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FAQ - Commonwealth support programs for mobile phone services
Commonwealth support programs for mobile phone services
Issues
The Government is funding programs to improve affordable mobile telephone coverage along a number of major Australian highways, and to improve affordable access for under-served communities. This fact sheet covers three programs:
- Mobile Phones on Highways Program
- Mobile Phones for Towns over 500 Program
- Regional Mobile Phone Program
(See also the Fact Sheet on ("Mobile phone services")
The Mobile Phones on Highways program provides $25 million to give continuous mobile phone service, for the maximum number of users (regardless of where they normally do business or live), along a number of major Australian highways.
1. What highways will be covered?
- Highway One from Port Douglas to Adelaide via Cairns, Brisbane, Sydney, Eden, Melbourne, Mt Gambier and Murray Bridge;
- Melbourne to Brisbane via the Hume, Newell and Cunningham Highways;
- Melbourne to Adelaide via the Western and Dukes Highways;
- Sydney to Brisbane via the F3, New England and Cunningham Highways;
- Sydney to Adelaide via the Hume and Sturt Highways;
- Sydney-Melbourne via the Hume Highway;
- Hobart to Burnie via the Midland and Bass Highways;
- Canberra-Goulburn and Canberra-Yass via the Federal and Barton Highways.
2. What technology will be used and why was it chosen?
Following a competitive tender process, the contract was awarded to Vodafone for the provision of a GSM service.
The main aim is to provide mobile phone service to the maximum number of users of the Designated Highways regardless of where they normally do business or live.
Given this objective, the technology used (CDMA or GSM) was not an evaluation criterion. This recognised that both could advance reasonable arguments why their technology should be favoured. CDMA currently has the greatest coverage particularly in regional areas, while it could equally be argued there are higher numbers of subscribers for GSM and likely to be a greater number of GSM users on the highways.
The winning tender was decided on overall quality and value for money according to the selection criteria.
3. How does inter-carrier roaming benefit consumers?
Inter-carrier roaming potentially allows all GSM users, including those who are customers of another GSM carrier, to benefit from the increased coverage.
Vodafone will be offering inter-carrier roaming through its subsidised base stations, covering approximately 34 per cent of the designated highways. This should correspond closely to gaps in other GSM carrier's networks, resulting in the possibility of near continuous service to subscribers to other GSM networks.
Other carriers need to reach commercial agreements with Vodafone for inter-carrier roaming to be activated.
4. Can inter-carrier roaming be provided to CDMA customers through the Vodafone contract?
Inter-carrier roaming is not possible for customers using CDMA as this is a different technology and the different networks cannot interact.
5. What benefit is regional Australia going to get from this decision?
- Vodafone is contributing a substantial investment in the GSM mobile phone network to complement the Commonwealth's outlay of $25 million:
- flow-on benefits to regional economies (employment and expenditure); and
- long term boost to regional economies through improved regional communications infrastructure.
- substantial increase in mobile phone coverage:
- 9 425 km of highways to receive continuous service, with new service mainly in the regional areas;
- subscribers to other GSM networks potentially having access to most of this new coverage through inter-carrier roaming agreements; and
- more than 4 000 people located adjacent to the highways to receive GSM coverage (from any carrier) for the very first time.
- Increased choice of mobile phone carriers:
- more than 40 000 people to receive Vodafone service for the first time;
- High quality mobile phone services:
- the Commonwealth believes Vodafone's proposal provides a high degree of certainty that it will provide high quality continuous service;
- leading edge data and Internet services which are superior to current offerings from the other major carriers; and
- approximately 99.88 per cent of 9 425km of the designated highways will receive mobile coverage - the gaps (equalling 0.12 per cent) were not feasible to fill due to difficult terrain or site access restrictions.
Timeframe
- Most new services are expected to be commissioned by the end of 2002.
- The contract encourages faster rollout by paying most of the funds based on the number of mobile towers in service.
Further Information Contact
Vodafone currently has maps at http://www.vodafone.com.au. These show the planned highways coverage based on current engineering design.
Vodafone's printed coverage maps, available in Vodafone stores, highlight the highways included in the project, however, the proposed coverage areas are not yet included as this is effected by the site locations.
It is anticipated that the next round of printed coverage maps will include the predicted highways coverage area. The actual site area will be confirmed once the sites become operational.
Mobile Phones for Towns over 500 Program
6. How has the money been allocated?
The funds have been allocated through a restricted tender process. Singtel Optus, Telstra and Vodafone were invited to tender to provide services to a nominated list of towns. Telstra has been announced as the successful tenderer, on the basis of providing best value for money for the Commonwealth.
