AUSTRALIAN BROADCASTING TRIBUNAL Annual Report 1990-91 AUSTRALIAN BROADCASTING TRIBUNAL ANNUAL REPORT 1990-91 Australian Broadcasting Tribunal Sydney 1991 © Commonwealth of Australia ISSN 0728-8883 Design by Publications and Public Relations Branch, Australian Broadcasting Tribunal. Printed in Australia by Pirie Printers Sales Pty Ltd, Fyshwick, A.CT. 11 CONTENTS 1. Membership of the Tribunal 1 2. The Year in Review 5 3. Powers and Functions of the Tribunal 11 Responsible Minister 14 4. Licensing 15 Number and Type of Licences on Issue 17 Number of Licensing Inquiries 19 Bond Inquiry 19 Commercial Radio Licence Grant Inquiries 20 Supplementary Radio Grant 21 Joined Supplementary /Independent Grant Inquiries 22 Remote Licences 22 Public Radio Licence Grants 23 Licence renewals 27 Renewal of Licences with Conditions 27 Revocation/ Suspension/ Conditions Inquiries 28 Revocation of Licence Conditions 31 Consolidation of Licences 32 Surrender of the 6CI Licence 33 Allocation of Call Signs 33 Changes to the Constituent Documents of Licensees 35 5. Ownership and Control 37 Applications Received 39 Most Significant Inquiries 39 Extensions of Time to Comply with the Act 48 Appointment of Receivers 48 Uncompleted Inquiries 49 Contraventions Amounting To Offences 51 Licence Transfers 52 Uncompleted Inquiries 52 Operation of Service by Other than Licensee 53 Registered Lender and Loan Interest Inquiries 53 6. Program and Advertising Standards 55 Program and Advertising Standards 57 Australian Content (Radio and Television) 58 Compliance with Australian Content Television Standards 60 Children's and Preschool Children's Television Standards 60 Compliance with Children's Television Standards 63 Comments and Complaints 64 Broadcasting of Political Matter 65 Research 66 Ill 7. Programs - Public Inquiries 69 Public Inquiries 71 Violence on Television 72 Advertising Time 73 Foreign Content 75 Accuracy and Fairness 77 ASH Inquiry 78 Film and Television Co-productions 80 Inquiries into compliance with Radio Program Standard 3 81 Teenage Mutant Ninja Turtles 84 Religious Broadcasts 85 Inquiries to Vary the Australian Content (TPS) 14 and the Children's Television Standards (CTS) 86 8. Information and Analysis 89 Financial Data Bases 92 Financial Analyses 92 Stations, Markets and Operations Databases 92 Fees for Licences for Commercial Radio and Television Services 93 Financial Results of Commercial Television and Commercial and Public Radio Services 96 Annual Collection of Data 100 9. Legislation 103 The Role and Powers of the Minister 105 Licensing 106 Ownership and Control 106 Programs 107 Inquiries 107 Assessment of Licence Fees 108 Amendments to the Act 108 Proposed Legislative Amendments 110 10. Review of Tribunal Decisions 111 Judgements Delivered 113 Other Litigation 114 Litigation on Hand at 30 June 1991 116 Ombudsman 116 11. Public Information 117 Public Information 119 Publications 119 Marketing of Publications 121 Distribution 121 Public Relations 121 State Offices 122 Library 123 Freedom of Information 124 IV 12. Organisation and Staff of the Tribunal 127 Human Resources 129 Changes in Membership and Senior Staff 130 Performance Pay 130 Equal Employment Opportunity 130 Training 131 Interchange Scheme 132 Industrial Democracy 132 Office Structures Implementation 132 Occupational Health & Safety 132 Social Justice 133 Information Systems 134 Financial Management 135 Fraud Control 135 Claims and Losses 135 Internal Audit 135 Purchasing 136 Capital Works Management 136 External Scrutiny 136 Impact Monitoring 136 Public Duty and Private Interest Guidelines 136 Privacy Act 136 Financial Statement 137 v APPENDICES A. Addresses by Tribunal Members 141 B. Meetings of the Tribunal 143 C. Public Inquiry Reports Published 145 D. News Releases Issued 151 E. Summary of Complaints 156 F. Report to the Tribunal by the Children's Program Committee 158 G. Programs Classified C or C Australian Drama 1990-91 160 Programs Classified P 1990-91 161 H. Consultancy Services 162 I. Licence Grants and Renewal Reports Published 164 J. Share Transaction Decisions 166 K. Freedom of Information Section 8 Statement 169 L. Index to Guidelines 190 M. Financial Statements 192 INDEX 212 For inquiries about this Report, contact: Publications Officer Australian Broadcasting Tribunal 76 Berry Street North Sydney NSW 2060 Ph (02) 959 7811 Fax (02) 954 4328 VI P.O. BOX1308 NORTH SYDNEY N.S. W. 2060 TELEPHONE 102) 959 7811 CHAIRMAN The Honourable, the Minister for Transport and Communications In conformity with the provisions of section 28 of the Broadcasting Act, I present the Annual Report of the Australian Broadcasting Tribunal for the period 1July1990to30June1991. P. B. Westerway Chairman .;?