NBN Co has stepped up with an emergency solution for a new housing estate where residents were left stranded without fixed or mobile communications but the experience has sparked a warning for others buying into new developments.
The experience highlights a major flaw in telecommunications policy, as residents are not entitled to claim compensation or alternative service from NBN Co like they would be entitled to if Telstra was still responsible for laying copper wires.
The residents of Belmond Estate in Melbourne's south east are stuck in an unusual position where they have no fixed telecommunications, scant mobile coverage, and even satellite phones are unreliable.
NBN Co was supposed to install fibre optic connections - which also provides voice calls - in late 2016, but has been delayed by roadworks. The residents also discovered they live in a mobile black spot, which means reception is unreliable and intermittent.
Following a meeting hosted by local Federal MP Anthony Byrne in mid-March, Telstra supplied several satellite telephones to residents at the same price as a landline phone, as required under the Universal Service Obligation.
However, at least two residents are returning their satellite phones because calls don't come through and the sound quality is too bad. One resident told Fairfax Media she didn't want to pay $25 per month for an unusable service.
And with that they had exhausted all the communications safety nets available in Australia.
Residents had been told there would be no phone or internet service until NBN finally completes its roll out in May, nearly eight months after the first people moved into Belmond.
But then on Tuesday night NBN Co confirmed residents will be able to order services within days as it will tap into a nearby estate and borrow internet access until the permanent connection is complete.
Mr Byrne said residents have been waiting since November 2016.
"The residents of this estate's patience has reached breaking point," he told Fairfax Media.
"The fact that this has dragged on so long is unacceptable. It has got to the point of endangering lives. This has to be fixed."
A spokeswoman for Communications Minister Mitch Fifield said NBN is on target to complete the link in early May.
"The government has asked NBN to work with its installation contractors to install in-premises equipment at occupied homes at Belmond prior to May to ensure fixed line phone and internet services can be activated as soon as the transit links are complete," she said.
Meanwhile, the local council has confirmed it rejected a Telstra proposal in 2015 to build a mobile tower on public land near Clyde Recreation Reserve, just down the road from Belmond. Council expects the site will soon be redeveloped.
"Council suggests that Telstra investigates other potential sites for a telecommunication tower close to Belmond Estate, potentially under private ownership, that would be more suitable," a City of Casey spokeswoman said.
A spokesman for the Australian Communications Consumer Action Network [ACCAN] said more new housing estates may face the same problems and NBN Co should be more pro-active about finding solutions.
"What has failed here is NBN has not provided the network connection in a timely manner," the spokesman said.
"Because the NBN network was not in place, Telstra has offered satellite phones, which are considered suitable telephone services in fulfilment of its obligation."
However, residents need to specifically request a fixed line voice service or it does not trigger the USO, which can give consumers compensation under the Customer Service Guarantee [CSG]. ACCAN wants the USO modernised to cover data and voice services.
"The USO fails as it does not protect the services that people want and need. In this scenario, it only provides protection for people who have ordered fixed line services. Consumer preference is for mobile and data connectivity."
