NBN Co is also moving to increase value for money in mid-tier plans. 25Mbps bundle discounts will drop from $45 to $37 from early December.
The changes also aim to increase the bandwidth available in packages, including boosted capacity within the charges retailers pay to connect to the network. NBN Co will also provide extra capacity to ensure customers get the speeds they signed up for.
Ken Walliss, NBN Co’s general manager commercial, said the company was focused on improving customer experience, increasing take-up of NBN products and ensuring the economics stacked up for retailers.
“We would expect that as the underpinning wholesale rate reduces, the retailers look at how they are positioning themselves in the market and they will obviously be seeking to win the customers over with that,” he said.
Communications Minister Paul Fletcher welcomed the changes, saying effective wholesale prices were now half what they were in 2016.
“It is pleasing to see NBN Co delivering greater value and more certainty for retailers, which is expected to result in better outcomes for consumers,” he said. “NBN Co’s new wholesale products will provide more choice of cheaper, faster plans, with more data.”
NBN Co has also moved to give retailers more flexibility in how they allocate data capacity across their connections to the network. They will be able to pool unused data capacity nationally rather than within limited geographic areas, allowing for more efficiency.
The new packages have been confirmed after other changes to entry-level services announced in September to encourage more budget-conscious households onto the network. NBN Co introduced a new 12Mbps product with a wholesale price of $22.50.