( November 1991 TANDEM HOUSE, 76 BERRY ST., NORTH SYDNEY. FACSIMILE (02) 954 4328. DX 10528 NORTH SYDNEY vu Vlll CHAPTERl MEMBERSHIP OF THE TRIBUNAL 1 2 The membership of the Tribunal at 30 June 1991 was as follows: Peter Westerway B.Ec. (Hons.) (Acting Chairman) Appointed from 4October1988 for a five year period, and appointed Acting Chairman of the Tribunal on 23 June, 1990. Mr Westerway was formerly First Assistant Secretary, Communications Technology Division, Department of Transport and Communications. He has also held First Assistant Secretary positions with various Divisions of the then Departments of Communications and the Post and Telecommunications. In addition, he has been a Commissioner with the Industries Assistance Commission, Managing Director of 2HD Newcastle and Director of Public Affairs, A1N Sydney. Michael Ramsden (Acting Vice Chairman) Appointed from 26 September 1988 until 28 April 1992, Mr Ramsden was appointed Acting Vice-Chairman on 30August1990. Formerly Executive Vice-President for News at the Nine Network, he was manager of TCN 9 Sydney (1976-80); founding chairman and chief executive of Channel Nine (Australia) Inc. in Los Angeles, U.S.A., responsible for the first commercial TV trans-Pacific satellite service; Television and Media Director for Bicentennial Events, NSW Premier's Department, 1988; and Network TEN Director of Broadcast Practices and Standards. Kim Wilson Appointed from 1 December 1987 for a period of five years, Mr Wilson previously practised as a lawyer in NSW and in Papua New Guinea. He was legal adviser to the leader of the Northern Territory Opposition, senior private secretary to the Federal Minister for Aboriginal Affairs and a judge of the Supreme Court and National Court of Papua New Guinea. 3 Bruce Allen M.J. Appointed from 21 April 1988 for a period of five years. Mr Allen was formerly a television producer with the ABC, the BBC and more recently with the Canadian Broadcasting Corporation. He has been a policy and program analyst and a consultant to the public and private sectors, including the Canadian Department of Communications in Ottawa. He was a foundation director of Television Australia Satellite Systems Limited; a course director at the Australian Film, Television and Radio School; and has taught the theory and practice of television production at Macquarie University and lectured in communications at Ottawa University. Suzanne Brooks B.Ec. Appointed from 1 August 1988 for a period of five years, Ms Brooks was formerly Head of the Office of Status of Women in the Department of the Prime Minister and Cabinet. In the mid 1980s she worked in money market activities and was a financial adviser to the Victorian Government. Sue is currently undertaking a Masters of Law degree. ' Tim O'Keefe B.Com.(UNSW), ACA Tim O'Keefe was appointed to the Tribunal in July 1990 for a period of five years. Mr O'Keefe has had ten years experience in the broadcasting industry and before joining the Tribunal was Chief Executive of Wesgo Ltd and Chairman of all that listed company's licensee subsidiaries. He has also held corporate development and financial management positions with Wesgo, AWA Radio Network and 2DA Y FM Ltd and has served on the Federal Council of the Federation of Australian Radio Broadcasters. 4 CHAPTER2 THE YEAR IN REVIEW 5 6 Australian broadcasting reflected the turmoil in the Australian economy during the year. Despite a strong increase in broadcasting revenue for the financial year 1989-90, Australian commercial television services posted their second consecutive loss. Commercial radio profitability decreased as increases in broadcasting revenue were offset by larger increases in broadcasting expenditure. Issues in Television Financial difficulties dominated the year. The Seven network started and ended the year in receivership, although a Heads of Agreement was signed for the restructure of the network after the Tribunal had expressed its concern about the delays in trading out of receivership. The Tribunal continued its inquiries into the renewal of the six Sydney and Melbourne commercial television licences which had commenced in 1988. The Nine network licences, GTV Melbourne and TCN Sydney were renewed. Northern Star, holder of the Ten network licences TEN Sydney and A TV Melbourne, was placed in the hands of receivers in September 1990. In May 1991, a liquidator was appointed to the TEN licensee. The renewal inquiries for the Seven network licences, ATN Sydney and HSV Melbourne, and the Ten network licences are continuing. The Bond inquiry concluded during the year. The High Court of Australia set aside orders of the Full Federal Court which related to the Tribunal decision that various licensee companies controlled by Mr Alan Bond were not fit and proper persons to hold broadcasting licences. Later in the year, a