Updates to NBN Co’s Multi-Technology Mix (MTM) planning process have been released under the Freedom of Information Act.
The NBN Multi-Technology Deployment Principles determine which mode of technology will be used in any specific area to connect premises to the NBN network. As has been covered in our previous NBN feature, these principles mean that for most households and businesses:
- Areas already served by the Optus or Telstra Hybrid Fibre Coaxial (HFC) cable networks will most likely receive fast broadband over an upgraded HFC network.
- Areas where fibre-to-the-premises (FTTP) has been deployed or is in advanced stages of construction are likely to remain part of the FTTP rollout.
- Areas earmarked for NBN fixed wireless or satellite networks will remain part of the fixed wireless and satellite rollout plan.
- All other areas are likely to receive fibre-to-the-node (FTTN) deployment or, in the case of multi-dwelling units such as apartment blocks, fibre-to-the-basement (FTTB).
In a newly released update to the MTM planning process, NBN Co has outlined a more detailed five-stage plan to help make technology decisions:
- To define a single source of geospatial data for MTM planning, including defining a reference geo data set and iteratively performing specific calculations to better describe premises and how they are connected.
- To calculate the net present value (NPV) per distribution area (DA) for each possible technology option for the optimiser, which will involve:
- Defining the set of feasible technology bundles.
- Costing each technology bundle per DA to provide a set of possible choices for the optimiser.
- Estimating revenues associated with each technology option per DA.
- Calculating the NPV for each technology bundle per DA.
- To develop an achievable rollout plan with a single technology bundle and profile for each DA, which will involve:
- Selecting the most appropriate technology bundle per DA that maximises NPV using a set of business rules to guide selection.
- Proposing a practical rollout profile and suggested sequence to maximise cash flows within a set of agreed constraints.
- To forecast a long term NBN financial plan using the proposed rollout plan, which will involve:
- Calculating detailed costs and key financial metrics based on timing of costs and revenues in the proposed rollout profile.
- Validating the rollout against peak funding requirements and other performance metrics.
- To enable the rest of NBN Co to plan using an achievable rollout plan that meets peak funding requirements, including:
- Creating an output data set to adequately describe the rollout for use by all stakeholders across NBN Co.
- Providing an explanation as to technology and rollout profile choice for all premises to ensure transparency of the process.