NBN Co’s five-step MTM planning process

January 26, 2015 9:20 pm

The network is working out the process involved in determining the technology from the “multi-technology mix” that will connect each of the premises in the country.
The multi-technology mix of the NBN will be rolled out beginning this year. As it happens, much of the fibre rollout will be abandoned to make way for FTTN (fibre-to-the-node) and HFC (hybrid-fibre co-axial). However, it remains unclear as to what premises will get which technology.
Here are the five steps involved in the MTM planning process:

  1. What they do: get a scope of the exact area to be covered by the next stage of the rollout

Why they do it: to accurately determine geo spatial data used for MTM planning.

  1. What they do: calculate costs and revenue

Why they do it: to calculate the net present value (NPV) per distribution area (DA) for each possible technology option.

  1. What they do: choose optimal technology choice and rollout profile

Why they do it: to develop a rollout plan that is achievable through a single tech bundle and profile for each distribution area.

  1. What they do: apply financial model and validate performance

Why they do it: to predict a network financial plan that is long-term, based on the proposed rollout plan.

  1. What they do: present data to explain technology choice to NBN Co stakeholders and the public

Why they do it: to allow the rest of NBN Co to plan using an attainable rollout diagram that meets peak funding requirements.
In 2014, Communications Minister Malcolm Turnbull promoted the use of the most cost-effective technologies for NBN Co to be able to deliver a minimum of 25Mbps to all premises come 2020. What this means is that some of the premises that were slated to get FTTP (fibre-to-the-premises) under the previous Labor government, will instead receive FTTN, FTTB, or HFC.
There has been no announcement from NBN Co as to which areas will receive which technology. Bill Morrow, NBN Co CEO stated that this will all be determined area by area as the company finds out which technology is the best fit.
“When it comes to the technology that is going to be used for a neighbourhood, it is not that simple; you can’t call it out now and do rough estimates,” Mr. Morrow said in 2014.
He said it is absolutely necessary to survey each area properly to assess which technology would serve best.

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