I'm a bit confused as to what you mean about install costs, as both Chorus & Enable have recently confirmed that the vast majority of residential install will be free to 2015 (I think they both set a limit of up to 200m per house). You'll find reports that Chorus put in an extra $20M to fund these free installs (From the Chorus website: With more than 72,000 customers now within reach of Chorus’ UFB network, the company today announced that it will provide a $20 million investment for retail service providers to offer free installation to their residential customers).
I would hope RSP's will have a very clear understanding of this and would guess this is why you’re seeing the them offer contracts with no install cost, irrespective of what the actual cost of the physical install is.
As for the question of who pays... it's nice to see my tax dollars in action!
When you talk about cheap & nasty – do you mean everyone that is providing UFB services? Or just some? Or just not you?