PM commits $3bn to upgrade nation’s broadband

The National Broadband Network is to receive a $3 billion “equity injection” to complete the rollout and keep the government-owned corporation in public hands.

Bolstered by an additional $800 million from NBN Co – which runs the network – the cash will be used to upgrade the remaining fibre-to-the-node technology.

Speaking to media outside Parliament House alongside Communications Minister Michelle Rowland on Monday, Prime Minister Anthony Albanese said the broadband network is “absolutely critical” to how a modern economy and society functions, “and that’s why we want to not only complete the rollout of the fibre-based NBN but importantly, as well, we want to keep it in public hands”.

More than 620,000 homes will benefit from the upgrades – over half in regional and rural areas of the country.

The upgrades will start immediately and are scheduled to be completed by the end of 2030. At that point, 11 million-plus homes and businesses will have access to internet speeds of up to 1GB per second (the current average connection speed is 76.64 Mbps).

The NBN was a Labor initiative introduced a decade ago; Albanese said his government was determined to finish the job. “Labor created the National Broadband Network, and only Labor will finish the NBN.”

New NBN Co executive director Ellie Sweeney – who commenced the role in December – said the upgrades will “significantly enhance” Australia’s economy. “Fast and reliable broadband boosts industry, creates jobs, sparks innovation and strengthens social and economic participation.”

It’s estimated that the upgrading of the fibre-to-the-node footprint could increase Australia’s GDP by more than $10bn, support 10,000 jobs, and create 4,000 businesses over the next decade.

“With the growing number of connected devices in Australian homes and ever-increasing data usage,  this upgrade investment will enable us to meet the needs of Australian homes and businesses now and into the future and continue to lift the digital participation and capability of Australia,” said Sweeney.