A Coalition government would call on small business, community groups, local councils and telecommunications providers to submit proposals to eliminate Australia's mobile black spots.
If Tony Abbott's team won the federal election, it would fund 50 per cent of the installation of new phone towers to improve mobile coverage in rural and remote Australia. It would also fund projects dollar for dollar where private sector investment is deemed commercially unviable, the opposition's regional communications spokesman Luke Hartsuyker told Fairfax Media on Tuesday.
The Coalition announced on Tuesday that it would invest $100 million in a mobile black spot program, including $80 million through contract tenders for carriers to improve coverage along major transport routes and areas prone to natural disasters, and $20 million for smaller groups, councils or commercial entities who can demonstrate a need for better coverage, seasonally or permanently.
Unreliable mobile phone coverage is the biggest complaint by consumers to the Telecommunications Industry Ombudsman. In its latest report covering complaints from January to March 2013, the TIO said mobile coverage was the most commonly reported problem.
The postcodes with the most complaints per head of population were mainly in NSW and Victoria, the most populous states. Suburbs in the top 10 for complaints didn't include remote and rural areas. They were Parramatta, Merrylands, Chifley and Bankstown in NSW, Southport in Queensland, Craigieburn and Hoppers Crossing in Victoria.
Mr Hartsuyker did not reveal where the money would be spent or what black spots the policy would ameliorate, saying he would wait for the proposals.
He said while the initiative targeted mobile phone reception for voice and data, it would not conflict with NBN Co's plans to install broadband wireless towers in regional areas.
"The wireless broadband that NBN is installing is not for mobile phones, but the equipment they are installing - the towers, the backhaul - could go some way to assist the mobile coverage in those areas," Mr Hartsuyker said.
"We will be directing NBN Co to be active in looking at ways to how they can enhance mobile coverage - we will be directing them to work with telecommunications carriers very proactively."
Telco analyst Foad Fadaghi, the research director at Telsyte, said it was not unusual for governments to contribute to making telecommunications coverage more equitable.
"If you think back to the Liberals' plan of Opel - the Optus and Elders project to supplement broadband in regional areas - Helen Coonan's plan; when [former Communications Minister senator Stephen] Conroy came into power they scrapped it. I wouldn't say it's the same policy but it's not unusual for a party to propose a wireless solution," Mr Fadaghi said.
But he said as mobile data carrier revenues now exceed voice revenues, "there's an implication for the supply of broadband services as well".
Australian Communications Consumer Action Network chief executive Teresa Corbin said the organisation strongly encouraged co-investment.
"In this day and age it's simply not good enough that huge swathes of the country are without mobile coverage. Fixed broadband connections like the NBN are important but mobile coverage is critical when consumers are not at home, especially in rural and remote areas. We welcome the Coalition's announcement and call on both sides of politics to commit to a national plan to improve mobile coverage."
She said she looked "forward to seeing more information about the areas that will be covered by the policy".
David Epstein, Optus vice president, corporate and regulatory affairs, said the telco welcomed today's announcement by the Coalition but warned that "to maintain a competitive mobile industry, it is also vital to ensure any allocation of government funding is not used to expand any one network provider's footprint only."
