NBN Co will still have $25bn in accumulated losses by 2040 due in part to the Coalition government’s decision to steer away from fibre optic cable, the Productivity Commission has said.
In a report released on Wednesday, the Productivity Commission said losses incurred by NBN Co during its construction phase were unlikely to be offset through future revenue, and the government-owned company is unlikely to make a commercial rate of return. The commission noted that as of the end of 2021, NBN Co had accumulated losses of $36bn, but even by 2040 this figure would still be $25bn.
