Conroy digs heels in over Telstra talks

The Australian Communications Minister Stephen Conroy is digging his heels and refusing to buckle to the demands from the opposition to extend talks with Telstra Corp.

It has been reported that the Communications Minister is Australia, Stephen Conroy, is refusing to buckle to the demands of opposition lawmakers to extend negotiation deadlines with Telstra Corp. Conroy appears to be digging his heels in with regards to this issue, and will not budge over talks relating to legislation that could result in the break up of the telecommunications giant.

In a recent interview Conroy stated: “Every day you delay means higher prices for consumers, less choice for consumers and less innovation for consumers. We are determined to press ahead with a regulatory shakeup.” He was speaking after members of the opposition insisted that the talks should be extended until February of next year.

Conroy did state that the government would be open minded with regards to any proposed changes to the Bill, but insisted that they would be pressing ahead with the National Broadband Network. He said: “We are determined to press ahead with the National Broadband Network.”

However, opposition spokesperson Nick Minchin stated: “This legislation is predominantly about the government trying to force Telstra and its 1.4 million shareholders to prop up Labor’s A$43 billion NBN project.” The plan has also been criticised by some institutional investors, with one group claiming that the plans could increase Australia’s sovereign risk rating. However, Conroy said: “There is no sovereign risk involved here whatsoever: I would invite those who are talking about sovereign risk to go look it up in a dictionary. The government of the day is entitled to set the regulatory regime.”

Source – Bloomberg