Deputy Leader of the Government in the Senate

Address to CISA ‘Connecting Up’ Conference

Adelaide

Monday 14 May 2007

It is always a pleasure to come to South Australia. And I’m especially pleased to be here at the fourth CISA “Connecting Up” conference for this important and growing sector.

The not-for profit sector employs around 600,000 people, has an income of over $33 billion and contributes around 3 per cent, to GDP.

I was intrigued recently when someone told me that the not for profit sector made an economic contribution larger than the communications industry and about equal to that of the agriculture industry.

But this doesn’t tell the whole storey. The real value of the third sector is in the range of services it delivers to consumers.

In this role the charitable sector is a crucial partner with business and government.

Today I will comment upon the approach the Australian Government is taking to make Australia a world leader in the development and use of communications technologies.

And of course integral to that is broadband and the demand for every increasing bandwidth.

Communications technology and broadband are simply transforming the way we work, the way we interact and the way we learn.

They are critical for all sectors to operate in a modern economy, whether it is the government, private or the not-for profit sector.

They will underpin Australia’s productivity gains and help to lock-in Australia’s continuing economic prosperity.

The Australian Government is tackling these issues on a national level.

Our broadband policy is not one dimensional nor static.

The Australian Government has an integrated strategy that will provide all Australians with access to high speed broadband regardless of where they live.

It will continue to promote the development and use of smart communications technologies in key areas such as health and education.

And it will provide a secure and safe online environment.

Critique of Labor’s Broadband Proposal

Later today you will no-doubt learn about Labor’s plans to waste $5 billion of taxpayers money on a fibre to the node project that the industry wants to fund itself.

Clearly industry does not need the Government buying back into the telecommunications industry by becoming a joint venture partner with a build of fibre to the node.

There is no debate about whether Australia can or should have a new high speed broadband network. We will. The question is how we do it and what commercial incentives are needed to get the network build underway in built up areas whilst investing taxpayer’s money in underserved areas in regional and remote Australia.

This is where we differ vastly from the Labor party.

There are two commercial proposals on the table for a fibre high speed broadband network in Australia – one by Telstra and another by a consortium of nine leading telecommunication providers, called the G9.

Both felt the need to take out full page advertisements last week telling the world they do not need taxpayers funding to build their fibre broadband networks in built up areas.

The difference between the Government and Labor’s broadband proposal is simple:

• Labor plans to dip into the Future Fund and set aside $2 billion for rural and remote Australia to achieve what industry is already prepared to build.
• Whereas the Coalition Government will let the industry invest in a fibre network for built-up commercial areas – at no cost to the tax payer, while directing its financial resources towards a new open access high speed broadband network in regional and rural Australia where industry would not invest without Government funding.

The Australian Government will be taking a responsible and measured approach.

We will not make policy decisions based on half the facts.

We will not pick technology winners.

We will not denigrate Australia’s broadband performance to support a flawed broadband proposal.

The truth is that Australia has been unfairly criticised for its broadband performance, mainly by those with a vested interest.

Our broadband performance is strong and in line with comparable countries.

Australia is once again in the top 10 OECD countries for growth in broadband take-up per 100 people.

The methodology for collection of broadband statistics for OECD tables have been substantially discredited, criticised and a clearer picture should now emerge, vastly improved.

Ninety per cent of Australian households can already access fast speeds of between 2Mbps and 8Mbps.
Nearly 50 percent of the population can also access even higher speeds of up to 20 Mbps from ADSL2+ and cable broadband.

But, that is not to say that more is not needed to further improve.

In a fast paced environment we need to be ahead of the game, and well placed to scale up, so that Australians can connect wherever they want to use the Internet to meet their ever increasing needs.

Clearly we need to create a climate that encourages and rewards investment in communications infrastructure.

Our objective is to reach the right balance between achieving regulatory certainty and a fair return on investment while maintaining a healthy competitive market.

If broadband in Australia becomes unaffordable then it won’t matter if it is widely available or how fast it is.

People won’t buy what they can’t afford.

The healthy future of Australia’s competitive communications market and the need to maintain choice and affordability for consumers is the key element in the broadband challenge.

