The move reverses a decision taken a month ago when Telstra -- a key wholesale provider for Internode -- said it would not participate in BC. Internode's latest stance also mirrors fellow ISP Westnet's decision to maintain its own participation.
BC is a federal government scheme that commenced on 1 January. It will see ISPs given incentives to supply broadband to the bush at similar prices to metropolitan areas, and replaces the AU$157 million Higher Bandwidth Incentive Scheme (HiBIS), which Telstra's wholesale and retail arms had participated in.
"Since the Telstra withdrawal, we've been considering our options," Internode's managing director Simon Hackett told ZDNet Australia today.
"Internode has decided to re-commence our own rebate scheme," he continued, saying the decision was based on a study of Internode's contractual arrangements and advice from the federal Department of Communications and the Arts (DCITA), which administers the BC program.
"These rebates apply nationally for qualifying customers who engage Internode ADSL services in exchange areas served by Telstra HiBIS-enabled DSLAM services," Hackett said.
"The rebates will apply to all qualifying customers including those who signed up during the intervening hiatus."
"We are encouraged to find that DCITA are prepared to stand by their scheme and its federal support for regional broadband, despite the decision of Telstra to try to simply walk away from their ongoing commitments."
A spokesperson for Telstra's wholesale unit told ZDNet Australia the division was not participating in BC because under the previous HiBIS program, resellers of Telstra services who registered under the program made no contribution to the costs of enabling telephone exchanges for ADSL services.
"The fact that Telstra is not a wholesale provider under BC does not stop any ISP wanting to provide (resell) an ADSL service wherever Telstra has upgraded an exchange with ADSL," the spokesperson said.
"It is Telstra that meets the cost of upgrading the exchange, using BC funds to lower the demand threshold on the ADSL Demand Register," she added.
The register provides a mechanism for people to monitor the status of their local exchange and express their interest in having it upgraded for ADSL services.
"Obviously, other ISPs can apply to take advantage of BC -- it's up to them. Its hardly Telstra's fault if they do not," the spokesperson said.
