www.acma.gov.au www.acma.gov.au 2007–08 2007–08 Australian Australian Annual Report Report Annual Communications Communications and Media Authority Authority and Media ’s regulator for broadcasting, the internet, radiocommunications and telecommunications and telecommunications radiocommunications the internet, broadcasting, for regulator Australia’s

AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY ANNUAL REPORT 2007–08 CANBERRA OFFICE CANBERRA Purple Building, Benjamin Offices Chan Street, Belconnen PO Box 78 Belconnen ACT 2616 Tel: 02 6219 5555 Fax: 02 6219 5200 OFFICE Level 44, Melbourne Central Tower 360 Elizabeth Street, Melbourne PO Box 13112 Law Courts Melbourne Vic 8010 Tel: 03 9963 6800 Fax: 03 9963 6899 TTY: 03 9963 6948 OFFICE SYDNEY Level 15, Tower 1 Darling Park 201 Sussex Street, Sydney PO Box Q500 Queen Building NSW 1230 Tel: 02 9334 7700, 1800 226 667 Fax: 02 9334 7799 www.acma.gov.au 104415_ACMA cover:Layout 1 23/9/08 9:52 AM Page A Page AM 9:52 23/9/08 1 cover:Layout 104415_ACMA _ g

Australian Communications and Media Authority Annual Report 2007–08 _ g

© Australian Communications and Media Authority 2008 ISSN 1834-0776 This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be produced by any process without prior written permission from the Australian Communications and Media Authority. Requests and enquiries concerning reproduction and rights, and any enquiries arising from the contents of the report, should be addressed to: Manager Communications and Publishing Australian Communications and Media Authority PO Box 13112 Law Courts Melbourne Vic 8010 Telephone: (03) 9963 6800 Facsimile: (03) 9963 6899 Email: [email protected] This report is available on the ACMA website at www.acma.gov.au (go to About ACMA > Publications & research > ACMA publications > Corporate publications > Annual report). _ g

Senator the Hon. Stephen Conroy Minister for Broadband, Communications and the Digital Economy Parliament House Canberra ACT 2600

Dear Minister

In accordance with section 57(1) of the Australian Communications and Media Authority Act 2005, I am pleased to present the annual report on the operations of the Australian Communications and Media Authority, for the 2007–08 reporting year. Please note that section 57(3) of that Act requires that you table the report in each House of Parliament within 15 days of receiving it.

Yours sincerely

Chris Chapman Chairman 22 September 2008 _ g

CONTENTS

Chairman’s foreword...... ix Highlights...... xi CHAPTER 1: About ACMA Functions and responsibilities ...... 2 Revenue collection...... 2 Structure ...... 3 The Authority ...... 3 About the Authority ...... 3 Corporate structure...... 6 Corporate governance ...... 6 CHAPTER 2: Regulatory environment Regulatory functions...... 10 ACMA’s responses to convergence and regulatory pressures ...... 10 Ownership and control...... 10 Register of Controlled Media Groups...... 10 Compliance with ownership and control provisions...... 11 Local content...... 12 Broadcasting Financial Results...... 13 Digital broadcasting...... 13 Digital television ...... 13 Digital radio...... 14 Spectrum planning...... 15 Spectrum management principles ...... 15 International activities...... 16 Radiocommunications...... 16 Space regulation ...... 18 Allocation and licensing ...... 19 Market-based resource management...... 19 Radiocommunications licensing ...... 19 Spectrum licensing ...... 20 Class licensing...... 21 Broadcasting licence area plans and variations ...... 22 Broadcasting licensing ...... 22 Telecommunications licensing...... 24 Telecommunications numbering ...... 24 Numbering Plan administration ...... 24 Numbering Advisory Committee...... 25 Number allocations register ...... 25 Numbering transactions...... 25 Numbering for IP-based services...... 26 Portability ...... 27 Pre-selection ...... 28 Revenue and fees...... 28 Numbering charges ...... 28 Number auctions ...... 30 Carrier licensing and nominated carrier declaration charges ...... 30 Apparatus licence taxes...... 31 Broadcast licence fees...... 31 Spectrum licence tax ...... 32

ACMA ANNUAL REPORT 2007–08 V _ g

Technical regulation ...... 32 Technical Advisory Group...... 32 Technical standards...... 32 Telecommunications standards ...... 32 Radiocommunications standards...... 33 Electromagnetic compatibility standards ...... 34 Standards and codes for digital television ...... 34 Telecommunications infrastructure regulation ...... 35 Cabling regulation...... 36 Submarine cable protection...... 36 Compliance investigations...... 37 Radiocommunications...... 37 Radiocommunications interference management ...... 38 Standards compliance programs ...... 38 Telecommunications ...... 38 Telemarketing...... 42 Anti-spam ...... 43 Broadcasting...... 44 Online content complaints...... 48 Interactive gambling...... 49 National interest issues ...... 50 Law enforcement liaison...... 50 Review and collection of pre-paid mobile phone user information ...... 50 Disclosure of customer information...... 51 Interception capability plan compliance ...... 51 Emergency call service ...... 51 e-security ...... 52 International matters...... 53 Hosting international delegations...... 54 International Telecommunication Union ...... 54 INHOPE ...... 55 Family Online Safety Institute ...... 55 CHAPTER 3: Content regulation and consumer information Regulatory tools ...... 58 Telecommunications industry codes...... 58 Broadcasting industry codes and guidelines...... 58 Internet industry codes ...... 59 Content regulation ...... 59 Australian content ...... 59 Children’s television ...... 60 High definition broadcasting...... 61 Local content on regional television ...... 61 Subscription television drama expenditure...... 61 Anti-siphoning provisions...... 62 Anti-terrorism standards...... 62 Mobile premium services...... 62 Regulatory instruments and internet industry codes...... 63 Consumer safeguards ...... 63 Telecommunications Industry Ombudsman ...... 63 Customer Service Guarantee...... 64 Universal service obligation and digital data service obligation...... 64 Do Not Call Register...... 65 Payphone performance...... 67 Network Reliability Framework ...... 67 Priority assistance...... 67 Local presence plan...... 68 National Relay Service...... 68 Extended zones agreement...... 69 Mobile phone coverage...... 69 Pair gains systems ...... 69 Internet Assistance Program ...... 69 Standard forms of agreement ...... 69 Protection of consumer information ...... 70

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Community awareness ...... 70 Internet safety...... 70 Telecommunications awareness...... 72 Scam awareness...... 72 Consumer consultation...... 72 Research and reporting...... 72 CHAPTER 4: Managing and developing our resources Our people ...... 78 Employment arrangements...... 78 Performance payments ...... 78 Workplace Diversity Program...... 79 Occupational health and safety ...... 79 Consultation and workplace relations...... 79 Graduate program...... 80 Development and training...... 80 Performance management...... 80 Creating Knowledge program...... 80 ACMA transformation program...... 80 Information management...... 81 Technology...... 81 Information...... 81 Corporate governance ...... 82 Security...... 82 Audit...... 82 Risk management ...... 82 External scrutiny ...... 83 Client service charter...... 83 Communications ...... 83 Media...... 83 Publishing...... 83 Financial management ...... 83 Procurement and contract management ...... 83 Asset management...... 84 Property management ...... 84 Ecologically sustainable development and environmental performance...... 84 Appendixes 1. ACMA offices ...... 87 2. ACMA committees, memberships and attendance at meetings...... 88 3. Staffing information ...... 90 4. Implementation of the Commonwealth Disability Strategy ...... 94 5. Licensing and licence allocations...... 96 6. Programs and content ...... 112 7. Broadcasting investigations outcomes ...... 114 8. Freedom of information ...... 121 9. Legislation ...... 123 10. ACMA instruments ...... 126 11. Notifications, directions and instruments ...... 129 12. Disclosures of information ...... 130 13. Consultancies, advertising expenditure and competitive tendering...... 131 14. Outcome and output structure ...... 132 15. Regulatory impact analysis compliance report ...... 133 16. Financial statements ...... 135 Glossary ...... 203 Index ...... 213

ACMA ANNUAL REPORT 2007–08 VII CHAIRMAN’S FOREWORD

The rapid evolution and uptake of new technologies is a central focus for ACMA as a regulator, as we continue to respond to the demands of present, while anticipating and preparing for the possibilities of the future media and communications landscape. Alongside developments in new media, this report does the awareness and take up of new, converged reflects on a busy and challenging year for the technologies that offer both voice and data services on organisation right across the board—from licensing, one device, such as 3G, mobile email and voice over monitoring compliance and investigating complaints to internet protocol (VoIP). allocating spectrum and numbers, setting technical and In many ways, VoIP is a striking exemplar of the content standards and participating in delegations on challenges new and evolving technologies present us international standards setting. with. During 2007–08, we adopted a new approach to Internally, ACMA is working to transform itself with a regulating VoIP services. Our aim is to strike a balance vigorous program of investment in leadership, between effectively applying regulation while at the reinvention of processes, eradication of legacy systems same time enabling innovation and providing greater and a heightened focus on the policy context. It is early clarity to industry around their obligations. We are days but this transformational program will be continually engaging with industry and consumers and characterised by first principles thinking, innovation, an developing an effective education, compliance and openness to regulatory change, and a technology shift in enforcement program. information and e-business systems. A key success story in terms of both engaging with Media and technology are assuming an ever greater role consumers and in compliance and enforcement is the in our daily lives. This is very much reflected in the lead role we have played in the Do Not Call Register. wide-ranging consumer and industry research and By the end of the year, telephone numbers listed on the analysis ACMA undertook throughout the year. The register totalled more than 2.4 million and a survey report of our media and society research project Media showed the register has been well received by and Communications in Australian Families 2007, for consumers and is delivering results. Nearly 90 per cent example, offers a fascinating insight into the myriad of of those surveyed who had listed their numbers on the ways Australians are now connecting to each other and register reported a drop in the number of telemarketing the world through both traditional media and mobile calls they received. Industry has also responded well to communication. the register and the new accompanying national industry Now, for the first time, there is more than one mobile standard. In fact, the low number of formal service for every Australian, with 21.26 million mobile investigations of non-compliance with the Do Not Call phone services in operation at 1 July 2007. The numbers legislation during the year shows the industry has done a of households with broadband continues to grow, as great job in amending their business practices and acting

ACMA ANNUAL REPORT 2007–08 IX _ g

Looking ahead, we have identified the six major ACMA faces many challenges, not least of which is the technology trends that will have a significant impact on need to achieve an adequate funding base for the agency the regulation of the media and communications sector which allows appropriate forward planning to meet that over the next five to 10 years. The six trends, identified diversity. In striving to deliver on our overarching aim in our report published in the first half of 2008, are: of making communications and media work in • the accelerating pace of change; Australia’s national interest, we seek to become the world’s leading converged regulator by the end of 2010. • diversity in the development of physical infrastructure including broadband, digital broadcasting, location We have much to learn, consider, analyse and balance as sensing technologies, intelligent transport systems and we work towards achieving those goals. In the satellite services; meantime, as this Annual Report shows, we continue to consult, cooperate and collaborate with the Australian • the spread of distributed connectivity through the public, industry, other government agencies and integration of information processing beyond the international regulators, so as to enable an innovative, desktop into everyday objects and activities; efficient, competitive and contemporary media and • enhanced content and network management communications sector. capabilities; • the emerging social web, which is enabling innovation and creativity by users and service providers; and • continuing scientific and technological innovation that, in combination, are driving advances in computing power, display technologies, artificial intelligence and nanotechnology. Chris Chapman ACMA’s role, responsibilities and activities continue Chairman to broaden and diversify, and the increasing scope and importance of our work is highlighted in the pages that follow.

X ACMA ANNUAL REPORT 2007–08 HIGHLIGHTS

The Australian Communications and Media Authority (ACMA) undertook a wide range of activities, programs and investigations in 2007–08. The following highlights provide a snapshot of significant issues and key developments for the year.

ACMA’s cybersafety activities aim to give children, The Do Not Call Register and their parents and carers, sound advice on how best Launched in May 2007, the Do Not Call Register allows to manage online risks, so their experiences are safe individuals to register their home and mobile numbers to and positive. opt out of receiving unsolicited telemarketing calls. By 30 June 2008, a total of 2.42 million telephone Closure of Telstra’s CDMA Network numbers had been listed on the Do Not Call Register, with more than one million numbers added in 2007–08. In late 2007, ACMA completed a number of surveys of the voice coverage of Telstra’s CDMA network and its At the same time, 2,603 telemarketers were new Next G™ network. The assessment comprised registered to check telephone numbers and more than signal-level measurements covering 15,000 kilometres 1.04 billion telephone numbers had been ‘washed’ and more than 230 base stations in all states and the against the register. . The purpose of the surveys was to ACMA also commenced 21 formal investigations into assess whether there was equivalent coverage between alleged breaches of the Do Not Call Register legislation. the networks before Telstra closed its CDMA network Two investigations were finalised, with both businesses in 2008. found to have breached the requirements of the Act. The survey results, which concluded that coverage of the For more on the Do Not Call Register see page 65. two networks was not equivalent, were provided to the Minister for Broadband, Communications and the ACMA, NetAlert and Protecting Digital Economy, Senator the Hon. Stephen Conroy, in early 2008. In follow-up work, ACMA provided the Australian Families Online department with a report on coverage rectification Early in 2007–08, internet safety agency NetAlert measures undertaken by Telstra. As a result, the Minister merged with ACMA as part of the then Australian announced on 15 April 2008 that Telstra had met the Government’s Protecting Australian Families Online requirements of its licence condition to allow closure of (PAFO) scheme. The aim of the merger was to ensure its CDMA mobile phone network from 28 April 2008. that the education programs conducted under the See page 17. NetAlert brand were coordinated with ACMA’s other online content roles. Major investigations and In the May 2008 Budget, ACMA was granted compliance activity funding over four years for the government’s national cybersafety education program. This includes During the year, ACMA completed several high-profile developing and delivering education materials for investigations. These included: use in schools, undertaking targeted information and Elmie Investments Pty Ltd. In November 2007, awareness-raising campaigns and activities, and ACMA published the final report of its investigation into researching current trends in cybersafety. the control of the commercial radio broadcasting

ACMA ANNUAL REPORT 2007–08 XI _ g

licences held by Elmie Investments Pty Ltd (Elmie) continued fall in world rankings of spamming countries from September 2005 to January 2007. may be attributed to ACMA’s anti-spam enforcement, ACMA found that Macquarie Bank Limited and educational and e-security activities. Macquarie Regional Radioworks Pty Ltd were in breach Further details of ACMA’s investigations and of the media control rules in the Broadcasting Services compliance work can be found on page 37. Act from 5 September 2005 to 8 May 2006. The breaches occurred as a result of financing Research and reporting arrangements between Macquarie Regional Radioworks ACMA continued to undertake significant research and and Elmie for five regional commercial radio licences. analysis activities in 2007–08, releasing a range of In all markets, the Elmie licences competed with consumer research and reports on market and technology licences operated by Macquarie Regional Radioworks. trends and service developments. These included: Full details of the Elmie investigations are outlined on page 44. • Media and Communications in Australian Families 2007, a research report on how families with children Radio 2UE and the John Laws Morning Show. ACMA found that Radio 2UE Sydney Pty Ltd (2UE), aged eight to 17 use media and communications in breached the Broadcasting Services (Commercial Radio everyday life. This research informed ACMA’s Current Affairs Disclosure) Standard 2000 in its Review of the Children’s Television Standards and broadcast of the John Laws Morning Show and that 2UE community education activities focused on young also breached elements of the Broadcasting Services people’s use of mobile phones and the internet. (Commercial Radio Compliance Program) Standard • Two research projects into digital television and 2000. In response to ACMA’s investigation findings, Digital Television in Australian Homes 2007, the 2UE offered ACMA an enforceable undertaking, which third in a series of surveys of digital television uptake is being assessed for compliance. by Australian households. A Current Affair. ACMA found that the licensee of • Media Literacy—Concepts, Research and Regulatory QTQ , Television Ltd, had Issues, which examines media literacy in consumer breached the accuracy provisions of the Commercial education and protection activities. Television Industry Code of Practice 2004 in several • IPTV and Internet Video Market, the first of a series editions of the program. Because this was the fourth of reports examining the delivery of content over investigation since 1 January 2005, ACMA entered into internet protocol. discussions with the Nine Network that resulted in the network broadcasting an announcement outlining the • The Australia VoIP Market report, an examination of main findings of the ACMA investigation and providing the supply of voice over internet protocol (VoIP) its personnel with advanced training in code compliance. services in Australia and the demand for those services. Dodo Australia Pty Ltd. This investigation into Dodo Australia’s complaint-handling and billing practices • Top Six Trends in Communications and Media determined that the provider’s breaches were the result Technologies, Applications and Services—Possible of policy inadequacy and failure. Failure by the provider Implications, which identifies six major technology to address the breaches resulted in ACMA issuing a trends that are likely to have a significant impact on formal direction (Level 5) under section 121 of the regulation of the media and communications sector Telecommunications Act 1997. over the next five to 10 years. Al Manar. ACMA investigated satellite subscription • Developments in Internet Filtering Technologies and narrowcasting service Al Manar, which broadcast Other Measures for Promoting Online Safety, the first terrorist material into Australia from Lebanon. of three reports that investigate filtering technologies Following ACMA’s inquiries, an overseas-based and other safety initiatives to protect consumers, satellite company confirmed that it had carried out a test including minors, who access content on the internet. transmission of the Al Manar service. However, the • The ACMA Communications Report 2006–07, the company also confirmed that the test transmissions were second whole-of-industry report reflecting ACMA’s terminated and the satellite facilities would not be broadening regulatory responsibilities and covering provided to Al Manar. ACMA has proposed to amend the broadcasting, internet, radiocommunications and the Anti-terrorism Standards to provide narrowcasters telecommunications industries. with greater certainty in determining which individuals and organisations are deemed terrorist entities. New approach to spectrum Anti-spam. Approximately 20 mid-level and major investigations of alleged breaches of the Spam Act were consultation conducted during the year, with ACMA issuing five ACMA adopted a new approach to spectrum regulation infringement notices and six formal warnings, and during the year through three initiatives designed to accepting one enforceable undertaking. Australia’s promote increased consultation, transparency and

XII ACMA ANNUAL REPORT 2007–08 _ g

accountability in radiofrequency spectrum planning In commercial broadcasting, ACMA was also required and management. to impose a licence condition, from 1 January 2008, A new advisory group, the Radiocommunications specifying a minimum level of material of local Consultative Committee (RCC), was established to significance for Tasmanian commercial television replace two former consultative committees. The RCC broadcasting licensees. This condition also covered will focus on issues in both domestic and international those mainland licensees in regional Queensland, NSW spectrum management. and Victoria previously subject to such requirements. A rolling spectrum strategy, ACMA’s Five-year ACMA monitors compliance with both local presence Spectrum Outlook 2009–2014, was also developed and material of local significance licence conditions and released. It identifies the fundamental issues that through annual compliance reports as well as will affect spectrum demand by radiocommunications consumer complaints. services between 2009 and 2014. The strategy will ensure that ACMA’s spectrum management activities Protection of consumer information are open and consultative, and will provide stakeholders with an insight into the direction of ACMA’s spectrum ACMA administers the Telecommunications Act 1997, management activities in the short and medium term. which contains specific privacy provisions for the The strategy will be updated annually. protection of communications. Part 13 of the Act outlines a complex series of limitations and exceptions ACMA also announced that its radiofrequency spectrum for the protection of personal particulars and management conference would become an annual event. communications, and provides for ACMA to administer the Integrated Public Number Database (IPND) Scheme. Online content complaints The IPND is an industry-wide database of all listed and In early 2008, an amendment to the Broadcasting unlisted public telephone numbers. It was established in Services Act introduced a new Schedule 7, expanding 1998 and is currently managed by Telstra under the ACMA’s current role to investigate complaints about Carrier Licence Conditions (Telstra Corporation potentially prohibited online content, including internet Limited) Declaration 1997. and mobile content, available from a range of non- The IPND Scheme facilitates the assessment of broadcast content services. applications for authorisation for public number The introduction of Schedule 7 provided ACMA directory publishers and researchers of a kind specified with powers to issue special take-down notices, by the Minister as being in the public interest. ACMA service cessation notices and link deletion notices, has received nine applications under the IPND Scheme in addition to maintaining its existing ability to issue during the year. At 30 June 2008, two applications had take-down notices. been withdrawn by applicants, one authorisation had During 2007–08, ACMA received 1,122 complaints been granted, no authorisations were refused and six about online content, an increase of approximately applications were currently under consideration. 85 per cent over the previous year. For further information, see Chapter 2. International activities During the reporting period, ACMA developed and Ownership and control pursued a dedicated international engagement strategy to ACMA’s central regulatory role in monitoring and complement its overall strategic direction. A key investigating broadcasting industry compliance with the objective of the strategy is to improve ACMA’s ability media ownership and control rules continued throughout to influence regulatory outcomes, particularly in the the year with new functions and activities added. following key areas: See page 10. • online content and child protection; Local content • e-security and anti-spam initiatives; • increasing harmonisation of spectrum usage; From 1 January 2008, a new licence condition required all regional commercial radio licensees to broadcast • global and regional standardisation; material of local significance between 5.00 am and • convergence, incorporating radiocommunications, 8.00 pm on business days as follows: next generation networks and VoIP; • remote area service licences and racing service • continuing promotion of end-user involvement and licences must broadcast five minutes of such material; accessibility in the development of international • section 40 and small licences must broadcast standards; and 30 minutes; and • supporting whole-of-government initiatives • other regional commercial radio licences must on regulatory capacity-building for other broadcast three hours. Asia-Pacific countries.

ACMA ANNUAL REPORT 2007–08 XIII Part of ACMA’s engagement strategy involves developing relationships with fellow regulators and Submarine cables strengthening bilateral relationships with regional In the second half of 2007, ACMA declared the first authorities and standards development bodies. submarine cable protection zones in Australian waters. The two zones were declared off the coast near Sydney. ACMA was closely involved in all facets of the A third protection zone was subsequently declared off International Telecommunications Union (ITU) World the coast close to . Radiocommunication Conference (WRC) 2007 held in Geneva, Switzerland from 22 October to 16 November Schedule 3A of the Telecommunications Act permits 2007. This included conference preparation, ACMA to declare protection zones over nationally development of discussion papers, participation in key significant cables—a vital component of Australia’s events and meetings leading up to WRC-07, and guiding communications infrastructure—and to prohibit or industry and stakeholder participation in WRC activities. restrict activities that pose a risk of damaging the cables within these zones. During 2007–08, ACMA continued to host visiting delegations from overseas regulators and related agencies to share knowledge and experience on Conferences and events regulatory matters. See Chapter 2. ACMA’s conference on the management of the radiofrequency spectrum, RadComms08, was held in Category of service opinions Melbourne in the first half of 2008. The conference focused on future trends and spectrum requirements for ACMA experienced a major increase in the number of new services, and helped ACMA to develop regulatory opinions it was asked to provide under section 21 of the settings. Attended by radiocommunications professionals Broadcasting Services Act during the reporting period, from across industry and government, it was opened by with 62 such opinions given compared to two in the the Minister for Broadband, Communications and the previous year. Digital Economy, Senator the Hon. Stephen Conroy. Section 21 allows a person who is providing, or who ACMA and Communications Alliance jointly hosted the proposes to provide, a broadcasting service to apply to inaugural Communications Consumer Dialogue in ACMA for an opinion as to which category of August 2007. The meeting focused on new and broadcasting service the service falls into. emerging technologies and how they will Of the 62 opinions provided, all were within the strict benefit consumers. statutory time frames.

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1 About ACMA Chapter 1 details the functions, structure and corporate governance that enable ACMA to perform its role, administer regulations and legislation, and deliver its services.

The Australian Communications and Media Authority (ACMA) is responsible for the regulation of broadcasting, the internet, radiocommunications and telecommunications.

ACMA’s responsibilities include: • promoting self-regulation and competition in the communications industry, while protecting consumers and other users • fostering an environment in which electronic media respect community standards and respond to audience and user needs • managing access to the radiofrequency spectrum • representing Australia’s communications interests internationally.

ACMA ANNUAL REPORT 2007–08 1 _ g

• promoting and facilitating industry self-regulatory and FUNCTIONS AND co-regulation solutions to emerging issues; RESPONSIBILITIES • where necessary, exercising powers to create legislative and other instruments, often in the form of standards or service provider rules; The Australian Communications and Media Authority (ACMA) is a statutory authority within the federal • facilitating the provision of community information to government portfolio of Broadband, Communications promote informed decisions about communications and the Digital Economy. Senator the Hon. Stephen products and services; Conroy was appointed the Minister responsible for the • reporting on matters relating to the communications portfolio from 3 December 2007 following the federal industry, including its performance; election held on 24 November 2007. • representing Australia’s communications interests Senator the Hon. Helen Coonan was Minister for internationally; and Communications, Information Technology and the Arts • advising the government on specific matters from from 1 July to 3 December 2007. time to time. ACMA is responsible for the regulation of broadcasting, the internet, radiocommunications and telecommunications. REVENUE COLLECTION In accordance with the relevant legislation, ACMA’s specific responsibilities include: ACMA collects regular revenue through broadcasting, • regulating telecommunications and broadcasting radiocommunications and telecommunications licence services, internet content and datacasting services; fees, and charges for telecommunications numbers. • managing access to radiofrequency spectrum bands In 2007–08 ACMA’s Departmental Budget funding was through radiocommunications licence arrangements, $97.229 million (2006–07: $82.089 million), the and resolving competing demands for that spectrum administered revenues charged were $703.842 million through price-based allocation methods; (2006–07: $691.719 million) (see Figure 1). • planning the availability of segments of Non-regular revenue was raised from market based radiofrequency spectrum bands used by broadcasting spectrum allocation, and the auction of smartnumbers® services and managing access to that spectrum (desirable free phone and local rate numbers as through broadcasting licence arrangements; discussed in Chapter 2). Non-regular revenue for • regulating compliance with the relevant legislation, 2007–08 was $4.612 million (2006–07: $5.746 million), licence conditions, codes of practice, standards, this includes spectrum allocations raising $0.143 million service guarantees and other safeguards; (2006–07: $1.271 million). Since 1997, more than $3 billion has been raised from spectrum allocation for the Commonwealth (see Market-based resource management in Chapter 2). Figure 1: Costs and revenues (three financial years) Regular revenue Non-regular revenue Cost Revenue ($ millions)

2005–06 Actual

2006–07 Actual

2007–08 Actual

2 ACMA ANNUAL REPORT 2007–08 _ g

STRUCTURE Mr Luther’s expertise and experience is in spectrum The Authority regulatory matters and radiocommunications. He acted as a full-time Member of the former Australian At 30 June 2008, the Authority comprised the Chairman, Communications Authority from 2003 to 2005. the Deputy Chair, one full-time Member, four part-time Mr Luther was awarded the Public Service Medal in Members and one Associate Member (see Table 1). 2006 for his work on the development of a On 3 June 2008, the Minister announced the comprehensive spectrum allocation system for Australia. appointment of Mr Geoff Luther and Ms Jennifer The appointments were among the first to be made McNeill as part-time Members for five years from 1 July under the Australian Government’s new arrangements 2008. The Minister also announced the reappointment of for the merit-based selection of Australian Public part-time Members Ms Johanna Plante and Mr Rod Service agency heads and statutory office holders. Shogren. Ms Plante has been appointed for two years from 1 July 2008 and Mr Shogren for three years from Professor Gerrard Anderson, a foundation part-time the same date. Member, retired from the Authority on 30 June 2008 at the end of his term of appointment. Ms McNeill, whose areas of expertise include competition and regulatory law, and consumer Under a reciprocal arrangement approved by the protection and litigation, brings a strong regulatory and government in September 2007, the Chairman of the consumer perspective to ACMA. From 2002 to 2007, ACCC, Mr Graeme Samuel, was appointed an Associate she was a Commissioner at the Australian Competition Member of ACMA. At the same time, ACMA and Consumer Commission (ACCC), including a term Chairman, Chris Chapman, became an Associate as Commissioner with primary responsibility for Member of the ACCC. The arrangement is designed to consumer protection. strengthen ties between the two organisations.

About the Authority

Chris Chapman CHAIRMAN AND CHIEF EXECUTIVE OFFICER

Appointed 27 February 2006 for five years Before his appointment as Chairman of ACMA, Chris Chapman was Chief Operating Officer of specialist funds-management activities at Babcock and Brown Ltd. Immediately prior to that, he was Managing Director and Chief Executive of Babcock and Brown Infrastructure Management Limited (formerly Prime Infrastructure Management Limited); Chief Executive Officer of the Optus joint venture Excite@Home Australia Pty Ltd; Chief Executive Officer of Stadium Australia Management Limited; Chairman of Film Australia Limited and Director of the National Film and Sound Archive. He also occupied various senior management positions within Seven Network, practised as a lawyer with Mallesons and was Associate to the Chief Justice of Australia.

Lyn Maddock DEPUTY CHAIR

Appointed 1 July 2005 for four years Lyn Maddock served as the Acting Chair of ACMA from 1 July 2005 to 27 February 2006. She had previously served as the Acting Chair of the Australian Broadcasting Authority (ABA) and was the Deputy Chair of the ABA from 2000 to 2005. She has broad experience within the public sector, including senior roles with the National Occupational Health and Safety Commission, the Productivity Commission and the Department of Prime Minister and Cabinet, and has also held senior positions with Westpac. In March 2008, Ms Maddock took leave of absence from the Authority to take up the position of Interim Chief Executive Officer of Screen Australia until November 2008.

ACMA ANNUAL REPORT 2007–08 3 _ g

Chris Cheah FULL- TIME MEMBER AND ACTING DEPUTY CHAIR

Appointed 1 July 2005 for four years Chris Cheah was previously head of the Telecommunications Division of the Department of Communications, Information Technology and the Arts, advising the government on telecommunications issues. He has also managed accessibility funding programs and held positions with Austel and Telstra. Mr Cheah is the Acting Deputy Chair until November 2008 while Lyn Maddock is on secondment to Screen Australia as Interim Chief Executive Officer.

Gerrard Anderson PART- TIME MEMBER

Appointed 1 July 2005 for three years Professor Gerrard Anderson was until recently Head of Academic Programs at Central Queensland University, Melbourne campus. Before that, Professor Anderson was Pro Vice-Chancellor and Head of the School of Information Technology and Mathematical Sciences at the University of Ballarat. He has been a member of the Networking the Nation board and has considerable experience in regional communications and information technology.

Malcolm Long PART- TIME MEMBER

Appointed 1 July 2005 for four years Malcolm Long was, until recently, the Executive Director of the Australian Film Television and Radio School and previously a part-time member of the ABA. He was previously the Managing Director of the Special Broadcasting Service (SBS), and has held various roles with the Australian Broadcasting Corporation, including Deputy Managing Director. Mr Long has also worked for several years as a communications consultant.

