Why is the price of a brand new phone connection increasing from 1st April 2006?

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Why is the price of a brand new phone connection increasing from 1st April 2006?

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The increase in brand new phone line installations has been passed on to DigiPlus by Telstra. They inform us: • The majority of connections (approximately 75%) will not be affected. • The shortfall between cost and price is significant. On a yearly basis the shortfall between prices charged and cost of connections runs into the tens of millions of dollars. • This is only the second increase in the cost of new line installations in more than 16 years (aside from the introduction of the GST in 2000). The last increase was in September 2002 and was less than 10 per cent.

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