Aust ministers go bush in build-up to Telstra announcement

Communications Minister Helen Coonan and Deputy Prime Minister Mark Vaile head to regional NSW today to announce plans to force Telstra to maintain a presence in the bush once the government sells its stake in the telco.

The ministers will visit Kendall, on the NSW mid-north coast, where they will reveal plans to help future-proof telecommunications services in rural and regional Australia and provide faster internet services for the nearby townships of Lorne and Crescent Head.

Their visit follows a whirlwind two-day trip to regional NSW and Queensland by Telstra chief Sol Trujillo, who said he would not spend money on services in areas where it could not make a profit.

Mr Trujillo wants the government to relax strict regulations protecting bush customers, but Prime Minister John Howard is refusing to bow to his demands.

Mr Howard says the current rules will stay because they play a key role in ensuring Telstra delivers decent services to the bush.

- AAP