On Thu, 17 Apr 2008 10:00:17 +0000, Alan Parkington wrote:

> From
> http://www.abc.net.au/rural/news/con...4/s2218642.htm
>
> Telstra says it wants its obligation to provide a telephone service to every
> Australian reviewed.
>
> It comes after the company was given permission to turn off the CDMA mobile
> phone network in favour of its new NextG service.
>
> The Universal Service Obligation means, in particular, that rural
> Australians are guaranteed connection to a fixed line telephone, even in
> remote areas.
>
> Telstra Countrywide manager Jeff Booth says the company is questioning
> whether its shareholders should pay for everyone to have a telephone.
>
> "There is now the question before the Universal Service Obligation of
> providing the first telephone, there's now a question about where that half
> billion dollar plus burden a year actually sits" he said.
>
> "Should it sit with the Telstra shareholders,

No.


> should it sit with Government,

In other words, the taxpayers.


> should it sit with industry.

Which would cause the costs to be paid for by all consumers, rather
than just the ones actually receiving remote services.


> Or should the rules be changed?"

As a starting point, the costs should be passed on to remote-area person
who wants the telephone service.

If the remote-area person can't afford it, and there are public policy
reasons for (1) the remote-area person remaining where he is; and (2) the
remote-area person having a telephone service; then Parliament can look at
subsidizing the service with funds from Consolidated Revenue.