7. Which towns will receive coverage?
A list of towns to be covered by the program is attached. It includes 132 towns with no existing coverage or with inadequate mobile phone coverage.
8. How was the list of towns developed?
The Australian Bureau of Statistics 1996 Census results were used as the basis for determining the population of a town. Coverage information was obtained from the carriers.
9. What technology will be provided?
All 132 towns will receive CDMA technology and 40 of those towns will also receive additional GSM base stations to supplement existing coverage.
10. Will 100 per cent coverage be provided to each town?
Telstra is committed to providing full coverage to all towns except in the following areas where blackspots exist due to terrain limitations - Arcadia Bay, Horseshoe Bay, Katoomba-Wentworth Falls, Nelly Bay, Palm Island, Stanwell Park and Timber Creek. Coverage may also be affected in locations such as basements and road cuttings.
11. Why has the list of towns been reduced from the list originally announced?
The list of towns originally announced by the Minister in May 2001 has been amended to reflect changes in coverage information provided by the carriers. Some towns have also received coverage through other Government telecommunications funding programs such as Networking the Nation.
132 out of 136 eligible towns will be receiving mobile phone coverage. The Government is currently investigating alternative telecommunications solutions for the other four very remote and consequently high-cost towns--Galiwinku, Maningrida, Milingimbi, and Port Keats.
12. When will the services become available?
The rollout of the services will occur progressively, commencing in April 2002. Services to the first two towns commenced in June 2002. All 132 towns are scheduled to receive services by December 2003.
13. What contributions will communities make?
The Government requires that Telstra seek a $10 000 contribution from the communities that will benefit from the services where there is no existing coverage. This can be either cash or in-kind. This is broadly consistent with other Government telecommunications funding programs such as Networking the Nation. The Department of Communications, Information Technology and the Arts wrote to these communities advising them of this requirement in August 2001.
14. Can I benefit from this increased coverage if I am not a Telstra customer?
Yes. A number of companies currently resell the Telstra CDMA network to their customers, including; Austar, Cellular 1, Hutchison Orange, Primus, SingTel Optus, and Southern Cross. In addition to reselling the CDMA network, Hutchison Orange also provides roaming onto the CDMA network for its CDMA customers when operating outside Sydney and Melbourne.
Roaming is not currently provided for GSM customers and roaming is not possible between CDMA and GSM networks.
Further Information
For further information about the program, contact Rowena Cowan in Senator Alston's office on (03) 9650 0233 or Kim Ulrick, Corporate Communications, Department of Communications, Information Technology and the Arts on (02) 6271 1362 or visit www.dcita.gov.au.
Regional Mobile Phone Program ($50.5 million Fund)
In response to the concerns in the TSI report on mobile phone coverage, the Government announced a $50.5 million program over three years to provide mobile coverage in other areas currently without terrestrial services - including providing terrestrial or satellite services. Contributions will be sought from carriers and communities and equal funding was sought from States and Territories.
Implementation status
The available funds were allocated pro-rata between the eight States and Territories on the basis of the estimated number of people not served by terrestrial mobile phone coverage. After public consultation and discussions with States and Territories, the Minister announced on 1 November 2001 that $2.1 million would be allocated to a satellite handset subsidy program. The announcement also included $40.8 million to be divided equally between providing mobile phone coverage on specified highways and in specified towns with a population of less than 500. A program to address a mobile blackspot in the ACT will also be implemented. Additionally, under a Memorandum of Understanding with the Western Australian Government, the Commonwealth has agreed to the allocation of $7.0 million towards the WirelessWest project to improve mobile phone services in the south west land division of Western Australia.
A list of the towns and additional highways eligible for funding is at Attachment B.
15. What contributions will communities have to make?
The Government will be looking for contributions from carriers and seek an appropriate contribution from communities likely to benefit from the program, broadly consistent with other Government telecommunications funding programs such as the Mobile Phones for Towns over 500 and Networking the Nation programs.
Timing
Projects are expected to commence under this program in mid 2002.