Johanna Plante PART- TIME MEMBER

Appointed 1 July 2005 for three years Reappointed from 1 July 2008 for two years Johanna Plante was the former Chief Executive Officer of the Australian Communications Industry Forum. She has held senior positions with KPMG, Telstra, Pacific Star Communications, and Coopers and Lybrand, was a member of Austel and a board member of Networking the Nation.

4 ACMA ANNUAL REPORT 2007–08 _ g

Rod Shogren PART- TIME MEMBER

Appointed 1 July 2005 for three years Reappointed from 1 July 2008 for three years Rod Shogren is a former commissioner with the Australian Competition and Consumer Commission, with a role in telecommunications regulation. He has held a number of senior positions within the public sector and is a consultant for Access Economics.

Graeme Samuel ASSOCIATE MEMBER

Appointed 9 September 2007 for five years Graeme Samuel is Chairman of the Australian Competition and Consumer Commission. His previous positions include President of the National Competition Council and Chairman of the Melbourne and Olympic Parks Trust. He was also a Commissioner of the Australian Football League. In 1998, Mr Samuel was appointed an Officer in the General Division of the Order of Australia.

Table 1: ACMA Authority, 30 June 2008

Role Name Appointment date

Chairman and Chief Executive Officer Chris Chapman 27 February 2006 for five years

Deputy Chair Lyn Maddock 1 July 2005 for four years

Full-time Member Chris Cheah 1 July 2005 for four years

Part-time Member Gerrard Anderson 1 July 2005 for three years

Part-time Member Malcolm Long 1 July 2005 for four years

1 July 2005 for three years Part-time Member Johanna Plante Reappointed 1 July 2008 for two years

1 July 2005 for three years Part-time Member Rod Shogren Reappointed 1 July 2008 for three years

Associate Member Graeme Samuel 9 September 2007 for five years

ACMA ANNUAL REPORT 2007–08 5 _ g

The ACMA Audit Committee provides independent Corporate structure advice to the Chairman on ACMA’s risk, control and ACMA’s day-to-day activities are managed by an compliance framework, as well as its external executive team comprising the Chairman, the Deputy accountability responsibilities (see Appendix 2). The Chair, the full-time Member, five General Managers and committee also provides a forum for communication 14 Executive Managers. ACMA’s corporate structure at between senior management and the internal auditor 30 June 2008 is set out in Figure 2. (Oakton) and external auditor (the Australian National ACMA’s structure reflects the converging nature of the Audit Office). Issues addressed by the Audit Committee communications environment, providing stakeholders during 2007–08 focused on whole-of-organisation and with access to a more cohesive arrangement of key corporate processes, particularly those associated responsibilities. It aligns ACMA’s operations to reflect with the financial administration of ACMA. regulatory ‘inputs’ to industry (including allocation and Throughout 2007–08, ACMA’s Executive Group planning of spectrum, numbering, licensing and assisted the Chairman in his role as the Chief Executive technical standards) and the functional ‘outputs’ from Officer by providing counsel on issues of high-level industry that are regulated (including codes, content corporate or strategic significance to the agency. standards, investigations and consumer issues). The Executive Group comprised the Chairman, the This two-part structure is underpinned by corporate, Deputy Chair, the full-time Member and the five legal, and strategy and coordination areas. General Managers. At 30 June 2008, ACMA employed 591 staff under the More information about corporate governance—audit, Public Service Act 1999 (the Public Service Act), most security and risk management—is in Chapter 4. of whom are located in ACMA’s offices in Canberra, Melbourne and Sydney. ACMA also has field offices in Brisbane, Perth, Adelaide, , Coffs Harbour, , Newcastle, , Townsville and Wodonga. Contact details for offices are provided in Appendix 1. Detailed information about ACMA’s staff is provided in Appendix 3.

CORPORATE GOVERNANCE

ACMA’s regulatory functions are set out in Part 2, Division 2 of the Australian Communications and Media Authority Act 2005. Under the Act, responsibility for decisions about the agency’s regulatory functions rests with ACMA as an Authority. Under the Financial Management and Accountability Act 1997, responsibility for governance and management of the agency rests with the ACMA Chairman as the Chief Executive Officer. The ACMA Chairman is also the head of ACMA for the purposes of the Public Service Act and has the rights, duties and powers of an employer in respect of Australian public service employees in ACMA. During 2007–08, some of the powers vested in the Authority and the Chairman under the Acts above were delegated ex-officio to ACMA Members and staff.

6 ACMA ANNUAL REPORT 2007–08 Figure 2: Corporate structure of ACMA at 30 June 2008

Chairman and Chief Executive Officer Chris Chapman AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY ORGANISATION CHART

Strategy, Inputs to Industry Corporate Legal Analysis and Industry Outputs Services Services Coordination Giles Tanner Nerida Dianne Carlos Marcus Bezzi O’Loughlin James Shaw

National Sector People and Converging Legal Licensing and Analysis and Information Services Practice Allocations Reporting Management Grant Symons Natalina Velardi Jonquil Ritter Linda Caruso Louise Harkness

Codes, Spectrum Content and Strategy and Finance and Planning Education Coordination Facilities Andrew Kerans Andree Wright Maureen Cahill Derek Ambrose

Digital Pricing and Industry Television Policy Performance Taskforce Mark Loney Paul White David Brumfield (Acting)

Regulation and Content and Compliance Code Compliance Allan Major Kathleen Silleri (Acting)

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2 Regulatory environment Chapter 2 reflects ACMA’s key result areas related to public resource management, diversity of services, and community and national safeguards. ACMA’s responses to the performance information set out below for Outcome 1 can be found throughout the chapter.

Outcome 1 ACMA will provide a regulatory environment that supports an efficient communications sector. Outputs 1.1 Effective regulation of the communications industry. 1.2 Planning and licensing of communications services. Performance information • The regulatory framework supports an efficient communications sector while ensuring that public interest objectives are met. • The provision of services is not unnecessarily impeded by regulation, or regulatory activities. • Industry complies with the regulatory framework, with timely and appropriate enforcement action taken where required. • Industry feedback indicates industry acceptance of, and compliance with, the regulatory framework. • Research and stakeholder consultation is undertaken to maintain an informed understanding of the regulatory implications of industry, technology and service developments. • Planning activities are undertaken in a consultative manner to take into account stakeholder concerns. • Planned services are spectrum efficient and useable. • Price-based spectrum allocations are completed within six months of the Minister determining competition rules. • Spectrum planning mechanisms meet the needs of ACMA clients and conform to International Telecommunication Union and international treaty obligations. • Participation in international fora represents Australia’s interests effectively and strengthens regional harmonisation outcomes. • Online content, telemarketing and broadcasting code complaints; applications for an opinion on control or temporary approval of a breach of the Broadcasting Services Act 1997; codes investigations; and radiocommunications interference complaints related to safety of life issues are dealt with within applicable timeframes. • Minimisation of breaches and recurrent breaches of legislation, codes, standards and licence conditions. • Licensing and numbering transaction applications are received and dealt with within applicable time frames. • Availability of spectrum for new applications and services in Australia is made available in a timely manner, relative to other comparable countries. • The extent of spectrum licensed through class licensing. • The level of marketplace contestability, as measured by the ratio of frequency assignments conducted by ACMA, relative to external accredited frequency assigners.

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diversity situations (ensuring that a minimum number of REGULATORY FUNCTIONS different media owners remain in a market) and unacceptable three-way control situations (ensuring the As the regulator for broadcasting, the internet, one company cannot control television, radio and radiocommunications and telecommunications, newspaper in the one market). ACMA’s responsibilities include promoting self- and The legislative amendments enabled some significant co-regulation and competition in the communications commercial activity that would not have been possible industry, while protecting consumers and other users, under the previous media control rules. As a result, fostering an environment in which electronic media 2007–08 was a busy period for ACMA in monitoring respect community standards and respond to audience changes in control, considering applications for prior and user needs, managing access to the radiofrequency approval of transactions and temporary breaches of the spectrum, and representing Australia’s communications Broadcasting Services Act, and updating the various interests internationally. control registers. ACMA’s regulatory functions are set out in Part 2, ACMA’s monitoring role includes the handling of Division 2 of the Australian Communications and applications for prior approval of temporary breaches of Media Authority Act 2005 (the ACMA Act). control rules and opinions on control arrangements for a given company under Divisions 1, 2, 5 and 5A of Part 5 ACMA's responses to of the Broadcasting Services Act. This work involves convergence and regulatory maintaining a number of registers and reports on current pressures control arrangements, including the Register of Controlled Media Groups and the Associated Under the ACMA Act, ACMA is responsible for informing itself and advising the Minister for Newspaper Register. Broadband, Communications and the Digital Economy on technological advances and service trends in the Register of Controlled broadcasting, internet and datacasting industries. Media Groups Another of its functions is to report to and advise the A core component of the ownership and control rules is Minister about the telecommunications industry and the Register of Controlled Media Groups (RCMG). The matters affecting consumers of carriage services. ACMA RCMG provides information to industry and the also monitors and reports to the Minister on the community on the existence of registrable media groups operation of a number of Acts he administers, as in licence areas across Australia. The RCMG lists the specified in Sections 8, 9 and 10 of the ACMA Act. media groups in each commercial radio licence area, the During the reporting period, ACMA observed the media operations that form part of each group and the increasing impact of convergence on its regulatory controllers of those operations. During 2007–08, ACMA activity for communications and media services. To gain continued to keep the register and associated media a more detailed understanding of convergence, ACMA’s reports up-to-date and publicly available. work includes continuing research and analysis, particularly as it relates to technological advances, Entries in the RCMG changing market structures and business models, and The RCMG contains entries for registered media groups consumer issues. This activity supports ACMA in in each radio licence area. An entry in the RCMG lists contributing to the effectiveness and efficiency of the media operations that form part of a group and the regulation and promotes evidenced-based regulatory controllers of those operations. decision-making. While an entry for a media group is unconfirmed, or if a removal or alteration of an entry for a group is unconfirmed, the entry for the group includes a note OWNERSHIP AND CONTROL indicating the unconfirmed status. The RCMG also includes explanatory notes to assist users. ACMA plays a central regulatory role in monitoring and investigating broadcasting industry compliance with the Updates to the RCMG media ownership and control rules. Amendments to the Commercial television and commercial radio licensees Broadcasting Services Act 1992 (the Broadcasting and publishers of newspapers associated with a licence Services Act) implemented in 2007 removed the foreign area are required to notify ACMA of any changes in ownership and control restrictions, as well as certain control within five days of becoming aware of those restrictions on cross-media ownership and control of changes. Persons who come into a position to exercise Australian media assets. The amendments introduced a control of such licences and associated newspapers are number of key concepts relating to media ownership also required to notify ACMA within five days of including prohibitions relating to unacceptable media becoming aware of coming into that position.

10 ACMA ANNUAL REPORT 2007–08 _ g g

ACMA updates the RCMG when it is notified of monitor the ownership of media assets and is reflected relevant changes in control. Provided that a transaction in the RCMG. creating a new group does not result in an unacceptable media diversity situation or an unacceptable three-way Notifications of changes in control control situation, ACMA updates the RCMG with an Members of the public can find out about changes in unconfirmed entry within two days of receiving ownership and control through ACMA’s notifications notification. ACMA then reviews and confirms or registers and the RCMG. Reports based on these cancels the unconfirmed entry within 28 days. Similar registers are available on ACMA’s website. requirements apply to the removal and alteration Section 63 of the Broadcasting Services Act requires of entries. each commercial broadcasting licensee and each An unacceptable media diversity situation will arise if publisher of an associated newspaper to notify ACMA there are fewer than five points in any metropolitan when a person has come to be, or ceased to be, in a licence area or fewer than four points in any regional position to exercise control of the licence or newspaper. licence area. In general, each registrable media group The licensee must do this within five days of becoming constitutes one point, as does each separate media aware of the event. Similarly, section 64 of the operation that is not part of a registrable media group. Broadcasting Services Act requires a person who has An unacceptable three-way control situation exists if a come into a position to exercise control of a commercial broadcasting licence or an associated newspaper to person is in a position to exercise control of a notify ACMA within five days of becoming aware of commercial television licence, a commercial radio doing so. licence and an associated newspaper in the one radio licence area. ACMA received 46 notifications of changes in control during the reporting period. Some of these notifications ACMA supplements the information in the RCMG with concerned multiple licences or newspapers. The media control reports. In addition to the registered media breakdown was as follows: commercial radio (29), groups in each radio licence area, the reports include the commercial television (11), associated newspapers (4). ungrouped media operations and a guide to the points in In addition, there were two notifications relating to each radio licence area. television licences and to radio licences. ACMA amended the notifications registers and RCMG to reflect Compliance with ownership these changes, making the information available to and control provisions the public. Notices Enforcement for failure to comply with Under sections 61AN, 61ANA and 70 of the notification provisions Broadcasting Services Act, if ACMA is satisfied that Under Part 14E of the Broadcasting Services Act, an there is an unacceptable media diversity situation or an infringement notice officer authorised by ACMA can unacceptable three-way control situation, or that a issue a formal warning (under section 205XA) and this person is in breach of the ownership and control rules, it may be followed by an infringement notice (under may, by notice in writing, direct a person or, in some section 205Y) where the officer has reasonable grounds cases, the licensee, to take action so that the situation to believe that a person has contravened a notification ceases to exist or the person is no longer in breach. provision (sections 62, 63 and 64). ACMA did not issue any such notices during the The penalty specified in an infringement notice must be reporting period. $6,600 if the addressee of the notice is a commercial television broadcasting licensee, otherwise the penalty Annual notifications specified must be $1,100 in a notice. By 30 September each year, commercial television and In the reporting period 29 formal warnings were given radio licensees, and the publishers of the newspapers under section 205XA of the Act and eight infringement listed in ACMA’s Associated Newspaper Register, must notices were given under section 205Y of the Act, with provide ACMA with a list of all persons in a position to infringement notices for some formal warnings still exercise control of the licence or newspaper as at 30 under consideration as at 30 June 2008. June of that year. ACMA monitors compliance with this annual reporting Applications for prior approval requirement and takes enforcement action if it identifies Under section 67 of the Broadcasting Services Act, any non-compliance. Of the 363 licensees and publishers before a transaction takes place or an agreement is of newspapers required to provide ACMA with annual entered into that would place a person in breach of the returns by 30 September 2007, 349 provided their restrictions on control (Division 2) or directorships returns on time and 14 provided them after that date. (Division 3), the person may apply to ACMA for a prior The information provided in the annual returns is used to approval of the breach.

ACMA ANNUAL REPORT 2007–08 11 _ g g

Section 67 requires that ACMA must either approve or Associated Newspaper Register to include certain refuse approval for the breach within 45 days of overlapping licence areas. The register is on receiving the application, or approval for two years will ACMA’s website. be taken to have been given. Following the transaction that results in the breach, for which prior approval has Local content been given, details of any approvals under section 67 are available to the public through an ACMA notifications Regional television register. ACMA may approve the breach and specify a An additional licence condition for some regional period during which the person must take action to commercial television broadcasting licensees in arrange for the breach to cease. This period cannot be Queensland, and Victoria required more than two years. An extension of the period them to broadcast minimum amounts of material of local specified in a notice given under section 67 may be significance (local content) from 1 February 2004. sought under section 68. The minimum amounts of local content must comprise Prior approval may be sought for transactions that would at least 720 points per six-week period and a minimum result in an unacceptable media diversity situation 90 points per week. Points accrue on the basis of two coming into existence, or which would reduce the points per minute for local news, and one point per number of points in a licence area in which an minute for other local content material, excluding paid unacceptable media diversity situation already exists advertising. This licence condition was imposed by the (section 61AJ). Prior approval may be sought for former Australian Broadcasting Authority in response to transactions which would result in an unacceptable community concerns. three-way control situation coming into existence This additional television licence condition was imposed (section 61AMC). ACMA is not required to maintain a on licensees broadcasting in these licences: register of approvals given under sections 61AJ and • Seven Qld, Southern Cross and WIN TV in regional 61AMC. Extensions of time may be granted under Queensland; sections 61AK and 61AMD. • NBN Ltd, Prime Television and Southern Cross in During the reporting period, ACMA approved nine northern New South Wales; substantive applications for prior approval (being applications that were not replaced by later versions • Prime Television, Southern Cross and WIN TV in relating to the same transaction). In addition, ACMA southern New South Wales; and granted one extension of time of an approval period • Prime Television, Southern Cross and WIN TV in specified under section 67, pursuant to section 68; and regional Victoria. one extension of time of an approved period specified Based on figures provided to ACMA by the licensees under section 61AJ, pursuant to section 61AK. subject to the condition under a self-reporting scheme, all licensees met the quota requirements for 2007. Provisions of opinions on control Amendments to the Broadcasting Services Act passed in Under section 74 of the Broadcasting Services Act, an 2006 required ACMA to impose a licence condition applicant can request that ACMA give an opinion on from 1 January 2008, specifying a minimum level of whether a person is in a position to control a licence, a material of local significance for Tasmanian commercial newspaper or a company. ACMA must provide an television broadcasting licensees. This also covered opinion within 45 days of receiving the request; those mainland licensees in regional Queensland, NSW otherwise it is taken that ACMA’s opinion accords with and Victoria previously subject to such requirements. the applicant’s. This time may be extended if ACMA requires further information from the applicant. Implementation of this legislative requirement involved Opinions on control are available on payment of a fee. ACMA repealing the Broadcasting Services (Additional ACMA did not receive any requests for such opinions Television Licence Condition) Notice 7 April 2003 and during the reporting period. imposing two new licence conditions. The Broadcasting Services (Additional Television Associated Newspaper Register Licence Condition) Notice 8 November 2007 provides a Under section 59 of the Broadcasting Services Act, seamless transition for affected licensees in regional ACMA is required to maintain a public register of Queensland, NSW and Victoria, whose obligations to newspapers that are ‘associated’ with commercial radio broadcast material of local significance are essentially or commercial television broadcasting licence areas. unchanged. It also extends these obligations to the two The Associated Newspaper Register is relevant to main Tasmanian commercial television broadcasting determining the composition of registrable media groups licensees, Southern Cross and WIN. and assists ACMA and industry in monitoring The Broadcasting Services (Additional Television compliance with the media diversity requirements under Licence Condition – Digital Mode Transmission) Notice Division 5A of Part 5 of the Broadcasting Services Act. 8 November 2007 provides an alternative treatment for In May 2008, ACMA made some changes to the Tasmanian Digital Television (a digital-only service),

12 ACMA ANNUAL REPORT 2007–08 _ g g

for a limited period, before it is subject to the same compliance strategy relies on mandatory reporting and requirements as other affected licensees. on consumer complaints. As the electronic register of Tasmanian Digital Television is required to accumulate a approved local content plans is available from ACMA’s minimum level of points for material of local website, performance against obligations is transparent, significance (only 120 points in a calendar year), which enabling the public as well as ACMA to consider is lower than for other affected licensees. This compliance issues. alternative treatment will apply for up to five years, as ACMA did not receive any complaints from the public an interim measure pending the switch-off of analog concerning the local content obligations in the television services in Tasmania. reporting period. For all three commercial television broadcasting licensees in Tasmania, the ‘local area’ is defined by Broadcasting Financial Results these new licence conditions to be the Tasmania To inform itself and the government on industry trends, licence area. ACMA requests that commercial television and Regional radio commercial radio licensees submit details of their Under the Broadcasting Services (Additional Regional financial performance each year. Licensees provide Commercial Radio Licence Condition - Material of information on revenue, expenses, profits, assets and Local Significance) Notice 19 December 2007 which liabilities for each of their broadcasting services. ACMA commenced on 1 January 2008, all regional commercial aggregates the information and publishes it as radio licensees have been required to broadcast material Broadcasting Financial Results. of local significance between 5.00 am and 8.00 pm on Details on the financial performance of the 274 business days in the following amounts: commercial radio and 54 commercial television licensees • remote area service licences and racing service in metropolitan and regional Australia will be made licences must broadcast five minutes of such material; available in the Broadcasting Financial Results 2006–07 • section 40 and small licences must broadcast due to be published in August 2008. 30 minutes; and • other regional commercial radio licences must broadcast three hours. DIGITAL BROADCASTING Since April 2007, licences affected by a trigger event (as defined in the Broadcasting Services Act) have been required to comply with the Broadcasting Services Digital television (Additional Regional Commercial Radio Licence In December 2007, the Minister announced that the Condition – Local Presence) Notice 22 March 2007, and switchover to digital television broadcasting will be with statutory minimum service standards for local news completed by 31 December 2013. The completion of and information. Draft local content plans must be given switchover will mean the end of all analog television to ACMA within 90 days of a trigger event and annual broadcasting. The transition to digital means all viewers compliance reports within three months of the end of the will need to access digital receiving equipment to financial year. Local content plans approved by ACMA receive free-to-air broadcast television. are kept on an electronic register available on ACMA’s website. The assessment of local content plans arising As the regulator responsible for spectrum management from the new provisions resulted in a busy period for and broadcasting, ACMA has a number of ACMA in 2007–08. responsibilities related to the digital switchover. ACMA worked closely with the Digital Switchover A trigger event is: Taskforce and related areas of DBCDE during the first • the transfer of a regional commercial radio half of 2008. broadcasting licence; ACMA contributes to the Digital Switchover Taskforce • the formation of a new registrable media group where Industry Advisory Group (IAG) and a number of its a regional commercial radio broadcasting licence is in specialist working groups. The IAG brings together the group; or industry representatives from the broadcasters, digital • a change of controller of a registrable media group equipment manufacturers, importers and retailers, public where a regional commercial radio broadcasting and commercial housing agencies and a number of state licence is in the group. and federal government departments. The IAG provides Annual local content plan compliance reports and annual advice to the government on issues of concern to compliance reports under the local presence and material industry and allows industry to provide input into of local significance licence conditions are due by 30 switchover strategies. ACMA is providing technical and September 2008. These reports will be used to monitor policy expertise and regulatory advice to each of the compliance with trigger event obligations. ACMA’s working groups.

ACMA ANNUAL REPORT 2007–08 13 During the first half of 2008, ACMA planned a which included a component to capture the language transmission and reception evaluation study. ACMA used by householders when describing their television also made more than 1,000 measurements of digital set-ups, provides a range of case studies for further television reception around Australia during the year. analysis to help identify issues consumers may face in ACMA’s other activities relating to digital television switching to digital television. switchover include analysis of operational factors relating to switchover, assessing the requirement for Digital radio codes and standards, and contributing to digital dividend planning. Introduction of DAB+ digital radio In May 2007, the Australian Parliament passed Research and reporting legislation to implement the government’s policy ACMA conducted two research projects and published framework for the introduction of digital radio by the results of another in 2007–08. The full report on national broadcasters and broadcasting services bands research conducted late in 2006 into digital media in (BSB) licensees. The legislation is based on the use Australian homes was published in May 2007, and a of digital audio broadcasting (DAB/DAB+) digital further survey to update results was conducted in radio technology. December 2007. The headline results from this survey In 2007–08 ACMA developed six digital radio channel were released in April 2008, with the full report plans (DRCPs) setting out the frequencies and technical published in June 2008. characteristics for the digital radio services to be Digital Television in Australian Homes 2007 introduced in the state capital cities by 1 January 2009. The third in the series of surveys of digital television The DRCPs were completed in December 2007. At the uptake by Australian households was conducted for same time ACMA invited licence applications from ACMA by Ipsos-Eureka Social Research in December eligible joint venture companies. A single licence 2007, and the results released in April 2008. The survey application for each available Category 1 digital radio found that 42 per cent of Australian households had at multiplex transmitter licence was received in May 2008. least one television capable of receiving free-to-air ACMA expects to issue the licences early in the digital terrestrial television broadcasts, up from 30 per 2008–09 financial year. Licence applications for the cent in 2006 and 13 per cent in 2005. Category 3 digital radio multiplex transmitter licence (catering for ABC and SBS services) had not been Household Television Environment Research 2007 received by the end of the reporting period. Research was conducted for ACMA by Woolcott Strategic Research in late 2007 and early 2008 into the Also associated with the introduction of DAB+ digital television set-ups in 120 Sydney homes. The study, radio, ACMA made two fee determinations—a legislative instrument deeming two licence areas for the

Interior and exterior view of the new field survey vehicle, used for ACMA’s digital switchover work program.

14 ACMA ANNUAL REPORT 2007–08 NSW and Victorian radio for print handicapped services access to spectrum by new technologies and uses and the to be the same as the metropolitan commercial licence legitimate requirements of existing users for ongoing use area, and a declaration that the Category 1 digital radio of spectrum. This includes addressing the balance multiplex transmitter licences were Foundation between government use of the spectrum and its Category 1 digital radio multiplex transmitter licences. availability for use by the broader community. ACMA continues to work to balance the competing demands of Planning for other digital radio technologies such new uses, and those of the defence and essential The Digital Radio Mondiale (DRM) technology is a services sector, with the broader community possible candidate technology for digital radio in non- requirements for access to spectrum. BSB spectrum. DRM is a digital radio technology ACMA recognises that demand for spectrum is supported internationally for frequency bands below 30 increasing, the range of stakeholders it deals with is both MHz, including for non-BSB spectrum. In international increasing and becoming more varied, and spectrum trials, DRM has been shown to have better immunity issues themselves are becoming increasingly complex. from interference, superior audio quality and greater Therefore in 2007–08 ACMA introduced a number of coverage area than analog transmissions. Due to its initiatives to promote increased consultation, potential for very wide coverage, DRM is considered a transparency and accountability in its radiofrequency possible complementary technology to DAB. spectrum planning and management. These initiatives ACMA is in the process of planning the introduction of included: digital radio in non-BSB spectrum, part of which • the development of spectrum management principles involves embargoing the use of suitable bands below 30 that ACMA proposes to use in its management of the MHz. This is intended to avoid premature introduction radiofrequency spectrum; of unplanned services that may compromise the benefits to the public that would otherwise result from the • the establishment of a new advisory group, the introduction of planned services. ACMA believes that a Radiocommunications Consultative Committee; and greater public benefit should be realised if the bands are • the development and updating of a five-year rolling planned before introducing services. ACMA will spectrum strategy plan. undertake public consultation as part of its planning process. Spectrum management principles Digital radio trials On 15 April 2008, ACMA released a consultation paper seeking feedback on broad, high-level principles that Broadcasting services bands trials ACMA proposes to use in its management of the Digital radio trials using the DAB/DAB+ technology radiofrequency spectrum. An important aim in have continued during the reporting period. Broadcast developing these principles was to provide increased Australia has advised that it will not seek an extension to transparency to stakeholders about the framework its Melbourne trial when the licence expires on 30 June ACMA will adopt in fulfilling its statutory spectrum 2008. The Sydney trial licensed to Commercial Radio management functions. Australia is expected to continue until the permanent licensees are ready to commence operation. These trials The spectrum management principles are intended to operate within VHF television channel 9A in both cities. guide ACMA’s management of spectrum within its existing legislative responsibilities and government Non-broadcasting services bands trials policy settings. The key theme of the principles is to ACMA will consider licence applications for trials to use spectrum management approaches (including investigate use of the bands for DRM services. One trial market and regulated) so as to maximise the total using DRM in a non-BSB spectrum band (MF NAS welfare of Australians. band) is continuing in Sydney. In summary, consistent with the Radiocommunications Act, the principles that ACMA proposed: • allocate spectrum to the highest value use or uses; SPECTRUM PLANNING • enable and encourage users to move spectrum to its highest value use or uses; ACMA plans and manages the radiofrequency spectrum • use the least cost and least restrictive approach to in Australia. It is responsible for ensuring compliance achieving policy objectives; with licensing requirements and investigating complaints of interference to services. The scope of ACMA’s role • balance certainty and flexibility; and includes spectrum planning, apparatus licensing, class • balance the cost of interference and the benefits of licensing, spectrum licensing, auctions and trading, and greater spectrum utilisation. satellite communications and space systems regulation. The consultation paper affirmed that subject to the As in many other countries, Australia must constantly statutory framework, ACMA will adopt a total welfare address the balance between increasing demands for standard as its overarching framework for assessing the

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optimal approach to individual spectrum management among and between different interest groups. issues. The paper also recognised that ACMA will take This will provide ACMA with additional constructive account of the principles of good regulatory process and informed input and assistance in performing identified by the Taskforce on Reducing Regulatory its functions. 1 Burdens on Business in its regulation of spectrum. The RCC is formed under Section 58 of the Australian The closing date for submission on the draft principles Communications and Media Authority Act 2005 and will was 18 July 2008. assist ACMA in performing its spectrum management functions as set out in section 9 of the Act by: International activities • providing advice to ACMA on international and The International Telecommunications Union (ITU), domestic radiocommunications issues; World Radiocommunication Conference (WRC) 2007 • providing a forum for liaison and coordination was held in Geneva, Switzerland from 22 October to 16 between ACMA and organisations represented by November 2007. WRCs are held approximately every persons appointed to the Committee; four years to review and amend the International Radio • assisting ACMA by identifying other important Regulations. The regulations are annexed to the ITU interests that should be considered as part of a broader Constitution and Convention. The Australian delegation consultative approach; and consisted of 38 members from ACMA, government, industry and the private sector. ACMA was heavily • providing advice to ACMA on other relevant issues involved in all facets of WRC-07 preparation, discussion identified during consultation with industry groups. papers, and participation in key events and meetings leading up to the WRC, and in industry and stakeholder Five-year Spectrum Outlook 2009–2014 The radiofrequency spectrum is a finite and valuable participation in WRC activities. resource that needs to be managed for the overall public The majority of Australian positions were successful at benefit. There are many competing demands for the conference. The majority of the provisions revised spectrum use, and there is evidence to indicate that the by WRC-07 will come into force through the ITU Radio demand is increasing. The pace of technological change Regulations from 1 January 2009 and also by is increasing, which is resulting in greater dependency publication of the updated Australian Radiofrequency on spectrum-enabled activities such as remote sensing Spectrum Plan on the same date. and monitoring, radiofrequency identification (RFID) With the assistance of the Australian delegation, ACMA systems, and the automation of daily activities. New gave a debriefing on the outcomes of WRC-07 to nearly technologies provide both additional functionality and 100 industry representatives on 28 February 2008. allow higher data transfer rates within less bandwidth, ACMA participated at national, regional and enhancing the efficiency of spectrum utilisation. international meetings to prepare for WRC-07. The last To assist in managing the demand, ACMA has of five meetings of the Asia-Pacific Telecommunity developed the Five-year Spectrum Outlook 2009–2014 (APT) to prepare regionally for WRC-07 (APG2007-5), which identifies the fundamental issues affecting was held in Busan, Republic of Korea, from 16 to 21 spectrum demand of radiocommunications services over July 2007. At the meeting Australia was able to foster the 2009–2014 timeframe, and outlines ACMA’s greater involvement with other APT Administrations in preliminary thoughts on how to best manage demand. the preparation of regional positions for consideration by The document also highlights spectrum requirements WRC-07. Australia was successful in lobbying the that may arise beyond 2014, and contains ACMA’s region to adopt harmonised views which were generally indicative spectrum management work programs for the consistent with the Australian positions. next five years. The Five-year Spectrum Outlook will assist ACMA in Radiocommunications undertaking its spectrum management activities in an open and consultative manner, and provides stakeholders Radiocommunications Consultative with greater insight and transparency into the direction Committee (RCC) of ACMA’s spectrum management activities in the short The Australian Communication and Media Authority’s and medium term. The outlook will also facilitate (ACMA) Radiocommunications Consultative Committee constructive and meaningful discussions between (RCC) was established in November 2007 to facilitate ACMA and stakeholders about emerging pressures for consultation between ACMA and industry on major change to spectrum access arrangements, and will domestic and international radiocommunications issues. maximise the extent to which stakeholder feedback is The RCC met for the first time in March 2008 and met taken into account. again in June 2008. ACMA released a draft of the Five-year Spectrum ACMA sees the RCC as a means to provide informed Outlook for public comment in April 2008. Following consultation and focused advice on strategic matters, consideration of comments, ACMA intends to release a

1 Rethinking Regulation: Australian Government Response, 15 August 2006

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final version of the outlook in late 2008. As a living, The 400 MHz band is heavily used by the mobile forward-rolling document, it will be open to industry service and for other radiocommunication services comment at all times. ACMA will review and update the including fixed (point-to-point and point-to-multipoint), outlook annually to ensure it reflects current demands radiolocation and amateur services. and priorities. The review of the band came about due to increasing pressure from industry and users of the 400 MHz band Independent Review of Government to establish arrangements that will better accommodate Spectrum Holdings future communication needs through current and In June 2006, ACMA entered into a contract with a emerging technologies. The aim of ACMA’s replanning private consultancy firm for the provision of an is to maximise, by ensuring efficient allocation and use independent review of government spectrum holdings. of the spectrum, the overall public benefit derived from The aim of the review was to assist ACMA to better its use, while continuing to provide adequate spectrum meet its statutory obligations, in particular, balancing the for defence, national security and emergency services. overall public benefit derived from use of the An additional motivation for reviewing the band is to radiofrequency spectrum resource and the need to make identify harmonised spectrum to facilitate adequate provision of spectrum for defence, national radiocommunications interoperability between certain security, law enforcement, emergency services and other government agencies, such as law enforcement and other government agency requirements. emergency services. The final report of the Independent Review of ACMA will be reviewing the responses it receives to the Government Spectrum Holdings identified 30 individual discussion paper released on this issue and developing recommendations for further consideration, some of further detailed options throughout 2008–09. which were quite broad ranging and some of which are not in the sole remit of ACMA. The 2.3 GHz band The review described the current and potential uses ACMA released for public comment a draft spectrum of major government spectrum holdings and identified marketing plan, associated instruments and a discussion whether the overall public benefit would be maximised paper detailing a proposed variation to the technical by making all or part of bands used by government framework applicable to spectrum licences in the 2.3 available for non-government use. It also identified GHz band and allocation of residual spectrum in rural or mechanisms and approaches to assist ACMA in remote areas of Australia. The revised technical considering requests for new government framework now incorporates principles of technical spectrum holdings. flexibility by providing for a broader range of services or technologies not necessarily considered at the time of The recommendations of the review were determined, to conversion. The new framework will facilitate use of the a large extent, to be consistent with ACMA’s broader 2.3 GHz band to provide a wide range of advanced approach to spectrum management. However, it was communications services including 3G and 4G mobile identified that extensive work would be necessary before services, wireless access services such as broadband detailed measures for implementation can be developed wireless access, data transfer, and the potential for for some findings. remote control over plant and equipment, and ACMA released the final report of the Independent video surveillance. Review of Government Spectrum Holdings and ACMA’s Submissions will assist ACMA to identify and preliminary response to the final report in April 2008 assess issues that require further consideration before and invited stakeholders to comment on the review’s subjecting existing spectrum licences in the 2.3 GHz recommendations. ACMA’s preliminary response to the band to the conditions of the revised technical review outlined a number of distinct issues that ACMA framework and before making the residual spectrum will further consider in detail and in consultation with available for allocation. The consultation period stakeholders. As a result of the review, a number of ended on 30 June 2008 and ACMA received follow-on projects have commenced and will be seven submissions. progressed through 2008–09. Telstra CDMA and Next G™ network Review of the 400 MHz band coverage comparison In April 2008, ACMA took the first public step in In September 2007, Telstra’s carrier licence condition reviewing arrangements in the radiofrequency spectrum was amended to require it to maintain its CDMA from 403–520 MHz (known as the 400 MHz band) by network until notified that its new third generation (3G) seeking public and industry comment on options for the Next G™ network provided coverage equivalent to or future use of the band. The review of the 400 MHz better than its CDMA mobile phone network. This band is consistent with the provision of a regulatory followed Telstra’s announcement in October 2006 of the environment supporting an efficient commencement of operation of its Next G™ network, communications sector. intended to replace its CDMA network in 2008.

