Telstra's RIM upgrade program may not be able to provide ADSL to up to 60% of RIM customers, Labor has claimed.

Telstra admitted that its Mini-MUX trial in Gungahlin (ACT) would only resolve the problem for about 40% of customers. The remaining 60% of RIMs were not physically big enough to accommodate the upgrade.

Many regional, and outer metropolitan areas in Australia are on telephone systems known as "RIMs", which make it impossible for customers to receive ADSL broadband from Telstra or any other provider. RIMs also frequently occur in apartment blocks and high-rise buildings in metropolitan centres.

Across Australia over 800,000 customers are unable to receive ADSL because of these RIMs.

"Telstra has refused to consider upgrading its network to the point where universal broadband is a possibility, and have instead tried to fob Australians off with one-off technological patches - an approach that is two steps forward, one step back," said Senator Lundy.

"In response to questions I asked on notice to a Senate Estimates Committee, Telstra has conceded that up to 60% of RIMs in the ACT suburb of Gungahlin are not big enough to hold the mini-ADSL technology (a "minimux"), and therefore can not be modified to carry ADSL," she said.

"Telstra will not say how this translates across all the RIM-affected areas in Australia, but potentially huge numbers of Australians are as far away as ever from receiving affordable broadband. Telstra's solution for RIMs and broadband is just a furphy."

"The Howard Government has ignored the need for broadband, and allowed Telstra to turn its back on customers clamouring for affordable, quality broadband services. The only possible solution for areas like Gungahlin is alternative infrastructure which will require significant investment - be it from Telstra, Optus, or another carrier."