reach about four million households and businesses and then be progressively rolled-out to densely populated regional centres like Newcastle and Townsville.
Those regional areas not currently served by exchange infrastructure would then be served as priorities allowed.
The G9 proposal is for an average price for access seekers of between $21 and $24. This reflects the cost structure of a range of products from basic access at $15.00 to high speed broadband access at $45.00.
The proposal does not rely on a taxpayer contribution from the Federal Government and would instead be financed through domestic and international equity and debt markets.
Internode managing director Simon Hackett said the companies had been working with financial services giant Investec and had confirmed “building a high speed broadband network is an attractive and viable commercial opportunity in its own right.”
“Taxpayers funds are not required to support this commercially viable broadband network,” Mr Hackett said.
“Our focus has always been on a high speed broadband network plan that will bring broadband competition and choice to Australians,” Mr Hackett said.
“This proposal is in stark contrast to Telstra’s plans,” Optus chief executive Paul O’Sullivan said.
“Our proposal offers Australia fair and reasonable pricing and promotes competition which will drive greater broadband choices for consumers, Mr O’Sullivan said.
For more Telecommunications news, click here.