ACMA ANNUAL REPORT 2007–08 17 _ g g

To assess whether there was equivalent coverage ACMA also provides ongoing advice to Australian between the CDMA and Next G™ networks, ACMA government agencies and the Australian space undertook a number of surveys of the voice coverage of community on space radiocommunications. During the both networks, with the assistance of a consultant. The reporting period, ACMA provided advice on: assessment comprised signal-level measurements • the bid to have the most advanced radio covering 15,000 kilometres and more than 230 base telescope in the world, the Square Kilometre Array, stations in all states and the Northern Territory. The based in Australia; surveys were completed in December 2007. • activities of the European Space Agency, National The survey results were reported to the Minister on Aeronautics and Space Administration and Japanese 9 January 2008 and concluded that coverage of the two Aerospace Exploration Agency as they relate to networks was not equivalent within the meaning of Australia; and clause 15(1) (a) of the Telstra carrier licence condition. This was a result of the signal sensitivity performance of • regulatory matters for Australian satellite operators. some Next G™ mobile phone handsets. Prior to the Minister’s announcement, ACMA provided Satellite network filings to DBCDE a report on coverage rectification measures The 2007–08 reporting year saw two major deliverables undertaken by Telstra. On 15 April 2008, the Minister for satellite networks, submitted to the ITU by ACMA, announced that Telstra had met the requirements of its on behalf of the Department of Defence. One of these licence condition to allow closure of its CDMA mobile concerned future Australian Defence Force access to phone network from 28 April 2008. satellite services within the region, while the other concerned Australian participation in an initiative of the Wireless access services United States of America for a major new global system In February 2006, ACMA commenced a strategic of military communications satellites. consultation process with the release of a major Another Australian submission to the ITU included the spectrum planning discussion paper entitled Strategies ASIABSS-B satellite network, to cater for the provision for Wireless Access Services. of sound broadcasting services into our region. This In December 2006, ACMA published a spectrum reporting period also saw the end of the FEDSAT planning discussion paper entitled Strategies for mission, an Australian designed research spacecraft. Wireless Access Services: Spectrum Access Options, which built on the outcomes of the February paper. It Review of satellite regulation presented suitable candidate bands for the short, medium practices and processes and long term and sought detailed comments on the The Radio Regulations of the ITU require its members bands and options for band segmentation and licensing. to be mindful that radio frequencies and satellite orbits Responses to the December 2006 paper are being are limited natural resources and must be used rationally, considered and an announcement on the outcome of the efficiently and economically. consultation is expected in the first quarter of 2008. To ensure compliance with the Radio Regulations and good governance, ACMA has commenced preparatory Space regulation work on a review of its practices and processes relating ACMA has responsibility for fulfilling Australia’s to the coordination and interference management of obligations as a member of the International satellite networks. ACMA anticipates that the review Telecommunication Union (ITU). In relation to will be conducted during the next reporting period. regulation of space activities, ACMA supports the filing The aim of the review is to refine satellite regulatory of Australian satellite networks with the ITU and practices and processes to foster genuine commercial actively works with prospective satellite operators in satellite services in and for Australia in a way that meeting these obligations. In addition to filing satellite optimises the effective, efficient and equitable networks, ACMA provides the interface with other ITU assignment and use of an increasingly internationally administrations in coordinating Australia’s satellite exploited public resource. spectrum requirements. The preparatory work of the review has examined: During the reporting period, ACMA assessed 214 • the criteria against which the Authority assesses satellite coordination notices, and sent 203 responses to foreign administrations concerning coordination of their requests to file details of a proposed satellite network proposed satellite networks with Australian spectrum with the ITU; requirements. This role is intended to protect Australian • the documentation and management of the interests and to maximise the overall public benefit for relationship between ACMA and satellite operators, use of spectrum while working cooperatively with including improved performance monitoring and member administrations. management; and

18 ACMA ANNUAL REPORT 2007–08 _ g g

• the regime of fees and charges currently applied to The majority of licensees opt for a one-year licence with ACMA services and a comparison with those applied annual renewals thereafter. by other ITU member administrations. In 2007–08, a total of 12,918 new apparatus licences were issued, bringing the number of current licences at 30 June 2008 to 155,465 (see Table 2). During the ALLOCATION AND reporting period, 143,786 licences were renewed or carried over as multi-year licences. There are currently LICENSING 9,342 multi-year licences issued. The number of new licences issued for each of the last three years has ranged from 10,483 in 2005–06 to 12,918 in 2007–08. Market-based resource management During the same period, the annual number of apparatus licences has averaged 150,784. Market-based resource management makes a significant contribution to an efficient communications sector. A total of $146.2 million in licence tax and charges In particular, it contributes to the efficient planning, revenue was collected in 2007–08. allocation and use of national resources such as The number of apparatus licences issued from 2007–08 radiofrequency spectrum and smartnumbers® is given in Appendix 5. (freephone and local rate telecommunication numbers). ACMA uses market-based approaches to resource Amendment of Licence Conditions management to maximise the efficient allocation and Determinations use of resources. Auctions are used to allocate all On 7 February 2008 ACMA made the smartnumbers®, as well as spectrum in bands and areas Radiocommunications Licence Conditions (Amateur where demand exceeds supply. ACMA supports a Licence) Amendment Determination 2008 (No. 1). secondary market for trading of spectrum and The introduction of this Determination is one of the smartnumbers® to re-allocate resources to higher value measures proposed in 2004 in the ACA’s Outcomes of uses when market values change after the initial the Review of Amateur Service Regulation. That review allocation by ACMA. This supports a dynamic considered changes made to Article 25 of the communications sector and enables industry to meet International Telecommunication Union Radio the continually changing communications needs of Regulations arising from the World Radio the community. Conference of 2003 and other possible options for the Amateur Radio Service. Radiocommunications licensing The Determination introduced a range of measures that included clarifying who could operate an amateur Apparatus licensing transmitter. In particular, this addressed issues associated New licences with operation by persons with overseas amateur Apparatus licences can be issued for any period ranging qualifications and operation by persons undergoing from one day up to a maximum of five years. training and examination.

Table 2: Radiocommunications apparatus licences, 30 June 2008

Type of licence Revenue 2007–08 ($million)

Assigned licences

Public telecommunications service 65.1

Fixed 44.4

Land mobile 19.7

Satellite* 4.5

Defence 6.5

Other 4.2

Total assigned licences 144.4

Non-assigned licences 1.7

Total 146.1

*Includes earth, space, earth receive and space receive licences

ACMA ANNUAL REPORT 2007–08 19 _ g g

Also clarified were the conditions relating to position on whether to proceed or not in the second interference and transmitter spurious emission limits. half of 2008. The licences consist of two nationwide lots of Price-based apparatus licence allocations datacasting transmitter licences (a type of apparatus Low power open narrowcasting licences licence), each of which comprises 7 MHz of spectrum. ACMA allocates low power open narrowcasting (LPON) Frequencies vary from area to area, but are generally licences quarterly in response to applications, holding located in UHF television bands IV or V, that is, auctions where there are competing applications. LPON 526–820 MHz. The licences are provided for under licences allow for the provision of niche radio services, provisions of the Radiocommunications Act 1992 (the such as tourist radio and racing information, or ethnic Radiocommunications Act) and the Broadcasting and religious programming. They operate at very low Services Act. power outputs and are designed to allow narrowcasting The licences for Channel A will allow the provision of services within a limited area. During the year, ACMA open narrowcasting, datacasting and community allocated an additional 123 LPON licences, raising television services. The licences for Channel B will revenue of $65,950. allow the provision of a wider range of services, Wireless access services including mobile television. In September 2007, ACMA invited applications for apparatus licences in the 1900–1920 MHz band for fixed Licensing for trials point-to-multipoint stations. These licences are used for Limited trial of mobile phone services on wireless access services (WAS), the wireless connection commercial aircraft of business and households to the internet and the In 2007, ACMA enabled a limited trial by Norwegian phone system. company Telenor Mobile Aviation AS of mobile phones The spectrum made available was in regional and remote on a Qantas passenger aircraft operating on domestic areas of Australia. Apparatus licences are not available Australian routes. A carrier licence was granted to in all areas as the 1900–1920 MHz frequency band is Telenor Mobile Aviation AS and a nominated carrier currently subject to spectrum licensing arrangements in declaration to AeroMobile Limited for the trial. metropolitan and some regional areas. The trial was conducted under conditions imposed by In response to unexpectedly high market demand for ACMA in Interception Exemption Notice 2007 (No. 1), some licences, ACMA decided to auction broadband which exempted the licensee from the obligations wireless access licences in the frequency band imposed on it by section 324 of the Telecommunications 1900–1920 MHz. ACMA considered that a price-based Act 1997 (the Telecommunications Act) and in allocation (auction) was the simplest way to ensure the scientific licence issued under the fairness and the efficient use and allocation of spectrum Radiocommunications Act. where demand for spectrum exceeded supply. The trial ended on 27 January 2008. Both Qantas and The closing date for applications was 26 September AeroMobile have advised that the trials of SMS and 2007, and where there was only one applicant for a GPRS functionality were successful. Voice services licence in an area, ACMA offered that applicant the were not trialled. Commercial interest exists in this opportunity to acquire the licence for its pre-determined technology and ACMA is considering the establishment price (that is, without conducting an auction). Licences of a permanent regulatory regime for in-flight at the pre-determined price of $82.00 were acquired in mobile phone services in accordance with the Rockhampton, Cairns, Mildura, Mackay, , relevant legislation. Bairnsdale, Bendigo, Tamworth, Orange, Maryborough, Potential use of mobile phone jammers in prisons Traralgon, Ballarat, , Bundaberg, Warrnambool, In 2006, after representations from the correctional , Maryborough, , Callignee South, services community and Telstra, ACMA agreed to a Tinamba and Sale. proposal for a laboratory test of a jammer device by On 20 December 2007, ACMA conducted an open Telstra under the auspices of the Australian Federal outcry auction to allocate licences in areas where Police. ACMA put in place the necessary regulatory conflicting applications were received. ACMA sold two arrangements to enable the testing to occur. The test was lots in at the bid prices of $12,500 and held on 10 August 2007 and Telstra provided a report on $11,500 and two lots in Townsville at the reserve price the results of the test on 2 November 2007. of $2,000 each. Channels A and B datacasting transmitter licences Spectrum licensing The status of the Channels A and B licences and their allocation is being reviewed by the Minister for Spectrum auctions Broadband, Communications and the Digital Economy. ACMA has a quarterly price-based allocation program The Minister has said that the government will reach a for spectrum licences in the 3.4 GHz and 500 MHz

20 ACMA ANNUAL REPORT 2007–08 _ g g

bands. The lots on offer are those remaining unsold • revised arrangements for transmitters used for following previous price-based allocation processes. underground communications, to extend coverage of In the 3.4 GHz band, spectrum is still available in above-ground broadcasting services. This is to Hobart, Launceston, Brisbane and Sydney. No lots were facilitate the introduction of digital radio services; and sold in 2007–08. • an increase in the equivalent isotropically radiated In the 500 MHz band, spectrum is still available in power level for biomedical telemetry transmitters, to allow a broader range of equipment used overseas to Adelaide, Brisbane, Cairns, Canberra/South Coast, be offered in Australia. Central West NSW, Newcastle, Northern Rivers, Pilbara, regional Victoria, south-west WA, ACMA also sought public comment on a proposal to Sydney/Wollongong, Tasmania and Townsville. authorise the operation of radio local area networks (RLANs) in the 5600–5650 MHz band. The additional In September 2007, eight lots in Newcastle were sold at protection for other services provided in the band, such the reserve price of $7,440, six lots in Sydney sold at the as weather radar, was also proposed by requiring an reserve price of $9,000 and two lots sold in Melbourne extended channel check time of 10 minutes before a at the reserve price of $12,000. RLAN could operate. As part of the submissions from the public about the variation to the LIPD, the Bureau of Class licensing Meteorology indicated that there remained a high level of risk of interference to its equipment. As there was no Low interference potential devices support from industry for the authorisation of RLANs in Low interference potential devices include a wide range the 5600–5650 MHz band, ACMA did not proceed with of low power radio transmitters used by the public every this proposal. day, such as garage door openers, wireless local area networking equipment and wireless identification tags. Overseas amateurs visiting Australia Operation of these common devices without individual On 7 February 2008, ACMA issued coordination is accomplished through class licensing. Radiocommunications (Overseas Amateurs Visiting ACMA’s class licensing arrangements provide a Australia) Class Licence 2008, with a commencement no-cost-to-the-user authorisation for the operation of date of 14 February 2008. such equipment, without the need for issuing The introduction of this class licence is one of the individual licences. measures proposed in 2004 in the ACA’s Outcomes of The rapid development of radio technology leads to the Review of Amateur Service Regulation. That review significant numbers of enquiries from equipment considered changes made to Article 25 of the International Telecommunication Union Radio importers who seek the inclusion of new equipment Regulations arising from the World Radio Conference items with class licences. However, before the operation of 2003 and other possible options for the Amateur of a device can be covered by a class licence, planning Radio Service. studies must be conducted to determine a set of common characteristics to make sure that the operation of these This particular class licence allows a person to operate devices represents a low interference risk to existing an amateur station only if the person is an amateur Australian radiocommunications services. visiting from overseas and holds an overseas amateur qualification or licence. In the past 12 months, ACMA planning studies have led to one variation to the Radiocommunications (Low The licence authorises operation of the amateur station for 90 days after each entry to Australia. An overseas Interference Potential Devices) Class Licence 2000 (the amateur may choose to operate for the first 90 days LIPD Class Licence). The variation included the under this class licence, but would need to apply for an incorporation of the Radiocommunications (Infrared apparatus licence if they want to continue operating Devices) Class Licence 2000, so that the class licence after 90 days. relating to infrared devices could be revoked. Other changes to the LIPD Class Licence included: There are conditions that apply to the licence when a person visiting from overseas wants to operate an • the insertion of a new item to support the amateur station. For example, the licence provides operation of wireless personal area networks for five different levels of operation, each of which (WPANs) for indoor use; relates to a specific level of overseas qualification or • changes to arrangements in the 60 GHz band; overseas licence.

Table 3: Accredited persons, 30 June 2004 to 30 June 2008

30 June 2004 30 June 2005 30 June 2006 30 June 2007 30 June 2008

Number of accredited persons 47 47 53 57 66

ACMA ANNUAL REPORT 2007–08 21 _ g g

Accredited persons scheme Amateur radio operator examination services ACMA accredits appropriately qualified persons to The Wireless Institute of Australia continued to provide assist radiocommunications licensees. Accredited amateur examination services on behalf of ACMA. Based on the results of these examinations, ACMA persons issue frequency assignment certificates for issued 858 amateur operator certificates of proficiency apparatus licences and interference impact certificates during the reporting year—588 foundation, 168 standard for spectrum licences. The number of accredited persons and 102 advanced certificates. increased during 2007–08 from 57 to 66 (see Table 3). Table 4 shows the frequency assignments made by Broadcasting licence area plans accredited persons and ACMA assigners over the last and variations five years for apparatus licences. The percentage of A licence area plan (LAP) relates to broadcasting and is assignments made by accredited persons remained a legislative instrument made up of a determination, steady at 66 per cent in 2007–08. schedules and attachments setting out the licence area Accredited persons register all devices that require and the technical specifications for existing and authorisation to operate under a spectrum licence, proposed services. supporting the self-regulatory approach to spectrum Over the reporting period, ACMA completed seven management that spectrum licensing was intended to variations to LAPs (see Table 5). introduce. This approach allows licensees to take responsibility for much of the administration related Government-administered programs to their spectrum licences. In 2007–08, accredited Parliamentary and News Network persons registered 4,225 devices operated under extension program spectrum licences. During the reporting period, ACMA provided technical and frequency planning in support of the Australian Operator examinations Government’s objective of extending ABC NewsRadio’s Parliamentary and News Network service to all Marine radio operator examination services transmission areas with a population of 10,000 or more. The Australian Maritime College in Launceston This included identifying alternative spectrum options continued to provide marine radio operator examination for seven of the 22 residual areas where ACMA has services on behalf of ACMA. The college is responsible been unable to identify appropriate spectrum to satisfy also for publishing the recommended textbook for the requirements of the ABC for NewsRadio because candidates undertaking examinations for Marine Radio of FM spectrum congestion in the region and Operators Certificates of Proficiency. During the interference issues. financial year, the Australian Maritime College commenced production of a Marine VHF Radio Broadcasting licensing Operators Handbook in addition to the general purpose In 2007–08, ACMA: Marine Radio Operators Handbook. The new handbook • issued 28 transmitter licences for national radio; will make it easier for the bulk of marine radio users, who use VHF marine radios only, to prepare for the • issued 115 broadcasting retransmission licences; Marine Radio Operators VHF Certificate of • approved 1,245 applications for out-of-area television; Proficiency examination. • issued 111 radio and television test transmission The college is required to report to ACMA about the licences; marine radio operator examination and certification • varied 40 radio and television apparatus licences; and service by 31 October each year. The report is published • issued 144 special event broadcasting licences for on the college website. radio and television services.

Table 4: Assignments registered, 2003–04 to 2007–08

2003–04 2004–05 2005–06 2006–07 2007–08

Frequency assignments 6,318 8,245 8,619 10,395 12,260 registered by accredited persons 51% 59% 60% 66% 66%

6,068 5,632 5,635 5,424 6,585 Frequency assignments performed by ACMA 49% 41% 40% 34% 34%

Note: Figures are for spectrum accesses created for new assigned apparatus licences and include those created for short-term events, such as the Melbourne Grand Prix

22 ACMA ANNUAL REPORT 2007–08 _ g g

International broadcasting licences Community radio broadcasting licences ACMA received one application for international The allocation of community radio broadcasting licences broadcasting licences during 2007–08. A licence was under Part 6 of the Broadcasting Services Act for issued to the Japan Center for Intercultural services using the BSBs is made on the basis of the Communications on 12 February 2008. merits of the applicants and their proposed services and, where necessary, on the comparative merits of Temporary community broadcasting licences competing applicants and services. ACMA is not The temporary community broadcasting licence (TCBL) obliged to allocate a community broadcasting licence to scheme has been in place since August 1997. an applicant even though it has advertised for and The scheme provided for ACMA to allocate non­ received applications. renewable community radio licences to eligible aspirant During the reporting period, ACMA allocated five broadcasters for periods of up to 12 months. community radio broadcasting licences for services The licences were only allocated if channels in the using the BSBs and renewed 148 community radio broadcasting services bands (BSBs) were available broadcasting licences. This represented a peak year for for transmission. the renewal of community radio broadcasting licences. The scheme gives ACMA considerable flexibility in There were 353 community radio broadcasting licensees promoting the efficient and effective use of the at 30 June 2008. spectrum. It also allows aspirant broadcasters the During 2007–08: opportunity to establish and develop a service for their • ACMA renewed 17 community broadcasting licences community interest before the merit-based allocation with agreed measures and one with additional of long-term licences. conditions; In the reporting period, ACMA allocated 56 TCBLs and • ACMA refused to renew four community there were 50 current TCBLs at 30 June 2008. broadcasting licences;

Table 5: Variations to licence area plans—analog radio

Service area Purpose of variation

To allow changes to the ABC’s news radio service 7PB to enable it to use day/night switching Hobart, Tas. to improve coverage during daylight hours without causing interference at night. August 2007 The variation also enables the community radio service 7THE in Hobart to swap the FM frequencies used as its main and translator services and operate from new sites.

Varied the technical specifications of the Gympie commercial radio services 4GY and 4NNN Gympie, Qld to improve coverage and reception of their translators in the Noosa/Tewantin area of QLD. February 2008 The variation also makes channel capacity available for the existing national radio service, 4PNN at Gympie.

The variation changes the transmitter site for a HPON service at Tully; adds capacity for two Innisfail, Qld new transmitters for the commercial services 4ZKZ in Tully and 4kZ in Babinda; and removes March 2008 capacity for three transmitters at Bramston Beach, Hinchinbrook and Murray Falls, as these areas are adequately served by other transmitters within the licence area.

Lithgow, NSW Varied the technical specifications of Lithgow commercial radio services 2LT and 2ICE to April 2008 improve reception in the Blue Mountains area of NSW, particularly for listeners in Katoomba.

Varied the technical specifications of the licence for Kyneton community radio service 3CH to improve its coverage and reception, particularly for listeners in the Macedon Ranges Shire Bendigo, Vic. area. May 2008 The variation also makes available channel capacity for a new community radio service in Maryborough.

To allow for changes to the community radio service in Moss Vale, NSW to relocate its Nowra, NSW transmitter site, increase its maximum transmission power and extend its service to cover the June 2008 entire Wingecarribee region.

Varied the technical specifications of community radio service at Renmark/Loxton to change Riverland, SA the assigned frequency from 93.9 MHz to 100.7 MHz. June 2008 The variation subsequently makes 93.9 MHz available in Renmark/Loxton for the ABC to provide its Parliamentary and News Network service.

ACMA ANNUAL REPORT 2007–08 23 _ g g

• three community licences expired; and • has a certificate entitling it to conduct a trial of its • one community licence was surrendered. services or operations without holding a carrier licence. Commercial radio broadcasting licences A network unit can be either specified line links or During 2007–08, no commercial radio broadcasting radiocommunications facilities. licences were allocated for services using the BSBs. In 2007–08, 17 carrier licenses were granted by ACMA, The last commercial radio broadcasting licence was down from 25 during 2006–07. Thirteen carriers allocated on 7 October 2004. ACMA renewed 46 surrendered their licences during the financial year. commercial radio licences for services using the BSBs At 30 June 2008, there were 174 active carrier licences. during the reporting period, and there were 273 Since the commencement of the Telecommunications commercial broadcasting licences at 30 June 2008. Act on 1 July 1997, ACMA has granted 251 carrier licences. Commercial television During 2007–08, ACMA renewed 20 commercial In 2007–08, 13 nominated carrier declarations were television broadcasting licences. No new commercial granted compared to seven in the previous reporting broadcasting licences were allocated. There were year. ACMA revoked two nominated carrier declarations 55 commercial television broadcasting licences at in 2007–08. At 30 June 2008, there were 75 active 30 June 2008. nominated carrier declarations. From 1 July 1997 to 30 June 2008, ACMA granted 104 nominated Community television carrier declarations. Community television broadcasting licences are Under section 51 of the Telecommunications Act, the allocated in the same manner as community radio Minister has made a determination that the carrier broadcasting licences. After conducting an allocation licensing requirements do not apply where ACMA has process for a community television broadcasting licence issued a certificate stating that the network unit is being to serve Adelaide, ACMA did not allocate the licence. solely used for a trial. The trial of new networks and ACMA allocated two community television broadcasting services allows applicants to test the technical soundness licences for remote Indigenous broadcasting services and commercial prospects of their networks. ACMA did during 2007–08. not issue any trial certificates during 2007–08. ACMA met its statutory obligations and key There were 82 community television broadcasting performance indicators for carrier licence applications licences at 30 June 2008, of which 78 were for remote during 2007–08 by issuing licences within 90 days Indigenous broadcasting services. ACMA renewed of application. 69 remote Indigenous broadcasting services during 2007–08. Community television trial TELECOMMUNICATIONS During 2007–08, ACMA made spectrum available for community television trials in Adelaide and Lismore for NUMBERING the period 5 July 2007 to 4 July 2008, and 29 June 2007 to 28 June 2008 respectively. These services are made possible by a condition on the apparatus licences that Numbering Plan administration they be used to provide an open narrowcasting ACMA manages the Telecommunications Numbering television service for community and educational Plan 1997 (the Numbering Plan), which sets out the non-profit purposes. framework for the numbering of carriage services in Australia and the use of numbers in connection with the Telecommunications licensing supply of such services. ACMA is also responsible for managing the existing numbering resource and planning Carrier licensing for new numbering developments in Australia. A carrier licence must be held by the owner of a The Numbering Plan was varied twice during the telecommunications network unit if it is to be used to reporting period to meet the changing needs of industry supply a telecommunications carriage service to the and the community. One variation specified sufficient public, unless that entity: numbers to cater for demand for the next ten years and • enters into an arrangement by which a licensed carrier included a trigger that will release the new numbers for is nominated to take on the responsibilities of a carrier allocation once all existing numbers are utilised. for those network units (nominated carrier The second variation placed an age-restricted content declaration); limitation on the prefixes 195 and 196 used to provide • is exempted from the requirement to hold a carrier premium-rate SMS. This limitation was moved from the licence; or Telecommunications Service Provider (Mobile Premium

24 ACMA ANNUAL REPORT 2007–08 _ g g

Services) Determination 2005 (No. 1) to the Numbering providers (CSPs). The guideline was endorsed by the Plan for administrative reasons. Communications Alliance in December 2007. A NAC working group has been formed to consider the Additional services for 1223 issues and options associated with a review of the The Numbering Plan allows additional optional services Numbering Plan within the existing legislative on the directory assistance number 1223, including framework. The Numbering Plan Review Working national and international operator-connected calls and Group met twice during 2007–08, as did a subcommittee other operator services such as ‘through connect’. of the group. The Numbering Plan requires CSPs, subject to the The main focus of the working group has been to government’s price control arrangements under Part 9 of identify the specific changes required to the Numbering the Telecommunications (Consumer Protection and Plan that will improve its readability and refine its Service Standards) Act 1997, to develop an implementation operation plan (IOP) for ACMA’s procedural detail. The working group developed a range approval. Telstra is currently the only CSP subject to of short- and long-term issues that will improve the these price control arrangements. current structure and content in the Numbering Plan and provide clarification in certain parts. The working group During the reporting period, ACMA approved an IOP also developed a guide to the Numbering Plan that submitted by Telstra. Consistent with the Numbering references the rules applicable to each service type and Plan, the IOP provides adequate safeguards so that free number range contained within the plan and in other directory assistance will remain accessible to Telstra’s legislation, including industry codes. The working group eligible customers when additional optional services are will continue to report to the NAC to progress the issues offered on 1223. CSPs are required to notify their associated with this review. customers of additional charges before optional services are offered. Number allocations register Numbering Advisory ACMA maintains a register of numbers that have been Committee allocated to CSPs and numbers that have been permanently transferred from one CSP to another. The Numbering Advisory Committee (NAC) This information is necessary for CSP functions such as comprises representatives of the telecommunications routing and billing, and is used by ACMA in industry, telecommunication users, community groups administering the Annual Numbering Charge (ANC). and government, and formulates, administers and The database incorporating this register allowed CSPs provides advice on numbering policy. The NAC and others to effectively access this information primarily addresses issues relating to the development during 2007–08. and management of the Numbering Plan, including the allocation and specification of numbers, and the distribution and administration of annual Numbering transactions numbering charges. During 2007–08, ACMA assessed 78 applications for The NAC met twice during 2007–08 and provided numbers from 19 CSPs, including geographic, digital advice on the annual numbering charges for 2008; mobile, location-independent communication services working supply and 100 number policies; number and operator service codes. The average time to process portability for 13, 1300 and 1800 numbers; premium routine applications was 5.13 working days, compared rate numbers and the guideline concerning accuracy of with 4.27 working days for 2006–07. ACMA met its geographic numbering records to assist carriage service statutory requirements and key performance indicators

