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MICHELLE ROWLAND MP
SHADOW MINISTER FOR COMMUNICATIONS
MEMBER FOR GREENWAY
$1.17 MILLION NBN CEO BONUS IS OUT OF TOUCH
Australia is in recession, the Liberals have amassed $1 trillion in debt, and when you strip away the spin, the Morrison Government has missed every key NBN target under the sun.
Today’s annual results compared to the 2018 Corporate Plan reveal revenue was $1.1 billion less than forecast, capital costs were up by $3.8 billion, and 800,000 fewer premises were activated.
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Targets
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Forecast
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Reality
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Comment
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Revenue (FY2020)
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$4.9b
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$3.8b
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- $1.1b
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Premises activated (FY2020)
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8.1m
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7.3m
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- 0.8m premises
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Cash flow (FY2020)
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-$2.4b
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-$6.1b
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Higher losses
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Capital Costs (to FY2020)
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$32.2b
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$36b
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Cost blowouts
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Project cost
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$49 billion
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$57 billion
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Cost blowouts and technology backflips
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Forecast source. Reality source
“Cost blowouts, fake targets, and technology backflips — what exactly are taxpayers rewarding other than Liberal spin and incompetence?”, Ms Rowland said.
NBNCo executives have been repeatedly caught revising down their targets for the coming period, to make it appear they are beating those targets, with the additional objective of distracting from underlying cost blowouts and delays. Bonuses are linked to these targets.
BACKGROUND ON BONUSES, EXPENSES AND ROLLOUT COST
- It has also been reported that NBNCo spent $265,000 on entertainment and functions between February and June, when the country was in COVID lockdown.
- The rollout cost of the NBN has increased $57 billion, despite the Government attempting to hide this from the latest Corporate Plan.
- Even compared to the 2019 Corporate Plan, NBNCo still missed all their key targets.
TUESDAY, 20 OCTOBER 2020
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