Monday, 5 May 2025

NBN wholesale price increase likely means costlier internet

NBN Co has confirmed that it’s increasing the wholesale prices it charges internet service providers, which providers could potentially pass onto customers, impacting the current cheapest NBN plans.

The new wholesale prices start on 1 July 2025 and will cost as much as $1.71 more per month. According to NBN Co, the price adjustment falls below the annual Consumer Price Index (CPI) as measured to December 2024, which was 2.4%.

As reported by WhistleOut Australia, not all NBN plans are getting a wholesale increase. The base-level NBN 12 plan remains the same, while NBN 25 sees a $0.68 monthly increase.

Wholesale price increases don’t necessarily mean higher consumer costs. Internet service providers may or may not choose to pass costs on, which likely won’t begin until closer to 1 July.

NBN Co’s price adjustment follows the Special Acces Undertaking (SAU) agreed upon in 2023, which resulted from the Federal Government rejecting a previous proposal.

Speaking about the changes, Anna Perrin, NBN Co’s Chief Customer Officer, emphasised customers’ expectations of “value, choice, and transparency.”

“Changes to our wholesale prices are always carefully considered to ensure we continue delivering value to homes and businesses across Australia, while investing in a network that will help meet Australia’s growing digital demands,” Perrin said.

Providing context for the higher costs, she added that average household data use had grown “tenfold” in the past decade, with usage tipped to double by 2029.

Last year, when the previous wholesale increase happened, some providers raised prices by around $5 per month. However, this year’s prices might not jump as high, considering NBN Co’s wholesale increases are lower.

If you’re keen to get ahead of any potential price changes, here are the current cheapest fixed-line plans:

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