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The Government’s media policy is being further unravelled over reasonable complaints that Optus’s coaxial cables over power poles is unsightly environmental vandalism. That Optus needs to string up a second cable network is the result of the foolish model the Government chose for its competition policy for media and telecommunications.

Competition is fine up to a point. However, under the Government’s model, everything was nominally to be subjected to competition: service provision, content, cables and service provision. Initially, Optus was to get access to Telstra’s lines to ensure some sort of level playing field, and then Optus could create its own network. But the intention was doomed while ever one organisation provided both cable network and service and content provision, and Telstra is now busily reverting to monopolistic practices by getting market share of pay television early. This has forced Optus to roll out its own cable early.

It is an utterly unnecessary duplication and not in the national interest. The Government should have created a single national entity (perhaps with minority public shareholding) to maintain one network for pay TV and cable and mobile phones. All content and service providers would then compete equally in that environment. It is still not too late.

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