Fed: Alston could be considered for Telstra job; PM

AAP General News (Australia)
04-16-2004
Fed: Alston could be considered for Telstra job; PM

By Belinda Tasker

CANBERRA, April 16 AAP - Former communications minister Richard Alston would have the
credentials for the chairman's job at Telstra if he put up his hand, Prime Minister John
Howard said today.

Telstra has appointed an executive search team to hunt for a new chairman after Bob
Mansfield shocked investors by quitting the post amid turmoil within the company's board.

Asked today in a radio interview if he believed Mr Alston might be good in the job,
Mr Howard said he could be considered.

"Well it's possible for anybody of ability and he's certainly got a lot of ability
and experience," Mr Howard told Sydney radio station 2UE.

"But the question of who will be the next chairman is something that obviously has
to be discussed by the board and I'm sure the government will be consulted."

However the possibility of the former senator replacing Mr Mansfield has outraged Labor,
which said Mr Howard should be condemned for not ruling Mr Alston out of the race for
the chairman's job.

"To appoint the recently retired communications minister as chairman of Telstra would
fatally politicise an already highly controversial organisation," communications spokesman
Lindsay Tanner said.

"Such an appointment would be totally inappropriate and would inevitably draw Telstra
into the daily political process.

"It is vital that the Telstra board is at arms length from the political process."

Mr Howard expects the government to have some role in choosing a new chairman for Telstra,
which is 51.05 per cent owned by the government.

Mr Alston retired from parliament last December after 17-and-a-half years as a politician.

Meanwhile, Telstra might soon be ready to hike fixed phone line rental charges once again.

The company is considering lifting its charges by about $1.50 a month to around $28,
according to The Australian.

A Telstra spokesman declined to confirm or deny the report, describing it as speculative.

However, he said: "We will warn customers if we do make changes."

Mr Tanner said Telstra would be turning the humble home phone into a luxury item if
the fees were increased.

The federal government two years ago moved to allow Telstra to lift phone line rental
charges to more than $30 a month by 2005.

The move followed an inquiry by the competition watchdog in 2000 which found that the
actual cost of line rental to Telstra was $32 a month.

Last August Telstra lifted standard line rentals by $2 a month to $21.90.

Premium rentals also rose by $3.

However, the government and Australian Competition and Consumer Commission (ACCC) have
only agreed to the fee hikes because Telstra has also lowered call costs for customers.

AAP bt/jv/bwl

KEYWORD: TELSTRA NIGHTLEAD

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