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Ziggy Switkowski appointed chairman of NBN Co Ziggy Switkowski appointed chairman of NBN Co
(about 3 hours later)
Ziggy Switkowski has been appointed chairman of NBN Co, but only two directors out of Labor's seven existing board members survived the change of government. The former Telstra boss Ziggy Switkowski has been confirmed as chairman of NBN Co, while only two of Labor's seven existing board members have been reappointed.
Switkowski has also been appointed interim executive chair to replace outgoing boss Mike Quigley, while Kerry Schott and Alison Lansley will remain as directors. Switkowski has also been appointed interim executive chairman until a replacement is found for the outgoing chief executive, Mike Quigley. Kerry Schott and Alison Lansley, both appointed by Labor, were the only two directors to survive the change of government.
The communications minister, Malcolm Turnbull, announced the decision after Tony Abbott's second cabinet meeting on Thursday.The communications minister, Malcolm Turnbull, announced the decision after Tony Abbott's second cabinet meeting on Thursday.
Turnbull also ordered NBN Co to conduct a strategic review to give the government a clearer indication of the progress and cost of the network, including the "economic viability" of "alternative strategies".Turnbull also ordered NBN Co to conduct a strategic review to give the government a clearer indication of the progress and cost of the network, including the "economic viability" of "alternative strategies".
More details soon ... Asked whether there was a chance of the government changing its election policy of fibre to the node, Turnbull said he was prepared to use any variant of the technology that would provide faster, cheaper broadband.
He said while the Coalition's research into international experience showed fibre to the node was the best option, he would consider alternatives.
"If there are other variants of that, that will get the job done even better, we are very open to it," Turnbull said.
"I cannot emphasise too much that we are absolutely committed to taking an open mind with a rational objective approach to this project."
The strategic review will investigate the time and cost of completing Labor's fibre to the home model, the Coalition's fibre to the node in established areas, and unnamed alternative strategies.
The review will also consider the implications of capital costs for wholesale and consumer prices as well as any recommendations for changes to the organisational structure and the construction model.
"So we need to know what is the state of the project right now, accurately," Turnbull said.
"The reason we have asked the board to do it is because we want the company to own it."
Soon after the election, all members were asked to tender their resignations and all but one director complied.
Turnbull described Switkowski, a nuclear physicist and former chief executive of both Telstra and Optus, as "one of the most experienced telecom executives in Australia".
Turnbull rejected Labor's charge that Switkowski's controversial reign at Telstra made him unsuitable for the job.
Switkowski was dumped from Telstra in 2004 after overseeing its privatisation.
Announcing his departure, Switkowski said: "I am personally associated with quite a controversial … era over the last five or six years and do doubt do carry baggage.
"From my perspective the company and investors can effectively sort of push the reset button with my departure and stop looking backwards."
The former Labor communications minister Anthony Albanese said: "Before the election, Mr Turnbull claimed he would add experience relevant to the NBN rollout, but he has failed to do so."
But Turnbull said the reception to Switkowski's appointment had been "very positive".
Schott is an economist, a former managing director of Sydney Water and former deputy secretary of the NSW Treasury. She worked for Turnbull at his consultancy Whitlam Turnbull. Lansley is a corporate lawyer with experience in the telecommunications sector and has served on a number of boards.
Turnbull said the company would appoint a chief executive to ultimately replace Quigley "in consultation with the government".
The minister praised the outgoing board members and said he would not reflect on the performance or suitability of directors.
"In any process of corporate renewal, you have to have an element of continuity so a judgment had to be made," he said.
"We don't reflect adversely on any of the directors continuing or departing but the project clearly does need new leadership. Both Ms Lansley and Dr Schott have relevant skills."
There had been speculation regarding a number of board appointments, including the potential appointment of Wal King, the former boss of Leighton Holdings.
"I am not making any comments about the orgy of speculation about who may or may not be appointed to the board of NBN Co, most of which has been wrong," Turnbull said.
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