Delivering the keynote address at the Australian Telecommunications User Group (ATUG) conference Tuesday, Coonan said the A$3.1 billion (US$737 million) Connect Australia plan is a real opportunity to revitalize telecommunications in country communities.

"My department is committed to ensuring important safeguards remain in place to deliver current and future services to regional Australia," she said. "We have A$1.1 billion for services now and a A$2 billion communications fund to bankroll services into the future and the new Broadband Connect program will aim for infrastructure able to support speeds of megabits and more."

Coonan is also considering setting aside a large part of the fund for competitive wholesale access in regional areas.

She said this will provide a broad basis for ongoing infrastructure competition in the regional structure and as part of the planning has called on the department to audit broadband infrastructure across Australia to understand capacity or emerging gaps.

The report is expected to be completed in coming months.