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“Quicklook” Assessment of Greater Adelaide's Assets & Challenges ...

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10. Telecommunications – They feel that it is a fairly competitive market (comment<br />

from Adrienne – think it could be a lot stronger with room for competition to drive<br />

prices down) consisting <strong>of</strong> half a dozen carriers (two based in Adelaide - AGILE<br />

and Airnet). Telstranet was owned by the government but 50.1% was sold.<br />

There are four carriers with national operations: Telstra, AAPT, Vodafone, and<br />

Optus. Access is very difficult and duplication a problem. Also, legalities are<br />

discouraging for introducing competition. Competitors find it difficult as Telstra<br />

was once government owned and there are still many protectionist clauses.<br />

11. Telecommunications – They feel the need for more knowledge workers. There is<br />

also a general sentiment that because Adelaide is smaller than Sydney or<br />

Melbourne, it is thought to be substandard.<br />

OPPORTUNITIES<br />

1. The use <strong>of</strong> smart signs in the area to redirect road traffic when one direction is<br />

congested.<br />

2. An area <strong>of</strong> concern is the linear development north to south spinning over into<br />

high amenity areas. The resulting sprawl requires attention to planning as well<br />

as funding to maintain an efficient road system that will not become congested<br />

as the city grows.<br />

3. Now that bus system is privatized, the city government could become involved<br />

through cooperative regulation efforts to make it the most efficient bus system.<br />

They can work with the private ownership to help make scheduling to where<br />

people can set their watch times by bus schedules. This is the crucial and initial<br />

step that must be done, then a campaign to set a more pr<strong>of</strong>essional image to<br />

attract the businessperson back to the bus.<br />

4. Re-zoning to limit parking on main roads during peak hours traffic flow so that<br />

traffic is less congested should be considered.<br />

5. Look at other US cities that have had population decline and where the GSP<br />

actually went up. It was stated that they are looking to these cities for direction.<br />

6. There seems to be confusion in the transport system. It is a world-class system,<br />

but one has to stand on footpath in the rain (suits get wet). The result, is one<br />

would rather use a taxi. There needs to be a provision to pick people up.<br />

7. Electricity is the area <strong>of</strong> big change. This is because <strong>of</strong> the rapid development<br />

and roll out <strong>of</strong> national electricity market protocols. Adelaide is also relatively<br />

isolated and stands alone from the national electricity market with limited<br />

connectivity to it.<br />

8. Wind farm potential appears good because <strong>of</strong> current high electricity prices, and<br />

good winds at some locations. Recent two hundred year leases on electricity<br />

assets have been followed by periods <strong>of</strong> higher electricity prices. Note that the<br />

higher electricity prices are a function <strong>of</strong> generation capacity and other market<br />

developments, not only the privatization process. There has historically been<br />

over investment by the government that is now, after years <strong>of</strong> over supply, being<br />

used up through naturally increasing demand for energy. There are limited<br />

examples (due to the economics) <strong>of</strong> people installing some solar generation<br />

technology. They could be selling energy back into the electricity grid in the<br />

future.<br />

COMMERCIAL IN CONFIDENCE<br />

54

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