Thread starter
#2,301
I wonder why Gillard didn't release this report?
Labor told of $31bn NBN risk
A SECRET review of the NBN prepared for the Gillard government almost three years ago estimated it would leave taxpayers up to $31 billion worse off and warned of major risks in the plan, many of which were later realised.
The Weekend Australian has learned that the review by investment bank Lazard found the project would confront construction problems leading to cost increases for the building phase.
It also found that the project - once touted by the former Labor government as ideal for "mum and dad investors" - was so risky that no private investors would stump up the capital....
Significantly, The Weekend Australian has learned that Lazard's calculations concluded that taxpayers would own an asset, NBN Co, with a negative net present value - the difference between the cash a project is expected to achieve and its costs - as high as $31bn. -
See more at: http://www.theaustralian.com.au/bus...y-e6frgaif-1226761478500#sthash.IbwnR8SO.dpuf
- CHRIS KENNY AND ANNABEL HEPWORTH
- THE AUSTRALIAN
- NOVEMBER 16, 2013 12:00AM
A SECRET review of the NBN prepared for the Gillard government almost three years ago estimated it would leave taxpayers up to $31 billion worse off and warned of major risks in the plan, many of which were later realised.
The Weekend Australian has learned that the review by investment bank Lazard found the project would confront construction problems leading to cost increases for the building phase.
It also found that the project - once touted by the former Labor government as ideal for "mum and dad investors" - was so risky that no private investors would stump up the capital....
Significantly, The Weekend Australian has learned that Lazard's calculations concluded that taxpayers would own an asset, NBN Co, with a negative net present value - the difference between the cash a project is expected to achieve and its costs - as high as $31bn. -
See more at: http://www.theaustralian.com.au/bus...y-e6frgaif-1226761478500#sthash.IbwnR8SO.dpuf
