« Telstra: the only poll that counts is ... umm ... no poll | Main | "Dell online Store" Trojan emails »
May 16, 2007
Selling out to Telstra
Now we're learning just how big a price we're going to pay, as a community, for the Howard Government's sale of Telstra. Talk about telegraphing punches. Is there any doubt whatsoever that Senator Helen Coonan is about to do a deal that will give Telstra precisely what it wants (a no-holds-barred monopoly), and more to the point, give the Government what it wants - burying Labor's broadband policy as an election issue without having to spend OUR money providing US with essential infrastructure. The politicians have instead allocated OUR money to buying the next election for the Liberal Party. The losers will be Telstra's competition, and - yet again - the Australian people. Aren't we all thoroughly sick of these betrayals?
The language used in tonight's 7.30 Report interviews couldn't be more transparent, in our opinion. Here's the crucial exchange:
[Shadow Communications Minister] STEPHEN CONROY: It's not Helen Coonan's job to decide the prices that are going to be set in the telecommunications industry. That's why we have a regulator, that's why we have an independent ACCC.We should carve those words on the tombstone of the democratic principles this Government has slaughtered: "If the current regulatory regime can't yield that outcome, well then I would look at what might be required."HELEN COONAN: Well, I don't think I'd call it "circumventing" the ACCC, I think it would more characterise it as accommodating the kind of adjustments that might be needed to enable a new very risky bill that's going to cost in the order of $4 billion. And if the current regulatory regime can't yield that outcome, well then I would look at what might be required.
PHIL BURGESS: As soon as we have agreement with the Government on all aspects, and we have agreement on most of them right now. But as soon as they can work their way through their relationship with the ACCC, as soon as they can decide whether they're going to rein in the ACCC and have the ACCC follow the policies of the Government, as soon as that happens, we'll put all of our prices on the table.
Even Coonan can't coat this pill with enough sugar to disguise the bitter, bitter taste. What she's talking about, and what Burgess is gloating about - don't these carpet-bagging amigos make you sick? - is the abandonment of any pretence of a competition policy in telecommunications. That Burgess comment should live in infamy: "As soon as they can decide whether they're going to rein in the ACCC and have the ACCC follow the policies of the Government". Look, Mr Burgess, that policy you've instructed Coonan to change, and Coonan seems so very willing to change, is the very policy THIS government put in place, to justify the deregulation of the industry, and the sale of Telstra. The ACCC IS following the policies of the Government. It's the Government that has apparently only now found them far too inconvenient. Meanwhile, John Howard - the king of contradiction - is confirming those policies, and the regulator, are under threat, by declaring his support for the regulator.
On the face of it, it's sheer insanity. You'd expect a massive political backlash, stirred up by Optus in particular, and other members of the G9, with the ALP enthusiastically fanning the flames. And Graeme Samuel isn't likely to take what would be an unprecedented public humiliation - a de facto declaration by the Government that he's a "rogue regulator" - without kicking up a tremendous fuss.
What troubles us is that Coonan - a curious assembly of hair and teeth and tissue and no spine at all - seems to be oblivious to any potential for unwelcome fall-out. Either the average voter doesn't have a clue, and can't muster the urge to get one - we already know that Telstra shareholders are prepared to trade the idea of a common wealth and their sense of fair play for the prospect of profit - or Coonan is arranging some quid pro quo for Telstra's competitors. Something, perhaps, that would boost their profits to make up for the bundles of cash that would flow to Telstra if they get what they want. We'd dearly like to know what that is, because it's consumers like us that will be paying through the nose for this shabby deal.
No government in Australia's history has demonstrated a fraction of the contempt for the electorate implicit in virtually every thought, word and deed of the Howard Government. No Prime Minister has been able to get away with mouthing one lie after another, while doing precisely the opposite of what he pledged. No political party with any conviction or the slightest claim to integrity could contemplate the shredding of principle in such a fashion. What a truly shameless mob they are.
Posted by cw at May 16, 2007 12:22 AM
Trackback Pings
TrackBack URL for this entry:
http://bleedingedge.com.au/cgi-bin/mt/mt-tb.cgi/1288
Comments
CW You rock!
I've never seen it so well put. Is this being published somewhere or what? If not, get on the back of the age; as you've said what many should hear.
Posted by: Alex at May 16, 2007 10:13 AM
Agreed, Alex. But CW has previously expressed these views time and time again. Regrettably, some readers considered it inappropriate for politics to be discussed in what they thought was a blog focussed exclusively on computing. But at last for all sorts of reasons the scales have been removed from the eyes of electors: aren't the long overdue winds of change refreshing?
When you write with passion, Charles, the words glow. Glad you're back on the case.
Posted by: Ablaze
at May 16, 2007 11:49 AM
(To the theme of Love and Marriage)
Bread and Circus's
Bread and Circus's
Go together like ACCC and Telstra
...
We have the government we deserve, why are people so surprised at anything they do.
