Thu, 28 Jul 2011 - 13:53
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NBN will be the ‘No Battlers Network’ if new pricing fails to provide for voice only customers

The lack of voice only pricing is a conspicuous feature of NBN retail pricing plans issued in recent days, said Federal Member for Bradfield, and former telecommunications executive, Mr Paul Fletcher MP.

“Today if you want a voice only telephone service, the cheapest monthly line rental on offer from Telstra is its Homeline Budget plan at $22.95.  On its website Telstra says this is ‘a great option for low income and infrequent phone users,’” said Mr Fletcher. 

“But the plans recently released by retail operators Internode and Exetel are for combined broadband and voice telephony – with Exetel’s cheapest offering being $34.50, more than 50 per cent more expensive than Homeline Budget.”

“So even if you just want a low cost basic telephone service – you won’t be able to buy one.”

“Low income Australians who depend on the telephone as their lifeline would face a huge cost increase under these plans – to take a broadband service they may not want or be able to afford.”

“While Broadband Minister Conroy was quick to talk up these new plans, he had nothing to say about voice only customers.”

“Yet Telstra has some 8.5 million ‘basic access’ or voice lines in operation – compared to only around 3.3 million broadband services.  According to the Australian Bureau of Statistics, over one third of homes take no broadband service at all.”

“Conroy made some throwaway comments at Senate Estimates in February this year: ‘people who currently have just a voice line will continue to have the voice line but at the same price.’

“Apparently this was to be part of the deal between NBN and Telstra – but nothing more was said about it when the deal was announced in June this year.”

“Even if there is a deal with Telstra – the pricing plans announced recently suggest that voice only customers will not have the option of using operators other than Telstra.   It is hard to see that as the win for competition that the Gillard government constantly claims the NBN represents.”

“If the NBN means higher prices or less choice for low income voice only customers, many of them may be denied an affordable service.”

“Perhaps NBN really stands for ‘No Battlers Network.’”