Although independent Federal Senator Brian Harradine may have signalled his intention to vote against the GST, he hasn't yet shown his hand on the sale of Telstra, and the government is upping the ante, with a promise of $15 million for Tasmanian IT&T projects if the sale goes through.
The majority of the money will go into the Launceston Broadband Project (LBP) a project to provide 'high-speed' access of at least 64kbps to 5000 customers in the Launceston region of Tasmania. The $15 million government commitment will cover half of the cost of the network, with Telstra putting in the rest of the $30 million required to implement the project.
The plans seem to be aimed at Tasmanian Senator, Brian Harradine who currently holds the balance of power in the Senate. The Federal Liberal Government needs Harradine's vote in order to pass its legislation proposing to privatise the rest of Telstra.
The LBP is being promoted as a 'next generation' laboratory that will help to develop new broadband applications for the Internet and assist in developing IT&T skills in regional Tasmania.
In addition to the LBP, Telstra will also establish a development facility which will employ up to 25 people, designed to develop commercial applications for use on Broadband networks. The Commonwealth will also outlay $5 million over the space of five years to subsidise companies working with the LBP.