(OOhhhh I was told spreading fertiliser was good for growth but the government lied about all this S**T around here)
Posted by: Luke at May 16, 2007 01:29 PM
Isn't it statistically impossible for all of us to have the government we deserve? You have to vote for them, don't you, to deserve them? Or is this like original sin? Or karma from a past life? Even if you didn't vote for them, it's still your fault!
Thanks a lot, Luke.
Posted by: cw at May 16, 2007 04:41 PM
CW
We have the government we collectively deserve.
I was one of the three people in Oz who voted for the democrats. Unfortunately us fringe dwellers (as opposed to a minority group) who can see whats going on only account for about 15%-20% of the vote.
As for the Fed Gov, ACCC and Telstra: - If I had a wish it would be Telstra was the retail arm and loosing money like a sieve. Fed Gov owned and ran the equipment and ACCC kept their three ideals: Company Fairness, Competition Fairness and Customer Fairness.
Posted by: Luke at May 17, 2007 11:05 AM
Ablaze -
I must say I am disappointed to hear that readers think computing journalism shouldn’t delve into the realm of politics where suitable. Especially when the outcome of politics can effect our computing lives.
-Net Censorship
-R18+ Ratings for games
-Regulation of wireless/cellular protocols
All issues that have to involve political commentary for the technology columnist to cover them in full.
Grow up people!
Posted by: Alex at May 17, 2007 01:12 PM
Telstra might not be very nice at all - they're often perceived by lots of people to be bullying and manipulative by turns it would seem. Their American top executives might not go down well at all this country. Their customer service may well be poor and their prices expensive. That's all largely taken for granted by most readers of this blog, I guess. Fair enough.
But CW's political bias once again lurches into another of his anti-John Howard diatribes. What a pity. Instead he might have written a much more informative piece by looking a little more dispassionately at the interests and agendas of all of the main players involved in this soap opera. There would still have been room for CW's opinions, and they would have been much more persuasive if they had been reasoned and balanced rather than cliched invective masquerading beneath the occasional humourous turn of phrase.
Does anybody of a different political persuasion to CW's - or at least one that's a little more restrained - have any insights and perspectives to inform Bleeding Edge's readers in a more meaningful manner about the current broadband kerfuffle? If you are that someone, or know where he or she is to be found in the media, I for one would be grateful for your response.
Posted by: Jame Dunkt at May 17, 2007 02:23 PM
As per the original 7:30 Report screening the videos are priceless!
Telstra jibbing on Australian consumers: ACCC - m4v | wmv
And if you are a RSS Junkie M4V RSS Feed | WMF RSS Feed
Posted by: Stephen
at May 17, 2007 09:36 PM
Declaring it invective and biased is so easy, Jame. It's far harder to argue against the facts. Clever of you not to even attempt to do so.
Does anyone have any insights or perspective to challenge my reasoning? How about you, Jame?
Posted by: cw at May 17, 2007 10:45 PM
Lateline Business: National broadband network needed: IBM CEO
ALI MOORE: Let's start with the issue of the moment in this country and one that you're pretty well placed to comment on. How badly off are Australians when it comes to broadband Internet access?GLEN BOREHAM: Well Ali, you look at the statistics available. The OECD rate us 17th of developed countries. The World Economic Forum are rating us 25th. Clearly, we are not where we need to be.
ALI MOORE: Now what about market clarity, that new survey that came out this week which ranked us eighth?
GLEN BOREHAM: Yeah look, there's lots of different statistics available, but I think for a country of our size, for a country that has an innovation agenda, we're not where we need to be. And the fear that I have is that when you look at the debate on infrastructure, you know, water is really obvious. If we can't water our gardens, we know there is a water problem. Transport infrastructure, if you are stuck in traffic, you know that there's an issue there. They're topical. But IT infrastructure, knowledge infrastructure has been less so. And as an economy we are missing opportunities. This is about health care, better health care in regional Australia. It's about education standards to our children and it's about small and medium business throughout our country having access to new markets.
ALI MOORE: Well where we need to be is it fibre-to-the-node, which is what all of the debate is about in this country at the moment? Is that the right technology?
GLEN BOREHAM: I think we've got to look at you know the whole spectrum of technology. Fibre-to-the-node is one and the debate that's going on with Telstra and the Government around that is a healthy debate. I think we've got to look at fibre-to-the-house. But we are competing in the Asia Pacific region. Now Australia, as part of that Asia Pacific region, we're competing with countries who are just leapfrogging.
ALI MOORE: So when you look at the debate - and we're getting this tit for tat between the regulator and Telstra - we're getting a lot of mud slinging, but not a lot of progress. What does the industry think of it all?
GLEN BOREHAM: We are calling for action. I mean this is inhibiting the growth of our economy. It is inhibiting our prosperity and again we need action and we need it urgently.
Posted by: Stephen
at May 18, 2007 10:41 AM