Table 6: Quantity of numbers allocated by number type, 2007–08

Type of number CSPs allocated numbers Quantity of numbers allocated

Geographic 12 4,508,600

Digital mobile 3 2,900,000

Location independent communications services 6 45,000

International signalling point codes 2 3

Operator service 1 6

Pre-select override code 1 1

Total numbers allocated 7,453,610

ACMA ANNUAL REPORT 2007–08 25 _ g g

Table 7: Quantity of numbers surrendered by number type, 2007–08

Type of number CSPs surrendering numbers Quantity of numbers surrendered

Geographic 1 10,000

ISPC 1 7

Operator service 1 4

ENUM 1 100,000

LICS 2 22,000

Satellite telephone service 1 10,000

Pre-selection override code 2 4

Telex 1 3

Total numbers surrendered 142,018

Table 8: Quantity of numbers transferred by number type, 2007–08

Type of number CSPs transferring numbers Quantity of numbers transferred

Geographic 2 33,000

Digital mobile 1 600,000

Total numbers transferred 633,000

by processing the numbering applications for 2007–08 In late 2000, Industry Number Management Service well within the 10-day statutory timeframe. (INMS) Ltd was contracted to provide delegated freephone (1800) and local rate (13) services. During ACMA allocated 4.5 million geographic numbers during 2004, the management of six- and eight-digit premium 2007–08, significantly more than the 3.2 million for rate numbers was also contracted to INMS. Transactions 2006–07. Fewer digital mobile numbers were allocated undertaken by INMS include allocations, withdrawals, during 2007–08 (2.9 million) compared with 2006–07 reservations or placements in quarantine. Table 9 shows (four million). Table 6 shows the numbers allocated by the quantity of numbers allocated by INMS and Table number type in 2007–08. 10 shows the quantity surrendered in 2007–08 by During 2007–08, ACMA received 10 applications to number type. surrender numbers from eight CSPs. There were also three notifications of permanent transfer of numbers Numbering for IP-based between CSPs. Table 7 shows the numbers surrendered, services while Table 8 shows the numbers permanently On 31 May 2007, ACMA made available numbers transferred by number type. commencing with 0550 for the new location-

Table 9: Quantity of numbers allocated by INMS by number type and digit length, 2007–08

Type of number Quantity of numbers allocated

Freephone and local rate (1800, 1300, 13) 47,829

Premium rate numbers (six- and eight-digit 19 numbers) 562

Total numbers allocated 48,391

Table 10: Quantity of numbers surrendered by INMS by number type and digit length, 2007–08

Type of number Quantity of numbers surrendered

Freephone and local rate (1800, 1300, 13) 30,011

Premium rate numbers (six- and eight-digit 19 numbers) 663

Total numbers surrendered 30,674

26 ACMA ANNUAL REPORT 2007–08 _ g g

independent communications service (LICS). The new 4. Two-way—providing as a single product, calls number range was introduced for IP-based services that both in to and out from the PSTN. depart significantly from traditional telephone services; Only those CSPs providing Type 4 VoIP services are in particular, where the service is not fixed in a considered to provide ‘standard telephone services’ and particular location (nomadic). are therefore subject to the full range of service During 2007–08, ACMA allocated 45,000 LICS provider rules. numbers to seven CSPs. A further 22,000 LICS numbers As a result of this assessment, ACMA commenced a were surrendered. A total of 46,000 of these numbers are three-part compliance program consisting of: currently allocated to CSPs. • educating VoIP CSPs to understand their obligations; ENUM • researching levels of compliance and understanding ENUM (telephone number mapping) is a reasons for non-compliance; and communications protocol to enable telephone numbers • enforcing regulation where appropriate, or reviewing to be mapped to internet resources such as addresses it where necessary. for internet telephony, email, web pages and For 2007–08, ACMA’s compliance focus has been on: instant messaging. • provision of access to the emergency call service— The Australian ENUM Discussion Group (AEDG)— 000 (triple zero) and 106; facilitated by ACMA—delivered its report on the outcomes of the Australian ENUM trial in November • notification of customer details on the Integrated 2007. The report made seven recommendations about Public Number Database (IPND); future consideration of ENUM in Australia. The AEDG • correct assignment of geographic numbers with recommended that a commercial implementation of prefixes 02, 03, 07 and 08; ENUM not be established due to the low level of interest • encouraging local number portability; from industry, and that the group should maintain a • clarifying the processes and requirements of the watching brief on ENUM and conduct a reassessment Customer Service Guarantee; and should future interest arise. • requiring membership of the Telecommunications The main focus of the trial was user ENUM, which Ombudsman (TIO) scheme. allows end-users to control the mapping of their telephone number to internet resources. An alternative ACMA announced this strategy in April 2008 supported implementation of this protocol, known as infrastructure by comprehensive information on its website and a or carrier ENUM, facilitates service level series of seminars on the topic in several capital cities interconnection of VoIP (or other IP-based during May and June. communication) between carriers or CSPs. In October 2007, recognising the importance of access to A working group was formed in February 2007 to emergency services, ACMA and the former DCITA investigate the technical and implementation issues of called on VoIP service providers to find technical infrastructure ENUM. The infrastructure ENUM solutions so that all users of VoIP services have access working group held nine meetings in 2007–08 and is to the emergency call service. planning to begin a small-scale industry-led trial in Amendments were made to the Telecommunications mid-2008. (Emergency Call Service) Determination 2002 in November 2007 to confirm the obligation for Type 4 Regulation of VoIP services VoIP services to provide free-of-charge access calls to During 2007–08, ACMA reviewed its approach to the the emergency call service. VoIP CSPs were also regulation of voice over internet protocol (VoIP) obliged to indicate on the IPND that calls from these service providers. services will need to have their location verified. ACMA reviewed each of the regulatory requirements In April 2008, recognising that there are significant that applied to standard telephone services and carriage issues with changing communications technology such service providers to clarify the regulatory obligations of as VoIP, ACMA released a discussion paper Calling the VoIP providers. To assist its understanding, ACMA Emergency Call Service—Review of Arrangements. adopted the European Regulators Group classification of VoIP service types: Portability 1. Peer-to-peer—where the voice call Number portability is available for local, mobile and remains on the internet. freephone and local rate numbers. Number portability 2. VoIP out—where calls may be made from improves opportunities for telecommunications VoIP to the public switched telecommunications competition by enabling customers to keep their network (PSTN). telephone numbers when changing to a new CSP. 3. VoIP in—where the VoIP service may be Provision is made in the Numbering Plan for called from the PSTN. circumstances where it may not be practicable or in the

ACMA ANNUAL REPORT 2007–08 27 _ g g

long-term interests of end-users for a CSP to Revenue raised by ACMA in taxes, charges, levies and provide portability. other revenue is shown in Tables 11 to 14. On 5 June 2008, ACMA refused exemptions from the requirement to provide local number portability for Numbering charges customers of Adam Internet Pty Limited and The process for collecting ANC revenue was Neighbourhood Cable Pty Limited after assessment in significantly simplified during 2007. In previous years, accordance with requirements outlined in the the process was administered by five determinations. Numbering Plan. The number of determinations used for the ANC process A local number portability exemption was granted on 15 has been reduced to four, resulting in a simpler and more May 2006 to Hutchison Telecommunications Australia efficient process. Limited for its closed-down LocalZone service. The The Telecommunications (Amounts of Annual Charge) exemption expired on 30 November 2007. Determination had to be remade each year, because it Orion Satellite reported as required under the conditions contained a base number charge that varied from year to applying to its local number portability exemption, year. The Telecommunications (Amounts of Annual which expires in August 2008. Charge) Determination 2007 (No. 2) now contains the formula by which the base number charge is calculated Pre-selection and, because this formula does not change, the determination no longer needs to be remade each year. Pre-selection is required to be provided on a standard telephone service. It allows a certain class or basket of There has been no loss of transparency because CSPs calls, including national long distance and international are now able to refer to the base number charge calls, to be automatically routed to an alternative information, which is published on ACMA’s website provider, regardless of which CSP is providing local call each year, and use it to calculate their own numbering and access service for that standard telephone service. charge liability. CSPs may also arrange for access to ACMA’s online numbering system, which provides The primary purpose of pre-selection is to offer estimates of their liability before the census date and the customers choice and to support competition by enabling final debt after the census date. competing operators to use the networks of other carriers to access their customers. Geographic numbers used for standard telephone services are not subject to numbering charges. ACMA At the end of the reporting period, one exemption from also exempted from the charges all remaining the pre-selection requirements remained in force for geographic numbers, as well as community service calls made on Telstra’s Pre-Paid Home residential fixed numbers, telex numbers and international signalling service product (previously known as Communic8 Home point codes. and homeZip). The exemption will be reviewed in Mobile network carriers are required under the late 2008. Numbering Plan to report on quantities of mobile Two applications for exemption from pre-selection numbers held by CSPs on the census date. The census obligations are under consideration. was successfully completed with the cooperation of all mobile carriers. The ANC for 2008 had the same revenue target of $60 REVENUE AND FEES million as the years from 1998 to 2007. The revenue target is set by the federal government through the budget process. The way fees, taxes and charges are administered can make a significant contribution to an efficient As the first Sunday in April 2008, 6 April was the communications sector. In particular, they contribute to census date for the 2008 ANC process. the efficient planning, allocation and use of national The 2008 annual standard numbering charge for 10-digit resources such as radiofrequency spectrum and numbers was $0.81092278. Employing the opportunity telecommunications numbering. cost methodology applied in previous years, nine-digit To the extent permitted by legislation, ACMA sets fees, numbers were charged at $8.1092278, eight-digit taxes and charges so they encourage the efficient use of numbers at $81.092278 and so on. Three- and four-digit resources. They also recover the costs of regulating the numbers were charged at $100,000, the maximum rate industry. In accordance with government cost-recovery allowable under the Telecommunications (Numbering policy and guidelines, and where it is cost-effective, Charges) Act 1997. Numbers used for incoming-only ACMA seeks to charge individuals or firms directly for international services, internal network services and the costs of providing the activity. Indirect costs are testing services were subject to a reduced rate of charge. recovered from industry as a whole under a variety of At 30 June 2008, ACMA had realised revenue of legislative measures. $59,999,437 and had collected $59,652,628 of the

28 ACMA ANNUAL REPORT 2007–08 _ g g

Table 11: Resource taxes, 2007–08

Description Purpose Revenue in 2007–08 ($m)

Auctions of spectrum licences 0.028 Spectrum auctions Efficiently allocate spectrum

Auctions of apparatus licences 0.114

Number auctions Efficiently allocate smartnumbers® (freephone and local rate numbers) 4.469

Collect charges from the holdings of reserved numbers to 59.999 Annual numbering charge improve the efficiency of the use of numbers

Encourage the efficient use of the spectrum and recover 142.921 Apparatus licence tax indirect cost of managing the spectrum

Payment for scarce broadcasting services bands spectrum and Broadcast licence fees for benefits granted to licensees who operate in a closed 288.169 market created by legislative restrictions

Total taxes 495.700

Table 12: Cost recovery charges, 2007–08

Description Purpose Revenue in 2007–08 ($m)

Recover telecommunications regulatory costs incurred by Annual carrier licence charge ACMA, the ACCC and DBCDE 36.968

Provide an annual contribution from spectrum licences to 0.306 Spectrum licence tax indirect spectrum management costs

Fee for service charges Direct cost recovery of the provision of services by ACMA 2.522

Subscription and excess usage charges for use of Do Not Call 2.208 Do Not Call Register by industry

Total charges 42.004

Table 13: Industry levies, 2007–08

Description Purpose Revenue in 2007–08 ($m)

For all carriers to contribute to the cost of the universal USO levy service provider in providing the standard telephone service 158.100 (STS), payphones and prescribed carriage to loss-making areas

For all carriers to contribute to the cost of providing access to NRS levy the STS for people who are deaf, or have a hearing or speech 12.100 impairment

Total levies 170.200

Table 14: Other administered revenue, 2007–08

Description Purpose Revenue in 2007–08 ($m)

Fines Fines for spam, radiocommunications non-compliance and telecommunications late payment penalties 0.012

Other Miscellaneous revenue 0.174

Total other administered revenue 0.186

ACMA ANNUAL REPORT 2007–08 29 _ g g

Table 15: Annual numbering charge amounts outstanding at 30 June 2008

CSP Amount outstanding ($)

Communicator Interactive Pty Ltd 16,164.39

4.39 Hitech Telecom Pty Ltd 24,327.68 7.6 8 0.00 9.23 Hutchison Telecommunications Pty Ltd 100,000.00* 7.9 7 2.28 9.23 Ivox Pty Ltd 8,109.23* 0.92 0.00 1.70 MX Telecom Pty Ltd 8,757.97

Student Administration Pty Ltd 81,092.28

Voicetek Pty Ltd 8,109.23

Voxpak Pty Ltd 810.92

Western Power 100,000.00

Total 347,371.70

Note: Table 15 does not include late payment penalties *These debts are subject to an application for a debt waiver to the Department of Finance under section 34 of the Financial Management and Accountability Act 1997

$60 million revenue target. The amounts outstanding are smartnumbers® with numerical patterns or those that shown for each CSP in Table 15. translate to phone words may have a higher reserve price than other FLRNs. Number auctions In 2007–08, ACMA raised $4,558,228 in revenue from An allocation system for freephone and local rate the sale of 6,375 numbers through the smartnumbers® numbers (FLRNs)—13, 1300 and 1800 numbers known auction process, of which $4,469,678 has been realised as smartnumbers®—commenced in 2004. The to date. smartnumbers® auction system is an efficient means of Charities may obtain any available number at the reserve allocating these numbers and enables an appropriate price of $100, provided that a strategic link can be return for a valuable and limited resource. demonstrated between the charity and the number; for Businesses may find smartnumbers® attractive as a example, a number that translates to a phone word that is marketing tool because they have a distinctive and part of the charity’s name. memorable pattern—for example, 1800 111 222—or Since the new number allocation system was introduced because they can be translated into phone words when on 16 August 2004, 339 numbers have been purchased using the standard alpha-numeric keypad. Many through the charity auction process, raising $92,669 in businesses have found that the use of a patterned number revenue. In 2007–08, 52 charities purchased a or phone word increases call volumes significantly smartnumber, raising $52,000 in revenue. ACMA met compared with the use of a standard FLRN. Purchasers its key performance indicator with smartnumbers® of smartnumbers® are entitled to enhanced rights of use auctions by regularly and efficiently conducting auctions (ROU), including the ability to trade or lease the ROU. to enable a reasonable financial return to government. Purchasers may hold the ROU to smartnumbers® for three years without an active service in place. Carrier licensing and The smartnumbers® allocation system consists of the public auctions and a separate process for income tax- nominated carrier declaration exempt charities. Arrangements for these processes are charges set out in the Telecommunications (Freephone and Under the Telecommunications (Carrier Licence Local Rate Numbers) Allocation Determination 2007 Charges) Act 1997, ACMA imposes charges on licensed (No.1) and the Telecommunications (Freephone and telecommunications carriers as part of its recovery of the Local Rate Numbers – Charities) Allocation cost of regulating the industry by ACMA and the Determination 2007 (No. 1). ACCC. Charges also recover the cost of the federal Reserve prices for numbers in the public auction process government contribution to the budget of the are set according to the different characteristics of the International Telecommunication Union for the numbers and prices start from $500. For example, calendar year.

30 ACMA ANNUAL REPORT 2007–08 _ g g

The annual licence charge paid by a carrier is based on a a CPI adjustment and higher taxes for fixed services in fixed minimum amount and a variable component based bands below 960 MHz. The higher than CPI growth in on the carrier’s share of ‘eligible revenue’ collected as revenue from PMTS was due to a timing adjustment in part of the USO funding process. Eligible revenue is the previous year. calculated as the gross telecommunications sales revenue of the carrier and its related parties, less a series of Broadcast licence fees revenue and expense deductions. In 2007–08, the fixed amount was $49,855 and the variable cost was ACMA collects broadcast licence fees from commercial $36,918,105, making a total annual carrier licence radio and television broadcast licence holders under the charge of $36,967,960. Television Licence Fees Act 1964 and the Radio Licence Fees Act 1964. Supporting documentation is required The application charge for a carrier licence or under section 205B of the Broadcasting Services Act nominated carrier declaration is reviewed every two 1992. Fees are calculated as a percentage of the gross years. Currently the carrier licence application charge is earnings of the licence holders for each financial year. $2,500 and the nominated carrier declaration application charge is $2,900. Collection of broadcast licence fees ACMA collected a total of $282 million in broadcast Apparatus licence taxes licence fees in 2007–08. This amount was based on the Taxes on the issue of radiocommunications apparatus gross earnings of television and radio broadcasters for licences encourage the efficient use of spectrum and 2006–07. Television broadcasters paid a total of $258.6 recover the indirect costs of spectrum management. million in broadcast licence fees and radio broadcasters The tax is calculated by a formula that makes fees paid a total of $22.4 million in broadcast licence fees. determinate, consistent, equitable and transparent. This represents growth of just over two per cent The formula encourages efficiency by making taxes compared with total broadcast licence fees collected in higher in congested locations and spectrum bands, 2006–07, which is approximately equal to inflation and making taxes proportional to the bandwidth and giving represents no change in gross earnings in real terms. discounts for low power. This growth follows an increase of less than two per ACMA increased all apparatus licence taxes by a CPI cent last year and 10 per cent the previous year. adjustment of 2.1 per cent on 1 April 2008, which Table 16 shows total broadcasting licence fees for the reflected the change in the CPI from June 2006 to last four financial years. June 2007. The fourth stage of a program to increase taxes for fixed Regional Equalisation Plan licences in bands below 960 MHz to achieve pricing The Australian Government introduced a Regional parity with land mobile licences also applied from April Equalisation Plan in 2000–01 to assist the rollout of 2008. At the end of the program in 2009, taxes for point­ digital television broadcasting services to regional and to-multipoint licences will be equal to land mobile remote Australia. Over 13 years, up to $250 million licence taxes, and point-to-point licence taxes will be (representing 50 per cent of both estimated capital and one-quarter of the tax for land mobile licences. eight years operating costs of digital services) will be In 2007–08, revenue from radiocommunications licences provided to commercial television broadcasters in the rose by 9.8 per cent. Taxes rose by 10.1 per cent and form of rebates against annual licence fees administered charges by 0.5 per cent. The increase in tax arose from by ACMA and, where necessary, supplementary grants three licence types: fixed, land mobile and public mobile administered by DBCDE. Commercial television telecommunications services (PMTS). For fixed and broadcasters claimed total rebates of $23.3 million land mobile, there was growth in the number of services, in 2007–08.

Table 16: Broadcast licence fees, 2004–05 to 2007–08

Number of licences Total licence fees collected ($m)

2004–05 2005–06 2006–07 2007–08 2004–05 2005–06 2006–07 2007–08

Radio licence fees paid 272 274 274 274 17.9 20.3 21.3 22.4

TV licence fees obligation 53 53 54 55 248.7 274.5 278 282

Less digital TV conversion rebate - - - - 23.5 23.3 23.4 23.4

TV licence fees paid - - - - 225.2 251.2 254.6 258.6

ACMA ANNUAL REPORT 2007–08 31 _ g g

• compliance strategies and priorities as they relate to Spectrum licence tax technical regulatory matters. The spectrum licence tax is imposed on all holders of Issues of detail will be generally addressed by a standing spectrum licences at 11 October each year. The total Technical Working Group (TWG) that will report to the amount of tax on each band is disclosed before the TAG. The TAG may also establish ad hoc working allocation and does not change over the life of the groups as necessary to provide research, advice and licence. The total amount of tax is split between licensees in each band based on the bandwidth and the reporting support on particular issues. population covered by their licences. In 2007–08 ACMA collected a total of $306,344 in spectrum licence tax. Technical standards ACMA requires suppliers—Australian manufacturers, importers or their agents—to: TECHNICAL REGULATION • ensure equipment subject to mandatory regulatory arrangements complies with technical standards; ACMA encourages industry self-regulation and works • apply compliance labels to those items; and with industry to develop standards, taking into • keep appropriate records. consideration appropriate public interest criteria and ACMA administers four regulatory arrangements technical regulatory requirements of the as follows: Telecommunications Act and the Radiocommunications Act. ACMA administers mandatory regulatory 1. Telecommunications regulatory arrangements, arrangements that require specified items of equipment which scope specific telecommunications equipment to meet these industry-developed standards. and cabling. 2. Radiocommunications regulatory arrangements, Technical Advisory Group which scope specified radiocommunications transmitters. The Technical Advisory Group (TAG) was established in 2007–08 as a forum to enable discussion among 3. Electromagnetic compatibility (EMC) regulatory industry sectors, and to provide policy advice and arrangements, which specify electromagnetic recommendations to ACMA about strategic directions emission requirements for electrical and electronic in the technical regulation of communications in equipment to limit unintended radiation. Australia and related matters. Its first meeting was on 4. Electromagnetic energy (EME) regulatory 14 May 2008. arrangements, which specify emission levels The TAG’s primary focus will be strategic, and on the from radiocommunications transmitters to address role and interrelationships between the key interested the possible adverse health effects from exposure participants in the technical regulatory arena. to EME. In particular, the group will discuss and, as necessary, These arrangements provide mandatory safeguards to provide advice and recommendations on: protect the community without unnecessarily compromising the benefits that these technologies bring • the relationship between, and future direction of, to modern living. mandatory technical regulation, industry self- regulation or non-regulation, and the use of regulatory ACMA works closely with industry through tools including codes and standards; participation in Communications Alliance and Standards Australia reference panels and working committees to • a framework for determining the priorities for ensure that industry codes, technical standards and technical regulation in Australia, including an assessment of the continuing relevance of traditional guidelines meet the minimum necessary regulatory key drivers such as spectrum protection, international requirements for technical regulation. trade, network integrity, consumer and community ACMA only mandates parts of standards that are safeguards and safety, and the long-term interests of suitable for adoption under the ACMA heads of power end-users; for the relevant arrangement. Examples are health • the desirability of and, where appropriate, strategies and safety, radiofrequency interference, network for harmonising the technical regulatory regimes integrity and emergency call access. These are associated with broadcasting, telecommunications, identified by the Telecommunications Act or the radiocommunications, EMC and EMR including Radiocommunications Act. identification of inconsistencies arising from the converging environment and the development of Telecommunications standards appropriate solutions; ACMA engages with the telecommunications industry • issues of importance in regard to international through its involvement with Communications Alliance standards development; and to manage a suite of mandatory telecommunications

32 ACMA ANNUAL REPORT 2007–08 _ g g

standards. Communications Alliance is the peak standards development organisation for Radiocommunications standards telecommunications standards and undertakes this work ACMA engages with the radiocommunications industry using an open and consultative process that includes through its involvement with Standards Australia comprehensive public consultation. working committees RC4 and RC6. Standards Australia During 2007–08, ACMA received submissions from is the peak standards development organisation for Communications Alliance for changes to the application radiocommunications standards and undertakes this of technical standards in the regulatory arrangements. work through an open, consultative process. ACMA amended the Telecommunications Labelling Radiocommunications standards specify minimum (Customer Equipment and Customer Cabling) Notice performance parameters for equipment to limit 2001 twice in the reporting year to incorporate these interference to radiocommunications services. They also changes. These amendments took effect in September address relevant health and safety issues associated with 2007 and February 2008. the operation of that equipment and its abilities to The September 2007 amendment moved the function in the Australian environment. ACMA’s radiocommunications requirements of digital radiocommunications laboratory provides a testing cordless equipment from the telecommunications facility—accredited by the National Association of regulatory arrangements to the radiocommunications Testing Authorities (NATA)—capable of testing regulatory arrangements. equipment for compliance with these standards. The February 2008 amendment allowed set-top boxes ACMA mandates appropriate aspects of industry with connections to a telecommunications network radiocommunications standards by way of standards to be accommodated under the telecommunications made under section 162 of the Radiocommunications regulatory arrangements prior to the final industry Act. ACMA’s radiocommunications standards may standard being published. adopt the industry standard in whole or in part and During 2007–08, ACMA participated in the include specified variations for Australian conditions as Communications Alliance working committees and required. ACMA undertakes this work in an open, reference panels to review the requirements of the consultative process that includes comprehensive following standards: stakeholder consultation. • AS/ACIF S042.1:2006 Requirements for Connection During 2007–08, ACMA made the following standards to an Air Interface of a Telecommunications Network under section 162 of the Radiocommunications Act: – Part 1: General—to include requirements for • Radiocommunications (Digital Cordless satellite phones in addition to the current mobile Communications Devices—DECT devices) phone requirements. This standard will replace the Standard 2007; current technical standard ACA TS022-1997 • Radiocommunications (Digital Cordless MobileSat Terminal Compatibility Requirements for Communications Devices—PHS devices) System Access, which only covers Optus Standard 2007; MobileSat terminals. • AS/NZS 60950.1:2003 Information Technology • Radiocommunications (HF CB and Handphone Equipment – Safety, Part 1: General Requirements— Equipment) Standard 2008; and to incorporate three additional amendments related to • Radiocommunications (Devices Used in the Inshore the safety of customer equipment. Boating Radio Services Band) Standard 2008. • AS/ACIF S004:2006 Voice Frequency Performance Consequently, ACMA amended the Requirements for Customer Equipment—to allow for Radiocommunications Devices (Compliance Labelling) customer equipment with digital interfaces using Notice 2003 to apply labelling requirements to devices alternative codec types other than the standard ITU-T falling under the new standards. Rec. G.711. Standards Australia Committees (RC4 and RC6) are • AS/ACIF S002:2005, AS/ACIF S003:2006, working to revise the following industry standards: AS/ACIF S006:2001, AS/ACIF S043.2:2006 and • AS/NZS 4365:2002 Radiocommunications equipment S042.3:2001—to cater for VDSL2+ data services. used in the UHF citizen band radio service—the • ACA TS024-1997 Broadcaster Interface Standard— amendment clarifies a test procedure and introduces a to cater for digital broadcaster interfaces. number of requirements including transmitter time out • ACA TS035-1997 Requirements for Installation of timers, default start up channel and the automatic Temporary Telecommunications Customer Cabling transmission of station identification and location for Defence Purposes. information; ACMA expects several of these standards to be • AS/NZS 4268:2003 Radio equipment and systems – incorporated into the regulatory arrangements Short range devices—Limits and methods of during 2008–09. measurement—the amendment improves alignment

ACMA ANNUAL REPORT 2007–08 33 _ g g

with international practices and with new technology arrangements with those applicable to and applications; telecommunications customer equipment. • AS/NZS 4768.1:2006 Digital radio equipment The changes to the instruments: operating in land mobile and fixed services bands in • include in the arrangements the requirements for the frequency range 29.7 to 1GHz—to consider battery-operated devices and information technology alternative requirements for fixed remote site devices; equipment that have been in force since 2003; and • specify manufacturers’ and importers’ requirements, • AS/NZS 44151:2003 Radiotelephone transmitters and such as compliance record-keeping obligations for receivers for the maritime mobile service operating in low-risk devices; and the VHF bands—Technical characteristics and • make the list of mandated electromagnetic methods of measurement—to consider interference compatibility standards more available to industry. prevention measures from class B Automatic Identification Systems. In October 2007, ACMA entered into a collaborative agreement with Standards Australia whereby Standards Under the current regulatory arrangements ACMA Australia Technical Committee TE-003, which develops automatically adopts amendments to existing AS/NZS EMC technical standards, will recommend to ACMA the standards such as those referred to above. technical standards to be referenced in the EMC regulatory arrangements as administered by ACMA. Electromagnetic ACMA also participated in the CISPR (Comité compatibility standards International Spécial des Perturbations Radioélectriques The electromagnetic compatibility (EMC) regulatory —the Special International Committee on arrangements are part of ACMA’s radiocommunications Radiocommunications Interference) meeting hosted by regulatory responsibilities. Standards Australia in Sydney in September 2007. The EMC arrangement objectives are: CISPR is the international technical committee responsible for developing technical standards for • to minimise electromagnetic emissions from electrical electromagnetic interference. The CISPR standards form and electronic devices that could disrupt the basis of the EMC regulatory arrangements radiocommunications services, while maximising administered by ACMA. opportunities for Australian industry in international markets; and Standards and codes for • to facilitate importation of products that will benefit the Australian community. digital television The EMC regulatory arrangements comprise two major Amendments to the Broadcasting Services Act 1992 elements: made in November 2006 by the Broadcasting Services Amendment (Digital Television) Bill 2006 introduced 1. Technical standards for electromagnetic emissions new provisions for the use of codes and standards. (EMC technical standards) made under section 162 of These provisions, among other things, allow ACMA to the Radiocommunications Act. determine performance characteristics for broadcast 2. Compliance (including record-keeping and labelling) transmitters and broadcast reception equipment requirements made under section 182 of the operating in the digital mode. When considered in Radiocommunications Act. conjunction with principles of good regulatory practice, Consistent with Australia’s World Trade Organization these amendments allow for a graduated regulatory obligations, the EMC regulatory arrangements utilise response that can be tailored to circumstances where international standards for EMC to the maximum extent there is identified market failure or to address practicable. The EMC arrangement also uses definitions significant risk. and terminology similar to those used by the In 2007–08, ACMA participated in the development of European Union. technical aspects of the broadcast transmission standard In February 2008, ACMA published the AS4599.1-2007. The standard is important in ACMA’s Radiocommunications Labelling (Electromagnetic spectrum planning for broadcast services, particularly Compatibility) Notice 2008 (the EMC Labelling Notice) the performance of networks in providing parental and the Radiocommunications (Electromagnetic guidance information in the broadcast data stream. This Compatibility) Standard 2008 (the EMC Standard). data stream will provide for parental lock features in These instruments replaced the previous receivers and the content and form of ‘value-add’ Radiocommunications (Compliance Labelling – features such as electronic program guides. Incidental Emissions) Notice 2001 and the Through participation in the work of the Standards Radiocommunications (Electromagnetic Compatibility) Australia committee CT002, ACMA also contributed to Standard 2001. The new EMC Labelling Notice and the development of the receiver standard AS 4933.1­ EMC Standard align the format of the EMC labelling 2005 to ensure it is suitable for inclusion in any potential

