Mercury (Hobart)

Flak over NBN using copper from overseas

- ANTHONY GALLOWAY

THE government-owned company building the National Broadband Network has been forced to source copper from overseas after exhausting its local supply of cables.

The NBN’s supplier has been importing copper lines from its Brazil and Turkey factories during “periods of peak demand” to connect Australian houses and businesses to the $51 billion network.

Australia has the secondlarg­est reserves of copper in the world and experts insist there is no shortage in the country — but the mammoth project has placed pressure on the domestic supply of copper cables.

The move comes as new figures reveal the network has been a massive boon for the consultant industry, with NBN Co spending $172.3 million on external consultant­s over the past three years.

The copper cables have been used to replace old Tel- stra cables when they are degraded to the point of being unusable.

The company’s supplier, Prysmian Australia, has been sourcing about 7 per cent of the standard copper cable from its Brazil and Turkey factories, while it has also been importing additional specialise­d cables, mainly for the fibre-tothe-curb rollout.

The Coalition replaced Labor’s all-fibre NBN rollout in favour of a “multi-technology” mix when it came to government in 2013.

Opposition communicat­ions spokeswoma­n Michelle Rowland said Australian­s had every right to ask why the NBN was sourcing copper cable from overseas.

“As it stands, the multitechn­ology mix is $21.4 billion over budget and four years behind what they promised to deliver,” Ms Rowland said.

“NBN Co doesn’t need to spend $60 million on consultant­s to realise the Liberals’ decision to use copper and Hybrid Fibre mistake.”

A spokesman for NBN Co said all copper cable for the NBN was sourced from Prysmian Australia.

“We have robust procuremen­t processes with all of our suppliers, who are in turn responsibl­e for the provision of goods and services through their own supply chain,” the spokesman said.

A spokesman for the Minerals Council of Australia said there was no evidence of a copper shortage in Australia, with the amount of refined copper being imported barely changing over the past two years.

A spokeswoma­n for Communicat­ions Minister Mitch Fifield said NBN Co had “legislated independen­ce on operationa­l matters”.

NBN Co’s spending on consultant­s soared by more than a half in 2016-17 — hitting $69 million.

The company spent slightly less last financial year, forking out $62 million. Coaxial was a

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