TELECOMMUNICATIONS LEGISLATION AMENDMENT (FUTURE PROOFING AND OTHER MEASURES) BILL 2005 Explanatory Memorandum

Commonwealth of Australia Explanatory Memoranda

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TELECOMMUNICATIONS LEGISLATION AMENDMENT (FUTURE PROOFING AND OTHER MEASURES) BILL 2005



                                  2004-2005


               THE PARLIAMENT OF THE COMMONWEALTH OF AUSTRALIA


                                 THE SENATE








                  TELECOMMUNICATIONS LEGISLATION AMENDMENT
               (FUTURE PROOFING AND OTHER MEASURES) BILL 2005





                FURTHER SUPPLEMENTARY EXPLANATORY MEMORANDUM




             Amendments to be moved on behalf of the Government






      (Circulated by the authority of the Minister for Communications,
     Information Technology and the Arts, Senator the Hon. Helen Coonan)

 AMENDMENTS TO THE TELECOMMUNICATIONS LEGISLATION AMENDMENT (FUTURE PROOFING
                        AND OTHER MEASURES) BILL 2005


                                   OUTLINE


The Telecommunications Legislation Amendment (Future Proofing and Other
Measures) Bill 2005 (the Bill) establishes the $2 billion Communications
Fund and provides for regular independent reviews into the adequacy of
telecommunications in regional, rural and remote parts of Australia.  The
reviews will be undertaken by an independent expert committee appointed by
the Minister for Communications, Information Technology and the Arts known
as the Regional Telecommunications Independent Review Committee (RTIRC).

The proposed amendments:

  . make clear that the Communications Fund can only be used to implement a
    Government response to recommendations of the RTIRC that relate to
    telecommunications in regional, rural or remote Australia;


  . provide that the statement the Government is required to make and table
    setting out its response to the recommendations of a review will
    explain how that response will improve telecommunications services in
    regional, rural and remote Australia;


  . require that at least one member of the RTIRC must be nominated by an
    organisation that represents the interests of people in regional, rural
    or remote Australia; and


  . require future reviews to be completed within three years of the
    tabling of the Government's response to the previous review. This will
    ensure that the time between the beginning of one review and the
    beginning of the next is no more than three years and six months.




                         FINANCIAL IMPACT STATEMENT


The proposed amendments will not have any significant impact on
Commonwealth expenditure or revenue.









                             NOTES ON AMENDMENTS




     TELECOMMUNICATIONS LEGISLATION AMENDMENT (FUTURE PROOFING AND OTHER
                             MEASURES) BILL 2005

Amendments (1) to (3) - Amendments to proposed section 158ZI of the
Telecommunications (Consumer Protection and Service Standards) Act 1999

Proposed section 158ZI of the Telecommunications (Consumer Protection and
Service Standards) Act 1999 (the Consumer Protection Act) provides that the
main purpose of the Communications Fund is to provide an income stream to
fund the Commonwealth Government's response to any recommendations to the
Government contained in a report of a review of the adequacy of
telecommunications services in regional, rural and remote parts of
Australia that the proposed Regional Telecommunications Independent Review
Committee prepares and gives to the Minister for Communications,
Information Technology and the Arts under proposed section 158Q of the
Consumer Protection Act.  Proposed section 158Q is inserted by Schedule 2
to the Bill.

The other purposes of the Communications Fund are:

(a)   a purpose incidental or ancillary to the main purpose e.g. to cover
    the running costs of the Fund; and


(b)   the making of grants of financial assistance under proposed sections
    158ZL and 158ZM of the Consumer Protection Act for either of the above
    purposes.

Amendment (2) amends proposed section 158ZI of the Consumer Protection Act
to make clear that the Communications Fund can only be used to implement a
Government response to recommendations of the Regional Telecommunications
Independent Review Committee (RTIRC) that relates to telecommunications in
regional, rural or remote Australia.

Amendment (3) adds definitions of 'Australia' and 'telecommunications
services' for the purposes of Amendment (2).  These definitions are the
same as in proposed section 158P of the Consumer Protection Act.

Amendment (1) is a consequential amendment.

Amendment (4) - Amendment to proposed subsection 158P(4) of the Consumer
Protection Act

Proposed section 158P of the Consumer Protection Act provides that the
Regional Telecommunications Independent Review Committee (RTIRC) must
conduct reviews of the adequacy of telecommunications services in regional,
rural and remote parts of Australia.
Proposed subsection 158P(3) provides that the first review must start
before the end of 2008 or such earlier time as the Minister for
Communications, Information Technology and the Arts determines following
consultation with relevant Ministers specified in subsection 158P(7).

Proposed subsection 158P(4) provides that each subsequent review will start
as soon as practicable after the day notified to the RTIRC by the Minister
in relation to that review.  This day will be within 3 years after the
completion of the previous review.

Amendment (4) replaces proposed subsection 158P(4) to require future
reviews to be completed within three years of the tabling of the
Government's response to the previous review. This will ensure that the
time between the beginning of one review and the beginning of the next is
no more than three years and six months.

Amendments (5) and (6) - Amendments to proposed section 158Q of the
Consumer Protection Act

Proposed section 158Q of the Consumer Protection Act requires the RTIRC to
prepare a report of a review under proposed section 158P and give the
report to the Minister for Communications, Information Technology and the
Arts.

Proposed paragraph 158Q(6)(a) provides that, if the RTIRC's report contains
recommendations that the Commonwealth should take particular action, the
Minister will be required to arrange for copies of the statement setting
out the Commonwealth's response to the recommendations to be tabled in each
House of Parliament within 6 months after receiving the report.

Amendment (5) inserts a new subsection 158Q(6A) to provide that the
statement the Government is required to make and table setting out its
response to the recommendations of the review is to explain how that
response will improve telecommunications services in regional, rural or
remote Australia.

Amendment (6) adds definitions of 'Australia' and 'telecommunications
services' for the purposes of Amendment (5).  These definitions are the
same as in proposed section 158P of the Consumer Protection Act.

Amendment (7) - Amendment to proposed section 158T of the Consumer
Protection Act

Proposed section 158T of the Consumer Protection Act deals with the
membership of the RTIRC.

Amendment (7) inserts a new subsection 158T(4A) to require that at least
one member of the RTIRC appointed by the Minister under proposed section
158U must be nominated by an organisation that represents the interests of
people in regional, rural or remote Australia.
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