34 ACMA ANNUAL REPORT 2007–08 _ g g

regulatory arrangements. The standard may be used to Part 26 of the Telecommunications Act specifies that specify requirements for one or more features of digital ACMA may investigate certain matters relating to television receivers. telecommunications including a contravention of a code registered under Part 6 of the Act. If ACMA receives a Telecommunications complaint under Part 26, ACMA may make preliminary infrastructure regulation enquiries to determine whether it: • has the power to investigate the matter to which the Carriers’ rights and obligations complaint relates; or Telecommunications carriers have specific powers and • should investigate the matter at its discretion. immunities under Schedule 3 to the Telecommunications In 2007–08, ACMA received 13 enquiries and six Act. Carriers have the right to inspect land, install complaints related to the code. Of these complaints, certain types of telecommunications facilities and ACMA conducted one preliminary enquiry under Part maintain telecommunications infrastructure. 26. Carriers conducted an estimated 2,587 consultations The Telecommunications (Low-impact Facilities) under the code during this period. Determination 1997 specifies the types of facilities that ACMA promotes a common understanding and carriers are entitled to install. These facilities include: interpretation of the requirements of the code through • certain radio and satellite installations; feedback to individual carriers and operational • underground cables; practice meetings. • public payphones; Access code • temporary emergency installations; and ACMA administers the Code of Access to • co-located facilities installed on or within another Telecommunications Transmission Towers, Sites of facility or structure. Towers and Underground Facilities, which was developed by the ACCC under Clause 37 of Schedule 1 Low-impact facilities are subject to certain restrictions to the Telecommunications Act. The code sets out the on size, colour and location. conditions with which carriers must comply in providing The installation of telecommunications facilities not other carriers with access to telecommunications towers, specified in the Low-impact Facilities Determination sites and eligible underground facilities, as required by requires local council planning permission, and Part 5 of Schedule 1 to the Telecommunications Act. telecommunications carriers must comply with relevant In 2007–08, ACMA did not receive any enquiries or state and territory planning laws. complaints relating to Part 5 of Schedule 1 to the Carriers must comply with conditions specified in the Telecommunications Act. Telecommunications Code of Practice 1997 (Code of Practice) when exercising their powers to inspect land, Electromagnetic energy regulatory install certain facilities and maintain infrastructure. arrangements ACMA may investigate suspected breaches of the Regulatory arrangements limit exposure to Telecommunications Act, the Code of Practice and radiofrequency electromagnetic energy (EME) from industry codes registered by ACMA. radiocommunications equipment. The EME arrangements cover: Enquiries and complaints about carriers’ • a wide range of portable equipment, including mobile rights and obligations phones and hand-held radio transmitters such as those In 2007–08, ACMA received 18 enquiries from local used in marine, citizen band and land mobile councils, industry, landowners and the public about applications; and matters covered by Schedule 3 to the Telecommunications Act and the Code of Practice, • radiocommunications installations such as mobile although ACMA received no complaints relating to phone base stations, broadcast towers and amateur these matters. radio stations. The regulatory arrangements make it mandatory to Deployment of mobile phone network comply with the EME limits set out in a standard infrastructure developed by the Australian Radiation Protection and The Industry Code ACIF C564:2004 Deployment of Nuclear Safety Agency, which is responsible for Mobile Phone Network Infrastructure requires carriers to providing advice about radiation matters. These take a ‘precautionary approach’ when designing, siting arrangements address possible adverse health effects and operating radiocommunications infrastructure. The without unnecessarily compromising the benefits code also requires carriers to consult with local councils that radiocommunications technologies bring to and communities when planning to install certain kinds modern living. of radiocommunications infrastructure, including some To determine industry compliance with the regulatory mobile phone towers. framework, all manufacturers and importers of portable

ACMA ANNUAL REPORT 2007–08 35 _ g g

equipment must have their products assessed against ACMA is in the process of streamlining administrative the EME human exposure standard. Licensees of processes associated with the cabling registration radiocommunications transmitters must confirm scheme. It is anticipated that amendments to the CPRs that their facilities comply with the regulatory and associated instruments will be made in the second arrangements. Significant penalties apply for breaches half of 2008, following public consultation. of the EME arrangements. The EME regime also includes the Industry Code ACIF Consumer and industry awareness of C564:2004 Deployment of Mobile Phone Network cabling regulation Infrastructure, which has been registered by ACMA and ACMA has continued to promote awareness of cabling is therefore enforceable. regulations and their application to consumers by distributing an information brochure through commercial ACMA continues to participate in Standards Australia and retail outlets, cabling contractors and registrars. Committee TE/7, which is responsible for health A print- and web-based awareness campaign directed at exposure measurements standards and provides input to building designers and the construction industry has also the development of international standards. been implemented, with messages encouraging EME mutual recognition arrangement with Taiwan appropriate design for cabling facilities in buildings and In 2007, ACMA participated in the establishment of an the use of currently registered cablers during EME mutual recognition arrangement (EME-MRA) with construction. ACMA also distributed bumper stickers to Taiwan. This arrangement recognises EME health registered cabling providers promoting the ‘play it exposure testing performed by mutually recognised safe—only use a registered cabler’ campaign message. competent conformity assessment bodies (CABs) for ACMA participated in industry seminars and radiocommunications products used against the head, conferences to promote the CPRs and provide such as mobile and cordless phones. This bilateral EME­ information about industry developments. ACMA also MRA allows products manufactured or tested in Taiwan contributed articles and regular features about with a test report issued by a recognised CAB to enter technical or regulatory issues to trade and industry the Australian market without requiring re-testing. publications and newsletters distributed by registrars to registered cablers. Cabling regulation In 2007–08, ACMA responded to 1,649 enquiries ACMA’s responsibility for the regulation of customer and requests for assistance in relation to the cabler cabling includes: regulation arrangements. • overseeing the industry-managed cabling registration scheme; Submarine cable protection • monitoring and enforcing compliance with Submarine cables carry the bulk of Australia’s cabling regulatory requirements; international voice and data traffic and contribute • supporting greater cabling industry significantly to the Australian economy. self-regulation; and Schedule 3A of the Telecommunications Act permits • promoting consumer and industry awareness of ACMA to declare protection zones over nationally regulatory arrangements of customer cabling. significant cables and to prohibit or restrict activities that pose a risk of damaging cables in these zones. The Cabling registration scheme legislation establishes offences for damaging a cable or Cabling provider rules (CPRs) are based on an industry- for breaching prohibitions and restrictions, and creates managed national registration system. Five industry penalties for these offences. bodies are currently accredited by ACMA to be During 2007–08, ACMA declared three submarine cable registrars under CPRs and these registrars issue protection zones in Australian waters, with two zones registrations to cablers. declared in July 2007 off the Sydney coast and one On 30 June 2008, there were 59,743 cablers registered declared in September 2007 off the Perth coast. The under CPRs. ACMA continues to monitor the protection zones off Sydney were the first such performance of registrars in meeting their contractual protection zones to be declared. obligation to provide registration services to the In 2007–08, ACMA informed key authorities about the cabling industry. new protection zones and liaised with the Australian ACMA works with registrars to improve reporting Hydrographic Office to facilitate the updating of all arrangements and monitor service delivery levels across marine charts. Information was also made widely the industry through quarterly meetings of the available via newspaper and targeted magazine Registrars’ Coordinating Committee. ACMA also meets advertising, ACMA’s website, and brochures distributed quarterly with the Cabling Advisory Group on technical to licensed fishers and other marine users. issues and related cabling policy, which includes a wide The legislation also provides for a permit regime that range of representatives from the cabling industry. requires carriers to obtain a permit from ACMA to

36 ACMA ANNUAL REPORT 2007–08 _ g g

install a new submarine cable within a protection zone and outside a protection zone in Australian waters. COMPLIANCE This permit regime provides for more consistent and efficient cable planning and encourages the co-location INVESTIGATIONS of new cables in existing protection zones. ACMA works with the communications and media Three carriers were granted permits in 2007–08 to install industries to establish compliance with legislation, cables in the new protection zones. In September 2007, codes, licence conditions and other regulatory ACMA issued the first submarine cable protection zone installation permit to Office des Postes et instruments. ACMA also registers and monitors Telecommunications (OPT) for a cable connecting compliance with industry codes developed by the Sydney to New Caledonia. Earlier, in July 2007, ACMA communications industry. issued OPT with a non-protection zone permit for the entire route of the cable through Australian waters. Radiocommunications Telstra was issued with a permit in October 2007 to ACMA conducts investigations into suspected install a new cable into the Southern Sydney Protection contraventions of the Radiocommunications Act relating Zone to connect Sydney to Hawaii. Telstra was issued to the operation of radiocommunications transmitters. with the accompanying non-protection zone permit in These contraventions include unlicensed operation of March 2008 for the remaining portion of its cable being transmitters, breaches of licence conditions and breaches installed in Australian waters. of offence provisions relating to interference. Pipe International was issued with a permit in March In encouraging compliance with the 2008 to install a new cable into the Northern Sydney Radiocommunications Act, ACMA generally employs a Protection Zone to connect Sydney to Guam. graduated approach to enforcement. Measures ACMA met its statutory obligations and key proportionate to the offence range from the least performance indicators when processing the above intrusive advice notices, through warning and submarine cable permits by issuing the above infringement notices, to prosecution through the courts protection zone installation permits within the 20-day or the application of administrative sanctions, such as statutory timeframe and issuing the non-protection licence suspension or cancellation. zone installation permits within the 180-day In 2007–08, ACMA conducted 287 statutory timeframe. radiocommunications-related investigations (see Table 17).

Table 17: Radiocommunications investigations, 2007–08

Action type Number of actions

Radiocommunications-related investigations 287

Advice notices issued 32

Warning notices issued 127

Infringement notices issued 6

Notices related to unlicensed operation of a transmitter 49

Table 18: LPON investigations, 2007–08

Action type Number of actions

LPON investigations conducted 26

LPON licences cancelled 3

Table 19: Radiocommunications compliance actions, 2007–08

Action type Number of actions

Radiocommunication site inspections 420

Advice notices issued 208

Warning notices issued 106

ACMA ANNUAL REPORT 2007–08 37 _ g g

These investigations resulted in 32 advice notices and Standards compliance programs 127 warning notices being issued. In six cases, infringement notices providing the option of a monetary ACMA conducts a supplier auditing program to penalty as an alternative to prosecution were issued for ascertain product compliance with the standards licensing contraventions of the Radiocommunications regulatory arrangements. This auditing program focuses on establishing compliance with labelling and record- Act, five of which were paid and one that was to be keeping requirements under the Radiocommunications withdrawn. There were 49 notices issued relating to Act and the Telecommunications Act. unlicensed operation of a transmitter. In 2007–08, ACMA conducted 185 audits of Radiocommunications licences that authorise low power manufacturers and importers (suppliers) for compliance open narrowcasting services (LPONs) are subject to with the standards regulatory requirements (see Table conditions restricting the power and field strength of the 20). Of these audits, 44 failed to meet the labelling and service and to ‘use it or lose it’ provisions. ACMA record-keeping requirements. Suppliers were issued with investigated 26 LPON services for compliance with 15 advice notices and eight warning notices, and, in two these provisions (see Table 18). The investigations cases, an infringement notice providing the option of a resulted in three licences being cancelled. monetary penalty as an alternative to prosecution was During the reporting period, one prosecution was issued, both of which were paid. successfully undertaken for the operation of a mobile phone jammer, a prohibited device under the Telecommunications Radiocommunications Act. Fines totalling $3,000 were imposed and the associated equipment forfeited. Telecommunications code compliance During 2007–08, ACMA continued to apply its approach to telecommunications code compliance, Radiocommunications which is available on its website. The aim of this code interference management compliance approach is to enhance the effectiveness of A failure to comply with technical standards or self-regulatory telecommunications codes and also the transmitter licence conditions may result in interference quality of the consumer experience in to radiocommunications. To determine industry telecommunications. The approach is designed to compliance with the regulatory framework, ACMA encourage industry compliance with codes through regularly conducts interference tasks and site audits. support, education, communication, cooperation and deterrence. It incorporates a program of compliance In the reporting period, ACMA responded to 761 measures, both proactive and reactive, supported by complaints of interference to radiocommunications enforcement action where necessary. services, and 545 complaints of interference to domestic The code compliance approach, as shown in Figure 3, radio and television broadcast reception. In addition to provides ACMA with a suite of actions, allowing a responding to reported interference, ACMA inspected graduated use of regulatory measures using the 420 radiocommunications sites for compliance with minimum power or intervention necessary to achieve the transmitter licence conditions (see Table 19). As a result desired result. The approach provides transparency to of interference investigation and site inspection industry on the likely steps that ACMA will take in activities, ACMA issued 208 advice notices and 106 situations where it believes that code breaches need to warning notices. be addressed. ACMA retains the discretion to decide During the reporting cycle, ACMA resolved 363 where an individual matter falls within the approach, and complaints of interference to Australian mobile may decide it is appropriate to consider urgent matters at telecommunications networks. A further 38 complaints higher categories on a case-by-case basis. ACMA can accept an enforceable undertaking at any stage of the involved interference to public protection radio services, compliance process. including interference to emergency services radio networks and air traffic communications. Of the Reactive code compliance activity complaints that were affected by external interference, In 2007–08, ACMA has undertaken reactive activity on ACMA resolved 82 per cent within 45 days. ACMA also code compliance, with a focus on systemic breaches; investigated 46 inappropriately activated emergency that is, those that affect or have the potential to affect a position indicating radio beacons. class of customer. An issue may involve a single CSP or Householders resolved most domestic broadcast a particular sector of the industry. A summary of interference by using the information in ACMA’s self- ACMA’s code compliance actions undertaken in help booklet Better Television and Radio Reception – 2007–08 is in Table 21. Identifying your interference problem or by seeking Formal direction advice from ACMA. In the reporting period, ACMA In December 2007, ACMA issued a formal direction distributed more than 2,000 copies of the booklet. (Level 5) to Dodo Australia Pty Ltd under section 121 of

38 ACMA ANNUAL REPORT 2007–08 _ g g

Figure 3: ACMA’s approach to telecommunications code compliance

Telecommunications code compliance Action can cease at any point if it is established that there is no code breach, or the provider is adequately addressing the breach, or an acceptable enforceable undertaking is obtained.

Triggers Category Action SEVERE

• Formal direction issued to provider to comply with the • Matter escalated from 5. code under section 121 of ACMA formal warning Formal direction the Act • ACMA may make public comment

• Provider has not followed • Formal warning issued to through on strategy committed provider to comply with the to earlier 4. code under section 121 of • Provider has failed to amend Formal warning the Act systemic non-compliant • ACMA may make public practices comment

• Provider has not taken any remedial action • Systemic code breach has occurred • Provider’s remedial action 3. insufficient to rectify the • Provider formally requested to problem Systemic breach propose rectification strategy • No response or inadequate finding • ACMA may make public response from provider to comment ACMA’s investigation

• Systemic code breach is probable and provider is not adequately addressing the matter • ACMA views that systemic • Formal investigation is 2. code breach is probable required to ascertain if provider Investigation • Provider formally invited to is complying respond to issues • No response or inadequate response from provider to ACMA’s preliminary enquiry

• Consumer complaints made • Alert provider that breach directly to ACMA may have occurred • Advice or referral from the 1. • Provider encouraged to

LOW TIO, another regulatory or Preliminary enquiry address issue industry body or a provider • Assess whether issue • Issues raised in public debate requires escalation

ACMA ANNUAL REPORT 2007–08 39 _ g g

Table 20: Audits of manufacturers and importers (suppliers), 2007–08

Action type Number of actions

Audits conducted 185

Failed audits 208

Advice notices issued 15

Warning notices issued 8

Infringement notices issued 2

the Telecommunications Act to comply with ACIF Billing Industry Codes C542:2003 Billing and C547:2004 ACMA audited 11 service providers to assess Complaint Handling. The direction was issued following compliance with ACIF Industry Code C542:2003 a rigorous investigation into the provider’s complaint- Billing. Specifically, the audit focused on compliance handling and billing practices. ACMA determined that with requirements relating to verification and timeliness the provider had contravened the codes due to failures in of bills, billing enquiries, payment options and its policies and procedures. ACMA commenced information provision to people with disabilities. negotiating an enforceable undertaking with Dodo in The audit found that there was low-level non­ September 2007 but the parties were unable to reach compliance with some of the more technical elements of agreement on the time required to rectify breaches. the code requirements. The non-compliant providers A direction was subsequently issued. were contacted and alerted to the problem areas and have since achieved compliance. Proactive code compliance activity Complaint handling ACMA also routinely undertakes proactive compliance In response to concerns about an increase in complaints activity in the form of audits to determine compliance from telecommunications consumers about the way that with industry codes. Audits may involve assessing providers handle complaints, ACMA used publicly available information from service providers Telecommunications Industry Ombudsman (TIO) code such as terms and conditions, and advertisements. breach and complaint statistics to identify the sections of Alternatively, ACMA may write to a sample of service the ACIF Industry Code C547:2004 Complaint Handling providers seeking specific information to assist in a that were most consistently breached by industry. Using particular activity. Where audit activity identifies this data, ACMA undertook an audit to target those particular compliance concerns, ACMA will consider providers who most consistently breached the code, the most appropriate stage at which to handle the matter based on TIO complaint statistics. ACMA considered in accordance with its code compliance approach. the information on providers’ websites relating to the

Table 21: Reactive code compliance actions, 2007–08

Level 1 – Level 2 - Level 3 – Level 4 – Level 5 – Code Preliminary enquiries Investigation Breach finding Formal warning Formal direction

Billing 10 2 – – 1*

Complaint Handling 6 1 – – 1*

Information on Prices, Terms and Conditions 16 1 – – –

Consumer Contracts 10 1 – – –

Credit Management 49 3 – – –

Customer Transfer 6 1 – – –

TOTAL 97 9 – – 2

* Multiple issues raised in one investigation

40 ACMA ANNUAL REPORT 2007–08 _ g g

identified clauses with a view to establishing whether four-week period. The audit found that 28 of the individual or a broader industry compliance approach advertisements were compliant with the requirements needed to be taken. of the code. The audit confirmed that compliance with some ACMA raised preliminary (Level 1) enquiries with two elements of the code was low. It was considered that a providers, with a view to educating them about the whole-of-industry approach to encouraging compliance regulatory requirements of the code and encouraging was the most effective strategy to pursue, and this issue both to review all advertising material and make the was discussed with industry associations and the TIO as appropriate changes to ensure full compliance with part of ACMA’s Consumer Consultative Forum regulatory requirements. Both providers took the processes. Efforts to raise consumer awareness of necessary action to ensure that future advertisements complaint-handling processes were also considered to be were compliant with the code. necessary, so ACMA has produced a brochure that sets out consumers’ rights, Making a complaint to your Credit management telecommunications service provider. Further audits of ACMA is currently auditing 34 carriage service telecommunications providers’ complaint-handling providers to determine their compliance with sections processes will be undertaken in the next financial year. 7.5 and 7.6 of Industry Code C628:2007 ACMA will also continue to work with industry bodies Telecommunications Consumer Protections – Credit and other regulators to pursue greater industry Management concerning financial hardship. Sections 7.5 compliance with complaint-handling provisions. and 7.6 of the code set out requirements for CSPs to have a financial hardship policy and to undertake Customer information on prices, terms financial hardship assessments. These provisions are and conditions designed to assist customers experiencing financial ACMA conducted an audit of broadband internet service hardship. The audit will progress over the coming providers to determine whether advertising undertaken months and is likely to be finalised in November 2008. by providers for broadband services was compliant with the requirements of ACIF Industry Code C521:2004 Internet service providers Customer Information on Prices, Terms and Conditions. A compliance assessment of internet service providers Specifically, the audit sought to determine whether has been undertaken by ACMA to assess compliance providers were making claims in advertisements of with the requirements of Industry Code C628:2007 achieving broadband speeds that were theoretical and Telecommunications Consumer Protections Code. not necessarily achievable by end-users. The audit This code, which replaces the six individual consumer focused on assessing compliance with the requirements protection codes, places requirements on providers in of the code relating to disclosure of conditions attached the areas of complaint handling, billing, consumer to an offer. the advertising of telecommunications products The audit assessed 30 broadband advertisements and services. presented in print, on radio and on television during a The results of the audit are currently being reviewed.

Figure 4: Telemarketing complaint receipt by month, 2007–08 Service Stream ACMA

ACMA ANNUAL REPORT 2007–08 41 _ g g

Figure 5: Telemarketing complaints by industry sector, 2007–08

Holiday promotions – 22%

Contracted call centre – 11%

Financial institution – 6%

Other – 3%

Estate agent – 2%

Market research/exempt – 1%

Telecommunications provider – 54%

Technical standards If consumers receive telemarketing calls more than 30 ACMA initiated 27 investigations into compliance with days after registering their number on the Do Not Call telecommunications standards regulation under Part 21 Register, they can lodge a complaint with the register operator online, by telephone or by post. Where a of the Telecommunications Act. The investigations complaint raises a potential breach of the DNCR Act resulted in the issuing of five advice notices and and/or industry standard, the register operator forwards 13 warning notices. the complaint to ACMA for action. Cabling Complaints In 2007–08, ACMA conducted 13 cabling inspections During 2007–08, a total of 28,804 complaints were and 11 investigations into compliance with the cabling received. Of these, 23,336 raised potential breaches of provider rules of the Telecommunications Act. These the DNCR Act and/or industry standard and were rules regulate telecommunications cabling within handled by ACMA. The remainder (5,468) were handled customer premises. ACMA issued one notice of non­ by the register operator. compliance concerning the standard of cabling work and Figure 4 shows the complaints received each month four warning notices. during 2007–08. The most significant source of complaints is the Telemarketing telecommunications sector, which accounts for 55 per cent of the complaints received by ACMA. Figure 5 ACMA is responsible for enforcing the Do Not Call shows the breakdown of complaints by industry sector, Register Act 2006 (DNCR Act), which prohibits most where the consumer was able to identify the business types of telemarketing calls being made to numbers on that called them. the Do Not Call Register. ACMA also enforces the Table 22 shows ACMA’s telemarketing complaint- Telecommunications (Do Not Call Register) handling performance. Performance in 2007–08 (Telemarketing and Research Calls) Industry Standard exceeded ACMA’s target complaint-handling (industry standard). time frames.

Table 22: ACMA’s telemarketing complaints handling performance

Measure (days) Target (per cent) Performance (per cent)

7 50 85.8

14 75 95.2

21 90 98.8

42 ACMA ANNUAL REPORT 2007–08 _ g g

ACMA’s approach to telemarketing compliance ACMA aims to finalise its investigations into alleged Prior to the Do Not Call Register taking effect on 31 breaches of the DNCR Act and take enforcement action, May 2007, ACMA promoted industry awareness of the where required, within 12 months of an investigation new legislation through media releases, e-newsletters commencing. The above investigations were each and a series of industry forums. finalised within approximately seven months. Since then, ACMA has worked to develop effective and efficient procedures for dealing with consumer Industry liaison complaints and addressing non-compliance by ACMA has undertaken a series of industry visits during telemarketers. Given the size of the telemarketing 2007–08, aimed at further developing its understanding industry, the wide range of businesses that conduct of telemarketing industry procedures. The information telemarketing and the fact that the legislation was new, gained during these visits, together with ACMA’s Do ACMA’s work in educating the industry about its Not Call investigations experience, will be used to guide obligations has been significant in 2007–08. telemarketers on steps they may take to ensure they comply with the DNCR Act and the industry standard. Overall, industry compliance with the DNCR Act and industry standard has been positive. Complaints are Refer to Consumer safeguards in Chapter 3 for more largely driven by systemic non-compliance within a information about the Do Not Call Register. relatively small section of the industry—five per cent of the businesses ACMA has received complaints about are Anti-spam responsible for about 70 per cent of total complaints. ACMA’s formal investigations are focusing on these Complaint-handling businesses. ACMA is responsible for the enforcement of the Spam ACMA’s general approach to compliance is to try to Act 2003 (the Spam Act), which requires that all resolve a matter, where appropriate, without using its commercial electronic messages—including emails, formal powers. Where complaints are received from SMS and MMS messages, and instant messaging—be consumers, ACMA issues an advisory or warning letter sent with the recipient’s consent, clearly identify the to the relevant business, providing it with an opportunity sender and include a functional unsubscribe facility. to review its compliance processes and address Members of the public can lodge complaints and any issues. enquiries about spam on ACMA’s website. ACMA However, if this informal approach is unsuccessful or responds in writing to each complaint or written enquiry. inappropriate, ACMA will take investigatory and In 2007–08, ACMA upgraded its website to make it enforcement action. In developing its procedures for easier for consumers to make complaints about alleged overseeing compliance with this new legislation, ACMA breaches of the Spam Act. This has contributed to a has balanced a willingness to work with industry with a significant increase in complaints, with 3,757 written readiness to take formal action where required. complaints and enquiries about spam received in This approach to enforcement has been effective in 2007–08, compared with 2,934 in 2006–07. Making improving industry compliance, with the majority of information on spam more accessible has also businesses acting on an advisory or warning letter from contributed to an 11 per cent increase in spam telephone ACMA. During 2007–08, ACMA issued 815 advisory hotline enquiries during 2007–08, with ACMA and warning letters to businesses that had been the responding to more than 1,000 calls during the year. subject of consumer complaints. Consumers are particularly sensitive to spam such as Investigations and enforcement SMS spam, received on mobile devices. Although During 2007–08, ACMA commenced 21 formal complaints about spam received on mobile devices are investigations into alleged breaches of the DNCR Act. relatively few compared to complaints about email spam Two investigations were finalised during this period, (representing 19.2 per cent of all complaints in with both businesses found to have breached the 2007–08), approximately two-thirds of the formal requirements of the DNCR Act. ACMA found that investigations undertaken by ACMA into alleged offshore call centres engaged by these businesses had breaches of the Spam Act in 2007–08 concerned spam illegally made telemarketing calls to numbers on the received on mobile devices. The reason for this focus is register. ACMA took enforcement action against the that many of the complaints concerning SMS spam businesses and is satisfied that they have now taken indicate systemic and ongoing breaches of the steps to ensure that their procedures comply. Spam Act.

Table 23: Written complaints and enquiries about spam received by ACMA, 2007–08

Written complaints (total) Written enquiries received

Total 3,014 743

ACMA ANNUAL REPORT 2007–08 43 _ g g

Enforcement Pacific economies. In 2007–08, there were five meetings ACMA undertook approximately 20 mid-level and of the MoU group—in KunShan City, China in major investigations related to alleged breaches of the September 2007 and Tokyo, Japan in March 2008, as Spam Act during 2007–08. Many of these investigations well as online conferences in July 2007, and February are ongoing, with approximately one-third involving and June 2008. parties located overseas and liaison with international ACMA continues to share information with other regulators. A number of investigations concern the Seoul–Melbourne MoU member countries for action marketing activities of premium rate SMS service against spam being sent from their jurisdictions. This providers. This will continue to be a strong area of includes weekly data feeds of reports generated by the ACMA’s anti-spam enforcement activity in 2008–09. SpamMATTERS reporting system mentioned above. During 2007–08, ACMA issued five infringement ACMA is also a founding member of the most notices totalling $188,100 and six formal warnings, and significant international anti-spam organisation, the accepted one enforceable undertaking. ACMA also sent London Action Plan (LAP). At 30 June 2008, the LAP out 771 letters and emails during the year to companies had 35 government members, 43 industry participants informing them about the requirements of the Spam Act. and five observers. In 2007–08, ACMA participated in Australia continues to fall in world rankings of 10 teleconferences with other organisations represented spamming countries, which may be attributed to in the LAP and attended the LAP meeting held in ACMA’s anti-spam enforcement, educational and e- Washington, DC in October 2007. security activities. The international anti-spam and e- The LAP’s status as the foremost anti-spam international security company Sophos ranked Australia as 35th on its organisation has been augmented by ACMA’s active list of top spam-relaying countries for the 2007 calendar participation and fostering of links with other relevant year. This ranking was down from 28th in 2006 and 10th Australian and international law enforcement bodies. in March 2004, just before the enforcement provisions of ACMA continues to receive assistance from overseas the Spam Act came into operation. agencies in the exchange of information and is currently working with a number of major government Detection initiatives enforcement agencies in a worldwide spam operation. The SpamMATTERS program was launched by ACMA in May 2006. The SpamMATTERS reporting ‘button’ On 19 October 2007, a memorandum of understanding can be downloaded from ACMA’s website and installed was signed between the Australian Commerce and in the Microsoft Outlook and Outlook Express email Industry Office in Taipei, and the Taipei Economic and programs. Once installed, users can simultaneously Cultural Office in Australia. ACMA and the National delete their spam and report it to ACMA with one click Communications Commission, Taiwan, are the of their mouse. Spam reported by using the button is implementing authorities for this agreement, which is captured forensically intact and contains the information directed at minimising spam originating in, and being that ACMA, law enforcement agencies and overseas sent to, end-users in the respective economies. regulators need to track down spammers and take action In addition to these international activities, ACMA against them. meets regularly with overseas agencies to discuss By 30 June 2008, more than 294,000 users had possible spam operations and share information on anti- submitted 41.8 million items of email spam. spam activities and trends. The data obtained through SpamMATTERS was used in several ACMA investigations and also to assist overseas Broadcasting authorities in their investigations. In addition, ACMA provided weekly SpamMATTERS data to the ten Complaints and investigations jurisdictions represented in the Seoul–Melbourne anti- The numbers of complaints and investigations about spam group to assist group members in fighting spam radio and television licensees’ compliance with codes of originating from their jurisdictions. practice, licence conditions and the Broadcasting Services Act are provided in Table 24. Details of breach International cooperation and non-breach findings by state and territory and ACMA is actively involved in international efforts to category of broadcasting service are in Appendix 7. fight spam and enhance e-security, and plays a leading role in two organisations that aim to improve Control international cooperation in reducing sources of spam. ACMA’s broader role in relation to media ownership Such cooperation is important as more than 99.5 per cent and control rules is discussed above (under ‘Ownership of spam received in Australia is sent from overseas. and Control’). ACMA chairs and provides secretariat services to the Elmie investigation Seoul–Melbourne Multilateral Memorandum of On 21 November 2007, ACMA published the final Understanding on Cooperation in Countering Spam report of its investigation into the control of the (MoU), which has 13 members representing 10 Asia- commercial radio broadcasting licences held by Elmie

44 ACMA ANNUAL REPORT 2007–08 _ g g

Table 24: Summary of broadcasting complaints and investigations, 2007–08

Complaints received 793

535 Complaints actioned within time frame of seven calendar days (67%)

Investigations completed 136

106 Investigations completed within time frame of six months from receipt of complaint or further information (78%)

Investigations resulting in breach findings 47

Investigations resulting in non-breach findings 84

Investigations concluded where, for example, the complaint is withdrawn 5

Investigations regarding compliance with Broadcasting Services Act 1 Investigations resulting in breach Investigations regarding compliance with licence conditions 23 findings Investigations regarding compliance with codes of practice 23

Investigations regarding compliance with Broadcasting Services Act 0 Investigations resulting in non- Investigations regarding compliance with licence conditions 21 breach findings Investigations regarding compliance with codes of practice 63