ATTACHMENT A
TOWNS OVER 500 TO RECEIVE 100 PER CENT HANDHELD MOBILE PHONE COVERAGE UNDER THE COMMONWEALTH'S MOBILE PHONE PROGRAM
New South Wales
Adelong, Anna Bay, #Ashford, Baradine, *Bermagui, Binnaway, Boggabri, Bowraville, Brandy Hill, Bundanoon, Burrill Lake, #Clarence Town, Coraki, Coutts Crossing, *Crescent Head, *Culburra-Orient Point, Culcairn, Currarong, #Darlington Point, *Dorrigo, Dunedoo, #Eugowra, *Evans Head, *Fingal Bay, Ganmain, *Glossodia, Hallidays Point , Harrington, *Hastings Point, Henty, Hilltop, Howlong, Katoomba-Wentworth Falls, *#Malua Bay, *Manildra, *Molong, *Moruya, *Moruya Heads, Mossy Point-Broulee, *Oakdale, Old Bar, *Pacific Palms-Blueys Beach, #Peak Hill, Portland, Pottsville Beach, Quirindi, *Smiths Lake, Smithtown-Gladstone, *South West Rocks, *#Stanwell Park, #Stroud, Stuarts Point, *Suffolk Park, *Tathra, The Rock, Tomakin, *Wingham, *Wooli
Northern Territory
#Borroloola, #Lajamanu, #Ngukurr, #Numbulwar, #Oenpelli, #Timber Creek, #Yuendumu
Queensland
*Arcadia Bay, *Beachmere, Beerwah, *Bingil Bay, *Clifton, *Cooloola Village, Cooran, #Doomadgee, *Dunwich, #Eidsvold, *Goombungee, Herberton, *#Horseshoe Bay, *Jandowae, *Jimboomba, Johnstone South, *Killarney, Moore Park, *Mount Morgan, *Nelly Bay, Nerang, Palm Islands, *Pomona, *Russell-Macleay Islands, *Seaforth, Woodgate, #Woorabinda, *Yaroomba, #Yarrabah
South Australia
Cowell, Freeling, Gladstone, Greenock, Hamley Bridge, Leigh Creek, Mallala
Victoria
Bruthen, Chiltern, Clunes, Dunolly, Heyfield, Koroit, *Maldon, Malmsbury, Mount Macedon, Murtoa, Newstead, Nyah West, #Pyramid Hill, Riddells Creek, San Remo, Stratford, Terang, Tongala, Tooradin, Tyabb, Warneet East
Western Australia
Boddington, Boyanup, Broome, Byford, Chidlow, East Bullsbrook, #La Grange, Little Grove, Roebourne, Two Rocks
All towns will receive CDMA. Those marked with an asterisk (*) will also receive GSM.
A community contribution of $10 000 will be sought from those towns marked with a cross hatch (#) which currently have no coverage.
Note: The list does not include towns which currently have no or partial coverage but for which full coverage is planned to be provided through another Commonwealth program such as Networking the Nation.
ATTACHMENT B
LIST OF TOWNS ELIGIBLE FOR FUNDING
New South Wales (population range 365-500)
Adaminaby, Barellan, Bawley Point, Beechwood, Candelo, Captains Flat, Clunes, Couridjah, Cudal, Cunjurong, Dunoon, Geurie, Goodooga, Gulargambone, Gunning, Millfield, Myleston, Rothbury North, Trundle, Ungarie, Urana, Wangarbon.
Northern Territory (population range 457-500)
Hermannsburg, Ramingining, Santa Teresa.
Queensland (population range 385-500)
Augathella, Coominya, Dimbulah, Grasstree Beach, Half Tide Beach, Imbil, Macknade, Mount Garnet, River Heads, Sarina Beach, Silkwood, Taylors Beach, Toorbul, Tully Heads, Wallangarra.
South Australia (population range 380-500)
Mount Burr, Saddleworth, Snowtown, Tarpeena.
Tasmania (population range 350-500)
Fingal, Ridgley.
Victoria (population range 310-500)
Bulla, Corinella, Coronet Bay, Grantville, Jeparit, Leitchville, Linton, Lismore, Lockington, Manangatang, Marlo, Minyip, Moriac, Nyah, Rhyll, Skipton, Strathmerton, Talbot.
Western Australia (population range 400-500)
Rottnest Island.
List of highways to receive additional coverage
New South Wales
Barrier Highway, Bruxner Highway, Cobb Highway, Golden Highway, Gwydir Highway, Mitchell Highway, Silver City Highway, Snowy Mountains Highway, Sturt Highway.
Northern Territory
Arnhem Highway, Barkly Highway, Stuart Highway.
Queensland
Balonne Highway, Barkly Highway, Capricorn Highway, Carnarvon Highway, Dawson Highway, Flinders Highway, Gregory Highway, Kennedy Highway, Landsborough Highway, Mitchell Highway, Moonie Highway, Peak Downs Highway, Warrego Highway.
South Australia
Barrier Highway, Eyre Highway, Stuart Highway.
Tasmania
Lyell Highway, Tasman Highway.
Victoria
Cann Valley Highway, Great Alpine Road, Great Ocean Road, Loddon Valley Highway, Mallee Highway, Murray Valley Highway, Omeo Highway, Sunraysia Highway.
Western Australia
Highway 1 (Port Hedland to Geraldton).