The Australian government will invest A$100 million ($90m) in FTTH rollout in the state of Tasmania.
It is the third government announcement about NBN in Tasmania, but the first time it has committed funds. Communications minister Senator Stephen Conroy said the three stages would fund fiber rollout to 100,000 premises – about half the state.
He announced today the government would inject the funds into NBN Tasmania, a company set up in partnership with the state government and utility Aurora Energy.
It is separate from the national government’s proposed NBN Co., which is intended to drive NBN development around Australia.
The announcement comes with an election due this year. The NBN was a central part of the Rudd government’s platform when it won office in November 2007.
Since taking office it dumped the previous government’s broadband plans and promised to invest up to $43 billion in building out the NGN.
It is still mired in talks with Telstra over the incumbent’s role in the project. Conroy last week released a draft bill for the establishment of the NBN Co., which controversially allows it to provide retail services in competition with existing operators.