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Telstra’s “big project” rejected

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Telecommunications company Telstra is seeking ratepayer funding to help build towers in the Limestone Coast region as part of a “big project”.

In a proposal to the Naracoorte-Lucindale Council, a Telstra SA and Tasmania area general manager Michael Patterson outlined Telstra’s proposal for the South-East, asking for a five percent funding investment by the council.

But at its May 23 meeting, Naracoorte Lucindale Council rejected the request to give ratepayer funds for five percent of the $2.8m cost of the three towers.

Mr Patterson told the council that the joint effort by the Federal Government, state, and the region’s seven councils would allow for the installation of more towers, reducing mobile blackspot areas, and increasing data and voice connectivity.

Mr Patterson told the council that the co-investment model to deliver improved digital access outcomes included 50 percent investment from the Federal Government, 25 percent from Telstra, and 25 percent from third parties (state, local government, and industry).

Depending on interest and council endorsement, Telstra plans to install 27 macro mobile base stations in the South-east SA region and increase approximately 2,467sq km in 4G coverage footprint (42 percent landmass coverage) at an indicative combined cost of $29million.

For the Naracoorte-Lucindale region, Mr Patterson said there were three base stations planned for Reedy Creek, Coles, and Stewarts Range, costing $2,803,617.

He said the five percent funding stretched to 2026.

Cr Abigail Goodman suggested to Mr Patterson that the project seemed to be “still developing” and had no hard bottom line of what the five percent investment involved.

In his response, Mr Patterson said they knew the exact cost of each base station and that the five percent would not change.

Cr Peter Ireland questioned the Telstra representative on the reason for the difference in cost between Kingston and Naracoorte.

“Looking at the round 3 LGA breakdown of the cost, Kingston (before Reedy Creek was included) had a total cost of $1.3million for three sites, yet Naracoorte is $2.3million for two sites, and the technology on the towers seems to be very similar. So why nearly double the prices?”, Cr Ireland asked.

Mr Patterson said there were different transmission costs involved.

“There are different transmission costs, and each base station is connected to our core network, and some of the core networks cost different for some sites, depending on where our core networks are,” Mr Patterson said.

Cr Cameron Grundy queried why some areas, including Stewarts Range, received mobile service two or three years ago, but now did not and questioned if the strength of the signal had been turned down?

Mr Patterson denied the signals were being turned off and said he would like Cr Grundy’s contact details to get back to him with the technical information.

Mayor Patrick Ross highlighted the expense people had gone to with some farms putting up base stations to get service and adding boosters to their cars.

But some were no longer able to get mobile service.

Mr Patterson said he wanted an indication from the council on what its position was regarding the project by the end of May.

“From this meeting, I need to know how many, if not all, of the local government industries are involved, and then I can have reflective conversations with the next level of government,” Mr Patterson said.

Mayor Patrick Ross thanked Mr Patterson for his attendance and said he had “some homework to do” regarding Cr Grundy’s question.

The issue was listed for debate later in the meeting and CEO Trevor Smart recommended the matter be discussed “in confidence”.

Cr Tom Dennis moved, and Cr Damien Ross seconded the motion to move into confidence.

Cr Monique Crossling and Cr Damien Ross then moved for the documents surrounding Telstra’s proposal to remain in confidence.

However, in a backflip on confidentiality, after the media left and councillors debated the issue, Cr Crossling called for a division when most councillors rejected Telstra’s call for cash.

According to meeting minutes, in a report for councillors, CEO Trevor Smart explained the Telstra proposal “to create improved mobile phone coverage” with three towers – at Reedy Creek, Stewarts Range and Coles.

Optus has a tower at Coles, Telstra has a tower between Reedy Creek and Biscuit Flat.

Mr Smart said Telstra’s proposal in the NLC area included an additional 63km covered involving 230 dwellings at a cost of $2,803,617 million, with the NLC share $140,185.

Cr Tom Dennis moved Mr Smart’s recommendation to support Telstra’s funding proposal in principle, and Cr Crossling seconded it.

But when the motion was lost 6-4, Cr Crossling called for a division.

Crs Dennis and Crossling were supported by Crs Damien Ross and Craig McGuire in favour of the motion.

Crs Trevor Rayner, Abigail Goodman, Crash Downward, Peter Ireland and Cameron Grundy voted against.

Cr Cameron Grundy has explained to The News his concern regarding ratepayers being asked to fund private companies such as Telstra, and queried a precedent being set which opened the door for Optus to be funded as well.

Naracoorte Community News 31 May 2023

This article appeared in the Naracoorte Community News.

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