The Australian Communications Client Motion Community (ACCAN) is asking on NBN Co to scrap NBN 25, the corporate’s entry-level broadband velocity tier, and substitute it with quicker NBN 50.
In a submission to NBN Co’s 2025 Alternative Module Software, a routine paper that seeks to put out proposals and adjustments over the subsequent regulatory cycle (from FY26 to FY29), ACCAN gunned for 25Mbps connections, calling for a medium-term plan from NBN Co to improve NBN 25 to NBN 50.
Noting {that a} minimal service stage of 25/5 Mbps is remitted by the Australian Authorities as an obligation of the NBN throughout Australia, ACCAN wrote that it “doesn’t contemplate 25/5 to be a set velocity and recommends elevating the NBN’s Entry-Degree Provide to the 50/20 Mbps service”.
“In ACCAN’s view, growing web speeds for customers means elevating the baseline high quality of service that every one Australian customers can entry. Whereas there may be definitely capability for investing in quicker web speeds on the Gigabit stage and above, ACCAN cautions NBN Co towards pursuing this as a mannequin for value restoration, as most Australian customers are unlikely to considerably improve their family expenditure on >2 Gbps speeds for the marginal profit.”
In NBN Co’s session paper, the corporate mentioned that the 25Mbps velocity continues to be exemplary as an entry-level possibility. In the meantime, it stays dedicated to enhancing speeds and upgrading its community.
In January, NBN Co introduced that it needs the final houses serviced by fibre to the node to be upgraded to FTTP by 2030, and are available September, 100Mbps max velocity plans are set to supply most theoretical speeds of 500Mbps. On the similar time, 2,000Mbps plans will turn out to be out there, which ACCAN stays crucial of, stating that enough justification for such quick plans has not been offered. These speeds are solely achievable on the corporate’s full fibre, therefore the upgrades.
Ought to NBN 25 get replaced by NBN 50?
On the time of writing, switching the fixed-line base velocity from NBN 25 to NBN 50 would require a delicate adjustment to hurry tier value controls. Because the mandated entry-level velocity, NBN 25 is enforceably less expensive than different tiers, and will solely improve in value each monetary yr “by the larger of the annual proportion change in CPI or as much as 5%,” in accordance with NBN Co. The entry-level possibility is ready to turn out to be extra strictly priced underneath the Particular Entry Enterprise, with prices unable to extend “by greater than the share change in CPI every monetary yr.”
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Nonetheless, NBN Co has mentioned that there are guidelines that go towards making NBN 50 the most affordable providing. As specified by NBN Co’s session paper, an entry-level provide should match particular standards: the service has been provided for greater than 24 months, within reason thought of by NBN Co to be NBN’s entry-level service and, has a most obtain velocity that’s decrease than essentially the most ordered velocity tier group. As NBN 50 is the preferred velocity tier in operation, NBN Co has outlined what this implies fairly succinctly:
“The 50/20 Mbps velocity tier group is essentially the most ordered TC-4 velocity tier group on the time of publication of this paper and is forecast to be essentially the most ordered TC-4 velocity tier group for FY25. This may imply an Entry Degree Provide have to be both the 12/1 Mbps or 25/5 Mbps velocity tier on every of the nbn fixed-line and stuck wi-fi networks, as these are the one TC-4 velocity tiers which have a most obtain velocity lower than 50 Mbps and could have been provided for twenty-four months as at 1 July 2026.”
Beforehand, NBN 12/5 was the entry-level provide, but it surely was grandfathered from this function in 2023 in recognition of rising competitors and that it now not sufficiently happy client demand.
ACCAN believes that, in recognising that NBN Co needs to extend clients on NBN 100 to 65% by the tip of FY2029, steps ought to be taken to improve the entry-level velocity.
“ACCAN is worried that NBN Co’s present strategy will entrench a two-tier digital divide amongst Australian households. We subsequently advocate NBN Co rethink its present strategy to increase larger speeds for all service ranges,” the advocacy organisation wrote.
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