20 utilities across Australia are building their plan to construct an alternative broadband network to free the country from Telstra's stranglehold on the infrastructure.

As reported in The Age today, UtiliTel is a concept, initially facilitated by telco analyst Paul Budde, who has no financial interest in the project.

The utilities involved include Western Power, Aurora Energy, Energy Australia, Citipower, Transgrid, Hydro Tasmania and Powercor Australia among others.

Budde says the project is about creating a true wholesale alternative network on which third party companies could offer retail products.

He also pointed out that the synergy between broadband and utilities was obvious, as electricity companies in particular already need the capability to have interactive access to meter boxes. Adding last-mile broadband through existing conduits would be an obvious synergy.

A feasability report will be presented to the group this month.

Read more about utilities that are already providing broadband in Australia in the full article at The Age.