6YMS community radio—remedial direction issued

2QBN community radio—remedial direction issued (compliance reports received, further reports to be provided)

3EON community radio—agreed measures (compliance report received August 2007; next report due July 2008) Investigations resulting in 4RIM community radio—agreed measures (compliance report received June 2008) enforcement action QTQ commercial television—on-air correction

2UE commercial radio—undertaking provided

Fly FM open narrowcast radio—undertaking provided

Applications for section 21 opinions received 29

Section 21 opinions Applications for section 21 opinions actioned within statutory time frames (including 33 applications received in 2006–07) 62

Applications for section 21 opinions remaining to be actioned at 30 June 2008 2

Investments Pty Ltd (Elmie) from September 2005 to ACMA did not find any breaches of the Broadcasting January 2007. The investigation commenced on 16 Services Act after the original financing documents were February 2006. The terms of the investigation required amended on 8 May 2006. ACMA concluded that the ACMA to determine, among other matters, whether breaches during the period 5 September 2005 to 8 May Macquarie Bank Limited or any of its subsidiaries had, 2006 did not support a conclusion that any criminal since 5 September 2005, been in a position to exercise offences under the Broadcasting Services Act were control over the Elmie licences. committed by the relevant Macquarie companies or their directors. The five Elmie licences were sold to various In November 2007, ACMA found that Macquarie Bank independent parties in early 2007. Limited and Macquarie Regional Radioworks were in breach of the media control rules in the Broadcasting Commercial radio standards Services Act from 5 September 2005 to 8 May 2006. Investigation into compliance by 2UE with The breaches occurred as a result of financing commercial radio standards and subsequent actions arrangements between Macquarie Regional Radioworks On 25 September 2007, ACMA published the report of Pty Ltd and Elmie Investments Pty Ltd for the following an investigation into compliance by a licensee, Radio five regional commercial radio licences—3EL 2UE Sydney Pty Ltd (2UE), with aspects of the Maryborough/Bendigo (Victoria), 6EL Bunbury commercial radio standards. ACMA found that 2UE (), 4EL Cairns, 4AA Mackay breached the Broadcasting Services (Commercial Radio (Queensland) and 3ML Mildura (Victoria). In all Current Affairs Disclosure) Standard 2000 (the markets, the Elmie licences competed with licences Disclosure Standard) in its broadcast of the John Laws operated by Macquarie Regional Radioworks. Morning Show on 28 August 2006, and that 2UE also

ACMA ANNUAL REPORT 2007–08 45 breached elements of the Broadcasting Services and section 6 of the Broadcasting Services (Commercial Radio Compliance Program) Standard (Commercial Radio Advertising) Standard 2000 2000 (the Compliance Program Standard). (the Advertising Standard). On 24 September 2007, in response to ACMA’s On 27 August 2007, ACMA found that the licensee did investigation findings, 2UE offered ACMA an not breach section 7 of the Disclosure Standard. enforceable undertaking under section 205W of the Broadcasting Services Act. This undertaking was Captioning complaints accepted by ACMA on 24 September 2007 and is Under the Broadcasting Services Act, broadcasters must published on ACMA’s website. 2UE’s adherence to all provide a captioning service for programs broadcast aspects of the undertaking were assessed by ACMA in during prime viewing hours—between 6.00 pm and the first half of 2008. 10.30 pm each day—and for all news and current Reports provided by the independent person who affairs programs, subject to certain exemptions. reviewed broadcasts of the John Laws Morning Show, in Neither captioning service nor what is regarded as accordance with requirements of the enforceable acceptable quality for a captioning service are defined undertaking, identified a number of failures by the in the legislation. licensee to broadcast the required disclosure In 2007, ACMA received more than 30 complaints about announcements. ACMA responded by undertaking an captioning. This large number of complaints was due to assessment of the licensee’s compliance with the some commercial television licensees installing new enforceable undertaking and the disclosure standard over software-based digital equipment that produced poor the period October to November 2007. ACMA is quality captions in some cases and missing captions finalising this report for publication. in others. The John McKenzie Show, 4EL Cairns AM846 As a result of these complaints, ACMA opened 11 On 19 January 2007, ACMA received a written investigations during the reporting period, 10 of which complaint about an alleged failure to disclose a have been completed. Of these, one resulted in a breach commercial agreement with a company known as finding and nine in non-breach findings. The Rawnet (Regional Internet Australia Pty Ltd) during an investigation resulting in a breach finding determined interview with a representative of Rawnet on The John two breaches against the Ten Network for a failure to McKenzie Show, broadcast on 11 January 2007. This provide captioning during two episodes of The Simpsons allegation led to an investigation of the licensee’s broadcast during prime viewing hours. The nature of a compliance with section 7 of the Disclosure Standard captioning service is such that it is unlikely that all

ACMA Chairman Chris Chapman speaking at the Telecom and Broadcasting Regulatory Forum in Taipei.

46 ACMA ANNUAL REPORT 2007–08 _ g g

aspects of a television program can be conveyed by text regard to the circumstances at the time of preparing and in the limited time and space available. However, it was broadcasting the program. considered that when viewed across the two episodes, During the reporting period, ACMA conducted a the quality of the captioning would result in the number of investigations into compliance with this programs being incomprehensible to a deaf or hearing- element of the code. impaired viewer. In March 2008, ACMA found that the licensee of QTQ In its response to the breach findings, the Ten Network Brisbane, Queensland Television Ltd, had breached the cited significant mitigating factors arising from its accuracy provisions of the code in several editions of the implementation of new digital captioning processes and program A Current Affair broadcast between 18 equipment. These have since been resolved and the Ten September and 10 October 2006. ACMA also found that Network has undertaken to continue to rigorously test Queensland Television Ltd had failed to correct and monitor its captioning processes and equipment, and significant errors of fact at the earliest opportunity. address any feedback from viewers. The broadcasts were about government support for Broadcasting of a political advertisement children with autism and were critical of the during a ‘blackout’ period performance of the then Queensland Minister for During the reporting period, ACMA found that the Disability Services and his department. licensee of commercial television station ATV 10 As this was the fourth investigation since 1 January Melbourne, Network TEN (Melbourne) Pty Ltd, 2005 that had resulted in a breach finding against breached a condition of its licence by broadcasting an A Current Affair concerning the accuracy provisions of election advertisement during the so-called ‘blackout’ the code, ACMA entered into discussions with the Nine period. Clause 3A of Schedule 2 to the Broadcasting Network about these breaches. As a result, the Nine Services Act states that a broadcaster ‘must not Network broadcast an announcement during A Current broadcast under the licence an election advertisement in Affair on 4 April 2008 that included an outline of the relation to the election during the relevant period’. main findings of the ACMA investigation, the number For the purposes of this licence condition, an election of breach findings and a correction of the factual includes a federal election and the relevant period is inaccuracies that had resulted in the breaches. Senior defined as ‘the period that commences at the end of the Nine Network personnel also met with ACMA staff on 9 Wednesday before the polling day for the election and May to review compliance with the code. In addition, ends at the close of the poll on that polling day’. The reporters and producers of A Current Affair attended licensee of ATV 10 was found to have broadcast an advanced training in code compliance, which included a election advertisement on Thursday 22 November 2007, review of all the findings of the report. two days before a federal election and therefore within the ‘relevant period’. The advertisement was broadcast Commercial television standards shortly after midnight and the licensee stated that this In 2007–08, ACMA investigated three complaints under was due to previous programs running overtime and not the Children’s Television Standards 2005 (the CTS). In according to schedule. one of these investigations relating to the use of The licensee advised ACMA that, as a result of the premium offers in advertising during a C-classified breach, it had implemented internal policies whereby all program ACMA made a non-breach finding. The other political advertising will cease to be scheduled after two investigations are summarised below. 11.30 pm on the night before the commencement of the The Fairies investigation ‘blackout’ period. Broadcasting delays, including delays The CTS requires that during a P period no advertising, in the broadcasting of election advertisements, would endorsements or promotions by program characters can also be closely monitored in the future to ensure that no be broadcast. such advertisements were broadcast during the In March 2008, ACMA found that Channel Seven ‘blackout’ period. Staff had been advised of the Melbourne Pty Ltd breached sections 13(2) and 22(1) of implementation of these policy measures and these the CTS by broadcasting a voiceover announcement that policies would be highlighted again during subsequent constituted both an advertisement and a promotion for a elections. Furthermore, the investigation would be used in future internal regulatory training sessions. ACMA commercial product or service by a principal personality also wrote to the licensee seeking its assurance about or character from a P program. This occurred during the adequacy of its programming systems to ensure closing credits of The Fairies episodes that were aired future compliance. on the mornings of 23 and 24 August 2006. In doing so, the licensee breached the condition set out at section News and current affairs 7(1)(b) of Schedule 2 to the Broadcasting Services Act. The Commercial Television Industry Code of Practice ACMA is satisfied that the licensee has taken 2004 (the code) requires news and current affairs appropriate action that will help to ensure that breaches programs to present factual material accurately, having of this nature do not occur in the future.

ACMA ANNUAL REPORT 2007–08 47 _ g g

Nestle Milo Cereal investigation Refer to Anti-terrorism standards in Chapter 3 for details The CTS requires that, if an advertisement broadcast of the investigation into a satellite subscription during a C period contains a premium offer, reference narrowcasting service. to the premium offer must, among other things, be incidental to references to the main product or Online content complaints service advertised. On 20 January 2008, the Communications Legislation In June 2008, ACMA found that Network TEN Amendment (Content Services) Act 2007 amended the (Melbourne) Pty Ltd, breached sections 13(1) and 20(2) Broadcasting Services Act to introduce a new Schedule of the CTS on 15 occasions between 21 and 31 October 7. The new schedule expands ACMA’s current role to 2006 by broadcasting during a C period an provide for investigations into complaints concerning advertisement for Nestle Milo Cereal that contained potentially prohibited online content, including internet references to a premium product that were not incidental and mobile content, available from a range of non- to the main product advertised. In doing so, the licensee broadcast content services including: breached the licence condition set out at paragraph 7(1)(b) of Schedule 2 to the Broadcasting Services Act • ‘hosting services’—such as stored internet content and clause 6.20 of the Commercial Television Industry and stored mobile content services; for example, Code of Practice July 2004. websites or premium mobile content; ACMA has not taken enforcement action against the • ‘live content services’—such as live streamed licensee, in recognition that the licensee relied in good audiovisual content services; and faith on an understanding of a previous Australian • ‘links services’—such as websites or mobile content Broadcasting Authority (ABA) position when classifying portals that provide links to prohibited content. the advertisement. During 2007–08, ACMA received 1,122 complaints The investigation report is expected to be made publicly about online content, an increase of approximately 85 available early in 2008–09, following consultation with per cent from the previous year. Of these complaints, the licensee as required under section 180 of the 530 were made about internet content and received Broadcasting Services Act. under Schedule 5 of the Broadcasting Services Act. The remaining 592 complaints were received under Schedule Anti-terrorism standards 7 of the Broadcasting Services Act. Of those 592 During the reporting period, ACMA conducted enquiries complaints, 586 concerned content provided by hosting into a report of a broadcast of the Al Manar service in service providers, two concerned content provided by Australia in January 2008. Following ACMA’s enquiries links service providers and four concerned content in relation to compliance with the Broadcasting Services provided by live content service providers. ACMA (Anti-terrorism Requirements for Open Narrowcasting completed 775 complaints, including three carried over Television Services) Standard 2006, an overseas-based from the previous year, while 132 complaints were satellite company confirmed that it had carried out a test invalid and 119 terminated. Investigations were transmission of the Al Manar service between 9 and terminated because ACMA was unable to obtain 11 January 2008. The satellite company confirmed to sufficient information on which to base a decision, ACMA that the test transmissions were terminated in usually because the content identified by the complaint January 2008 and that the satellite facilities would not be could not be located. provided to Al Manar. Of the 775 investigations completed, 475 resulted in the Category of service opinions location of content that was prohibited or potentially Section 21 of the Broadcasting Services Act allows a prohibited under the Broadcasting Services Act. These person who is providing, or who proposes to provide, a 475 investigations resulted in the location of 796 broadcasting service to apply to ACMA for an opinion prohibited or potentially prohibited items of online as to which category of broadcasting service the service content (‘items actioned’). falls into. During the reporting period, ACMA provided The introduction of Schedule 7 provided ACMA with 62 such opinions. This represents a major increase from powers to issue special take-down notices, service the previous reporting period in which ACMA provided cessation notices and link-deletion notices, in addition to two opinions. maintaining its existing ability to issue take-down Category-of-service opinions must be provided to notices. During the current reporting period, final ‘take­ applicants within strict statutory deadlines. All opinions down’ notices were issued for 12 items of Australian- provided by ACMA during the reporting period were hosted prohibited content and final link-deletion notices done so within the required statutory time frames. Under were issued for three links hosted in Australia that the Broadcasting Services Act, ACMA can only make its provided links to prohibited content. A total of 781 opinion public once the service has commenced. overseas-hosted prohibited or potentially prohibited

48 ACMA ANNUAL REPORT 2007–08 _ g g

items of internet content were referred to the makers of The previous reporting period identified the United internet software filters. States as accounting for the majority of prohibited or Approximately 50 per cent of items that were prohibited potentially prohibited content hosted outside Australia. or potentially prohibited were, or were likely to be, As shown in Figure 6, the United States continued to refused classification. Of these, 80 per cent constituted account for the majority of prohibited online content an exploitative or offensive depiction or description provided from outside Australia. of a child, or were otherwise concerned with paedophilic activity. Interactive gambling Table 25 shows the breakdown by content type of items The Interactive Gambling Act 2001 (the Interactive actioned as a result of completed investigations in which Gambling Act) makes it an offence to provide certain prohibited or potentially prohibited content was located. types of gambling services to Australians and to An ‘item’ refers to an individual article of content such advertise such services in Australia. Under the Act, as a link or URL that has been investigated. ACMA is responsible for investigating complaints about

Table 25: Prohibited/potentially prohibited internet content 2007–08, items actioned

Online content hosted in or Internet content items * provided from Australia Classification and description of online content (take-down, service-cessation hosted overseas (referred Total or link-deletion notice issued) to makers of filters)

MA 15+ – Violence 0 0 0

MA 15+ – Sex 0 0 0

MA 15+ – Themes 0 0 0

MA 15+ – Drug Use 0 0 0

MA 15+ – Nudity 0 0 0

MA 15+ – Language 0 0 0

R 18+ – Violence 0 0 0

R 18+ – Sex 0 6 6

R 18+ – Themes 0 0 0

R 18+ – Drug Use 0 0 0

R 18+ – Nudity 0 3 3

R 18+ – Language 0 0 0

X 18+ – Actual sexual activity 4 251 255

RC – Crime – promotion/instruction 0 2 2

RC – Violence – depiction 0 1 1

RC – Paedophilia – promotion/instruction 0 3 3

RC – Child – depiction 11 410 421

RC – Bestiality – depiction 0 10 10

RC – Sexual violence – depiction 0 13 13

RC – Sexual fetish – depiction 0 42 42

RC – Sexual fantasy – depiction 0 40 40

RC – Drug use – promotion/instruction 0 0 0

RC – Terrorist related material 0 0 0

RC – Publication 0 0 0

Cat 1 – Publication 0 0 0

Cat 2 – Publication 0 0 0

Totals 15 781 796

* Descriptions of online content in this table are based on the National Classification Board’s Guidelines for the Classification of Films and Computer Games 2005, Guidelines for the Classification of Publications, the Classification (Publications, Films and Computer Games) Act 1995 and the National Classification Code available at www.classification.gov.au

ACMA ANNUAL REPORT 2007–08 49 _ g g

Figure 6: Prohibited or potentially prohibited internet content by host location, 2007–08

United States – 69%

Other – 14%

Netherlands – 11%

Canada – 3%

Russia – 3%

alleged prohibited interactive gambling content and for organisations, ACMA ensures that these regulatory registering industry codes of practice dealing with provisions are relevant and appropriate in fostering the interactive gambling matters. most efficient and effective provision of these services Part 3 of the Interactive Gambling Act establishes a to the community. complaints system for prohibited interactive gambling content. In 2007–08, ACMA received 13 valid Law enforcement liaison complaints under the Act. Of these complaints, five investigations resulted in the location of prohibited ACMA’s Law Enforcement Advisory Committee internet content, including one investigation that resulted (LEAC) advises ACMA on telecommunications issues in the location of prohibited interactive gambling content relating to criminal law enforcement and measures to at eight separate websites. Each of the services identified enhance and improve national security. It also provides a were located outside Australia and the makers of filter forum for law enforcement and national security software were notified in accordance with the code of agencies and carriers to meet, discuss and resolve issues practice registered under the Act. Of the remaining of common interest. complaints, four investigations resulted in the location of A review of LEAC was undertaken in 2007–08 and content that was not prohibited. ACMA will consider the findings of the review and a new approach in 2008–09. ACMA convened LEAC three times during the reporting NATIONAL INTEREST period. The committee’s membership is listed in ISSUES Appendix 2.

Agencies involved in the national security of Australia, Review of collection of pre-paid law enforcement and emergency services have unique mobile phone user information operational requirements for their interaction with the During 2007–08, ACMA worked with industry services of the telecommunications industry. stakeholders to implement a package of measures that ACMA acknowledges these unique requirements and, focused on: through regulatory provisions, enables necessary measures to facilitate the efficient and effective • improving the outcomes of the existing regulatory operation of law enforcement agencies and emergency regime for the collection of information about pre­ services organisations in their interaction with the paid mobile phone users; and telecommunications industry. • improving processes for ensuring the identity By maintaining ongoing relationships with law information of purchasers and users is accurately enforcement agencies and emergency service recorded.

50 ACMA ANNUAL REPORT 2007–08 _ g g

ACMA developed an improved compliance program and Interception capability plan enforcement strategy, and advised external stakeholders, in particular CSPs and law enforcement and national compliance security agencies, about its revised approach to Under section 196 of the TIA Act, carriers and compliance, performance measurement and enforcement nominated CSPs must lodge an interception capability action. The compliance program consists of the plan by 1 July each year with the Communications following key components: Access Co-ordinator in the Attorney-General’s Department. ACMA’s role is to enforce this obligation. • increased education and awareness activities to inform Compliance with this obligation was satisfactory in CSPs of their obligations; 2007–08 and, while several carriers submitted their • investigative activities, including the purchasing of plans after the due date, all eventually complied and pre-paid SIM cards and the random auditing of sales ACMA did not take compliance action. transactions to test how CSPs comply with their legislative obligations; and Emergency call service • establishing and improving levels of compliance. The emergency call service is a national operator- The compliance program and enforcement strategy will assisted service that connects emergency callers free-of­ be implemented over the next reporting period. charge to state and territory emergency service organisations—police, fire and ambulance. The service Disclosure of customer information is designated for emergencies that are life-threatening or time-critical. Customer information provided to telecommunications carriers and CSPs is protected under Part 13 of the The primary emergency call service number is Triple Telecommunications Act. Carriers and CSPs are Zero (000), which can be accessed from any fixed-line prohibited from disclosing that information to other or mobile phone. In addition, there are two secondary parties except in certain limited and restricted emergency call service numbers in operation—112, circumstances. Those circumstances generally relate which can be accessed from GSM mobile phones, and 106 for text-based emergency calls from people who are only to: deaf or have a hearing or speech impairment. • assisting in investigations by law enforcement or Telstra is the emergency call person for the Triple Zero national security agencies, ACMA, the ACCC or the (000) and 112 emergency call service while Australian TIO; Communication Exchange Ltd is the emergency call • where there is an imminent threat to a person’s life person for the 106 emergency call service. or health; or • satisfying the business needs of other carriers Emergency Call Service Advisory Committee and CSPs. As part of ACMA’s role in regulating and monitoring the emergency call service, it convenes the Emergency Following the Report of the Review of the Regulation of Call Service Advisory Committee (ECSAC) to provide a Access to Communications (the Blunn Review), forum for representatives of the telecommunications legislative amendments were made in September 2007 to industry, emergency call persons and emergency service transfer a range of provisions, including those relating to organisations to discuss priority issues affecting the access to telecommunications data, from the operation of the service. Telecommunications Act to the Telecommunications ECSAC met twice in 2007–08 and has progressed issues (Interception and Access) Act 1979 (TIA Act). relating to public awareness campaigns for Triple Zero The impact of this amendment on the disclosure of (000), the effect of new communications technologies on telecommunications data is on the: the emergency call service and the development of • powers of any agency that enforces the criminal law initiatives designed to improve the efficiency of the or a law that imposes a pecuniary penalty and any service. ECSAC membership is listed in Appendix 2. agency that protects the public revenue; and Triple Zero (000) public awareness campaign • level of authorisation required for existing and In August 2007, ECSAC, in partnership with other prospective information. emergency service organisations, commenced a national ACMA is required under clause 57(2)(f) of the ACMA Triple Zero (000) public awareness campaign. The aim Act to include in its annual report information on of the campaign was to build awareness of the Triple disclosures of customer information made during the Zero (000) number and educate the community about reporting year. The number and type of disclosures made how and when to use it. The campaign was conducted during 2007–08, as reported to ACMA under section through television, radio, newspapers and the internet to 308 of the Telecommunications Act, are provided at promote the key messages about Triple Zero (000). Appendix 12. Funding for the campaign was committed jointly by

ACMA ANNUAL REPORT 2007–08 51 _ g g

ACMA (60 per cent) and the various state and territory ACMA has initiated a broad review of the ECS emergency service organisations (40 per cent). Determination to better accommodate VoIP and other ACMA followed up the Triple Zero (000) campaign emerging technologies, and to revise and update the with a public awareness survey, which revealed the instrument generally. ACMA made a purpose-specific overall awareness level of Triple Zero (000) as the amendment to the ECS Determination in November number to call for emergency services to be around 95 2007 to clarify the obligation that providers of two-way per cent. The survey identified sections of the VoIP services must provide free-of-charge access to the community that are less likely to be aware of which emergency call service, and that VoIP services must be number to call and what to do in an emergency, which suitably flagged in the IPND. The IPND contains will help target any future awareness-raising initiatives. information about the subscriber for each public number in Australia, including both fixed and mobile services. Reducing the volume of non-emergency calls This amendment was made ahead of the more An ongoing issue raised with ACMA by stakeholders is comprehensive review. reducing calls to the emergency call service that are not As part of the broader review of emergency call service related to an emergency. Of the 12.2 million calls arrangements, ACMA released the discussion paper received by the emergency call person during 2007–08, Calling the Emergency Call Service—Review of only 5.4 million were connected to an emergency service organisation. Calls that are categorised as non- Arrangements in April 2008 for public comment. emergency may include: A principal objective of this review is to ensure that the obligations of relevant industry participants are clearly • deliberate nuisance calls; understood and expressed in technologically neutral • calls for assistance that are not time-critical; terms to accommodate the evolution to next • calls to services that are not accessible through the generation networks. emergency call service, such as the state emergency Submissions were due on 20 June 2008, with 22 services; and submissions received in total. The analysis of • accidental mis-dialling. submissions and the review will continue into 2008–09. Nuisance and other non-genuine calls to the emergency call service from mobile handsets without a subscriber Integrated Public Number Database identity module (SIM) have been a major concern for As noted above, the IPND contains information about many years. These calls comprise 16 per cent of all calls the subscriber for each public number in Australia, received by Triple Zero (000) and are often obscene, including both fixed and mobile services. While the threatening or simply annoying. During the year, ACMA quality of address data in the IPND has improved consulted publicly on a proposal to stop these calls from significantly since the first audit was conducted in 2004, reaching Triple Zero (000) by removing the obligation ACMA continued to work with data providers during on mobile phone carriers to carry such calls. 2007–08 to ensure they have plans in place to make The implementation was deferred due to technical further corrections and/or implement system issues and the approach will be finalised in the next improvements where necessary. reporting period. e-security Review and amendment of the ECS Determination The Australian Internet Security Initiative (AISI) forms Under Part 8 of the Telecommunications (Consumer part of the government’s E-Security National Agenda Protection and Service Standards) Act 1999, ACMA is (ESNA). ESNA has three key priorities: responsible for administering the legislation 1. Reducing the e-security risk to Australian underpinning the provision of the emergency call Government information and communications service. This involves monitoring the performance of the systems. service and facilitating developments that assist in its 2. Reducing the e-security risk to Australia’s national efficient operation. ACMA’s prime regulatory critical infrastructure. instrument made under Part 8 is the Telecommunications (Emergency Call Service) Determination 2002 3. Enhancing the protection of home users and SMEs (ECS Determination). from electronic attacks and fraud. As discussed under ‘Regulation of VoIP Services’, In May 2007, the government allocated funding of $73.6 telecommunications services based on new and million over four years to address these three priorities, emerging communications technologies, such as voice of which the AISI received $5.2 million. Although the over internet protocol (VoIP), present challenges in AISI is most relevant to priority three, it also has providing efficient and reliable access to the emergency relevance to priority two, as it helps reduce the capacity call service. Of particular concern is the greater for attacks on Australia’s internet infrastructure by uncertainty about the location of an emergency caller reducing the number of infected computers on the using a VoIP service. Australian internet.

52 ACMA ANNUAL REPORT 2007–08 The AISI, developed and managed by ACMA, is a key tool to help address the emerging e-security threat posed INTERNATIONAL MATTERS by ‘botnets’—networks of computers that have become compromised through the surreptitious installation of During the reporting period, ACMA developed and malicious software (malware). This malware enables the pursued a dedicated international engagement strategy to computer to be controlled remotely for illegal and complement its overall strategic direction. Improving harmful activities, including the dissemination of spam, ACMA’s ability to influence regulatory outcomes is a hosting of ‘phishing’ sites and distributed denial of key objective of the international engagement strategy, service attacks on internet infrastructure. particularly in the following key areas: Under the AISI program, ACMA provides information • online content and child protection; to participating Australian ISPs about ‘compromised’ • e-security and anti-spam initiatives; computers residing on their networks. The ISPs then • increasing harmonisation of spectrum usage; contact their customers to inform them that their • global and regional standardisation; computers are compromised and assist them in restoring • convergence, incorporating radiocommunications, correct operation. next generation networks and VoIP; A pilot of the AISI involving six ISPs commenced in • continuing promotion of end-user involvement November 2005. The pilot was reviewed during mid­ and accessibility in the development of international 2006, assessed as successful and has been progressively standards; and expanded since late 2006. During 2007–08, ACMA: • supporting whole-of-government initiatives • diversified and expanded the data on compromised on regulatory capacity-building for other computers feeding into the AISI, thereby increasing Asia-Pacific countries. the number of compromises from a few hundred Part of ACMA’s engagement strategy involves the reports per day at 1 July 2007 to an average of 3,060 development of relationships with fellow regulators, per day over the period 1 April to 30 June 2008; together with strengthening bilateral relationships with • enhanced the information in the daily aggregate regional authorities and standards development bodies. compromise reports provided to ISPs, providing more A memorandum of understanding (MoU) was concluded detail on some compromises and prioritising the data during the year with the Singapore Media Development in the reports so that the most problematic Authority. This MoU will enable a free exchange of compromises (such as ‘malware serving hosts’) were information as well as opportunities for staff exchange visits and study tours in the future. identified at the beginning of the report, thereby assisting ISPs to act quickly to rectify these ACMA met with the New Zealand Ministry of compromises; and Economic Development in February 2008. This meeting is part of ACMA’s continuing activities to harmonise the • increased the number of ISP participants by standards and compliance arrangements for approximately 100 per cent, with 37 ISPs radiocommunications and EMC under the Trans-Tasman participating by the year’s end. It is estimated that Mutual Recognition Agreement. The agreement, these 37 ISPs account for 85 per cent of Australian between the Australian, state, territory and New Zealand home internet users. governments, aims at removing regulatory barriers to The high level of compromise reports per day reported trade in certain goods and services between Australia through the AISI underscores the need for internet users and New Zealand. to be vigilant in maintaining the e-security of their ACMA participated in two Asia-Pacific Economic computer and not engaging in practices—such as Cooperation Telecommunications and Information visiting ‘suspect’ websites—that cause their computers (APEC-TEL) meetings as part of the Australian to become infected. Based on the trend data at the end of delegation led by DBCDE. ACMA presented a number 2007–08, it is estimated that in 2008–09 more than one of matters of interest and participated in discussions on million discrete compromises will be reported to ISPs. the APEC-TEL Mutual Recognition Agreement, which provides for mutual recognition of conformity The value of the AISI has been recognised assessment between APEC economies, and a new internationally, with the International mutual recognition agreement on technical equivalence. Telecommunications Union developing a ‘Botnet The proposed new agreement is intended to allow APEC Mitigation Toolkit’, which it states is ‘inspired’ by the economies to recognise the national technical standards AISI. The solution to the botnet problem will require a of other APEC economies as ‘equivalent’ for the coordinated international approach, as botnets are made purpose of national regulatory requirements. up of computers located in multiple countries. ACMA In consultation with DBCDE, ACMA provides technical will actively promote international cooperation in this expertise and regulatory input to the development or area during 2008–09. maintenance of broader government objectives.

ACMA ANNUAL REPORT 2007–08 53 In 2007–08, ACMA again convened an International Vietnam. Topics discussed included converged Training Program to assist developing economies regulation, digital switchover, co-regulation, consumer through exposure to ACMA’s experience in managing protection and spectrum management. its regulatory responsibilities. This is the second occasion where the program was primarily funded by the International International Telecommunication Union (ITU) Telecommunication Union Development Sector. The program was again rated highly by the ITU and participants, with the number of The International Telecommunication Union (ITU) is the applications exceeding places available. specialised agency of the United Nations responsible for the regulation, standardisation and development of telecommunications and international management of Hosting international the radiofrequency spectrum and satellite orbits. delegations ACMA’s particular interests lie with the ITU’s During 2007–08, ACMA continued to host visiting Telecommunication Standardization (ITU-T) and delegations from overseas regulators and related Radiocommunication (ITU-R) sectors. agencies to share knowledge and experience on ACMA manages the Australian input into the setting of regulatory matters. This year, ACMA staff hosted 13 international standards for telecommunications, except visits involving more than 50 delegates from countries where Standards Australia is responsible. In practice, including Canada, China, Kenya, Hong Kong, New ACMA’s responsibilities focus on Australian input into Zealand, Singapore, South Africa, Tanzania and International Telecommunication Union Standardization

Participants in ACMA’s 2007 International Training Program.

