Providing high-performing, reliable digital infrastructure is vitally important for Smaller Cities and Regional Centres.
In addition to attracting people from Fast-growing Cities who wish to work remotely, digital connectivity supports residents to remain in the community and have choice in their infrastructure access via digital delivery models.
Digital adoption among regional Australians has increased dramatically recently. NBN Co reports that lifestyle habits underwent a major shift during the COVID-19 pandemic. Record numbers of people used online substitutes for face-to-face access to health services, education, arts and entertainment, and 56% remained socially connected through video calls with family and friends.73
This additional demand for digital infrastructure is forecast to keep growing.74 The regionalisation of the workforce following the pandemic is likely to add further pressure to digital infrastructure in Smaller Cities and Regional Centres, which will need to accommodate additional traffic.
Telecommunications and digital infrastructure is a critical part of the regionalisation agenda, and a systemic view of regional telecommunications challenges and opportunities is therefore increasingly urgent.
High-quality digital infrastructure can support step changes in the productivity of dominant regional industries, such as agriculture, resources and tourism. It will also enable regional economies to diversify by attracting data-intensive businesses and high-tech industries that rely on fast and reliable broadband.75
NBN Co has acknowledged the benefits of supporting regionalisation by reinforcing new consumer behaviour with technological capability. To stay ahead of future demands for internet speeds, capacity, reliability and latency, it will need to invest in the technology that best suits the needs of specific regional networks.76 While fixed wireless and satellite technologies have significantly improved regional telecommunications, technology-led policies are exacerbating the digital divide between urban and regional communities.
For example, some regional customers face data and telecommunications caps and limitations that do not apply to city users.
" Providing high-performing, reliable digital infrastructure is vitally important for Smaller Cities and Regional Centres. "
The Australian Government can improve these essential services by removing limitations on technology preferences for regional areas to support competition and encourage infrastructure-sharing.
A less restrictive environment for communications technology in these areas will also help address the risk of a distortion of regional markets. Some Regional Centres have benefited economically from the early rollout. Others are finding it difficult to grow their economies and attract people and businesses without adequate telecommunications infrastructure.77
To find out more about these topics and Infrastructure Australia's proposed reforms, refer to the Telecommunications and digital chapter.