To date, consideration of the Telstra and G9 proposals has been a matter for the regulator and government but ultimately, it will be the level of consumer take-up that will determine the business case for any new high speed broadband service.

Therefore, I support the detail of the competing proposals being put into the public arena so that everyone has an opportunity to consider the merits of each proposal, including the proposed prices.

Broadband Connect Infrastructure Program

The Government has a comprehensive strategy that ensures that all Australians regardless of where they live have access to affordable high speed broadband.

In Remote Australia – and anywhere a commercial broadband service is not currently available – affordable broadband is already available via the $163 million Australian Broadband Guarantee. That will be augmented by the $2 billion Communications Fund.

In Rural and Regional Australia the $600 million Broadband Connect Infrastructure program will leverage private sector investment to transform the way regional Australian community’s access broadband.

I will soon announce the successful applicant or applicants that will build the new national network.

This will be a new leap forward for regional Australia.

It will break down distance barriers.

It will open up access to the latest communications technology on the farm, for small businesses and in the home for education.

This program aims to extend affordable high speed broadband coverage to 98 per cent of all premises.

In particular it will bring this level of service to many hundreds of thousands of premises in rural areas that have been inadequately served in the past.

Our objective is to build a new national broadband network that will enable rural Australian’s to access high speed broadband at prices equivalent to metropolitan Australia.

The network will be open access so that it promotes competition and provides a choice of services for regional Australians.

We expect retail broadband services to be equivalent to those available in metropolitan areas, both when the network starts being rolled out in the next year, and when it is completed in 2009.

The tender has emphasised the importance of improved access to backhaul networks, widely recognised as being vital to sustainable competition in regional Australia.

The Coalition Government knows that Australia’s future prosperity includes having access to fast broadband for all Australians regardless of where they live.

That is why we are working hard at a national co-ordinated solution to Australia’s broadband needs both now and in the future.

We will continue to take the lead in shaping Australia’s broadband future through a stable, yet responsive regulatory environment, through targeted and effective investment in uncommercial areas and by ensuring there is appropriate incentive to invest in next generation broadband infrastructure.

Benefits of ICT to the non-profit sector

Shaping Australia’s future also includes driving further innovative uses of technology.

The Australian Government recognises the need to focus on the particular strengths of the Australian ICT industry.

Our significant investment in the ICT sector include initiatives such as National ICT Australia (Australia’s ICT Research Centre of Excellence), ICT Incubators and the Advanced Networks Program.

These programs alone have involved a direct commitment of $562.5 million and they have demonstrated in very clear terms how technology is changing our lives.

There are real opportunities to improve the delivery of services through the new technologies of communications and collaboration, including in the not-for-profit sector.

More than ever before, smart online tools exist to bring people together, to provide information and to allow greater participation in communities.

This conference is an outstanding forum to discuss the possibilities that new technologies bring, to share ideas, and to showcase what community organisations can do and have achieved.

Government Programs Assisting the Not for Profit Community with ICT

There is no doubt that within the not for profit sector the strategic use of ICT enhances administrative activities, communications with other organisations and the provision of services to clients.

The Australian Government has strongly supported the not for profit sector in the use of ICT through various means, including direct funding, research, publications and consultancies.

The E-strategy Guide, for example, was produced by my Department with the aim of improving the take-up and effective use of ICT by non profit organisations.

The guide was launched on my behalf by my colleague Senator Gary Humphries at last year’s ‘Connecting Up’ conference.

In 2005, my Department released case studies showing how not for profit organisations are using ICT effectively.

These organisations and services include – ‘Kids Help Line’, ‘depressioNet’ and ‘infoxchange Australia’ and ‘University of the Third Age online’, just to name a few.

A discussion paper was also released in 2005 entitled ‘Information and Communications Technology Transforming the Nonprofit Sector’.

Following on from this research the Government provided funding to a consortium led by CISA to investigate ICT matters in the nonprofit sector.

This study was to research the viability of a national leadership body addressing ICT issues in the nonprofit sector.

A final report was provided to the Government late last year outlining a preferred model for a national organisation and is available in hard copy today.

This networked model is called the ‘Third Sector Expansion program’, or ‘3STEP’.