54 ACMA ANNUAL REPORT 2007–08 _ g g

Sector (ITU-T) Study Groups. This includes managing ACMA was represented at the INHOPE members’ the national study group consultative process for input meeting held in Berlin from 25 to 27 October 2007. into ITU-T Study Groups. The national study group Matters considered at the meeting included systems process ensures that Australian positions and input at for managing community reports to hotlines, technical ITU-T Study Group meetings reflect a wide range of measures implemented by social networking users to Australian government, industry and consumer interests. safeguard the privacy and security of their users, Furthermore, this process ensures that Australian input and techniques for tracing the content of and its positions at such meetings are consistent with newsgroup postings. Australian national policy objectives. ACMA was also represented at the INHOPE members’ The ITU’s Telecommunication Standardization Advisory meeting held in Dublin from 27 to 29 May 2008, where Group (TSAG) is responsible for reviewing the hotlines from Cyprus, Latvia and Lithuania were priorities, programs, operations, financial matters and accepted as new members of the association. Matters strategies for the ITU-T. It also establishes and provides considered at the members’ meeting included search guidance to the 13 ITU Study Groups. engine filtering, tips for internet stakeholders to contribute to online child safety, INHOPE’s global TSAG met once in 2007–08, from 3 to 7 December trends report, new memberships, election of the 2007 in Geneva. Key areas of activity of relevance to INHOPE Board for 2008–10, education initiatives and ACMA included the review of the International closer cooperation between hotline and education and Telecommunications Regulations, ongoing next awareness providers. generation network studies including internet protocol Members’ meetings provide a valuable forum for television (IPTV), proposals to ensure effective exchanging information and expertise on investigation coordination of study group activities, preparations for techniques, hotline promotion, staff welfare and other the World Telecommunications Standardization hotline management issues. Assembly (WTSA)-08 including study group restructuring and the revision of question texts, and Through its membership of INHOPE, ACMA has successful completion of the trial of free online public undertaken steps to expand its list of prohibited internet access to ITU-T recommendations. content. ACMA has arranged with the United Kingdom hotline operated by the Internet Watch Foundation ACMA was also prominent in the formation of the Joint (IWF) to obtain access to its list of about 1,200 URLs of Coordination Activity on Accessibility and Human known online child sexual abuse images. ACMA has Factors (JCA-AHF) operating under the auspices of also made contact with the United States National ITU-T Study Group 2, with a staff member being Center for Missing and Exploited Children and is in the appointed as Vice-Convenor. Its purpose is to raise the process of obtaining access to the list of URLs profile of accessibility issues across the ITU and act as a maintained by its hotline, the Cybertipline. focal point for interaction with external bodies concerned with telecommunications/ICT accessibility for persons with disabilities. Family Online Safety Institute The Family Online Safety Institute (FOSI) invited ACMA to contribute to its inaugural State of Online INHOPE Safety Report, an international survey of online safety ACMA is a member of the International Association of initiatives, and to attend its Online Safety Conference Internet Hotlines (INHOPE). INHOPE member hotlines and Exhibition in Washington, DC on 6 December 2007. deal with complaints about illegal internet content, ACMA was represented at the event by full-time mainly child abuse material. The association is partly Member Mr Chris Cheah. A copy of the report is funded by the European Commission under the hotline available at .

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3 Content regulation and consumer information Chapter 3 reflects ACMA’s key result areas related to consumer and audience safeguards and standards, and community and national safeguards. ACMA’s responses to the performance information set out below for Outcome 2 can be found throughout the chapter.

Outcome 2 ACMA will contribute to meeting the communications products and services needs of the Australian community by enabling an effective information, standards and safeguards regime. Outputs 2.1 Ensuring the provision of community standards and safeguards which reflect broad community expectations. 2.2 Facilitating sufficient community information to enable informed decisions about communications products and services. Performance information • Industry is supported in the development of community standards and safeguards that consider appropriate public interest criteria. • Service monitoring assesses improvements in network reliability, measures adherence to statutory consumer safeguards and the availability and performance of telecommunications services throughout Australia. • Ongoing research and stakeholder consultation is undertaken to maintain an informed understanding of the community’s needs and expectations. • Consumer information strategies are well targeted and effective. • The extent to which industry meets consumer safeguard requirements for the provision of information to consumers. • Improved distribution arrangements for information products and education programs results in increased community coverage. • Consumer codes developed for ACMA registration under Part 6 of the Telecommunications Act by industry bodies are supported by financing arrangements funded from carrier license charges. • Effective universal service provision is maintained through the monitoring, costing and payment arrangements for the universal service obligation. • Effective service provision is maintained through the monitoring, costing and payment arrangements for the National Relay Service. • Consumer codes and technical standards submitted for registration will be considered by the Authority within reasonable time frames. • Occasional papers and reports produced reflect the resources deployed and meet stakeholder expectations in terms of timeliness and relevance. • The number and nature of information products and education programs undertaken directly, or facilitated, by ACMA.

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Integrated Public Number Database REGULATORY TOOLS Industry Code ACIF C555:2008 Integrated Public Number Database (IPND) underwent minor revision ACMA’s role includes ensuring that the community is during 2007–08 following a request from ACMA. The well informed about communications matters and revision was made to delay the time frame by twelve delivering effective consumer protection. To this end, months for implementation of all aspects of the code ACMA provides information to facilitate informed relating to the supply and use of customer data for decisions about communications products and services. location-dependent carriage services. This followed the Industry-developed codes of practice set out the need for further policy consideration of issues involving requirements to meet service and information location-dependent carriage services. ACMA registered provision obligations. this code on 25 March 2008. Telecommunications consumer protections Telecommunications Industry Code C628:2007 Telecommunications industry codes Consumer Protections was registered by ACMA on 19 Telecommunications industry codes can be developed by May 2008. The code replaces six previously registered industry bodies on any matter that relates to a consumer protection codes: telecommunications, e-marketing or telemarketing • Industry Code ACIF 521:2004 Customer Information activity. Codes can be presented by industry bodies to on Prices, Terms and Conditions; ACMA for registration. If ACMA is satisfied that the • Industry Code ACIF C541:2006 Credit Management; code meets the criteria stipulated in Part 6 of the Telecommunications Act 1997 (Telecommunications • Industry Code ACIF C542:2003 Billing; Act), it is obliged to include the code on its register of • Industry Code ACIF C546:2007 Customer Transfer; industry codes and standards. • Industry Code ACIF C547:2004 Complaint Telecommunications industry code development, review Handling; and and registration activity during the reporting year is • Industry Code ACIF C620:2005 Consumer Contracts. detailed below. ACMA registered five revised industry The code is a consolidation designed to preserve the codes during the year. consumer rights and protections identified in the six previously registered codes. It provides greater Calling number display drafting consistency, particularly in use of definitions Industry Code ACIF C522:2007 Calling Number and terminology. Display was registered by ACMA on 6 July 2007. The revised code allows suppliers more flexibility in Consumer-related telecommunications blocking or enabling calling number display code funding information, while preserving the ability of customers to Telecommunications industry bodies and associations either block or display their information. Suppliers of can apply to ACMA for reimbursement of the voice over internet protocol (VoIP) services must refundable costs they incur in developing consumer- comply with the code to the greatest extent possible and related telecommunications industry codes. The inform the customer of any limitations. reimbursement scheme is set out in Division 6A of Part 6 of the Telecommunications Act. Priority assistance During 2007–08, ACMA approved an application for Industry Code ACIF C609:2007 Priority Assistance for reimbursement of $280,640 of costs incurred by the Life Threatening Medical Conditions was registered by Communications Alliance in developing the ACMA on 20 July 2007. The code has been revised so Telecommunications Consumer Protections Code. that a customer’s eligibility for priority assistance status only needs to be confirmed every three years, in line Broadcasting industry codes with Telstra’s revised priority assistance program. and guidelines Local number portability Under section 123 of the Broadcasting Services Act Industry Code ACIF C540:2007 Local Number 1992 (Broadcasting Services Act), representative Portability underwent minor revisions in 2007 to allow industry groups may develop codes of practice in unconditioned local loop call diversion and Category D consultation with ACMA, taking into account any porting of numbers where the access provider is the relevant research conducted by ACMA. Once losing carriage service provider. ACMA registered this implemented, ACMA monitors these codes and deals code on 22 November 2007. with unresolved complaints made under them.

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ACMA includes a code in the register of codes of Standing Committee on Communications, Information practice only if it is satisfied that it provides appropriate Technology and the Arts inquiry into community community safeguards for the matters covered, if it was broadcasting that ACMA update the sponsorship endorsed by a majority of providers of broadcasting guidelines by 30 June 2008. services in that section of the industry and if members Given the favourable response by the community of the public have been given an adequate opportunity sector to the sponsorship guidelines, ACMA has decided to comment. to develop new guidelines in 2008–09 to help No new codes of practice were registered by ACMA community broadcasters comply with other licence in 2007–08 for the commercial or community conditions and enable ACMA to further implement industry sectors. recommendations made by the House of Representatives During the reporting period, Free TV Australia Standing Committee, particularly those relating to commenced its review of the Commercial Television governance arrangements. Industry Code of Practice (the code). ACMA has met Free TV and the networks to discuss a number of code- Internet industry codes related issues, including clarification of ACMA’s The Internet Industry Spam Code of Practice was recommendations from the reality television review and registered by ACMA in March 2006 under section 117 ways to improve investigations processes. of the Telecommunications Act. A review of the code The code for open narrowcast television (ONT) was also commenced in 2007 and a revised code is expected to be under review by the Australian Subscription Television submitted to ACMA for registration in the second half and Radio Association (ASTRA). Following receipt of a of 2008. late submission from the National Indigenous Television The Australian eMarketing Code of Practice was Service (NITV), ASTRA submitted a new open registered by ACMA in March 2005. At ACMA’s narrowcast television code to ACMA for registration. request, the eMarketing Code Administration Body Registration of the new code has been deferred by commenced a review of this code in May 2008. Among ACMA pending further consideration of NITV’s request other things, the code has been used to educate members for certain classification time zone exemptions in the of the e-marketing industry on appropriate practices to ONT code. In the meantime, the ONT code registered by comply with the Spam Act 2003. It is possible that a ACMA’s predecessor, the Australian Broadcasting revised code may expand on these practices, given the Authority (ABA), in July 2003 continues to operate. evolution of e-marketing activities over the period of In consultation with ACMA, codes of practice for more than three years since the eMarketing Code of commercial radio services are also now being reviewed Practice was registered by ACMA. by Commercial (CRA), the industry Internet industry content codes are considered below. body representing Australian commercial radio broadcasters. The current codes were registered by the ABA in September 2004. The review will take into account relevant trends in the provision of commercial CONTENT REGULATION radio services and the community’s attitudes toward those services. ACMA intends conducting research to ACMA regulates content delivered by radio, television, determine current community attitudes to certain aspects the internet, fixed-line telephones and mobile phones. of the codes. It is anticipated that revised codes will be negotiated between CRA and ACMA during the Australian content 2008–09 financial year. ACMA monitors commercial television broadcasting During the reporting period, the Community licensees’ compliance with the Broadcasting Services Broadcasting Association of Australia (CBAA) (Australian Content) Standard 2005 (Australian Content commenced the review of the Community Radio Code Standard) using its Australian content database. This of Practice and expects to submit it to ACMA for database contains information provided by the three consideration in 2008–09. The Australian Community commercial television networks—Seven, Nine and Television Alliance (ACTA) also contacted ACMA Ten— under a self-reporting system about the programs during the reporting period to advise of the broadcast by their metropolitan services. ACMA also commencement of the review of the Community collects compliance information from regional Television Code of Practice in 2008–09. commercial television licensees, including network On 20 June 2008, ACMA released the Community affiliates and independent broadcasters. Broadcasting Sponsorship Guidelines 2008, replacing The Australian Content Standard requires all commercial the guidelines made by the ABA in 2003. The television licensees to broadcast an annual minimum publication of the guidelines accorded with a transmission quota of at least 55 per cent Australian recommendation of the House of Representatives programming between 6.00 am and midnight, including

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first-release and repeat programs. In addition, there are • the Nine licensees averaged 92.5 per cent specific minimum annual sub-quotas for first-release (92 per cent in 2006); and Australian drama, documentary and children’s programs, • the Ten licensees averaged 85.6 per cent as well as sub-quota requirements for repeat children’s (87.4 per cent in 2006). programs and Australian preschool programs. The annual quota requirements for first-release Children’s television Australian programs are: Compliance with the Children’s Television Standards • drama—250 points, with 860 points for the three-year 2005 (CTS) is a licence condition for all commercial period 2005–07. The point system is calculated on the television broadcasting licensees. The CTS currently program duration x format factor, which reflects the require these licensees to broadcast a combined total of relative costs and risks associated with the production at least 390 hours of C and preschool (P) programs each of particular drama genres; year, with a minimum of 260 hours of C- and 130 hours of P-classified programs annually, referred to as C and P • documentary—20 hours; and quotas. The Broadcasting Services (Australian Content) • children’s (C) programs—130 hours, including 25 Standard 2005 requires that 50 per cent of the C quota hours of C drama programs each year and 96 hours of must be first-release Australian C programs and that all C drama programs for the three-year period 2006–08. P programs are Australian programs. In 2007, all commercial television broadcasting For programs to count towards these quotas, they must licensees met the Australian content requirements. meet certain provisions outlined in the CTS, including the requirement for the programs to be classified by Australian content in advertising ACMA before being broadcast and the requirement for Television Program Standard 23 – Australian Content in programs to be shown within specified time bands. Advertising (the Australian Content in Advertising ACMA monitors compliance with the CTS through its Standard) requires that at least 80 per cent of advertising Australian content database and the self-reporting broadcast each year by commercial television notification regime under which commercial television broadcasting licensees between 6.00 am and midnight broadcast licensees report to ACMA. comprises Australian-produced advertisements. In 2007, all of the licensees met the minimum quota The three commercial television networks report to requirements for children’s programming. ACMA annually on the amount of Australian advertising ACMA continued its review of the CTS in 2007–08, they broadcast. In addition, the Commercials Advice Pty receiving submissions in response to its Issues Paper in Ltd (CAD), wholly owned by Free TV Australia, August 2008. ACMA has developed a revised draft provides ACMA with the numbers of advertisements it CTS, which will be released for public comment in early has classified as Australian or foreign. While the 2008–09. Australian Content in Advertising Standard regulates advertisements actually broadcast, ACMA uses the CAD Children’s and pre-school programs information to monitor trends in Australian and foreign During 2007–08, ACMA assessed 60 children’s and preschool programs or series of programs, granting content in advertising. classification to 59 of them. This compares with 62 In 2007, the amount of Australian advertising broadcast programs assessed and 57 granted classification in by the metropolitan networks averaged significantly 2006–07 (see Table 26). more than 80 per cent: Of these program classifications, 98.4 per cent were • the Seven licensees averaged 86.3 per cent completed within 60 days of receipt by ACMA of a (90.4 per cent in 2006); completed application.

Table 26: Children’s and preschool program classification

2006–07 2007–08

Applications granted Applications refused Applications granted Applications refused classification classification* classification classification*

Children’s programs 12 1 10 0

Children’s programs—drama 27 1 17 0

Provisional—children’s 11 2 22 0

Provisional—preschool 2 1 2 0

Preschool programs 5 0 8 1

Total 57 5 59 1

* These programs failed to satisfy the criteria in the CTS

60 ACMA ANNUAL REPORT 2007–08 At 30 June 2008, there were nine applications for C or P In 2007–08, the commercial and national television classification awaiting finalisation. broadcasters required to transmit the HDTV quota A list of children’s television consultants and programs complied. The compliance results of national and granted C or P classification is in Appendix 6. commercial television broadcasters in the mainland metropolitan areas are given in Table 27. High definition broadcasting Local content on regional Schedule 4 of the Broadcasting Services Act provides for the conversion over time of the transmission of television television broadcasting services from analog to digital Refer to Chapter 2 for discussion of local content on mode. At the end of the ‘simulcast period’ (defined in regional television. the Broadcasting Services Act), analog transmissions are to cease. See also Digital television under Regulatory Subscription television drama environment in Chapter 2. expenditure Part 4 of Schedule 4 of the Broadcasting Services Act The eligible drama expenditure scheme requires provides for broadcasters to meet high definition licensees and channel providers that provide subscription television (HDTV) quota standards. Each commercial or television drama services to spend at least 10 per cent of national television broadcasting service in a mainland their annual total program expenditure on new eligible metropolitan area is required to transmit a quota of 1,040 drama programs. If the 10 per cent expenditure hours of HDTV programming per calendar year. The requirement is not met in the current financial year, the HDTV obligations also apply to a number of shortfall amount must be made up the following year. broadcasters in non-remote areas and will eventually apply to all commercial and national television To be eligible, a drama program must be an Australian broadcasters across Australia. The ABC and SBS are or New Zealand production or co-production, and must permitted to ‘up-convert’ their analog or standard not have been televised in Australia or New Zealand on definition television (SDTV) programs to HDTV. a broadcasting service at any time before the expenditure on the program is incurred. While the scheme imposes a The Broadcasting Legislation Amendment (Digital spending obligation on licensees and channel providers Television) Act 2006 amended the Broadcasting Services for Australian and New Zealand programs, there is no Act to remove a requirement that the HDTV broadcasting requirement. programming of a commercial or national television broadcaster must be a simulcast of the SDTV service, The Broadcasting Services Act defines a subscription effective from 1 January 2007. The amendments will television drama service as a service devoted also remove the existing HDTV quota from the end of predominantly to drama programs; that is, more the simulcast period. In effect, the changes allow than 50 per cent of the programming consists of television broadcasters in non-remote areas to provide drama programs. one HDTV multi-channel. The programming provided In 2006–07, there were 17 subscription television on the HDTV multi-channel may also differ from that drama channels for which reports relating to the scheme provided on the core service. were received. Annual returns were also provided by Broadcasters required to meet the HDTV quota must six licensees. All participants complied with the rules of report compliance information to ACMA twice a year. the scheme. Interim reports must be given for the first six months of Based on total spending on all programs, an expenditure the calendar year, followed by consolidated reports for obligation of $20.79 million on new eligible drama the full 12 months. Records must be kept for 18 months programs was established for subscription television after the transmission was first reported to ACMA. drama channel providers and licensees in 2006–07.

Table 27: HDTV quota, 2007–08

Broadcaster HDTV hours (range)

ABC 8,291

SBS 7,835

Nine Network 2,071–2,090

Seven Network 2,114–2,200

Ten Network 1,903–1,963

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The scheme requires that this expenditure obligation be Subscription Narrowcasting Television Services) acquitted either in the reporting year, or the following Standard 2006 (the Anti-terrorism Standards) on 16 year only. March 2006. Compliance with the Anti-terrorism During the reporting period, a total of $26.44 million Standards is a condition of a subscription narrowcasting was spent on new Australian and New Zealand drama and open narrowcasting licence (paragraph 11(1)(b) of productions or co-productions. Of that expenditure, Schedule 2 of the Broadcasting Services Act). A breach $16.04 million was nominated to acquit the expenditure of that condition is an offence under section 139(6) of shortfall from 2005–06, and $10.29 million was the Broadcasting Services Act. nominated towards meeting the 10 per cent minimum The decision to determine these new standards followed expenditure requirement for 2006–07. an investigation into a satellite subscription Licensees and channel providers must spend a narrowcasting service, Al Manar, which broadcast minimum of $10.5 million in 2007–08 to acquit the terrorist material into Australia from Lebanon. During 2006–07 obligation. the reporting period, ACMA conducted inquiries into a report of a further broadcast of the Al Manar service in Anti-siphoning provisions Australia in January 2008. For further information on the The anti-siphoning provisions, contained in section 115 Al Manar investigation, refer to Compliance of the Broadcasting Services Act, empower the Minister investigations section in Chapter 2. to specify events that should be available on free-to-air The Anti-terrorism Standards are designed to address a television (ABC, SBS, and channels Seven, Nine and significant community concern by aiming to prevent the Ten) for viewing by the general public. The aim of the broadcast of programs that directly recruit or solicit anti-siphoning provisions is to prevent listed events from donations for terrorist organisations and terrorist being ‘siphoned off’ by subscription television to the activities. ACMA has proposed to amend the Anti­ detriment of free-to-air television viewers. Events the terrorism Standards to provide narrowcasters with Minister believes should be available free to the general greater certainty in determining which individuals and public on free-to-air television are specified in what is organisations are deemed terrorist entities. known as the anti-siphoning list. The proposed amendments will confine the operation of The most recent anti-siphoning list took effect on 1 the Anti-terrorism Standards to those organisations listed January 2006 and expires on 31 December 2010. The in the Criminal Code Regulations 2002, as amended anti-siphoning list includes 30 sporting events across 12 from time to time, or in the consolidated list of sport categories including the Olympic and proscribed persons and entities kept by the Department Commonwealth Games, horse racing, football, cricket, of Foreign Affairs and Trade (DFAT) under the Charter netball, tennis, golf and motor sports. of the United Nations (Terrorism and Dealings with On 21 September 2005, the then Minister directed Assets) Regulations 2002 (the DFAT consolidated list). ACMA, with the Broadcasting Services (Anti-siphoning This will assist narrowcasters to determine whether any Monitoring) Direction (No. 1) 2005, to monitor the particular person or organisation is a listed terrorist at operation of the anti-siphoning list from 1 January 2006 any particular time by consulting the list in the Criminal to 31 December 2010, coinciding with the duration of Code Regulations 2002 and the DFAT consolidated list. the current anti-siphoning list. The direction requires ACMA intends to release its proposed amendments to ACMA to report to the Minister at least every six the Anti-terrorism Standards for public comment during months and continues to have effect. the second half of 2008. ACMA provided the then Minister with five interim reports on its anti-siphoning monitoring investigation, Guidelines to assist licensees in applying the Anti­ covering events concluding in the period January 2006 terrorism Standards are also being finalised. to October 2007. All five of these reports have been published on the ACMA website. Mobile premium services ACMA provided a 2006–07 annual report to the current During 2007–08, CSPs and content service providers Minister for Broadband, Communications and the undertook a review of the Mobile Premium Services Digital Economy in March 2008. This report covered Industry Scheme (MPSI Scheme), an industry self- events concluding in the period November 2006 to regulatory scheme established under the October 2007. Telecommunications Service Provider (Mobile Premium Services) Determination 2005. Anti-terrorism standards Industry took the view that the MPSI Scheme should be ACMA determined the Broadcasting Services (Anti­ replaced by an industry code under Part 6 of the terrorism Requirements for Open Narrowcasting Telecommunications Act. It is anticipated that the code Television Services) Standard 2006 and the will be presented to ACMA for registration in the next Broadcasting Services (Anti-terrorism Requirements for reporting period.

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Regulatory instruments and CONSUMER SAFEGUARDS internet industry codes Parliament passed the Communications Legislation ACMA monitors the service performance and Amendment (Content Services) Act 2007 on 20 June compliance of communications companies with 2007, which created the new Schedule 7 to the safeguards that establish minimum performance Broadcasting Services Act and established a new standards and information obligations for framework for codes of practice about internet content communications service providers. and content services. The Communications Legislation Amendment Act also required ACMA to develop a Telecommunications Industry restricted access system declaration to support the new Ombudsman Schedule 7 and made associated amendments to other Carriers and eligible CSPs are obliged to enter into a parts of the Broadcasting Services Act. scheme providing for a Telecommunications Industry Following industry and public consultation, ACMA Ombudsman (TIO). The TIO scheme provides an made the Restricted Access Systems Declaration 2007 alternative dispute resolution service for small business (RAS Declaration), which specifies minimum standards and residential customers. The TIO may investigate, of access control to online and mobile content that is make determinations and give directions relating to likely to be classified as MA15+ or R18+. complaints about carriage services by end-users of Under ACMA’s RAS Declaration, there are different those services. levels of access control for commercial MA15+ and Carriers and eligible CSPs have an obligation under the R18+ content: Telecommunications Consumer Protection and Service • To access commercial MA15+ content, a person must Standards Act 1999 (the TCPSS Act) to join the TIO scheme. Members of the TIO scheme must comply with make a declaration that he or she is 15 years and over. The requirement that a person declare his or her age before viewing MA15+ content is comparable to the access restrictions for this classification level on other media, and recognises that minors between 15 and 17 years of age do not generally have any proof of age. • To access R18+ content, a person must provide proof of age that is verified by the restricted access system. The RAS Declaration commenced on 20 January 2008, the same day the new Schedule 7 to the Broadcasting Services Act commenced. ACMA has asked the internet industry and the content services industry to develop a code for registration under Schedule 7, as required by the legislation. A draft code was released for public consultation in April 2008. The code is anticipated to be registered by the legislative deadline of 20 July 2008. Under the codes of practice for internet service providers and internet content hosts—registered on 26 May 2005 under Schedule 5 to the Broadcasting Services Act—the codes were to be reviewed by 25 May 2006. However, commencement of the review was deferred to take account of expected amendments to the Act. In May 2006, the government also announced new initiatives to improve the ability of consumers, and specifically parents, to filter online services. As the amendments to the Broadcasting Services Act and the filtering initiatives both affect the operation of the internet industry codes of practice, the review of the code will commence after the finalisation of the new In March 2008, ACMA Chairman Chris Chapman and the Telecommunications Industry Ombudsman Deirdre O'Donnell signed content industry code under Schedule 7. a Memorandum of Understanding to promote cooperation between the two agencies.

ACMA ANNUAL REPORT 2007–08 63 the scheme, which means they agree to comply with the TIO memorandum and articles of association and the Universal service obligation TIO constitution. and digital data service Section 129 of the TCPSS allows ACMA to declare a obligation carrier or eligible CSP exempt from the TIO scheme. Part 2 of the TCPSS Act establishes a universal service On 6 December 2007, ACMA granted two regime administered by ACMA. The regime includes the exemptions to: universal service obligation (USO) and the digital data service obligation (DDSO). • National Broadband Pty Ltd (ABN 47 107 311 115) noting that it did not offer services to residential or The USO is the obligation placed on a universal service small business customers; and provider to make sure that standard telephone services, payphones and prescribed carriage services are • Ochre Networks Pty Ltd (ABN 16 112 450 058) reasonably accessible to all people in Australia on an noting that it did not offer services to residential or equitable basis, wherever they reside or carry on small business customers. business. Telstra is currently the USO provider for all Cases of failure to join the TIO scheme or members who areas in Australia. fail to comply with the scheme are referred to ACMA The DDSO specifies that all people in Australia should for further action. In 2007–08, ACMA directed one have access, on request, to a data service with 64 service provider to comply with the TIO scheme over kilobits per second digital data capability, and is three complaints, and another to amend non-compliant comprised of the general DDSO and the special DDSO terms and conditions. (SDDSO). The SDDSO applies to customers unable to receive service under the general DDSO because they Bytecard Pty Ltd are not close enough to the necessary network On 4 September 2007, Bytecard (an internet service infrastructure. Telstra is the sole general DDSO and provider) was directed to comply with a TIO SDDSO provider. determination by making a required refund to a consumer and responding to TIO correspondence. ACMA monitors Telstra’s performance in fulfilling Compliance with that direction is being reviewed under these obligations and reports on these matters in its ACMA’s graduated approach to compliance. annual Communications Report. WE.net Pty Ltd Funding On 9 July 2007, ACMA issued internet service provider ACMA provides advice to the Minister to assist in the WE.net Pty Ltd with a written direction to remedy non­ determination of the cost of satisfying the USO and compliant terms and conditions in its contracts. The SDDSO. The cost of funding these obligations is borne terms and conditions sought to charge consumers by the telecommunications industry through levies additional fees for taking disputes to external dispute imposed on licensed telecommunications carriers. resolution agencies, including the TIO. ACMA also In June 2005, the then Minister set the USO directed WE.net Pty Ltd to comply with the TIO subsidies as: determinations to make payments to two complainants. • 2005–06—$171,403,872; • 2006–07—$157,691,562; and Customer Service Guarantee • 2007–08—$145,076,237. The Telecommunications (Customer Service Guarantee) Telstra, as the primary universal service and the special Standard 2000 (No. 2) (the CSG Standard) specifies digital data service provider, is eligible to submit claims performance time frames for the provision and repair of for the universal service subsidy and its digital data cost. standard telephone services, as well as time frames for For 2006–07, Telstra submitted a claim for the USO meeting customer appointments. If a CSP does not meet subsidy of $157,691,562. The claim amount was a performance standard, it may be liable to pay damages consistent with the Minister’s determination. to the affected customer. The CSG Standard outlines the Telstra also submitted its 2006–07 SDDSO claim of level of compensation payable for delays in connection $1,839.99 for the provision of six special digital data and fault repair of standard telephone services. services. ACMA assessed and agreed to both this and ACMA monitors CSPs’ performance against the CSG the USO subsidy claim. A total of $60,077,508.72, Standard time frames, and publishes the performance including GST, was paid to Telstra in January 2008. information quarterly on its website and in other reports This amount comprised $55,045,596.05 from the other such as its Telecommunications Performance Bulletin, participating persons for 2006–07, adjustments relating which is published periodically. ACMA receives to the collection of payments from previous years and a notification of exemptions claimed for mass service GST component. Telstra contributed the remainder of disruptions and monitors this information to ensure the subsidy. that the requirements for claiming exemptions have In March 2007, the then Minister announced that the been met. government, through the then Department of

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Communications, Information Technology and the Arts, interest organisations to call numbers on the register. would carry out a review of the architecture of the USO, Exceptions also apply where the account-holder of a so that the USO meets its objectives in the most number on the register consents to the call or where effective way. consent can be reasonably inferred. On 16 May 2008, the Minister directed ACMA to To avoid penalties for breaching the DNCR Act, provide advice on the amount of the USO subsidy for telemarketers and businesses that make telemarketing 2008–09. Under the Australian Communications and calls are able to submit their telephone calling lists to the Media Authority (Advice about Universal Subsidies) register operator for checking against the register. Direction (No. 1) 2008, ACMA is to provide this advice By 30 June 2008, 2,603 telemarketers were registered to by 14 August 2008. check telephone numbers and more than 1.04 billion telephone numbers had been checked, or ‘washed’, Eligible revenue assessment against the register. Persons holding a telecommunications carrier licence for any time during a financial year are required to submit Register contract eligible revenue returns so that ACMA can determine On 1 February 2007, the Commonwealth, for the benefit each carrier’s eligible revenue. For 2006–07, of ACMA, entered into a four-year, $13.3 million participating persons were required to lodge returns with (including GST) contract with Service Stream Solutions ACMA by September 2007. ACMA reviewed the Pty Ltd to establish, operate and manage the Do Not returns and made adjustments, where appropriate. Call Register. ACMA has subsequently acquired ACMA uses the eligible revenue to determine the additional services from Service Stream to support the contributions that each participating person makes operation of the register, increasing the value of the towards the USO and SSDO subsidies, the National contract to a maximum of $14.67 million (including Relay Service subsidy and their annual carrier licence GST) at 30 June 2008. charge. The contributions are based on the proportion of In managing the contract, each month ACMA assessed a participating person’s eligible revenue, compared with the extent to which Service Stream Solutions Pty Ltd the total eligible revenue of all the participating persons. met its requirements under the contract. The sum of a participating person’s contribution to the USO and SSDSO subsidies is generally referred to as Ineligible business numbers on the register the USO levy. In 2007–08, the telemarketing industry submitted to In April 2008, ACMA made a written assessment for ACMA 41,298 numbers listed on the register that the each participating person’s eligible revenue for 2006–07. industry alleged were being primarily used for business The eligible revenue assessment for 2006–07 will be purposes and therefore were not eligible to remain on used to determine each participating person’s USO levy the register. ACMA has written to the account-holders of for 2007–08. all 41,298 numbers. Based on responses received, ACMA assessed 19,911 of these numbers and found Do Not Call Register 14,585 (or 73.25 per cent) eligible to remain on the register. The remaining 5,326 were assessed as For telemarketing complaints and investigations, refer to ineligible and removed from the register during the Compliance investigations in Chapter 2. reporting period. The Do Not Call Register Act 2006 (DNCR Act) requires ACMA to keep, or to arrange for another person Access fees and cost recovery to keep, the Do Not Call Register (the register). The Industry contributes to the cost of operating and register was launched on 3 May 2007 and allows maintaining the Do Not Call Register through the individuals to register their home and mobile numbers to payment of subscription fees and excess usage charges opt out of receiving unsolicited telemarketing calls. determined by ACMA. In 2007–08, the annual There is no cost for listing numbers on the register. subscription fees ranged from $71 to check or ‘wash’ up Numbers can be registered if they are used primarily for to 20,000 numbers, to $80,000 to wash up to 100 million private or domestic purposes. Individuals can list numbers. There is also a subscription type that allows numbers through the register website, by post or by telemarketers to check up to 500 numbers each year at telephone. More than 1.04 million telephone numbers no cost. were added to the register in 2007–08 and, by 30 June ACMA has received $2.12 million in total1 revenue 2008, a total of 2.42 million telephone numbers had from the telemarketing industry for accessing the been registered. register in its first year of operation. This is $880,000 There is a general prohibition on making unsolicited more than the adjusted direct costs of operating the telemarketing calls to a number listed on the register. register under the partial cost recovery arrangements in There are limited exemptions to enable certain public place until 30 June 2008. This over-recovery was largely

1 Estimated total revenue is on an accrual basis (except excess usage charges) and includes annual subscription fees and excess usage charges incurred by telemarketers. It is net of any refunds given and revenue that has been written off by ACMA during that period.

