[ Date Index ] [ Thread Index ] [ <= Previous by date / thread ] [ Next by date / thread => ]
On 29/07/10 10:33, tom wrote: > You have to realise that when BT was privatised it was done so in such > away as to make it attractive - No. Main reason was to get the Liabilities of the nationalised industries 'OFF THE Government's Books" - at any cost. However some 'obligations were left' with no provision to cover cost. - BT to provide a land line to all businesses and 'occupied households' in UK (without any ability to amortize the cost of rural/difficult location by averaging cost against the easy 'cities'. ) - water companies to supply water to same but only to existing (at time or privatisation) or new. - Post office to deliver to every business or occupied household. Government turned down flat the request of BT when a nationalised company to replace all copper with fibre. (an MP know to me was part of the turn down process due to vast cost then estimated at 20 to 25 US Billion pounds as unrealistic to take on as a government debt. But by now we would have had a Korean style pay out.) PS Virgin pays a bigger share out to shareholders than BT, so it is not in it for other than 'business' (i.e. at a profit but with its large (person_ owner it can take a longer view to recover costs than BT as he controls the board. BT has to answer to short term quarterly market revaluations/computer projections sell/buy. Virgin is spared most of this. The only not-for -profit but generally not so efficient way is nationalisation but it gets very little re-investment as capital spend only increases government debt without any return during the four/five year parliaments of UK When dealing in PR China I had occasion to meet with the party staff manning the ' plans for 25 years / 50 years and 200 years - they plan for long view as they assume the party will not be displaced from government; hence things like the three dams project. -- Regards Eion MacDonald -- The Mailing List for the Devon & Cornwall LUG http://mailman.dclug.org.uk/listinfo/list FAQ: http://www.dcglug.org.uk/listfaq