The primary goal of the model is to increase the ICT capacity of the third sector in Australia.

Collaboration Across all Tiers of Government to Support Adoption of ICT by Nonprofits

The report contained positive signs that the non-for profit sector is increasingly taking advantage of what the online world has to offer.

For example, a survey in the report found that 81 per cent of the non profit sector described their organisations as being average or higher adopters of technology.

The top online activities for these organisations included emailing, online banking, researching and buying goods and services.

However, the survey also found that smaller nonprofits had lower levels of connectivity and use of ICT technologies.

This shows that there is still work to be done to extend the transformative power of ICT to all those who can use it.

From the reports findings, and a broader analysis of the issues, it is clear that there are many cross-jurisdictional implications.

For this reason I have put the issue of ICT adoption by the nonprofit sector on the agenda for the next Online and Communications Council of State and Federal members meeting on 29 June 2007.

Raising the issue to this level recognises the collaboration that exists between the charitable sector and governments at all levels.

Clever Networks Program

As its part of its role in this partnership, the Australian Government is directly contributing to further improve Australia’s position as a world leader in the development and use of communications technologies, including in the nonprofit sector.

The $113 million Clever Networks program is revolutionising the use of broadband for the delivery of health, education and other essential services in regional Australia.

Clever Networks is part of the $1.1 billion Connect Package. It provides funding to roll-out smart solutions such as interactive distance education and real time medical diagnosis to improve patient care and help to attract and retain professional people in regional Australia.

I recently announced that 16 of the projects that applied for funding under Round One of the Clever Networks program had been successful.

One of the successful projects, ‘Scope’, is a non profit organisation committed to helping people with disabilities participate in community life.

Using broadband, in an innovative way, this project will benefit therapists, clients and their families in remote and rural areas—linking communities with vital information, resources and support systems.

The project will significantly benefits therapists in their time management cutting down their travel and administration time, and allowing them to have more focussed time with their clients.

The Australian Government has provided $1.4 million and ‘Scope’ will contribute matching funding.

I recently announced two other Clever Networks projects in regional New South Wales, which promote the innovative use of broadband technology in the health sector to enable faster patient diagnosis, eliminate unnecessary travel time and enable the remote assessment of critically ill patients.

This will enable medical teams to work effectively across all parts of the system and across geographic boundaries.

For example, broadband connections will allow an emergency patient in Broken Hill to be assessed by a medical expert in Bathurst using remotely controlled cameras and two-way audio connections.

A number of these projects build on the Australian Government’s earlier funding commitments encouraging the use of broadband technologies all over Australia.

These include projects such as:

• The District Council of the Yorke Peninsula CCIF project, which provided enhanced community access to data, voice and video capabilities within a 10 km wireless local loop around the towns of Maitland, Minlaton, Yorketown and Warooka in South Australia; and

• The $6 million RegNet project run by the South Australian Department of Education and Children’s Services which developed a broadband network for rural and remote South Australia, which connects 245 sites and 31,000 students and educators.

And there are other examples of the transformative power that Broadband can have on community’s right across Australia.

Today I am releasing a publication entitled ‘Broadband in Regional Australia: making a difference’.

This showcases four projects funded by the Australian Government that illustrate how social and economic well-being is enhanced through the use of broadband.

Copies of the publication have been distributed today, and more are available from my Department representatives at our booth here today.

Later today I will be attending a telecommunications function project in South Australia where TAFE’s are linked to distance education and to enhance links to State Government services in regional areas.

As you can see the Australian Government is listening to local communities and is committed to providing access to broadband and also to the services and capabilities that broadband enables.

Clever Networks Round Two Announcement

Later today I will be releasing the guidelines for the second round of the Clever Networks program and calling for applications for funding.

The Round Two guidelines encourage organisations – such as not-for-profits and community groups – to apply for funding.

I encourage those interested in applying to consider these guidelines and look to the successful projects from Round One, which should serve as pointers to the kind of innovative and smart solutions the Government wants to encourage.

Conclusion

I’m very pleased to be able to participate in this conference and other important initiatives that assist the use of ICT in the not for profit sector.

I look forward to hearing the results of your discussions and wish you all an enjoyable and informative conference.

Thank you