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due to industry demand for list ‘washing’ services being determination, among other things, sets out the manner underestimated in the initial modelling of the in which applications may be made for: subscription fees that ACMA commissioned before the • registration of a number on the register; register’s first year of operation. • corrections for entries made on the register; and As part of its Savings for Labor’s Better Priorities – • removal of entries from the register. Do Not Call Register election commitment and a May 2008 Budget measure, the government is requiring The Do Not Call Register (Administration and industry to fully fund the direct costs of the register from Operation) Amendment Determination 2007 (No. 1) 1 July 2008. makes some minor amendments to sections of the principal determination to streamline its operation. In preparation for the introduction of the new cost recovery arrangements in 2008–09, ACMA completed a The amendments to the determination did not involve review of the actual and expected direct costs of public consultation because they were minor or operating the register. The estimated direct costs of mechanical and did not substantially alter existing operating the register over the next three financial years arrangements. are $9.20 million. Over the same period, the cost recovery arrangements for the register are designed to Industry and consumer awareness campaign collect $8.32 million in revenue. This figure is net of the During the reporting period, ACMA continued to raise $880,000 over-recovery from the first year of operation, awareness of the Do Not Call Register and strengthen which is being returned to industry. key messages by educating consumers and industry on their rights, roles and responsibilities under the On 19 May 2008, ACMA released a discussion paper— DNCR Act. Options for New Fees for Accessing the Do Not Call Register. Interested parties were invited to comment on To meet consumer demand for information about the two options for the new fees that telemarketers would be register, an additional 200,000 consumer brochures were charged to access the register from 1 July 2008: reprinted in July 2007, and again made available through Australia Post and consumer affairs offices. • Option 1—Stable pricing regime. Under this option, A further reprint of 70,000 brochures was distributed the over-recovered funds from the first year of in December 2007. operation would be returned to industry evenly over the next three financial years. Significant changes were made to the Do Not Call Register consumer website in August 2007 to ensure it • Option 2—Fluctuating pricing regime. Under this continues to be both up to date and informative. option, the over-recovered funds from the first year of operation would be returned to industry in one year, Awareness activities for industry focused on the 2008–09. production and distribution of the industry-specific newsletter Making the Right Call in electronic format, Thirteen submissions on the proposed fee options were ongoing industry liaison including regular meetings with received from interested parties. Overall, there was the Australian Direct Marketing Association (ADMA), industry support for option 1. the release of information sheets about key aspects of As it did before the first year of operation, ACMA the legislation and regular updates to the Do Not Call engaged independent consultancy Access Economics to Register website. assist in determining the new fees. Communications activities also included regular media On 24 June 2008, ACMA increased the fees payable by releases on key milestones. industry for accessing the register by amending the Do Regular articles in ACMAsphere, ACMA’s monthly Not Call Register (Access Fees) Determination 2007 to newsletter, have continued to provide key stakeholders implement the new cost recovery arrangements. In with updates on consumer and industry issues including accordance with option 1, the new fees will increase on industry compliance, progress with investigations and average by 5.4 per cent and commence on 1 July 2008. telephone number registrations. The cost recovery arrangements for the register are based on a ‘fee-for-service’ and do not include the costs Post-implementation review to establish the register, ACMA’s regulatory costs During the reporting period, ACMA’s internal auditor, associated with monitoring and enforcing compliance Acumen Alliance, completed a post-implementation with the DNCR Act, or with the role of the DBCDE in review report of ACMA’s implementation of the Do Not policy development. Call Register. The overall objectives of the review were to establish whether the project delivered on its original Administration and operation determination business requirements and to identify any areas for On 5 July 2007, ACMA amended the Do Not Call improvement for future projects. The review concluded Register (Administration and Operation) Determination that the register was successfully implemented on time 2007 (the principal determination). The principal and within budget.

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Industry standard for unsolicited calls • Level 1—geographical area level, based on Telstra’s The Telecommunications (Do Not Call Register) field service areas; (Telemarketing and Research Calls) Industry Standard • Level 2—disaggregated parts of the network known 2007 places a number of requirements on those making as cable runs; and unsolicited telemarketing or research calls. These • Level 3—the individual service level—All Telstra requirements relate to: services covered by the CSG are included; that is, • the days and times when telemarketing and residential and small business customers with five research calls cannot be made; lines or fewer. • the information that must be provided by the The Level 2 requirement is for Telstra to undertake callers including their name and business; remediation work on a minimum of 40 of the worst- • the termination of telemarketing and research performing cable runs each month and provide reports calls; and on these remediations, with a requirement for the level of faults to be reduced by 90 per cent on those • enabling calling line identification. remediated cable runs. ACMA is required to approve the initial selection of cable runs in line with a prescribed Payphone performance formula and to receive reports on the remediations. As the universal service provider, Telstra must provide Where a remediation time frame has not been met, and payphones that are reasonably accessible on an equitable the reasons for this comply with specific requirements, basis to all people in Australia. This obligation covers ACMA can grant an extension of the remediation time the supply, installation and maintenance of payphones. frame. In 2007–08, ACMA approved 480 cable runs for ACMA monitors payphone performance quarterly remediation under the Level 2 obligations and granted against measures specified in Telstra’s Standard 26 extensions of time for remediation. Marketing Plan (SMP) and publishes relevant tables on The Level 3 requirement is for Telstra to remediate its website. individual services that have experienced more than ACMA also deals with complaints about Telstra’s three fault or service difficulties in a 60-day rolling removal of payphones and its refusal to relocate period or more than four fault or service difficulties payphones, where the matter has not been resolved in a 365-day calendar period. ACMA is required to directly with Telstra. In June 2006, the then Minister approve a proposed remediation plan for the services. announced a package of initiatives to allay public In 2007–08, ACMA approved 1,341 Level 3 concern about Telstra’s plans to remove 5,000 remediation plans. payphones. As a result, ACMA has enhanced its Service performance under the NRF is reported in payphone removal complaint-handling process; ACMA’s annual Communications Report. progressed other initiatives, such as reviewing monitoring processes and improving the management of Priority assistance payphone relocation complaints; and liaised with Telstra about its commitments within the package. Priority assistance is an enhanced telephone connection and repair service for people with a diagnosed life- In 2007–08, ACMA received 15 payphone removal threatening medical condition who are at risk of complaints and one payphone relocation complaint, and suffering a rapid, life-threatening deterioration in their finalised 14 of its reviews within the reporting period. condition. The service provides residential customers Fourteen of the 15 payphone removal complaints were with access to a reliable, fully operational home resolved, with ACMA finding that Telstra had complied telephone service to call for assistance when needed. with the SMP. Priority assistance customers are entitled to faster connection and fault repair times—24 hours in urban Network Reliability Framework and rural areas, and 48 hours in remote areas—and The Network Reliability Framework (NRF) is a three- greater service reliability. If a priority assistance tiered compliance and reporting framework that aims to customer experiences two or more faults in a three- improve the reliability of Telstra’s fixed-line telephone month period, substantial telephone service testing is services for customers who have five lines or fewer. undertaken by the carrier. The NRF complements other consumer safeguards such It is a condition of Telstra’s carrier licence, Carrier as the USO and the CSG standard. It provides Licence Conditions (Telstra Corporation Limited) information on the general reliability of the Telstra Declaration 1997, that it implements an effective priority network and also addresses the areas of worst assistance system. ACMA meets regularly with Telstra performance, with a primary focus on customers and DBCDE about priority assistance and reports to the experiencing ongoing problems with reliability. Minister on Telstra’s compliance with the licence Under the NRF, Telstra is required to provide ACMA condition. Telstra’s priority assistance performance with network performance reports at three levels: information is reported on ACMA’s website.

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The licence condition requirements for priority • organisation of round table discussion of results of the assistance only apply to Telstra. AAPT and Primus both NRS user surveys, involving both providers and the offer priority assistance services consistent with the independent consultants who undertook the surveys. Industry Code ACIF C606:2007 Priority Assistance for Life Threatening Medical Conditions, which was first Levy registered in 2003. Optus has developed its own The NRS is funded by a quarterly levy on eligible guidelines for the provision of a priority service for telecommunications carriers. Carriers holding a carrier customers with life-threatening medical conditions. licence and covered by the most recent eligible revenue assessment made by ACMA before the start of each quarter are eligible to pay the levy. A ministerial Local presence plan determination registered on 1 December 2005 now Under its licence conditions, Carrier Licence Conditions restricts payment of the levy to carriers that have eligible (Telstra Corporation Limited) Declaration 1997, Telstra revenue of $10 million or more in the most recent is required to maintain a local presence in regional, rural eligible revenue assessment made before the start of and remote Australia, to the extent that this is broadly each quarter. ACMA is responsible for the collection of compatible with its overall commercial interests. It is the NRS levy on behalf of the Australian Government. also required to report on its performance against the In 2007–08, the cost of providing the NRS was $16.1 plan to both ACMA and the Minister. million (inclusive of GST and subject to final In 2007–08, ACMA received Telstra’s report for the reconciliation of the June 2008 quarter), an increase of 2006–07 reporting period, reviewed the report to eight per cent over 2006–07. The increase was primarily confirm compliance with the licence condition and due to the costs involved in the introduction of the provided advice to the Minister. Internet Relay Service during 2007–08. In June 2008, ACMA also approved a refund to carriers National Relay Service of a proportion of levy monies that had been repaid to the Commonwealth by the relay service contractor under The National Relay Service (NRS) enables people who the previous contract, which ended in June 2006. The are deaf, or have a hearing or speech impairment to use contractor was required to make the repayment the standard telephone service. There is also an outreach following an end-of-contract audit commissioned by component to raise awareness of the NRS and offer DBCDE, which had managed that contract. The training in its use. variation related to a correction to call minutes claimed The NRS legislative obligations are outlined under over five years and delivery of services in the final year. Part 3 of the TCPSS Act. Performance reporting Relay services and the outreach program are delivered ACMA monitors the performance of the NRS providers under separate contracts with the Australian quarterly and is also required to provide an annual report Government. Since 1 July 2006, the NRS has been to the Minister on the performance of the NRS providers provided by the Australian Communication Exchange against the requirements of the NRS Plans. This includes Ltd (ACE) and the NRS outreach service is now the mandatory performance standards for the provision delivered by Westwood Spice, a specialist marketing of the service and performance indicators that are in the and communications consultancy. NRS contract, against which the delivery of the outreach ACMA has legislated responsibilities for collecting program is assessed. the NRS levy, monitoring the performance of the NRS The performance report for 2006–07 was sent to the providers and providing an annual performance report Minister on 18 February 2008 and is published on to the Minster. Since 1 July 2006, ACMA has also ACMA’s website. been responsible for managing both contracts for the provision of the NRS. In 2007–08, key activities Consultation with users undertaken by ACMA under these contracts The NRS Consumer Consultative Committee (NRSCC) have included: continued to operate in 2007–08 under the auspices of the NRS provider. ACMA has an observer role on this • implementation of the Internet Relay Service and its committee, nominates some members and approves subsequent launch at Parliament House by the then membership. The committee held meetings in November Special Minister of State, The Hon. Garry Nairn MP, 2007 and June 2008, fulfilling contractual requirements in September 2007; to hold at least two meetings each financial year. ACMA • approval of the release of a training and information staff attended both meetings. DVD in May 2008; ACMA staff also attended community events during • independent review of performance standards data 2007–08 and sought feedback on NRS-related issues provided by the NRS relay provider; and from attendees.

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Extended zones agreement levels of service for 6/16. The latest data (December 2007) indicates that there are 2,904 pair gain systems In June 2001, the government entered into a 10-year, remaining in the network, down nine per cent from the $150 million contract with Telstra to provide untimed previous year. calls at the local call rate, untimed internet access and other enhanced services to the extended zones in ACMA also monitors network congestion levels for remote Australia. customers on 6/16 pair gain systems, measured by the Network Grade of Service. Mini-line concentrator As contract manager on behalf of the government, (MLC) systems include 6/16 pair gain and other similar ACMA assessed the extent to which the agreement’s systems and, where individual MLC systems fail to meet objectives of maintaining and enhancing existing service specific service levels, Telstra is required to remedy levels were met. them. Telstra must also meet an overall Network Grade A report of the prescribed five-year review of the of Service target. extended zones agreement is near completion and will The Network Grade of Service remained constant at 99 be provided to the Minister in the next reporting period. per cent in 2007. Under the provisions of the deed, The review was conducted by the parties to the Telstra was required to achieve a 95 per cent System contract—Telstra and the DBCDE—with assistance Grade of Service by 31 December 2004. Telstra has from ACMA, and covers Telstra’s performance in consistently exceeded the target since achieving it in the meeting the key elements of the agreement. The September 2004 quarter. outcomes of the review will be reported to the Minister. Information on pair gain improvements is published on Mobile phone coverage the ACMA website. In 2007–08, ACMA monitored carrier performance under four government contracts awarded to improve Internet Assistance Program mobile phone coverage in selected regional towns and RTI Recommendation 4.1 was given effect by a licence on key highways across Australia. ACMA advised the condition on Telstra commencing on 9 October 2003 to contract manager, DBCDE, on the performance of the assist customers on dial-up internet services to achieve a contractors (Telstra and Vodafone) under the agreements Minimum Equivalent Throughput (MET) of 19.2 kbit/s. during the reporting period. Telstra and Vodafone have The licence condition directs Telstra to provide a self- complied with the terms of the agreements during help service to assist users of dial-up internet to achieve 2007–08. the specified MET. Ongoing monitoring activities based on carrier self- Telstra is required to report quarterly to ACMA on its reporting included: compliance. As part of the Internet Assistance Program • quarterly monitoring of call drop-out and congestion (IAP), ACMA continued to monitor Telstra’s performance of the Vodafone GSM mobile phone performance under its licence condition. network constructed along 16 major highways in the Information on the IAP is published by ACMA Australian Capital Territory, New South Wales, on its website. Queensland, South Australia, Tasmania and Victoria; and Standard forms of agreement • half-yearly quality of service monitoring of Telstra’s Section 479 of the Telecommunications Act provides performance under three contracts to provide that the terms and conditions that are to apply to the improved mobile phone coverage in selected small provision of certain telecommunications goods and towns and segments of regional highways. services are as agreed between the supplier and the customer or, failing agreement, as set out in a standard Pair gains systems form of agreement (SFOA). Section 481 requires a ACMA continued to monitor Telstra’s performance provider who has a SFOA to lodge a copy (and any under a deed established between DBCDE and Telstra, subsequent variation) with ACMA as soon as practicable based on a recommendation of the Regional after it comes into force. Section 480A(2) states that Telecommunications Inquiry (RTI), Strategy for ACMA may make a determination to increase consumer Improving Levels of Service for 6/16 and Other Similar safeguards for the use of SFOAs. Pair Gain Systems (Deed 2.7). ACMA received 144 SFOAs during the course of the Deed 2.7 targeted 6/16 pair gain systems (and similar financial year. When undertaking preliminary enquiries systems) identified by the RTI as unreliable and into code compliance activities, ACMA is reminding problematic from an emergency services point of view. providers of the need to lodge a SFOA or any The deed relates to Telstra’s strategy for improving SFOA amendments.

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Protection of consumer Merger of NetAlert Limited with ACMA and information Protecting Australian Families Online Early in 2007, the then Minister for Communications, ACMA has powers and responsibilities under the Information Technology and the Arts announced that, as Telecommunications Act that contain specific privacy part of the government’s Protecting Australian Families provisions relating to the protection of communications. Online (PAFO) scheme, NetAlert Limited would be Part 13 of the Telecommunications Act outlines a merged with ACMA. The intent of the merger was to complex series of limitations and exceptions for the ensure that the education programs conducted under the protection of personal particulars and communications, NetAlert brand were coordinated with ACMA’s other and provides for ACMA to administer the Integrated online content roles. This merger was completed early Public Number Database (IPND) Scheme. in 2007–08. The IPND is an industry-wide database of all listed and The PAFO scheme comprised a number of measures to unlisted public telephone numbers. It was established in promote online safety to Australian families. As one 1998 and is currently managed by Telstra under the component of the scheme, the government, through the Carrier Licence Conditions (Telstra Corporation then Department of Communications, Information Limited) Declaration 1997. Technology and the Arts (DCITA), made free internet The IPND Scheme allows for the assessment of content filters available to families. This initiative applications for authorisation for public number commenced on 20 August 2007 with the relaunch of the directory publishers and researchers of a kind specified NetAlert website, a 1800 helpline for people seeking by the Minister as being in the public interest. ACMA free filters or assistance with online safety issues, and a has received nine applications under the IPND Scheme high-profile media campaign to raise awareness of during the year. At 30 June 2008, two applications have these issues. been withdrawn by applicants, one authorisation has ACMA provided considerable support to PAFO, been granted, no authorisations have been refused and assisting DCITA in updating the NetAlert website, and six applications are currently under consideration. providing training and ongoing support to the 1800 Privacy-related complaints helpline. The increased public awareness of ACMA’s online complaints hotline that occurred as a result of the During 2007–08, ACMA received two consumer complaints about policies or procedures of carriage PAFO campaign also gave rise to a significant increase service providers that could give rise to unauthorised in the number of complaints from members of the public disclosures under the Telecommunications Act. In about offensive and illegal internet content, compared neither complaint, in ACMA’s view, had an with previous years. As an additional part of the PAFO unauthorised disclosure actually occurred, so the program, ACMA was granted funding over four years carriage service providers were not found to be in breach for the extension of a cybersafety training and outreach of the Telecommunications Act. However, one of the program. Following the 2007 Federal Election, this providers has agreed to amend its procedures to reduce funding was reviewed under the new government’s the risk of unauthorised disclosures in the future. cybersafety program. In the May 2008 Budget, ACMA was granted funding over four years. Priority areas for ACMA in 2008–09 are the provision of a new cybersafety website for young COMMUNITY AWARENESS people and the extension of the cybersafety Outreach Program through the development of a training module ACMA’s role includes informing consumers about for teachers. communications products and services that are available to them, and ensuring that industry and Cybersmart Kids consumers are informed about their communications ACMA’s Cybersmart Kids website rights and obligations. provides internet safety advice to children, parents and teachers. Safety Internet safety information and tips on the site continue to be updated to reflect current online safety issues. Information added ACMA’s role includes raising community awareness of in 2007–08 includes tips on safe social networking and online safety issues. This role is conferred on ACMA information on cyberbullying. under Schedule 5 of the Broadcasting Services Act. In 2007–08, awareness activities focused on the Cybersmart Detectives Cybersmart Kids website and the development of Cybersmart Detectives is an interactive online activity information material for schools, parents and libraries. developed for use in schools, designed to teach children Under the Outreach Program (see below), ACMA also how to stay safe in the online world. The activity has delivered presentations on internet safety to parents, been available to all Western Australian schools and in teachers and students across Australia. May 2008 was released to Victorian schools. Eighty­

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nine schools have now participated in Western The Cybersmart Guide for Library Staff provides library Australia, 22 in Victoria and 173 nationally. staff with the information, support and tools to ACMA will continue to roll out the activity to other effectively promote internet safety, especially for states and build on the key partnerships with state children, in Australian public libraries. The guide is education agencies to maximise children’s exposure to complemented by information for families in the the online safety message. Cybersmart Guide for Families – Safe Internet Use in the Library and at Home, a cyber rules poster for young Cybersafety information for schools internet users and a series of online cybersafety videos. ACMA’s current range of cybersafety resources includes interactive multimedia products for primary Cybersafety brochures and secondary schools. These products provide teachers ACMA has continued to produce high-quality with activities and lesson plans for classroom use information sheets and brochures to address cybersafety and include: issues. A new brochure on social networking was launched on Safer Internet Day on 12 February 2008. • ‘CyberQuoll’ for primary school students; and ACMA has distributed 338,592 brochures since July 2007. Since 2002, ACMA has distributed a total of more • ‘Cybernetrix’ and than 1.5 million brochures on various cybersafety topics. ‘WiseUp to IT’ for secondary students. Cybersafety partnerships ACMA is currently updating these resources to ensure ACMA has continued to collaborate with agencies they meet accessibility requirements and deal with involved in online safety including state and federal current cybersafety issues such as cyberbullying. police forces, education departments, ‘Habbo Hotel’ In seeking to provide age-appropriate and up-to-date (a virtual community for teenagers), and international safety organisations such as NetSafe (New Zealand), cybersafety materials for use in schools, ACMA has ChildNet International (UK) and fellow International identified a gap in its current range of products. Association of Internet Hotlines (INHOPE) members. These are stand-alone resources and need to provide a school with an integrated approach to address In conjunction with these partners, ACMA participated internet safety education within all components of the in the international Safer Internet Day on 12 February school community. 2008. Safer Internet Day events were coordinated by INSAFE (the European network of internet safety ACMA has commissioned a consultancy to commence organisations) around the international theme ‘Life development of a ‘schools gateway’. This will target all online is what you make of it’. Australia is an associate members of the school community with information member of INSAFE and has participated in Safer resources and teaching materials for internet safety Internet Day since 2004. education that meet their needs in relation to their role within the school. Work on the resource will continue in Outreach Program 2008–09 with a launch for the 2009 school year. ACMA has commenced planning for an enhanced cybersafety education program for schools. Cybersafety information for parents Since July 2007, ACMA’s Outreach Program has ACMA has also commenced work to develop a delivered 239 presentations on internet safety to more cybersafety resource for parents. Research is being than 21,443 parents, teachers and students in every state undertaken into what types of cybersafety information in Australia. Currently, the Outreach Program is being parents require and which channels for delivery are most delivered by a single trainer across Australia. ACMA appropriate. This research will be used as a basis for the plans to extend the program because of strong demand. development of a suite of cybersafety materials and advice for parents. The expanded Outreach Program will provide an extended trainer service and, in line with the Cybersafety information for libraries government’s cybersafety policy, include professional In recognition of the important role that public libraries development activities for teachers. The role of the service will expand from the current emphasis on play in providing internet access and educating users, face-to-face online safety information sessions for ACMA has produced a range of resources targeted to parents and teachers to broader educational activities library staff. aimed at embedding internet safety messages in schools The resources were developed in conjunction and families. with the Australian Library and Information Association (ALIA) and Australian public libraries. The materials Research program complement existing internet use policies in libraries, ACMA’s Cybersafety and Social Networking Services and provide additional resources and support to 2007–08 research project is focused on how, why and library staff. when children and young people encounter ‘content’,

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‘contact’ (including cyberbullying and contact with Consumer consultation strangers) and ‘privacy’ risks in the course of their online interaction, with particular attention paid to their Consumer Consultative Forum use of social networking services. The Consumer Consultative Forum (CCF) is established The research explores children and young people’s under section 59 of the ACMA Act to assist ACMA to perceptions of the online risks and opportunities, with an perform its functions relating to consumers. emphasis on the ways in which they protect themselves Chaired by ACMA, the CCF allows for discussion online and the strategies they use to minimise between consumer representatives, industry bodies and online risk. regulators about communications issues affecting The research is due to be finalised in early 2008–09 and consumers. The forum met twice in 2007–08, on its findings will be used to inform the future delivery of 16 November 2007 and 4 April 2008. Topics discussed ACMA outreach activities. at these meetings included: • informed and consistent complaint-handling paths NetAlert Advisory Council among dispute resolution agencies. Work was In developing awareness programs, ACMA is assisted subsequently undertaken by ACMA and the TIO by the NetAlert Advisory Council. The council, with the Standing Committee of Officials of comprising representatives from the internet industry, Consumer Affairs; education, police and library sectors, provides guidance • effective consumer information provision; to ACMA on cybersafety issues and approaches to awareness-raising. Four council meetings were held • consumer awareness of broadband speed issues; in 2007–08. • consumer awareness of caps and bundling; • industry compliance with the financial hardship Telecommunications awareness provisions of the Telecommunications Consumer Protections Code; Mobile phone safety • unilateral industry changes to internet upload In August 2007, ACMA ran a campaign promoting its limits; and Mobile Phones – Child Safety Checklist to all Australian • the causes and impact of delays in broadband primary and secondary schools. transfers. The checklist provides parents with questions to ask On 22 August 2007, ACMA also co-hosted the providers when purchasing a mobile phone, so they have inaugural Communications Consumer Dialogue in the tools and support to help protect their children. Sydney, in conjunction with Communications Alliance. Schools were sent a promotional pack including posters, The dialogue examined emerging technologies, information sheets and suggested content for school accessibility and consumer empowerment. publications, all promoting safe use of mobile phones by children and advertising the checklist website address. Research and reporting ACMA further promoted the availability of the Mobile As an evidence-based regulator, ACMA undertook a Phones – Child Safety Checklist in the media as a back­ range of research into the changes in the to-school reminder in February 2008. communications and media markets, community attitudes, and consumer use of communications and Special audiences technology developments to support regulatory ACMA sought to increase the accessibility of its decision-making. consumer information by publishing a range of basic This research and reporting program focused on telecommunications rights information in twelve four broad areas: languages. The information can be downloaded from the ACMA website. 1. Consumer and audience attitudes and service use. 2. Market trends in service developments and Scam awareness supply models. ACMA again participated in the Australasian Consumer 3. Technology and technical developments. Fraud Taskforce to raise community awareness of 4. Economic analysis and regulatory reviews. scams. As a member of the taskforce, ACMA The research objectives are consistent with ACMA contributed to the coordination of Fraud Fortnight, a fulfilling its regulatory functions outlined in the ACMA two-week campaign beginning in February 2008, Act and legislation related to ACMA’s emphasising the dangers of deception and seduction telecommunications, radiocommunications, scams, and the need to protect individual information broadcasting, internet and datacasting functions which and finances. require ACMA to:

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• report and advise the Minister on the • Report 4—Consumer satisfaction, February 2008; and telecommunications industry and matters affecting • Report 5—Consumer choice and preference in consumers or proposed consumers of carriage services adopting services, May 2008. (sections 8(c) and (d) of the ACMA Act); These reports were also conducted with a view to • make available to the public information about ACMA assisting the Regional Telecommunications matters relating to the telecommunications industry Independent Review Committee to undertake its work (section 8(g) of the ACMA Act); under the Telecommunications (Consumer Protection • monitor and report to the Minister each year on and Service Standards) Act 1999. significant matters relating to the performance of Patterns of Internet Access in Australia telecommunications carriers and carriage service ACMA co-funded the Patterns of Internet Access in providers (section 105 of the Telecommunications Australia report produced by the Australian Bureau of Act); Statistics (ABS). This major study examined • report to and advise the Minister on the socioeconomic, demographic and geographic factors on radiocommunications community (section 9(c) levels of broadband internet adoption. The study of the ACMA Act); analysed data on dwellings with internet and broadband • make available to the public information about access collected in the 2006 Census of Population and matters relating to the radiocommunications Housing. The report was released in November 2007. community (section 9(e) of the ACMA Act); Digital television • conduct or commission research into community Please refer to Digital television under Digital attitudes on issues relating to programs and broadcasting in Chapter 2. datacasting content (section 10(h) of the ACMA Act); Media and Communications in Australian Families • inform itself and advise the Minister on technological In December 2007, ACMA released the research report advances and service trends in the broadcasting, Media and Communications in Australian Families internet and datacasting industries (section 10(n) of 2007. The research was formerly known as the ‘media the ACMA Act); and society’ research project and was partly funded from • report to and advise the Minister on the broadcasting, the 2006–07 Budget. internet and datacasting industries (section 10(q) of The research has enhanced ACMA’s understanding of the ACMA Act); and how families with children aged eight to 17 years • conduct research into issues relating to internet negotiate electronic media and communications in content and internet carriage services, and conduct or everyday life, including the supervisory challenges commission research into content services (section 94 experienced by parents. It has specifically informed Schedule 5 and section 114 Schedule 7 of the ACMA’s Review of the Children’s Television Broadcasting Services Act). Standards, and community education activities on young people’s use of mobile phones and the internet. Consumer and audience research The changing use of communications and media Media literacy literature review services, and understanding current community attitudes In May 2008, ACMA released the report Media are key areas of interest in ACMA’s consumer research. Literacy—Concepts, Research and Regulatory Issues, In 2007–08, ACMA published a range of research commissioned from Dr Robyn Penman and Associate reports exploring different aspects of communications Professor Sue Turnbull, that examines media literacy in and media use and undertook community research to consumer education and protection activities. Broadly inform other regulatory processes. defined, media literacy means the ability to access, understand and create communications in a variety Telecommunications Today report series of contexts. ACMA conducted research to identify levels of take-up The report provides a historical overview of the and use of various services, explore consumer attitudes academic literature surrounding media literacy in and behaviours towards these services, and ascertain both traditional broadcast and digital media how socioeconomic and demographic factors influence environments, and identifies educational and other take-up and use. One of the key outputs of this research organisations involved in promoting media literacy in is the Telecommunications Today series of reports. Australia and overseas. ACMA released five reports under this series including: The report was released to coincide with ACMA’s • Report 1—Consumer attitudes to take-up and use, participation in the inaugural meeting of the September 2007; International Media Literacy Research Forum held in • Report 2—Take-up and use by small and medium London from 14 to 16 May 2008. ACMA was one of enterprises, January 2008; five institutions worldwide to be invited by Ofcom, the • Report 3—Farming sector attitudes to take-up and regulator for the UK communications industries, to join use, January 2008; the forum as a founding member. Participation in the

ACMA ANNUAL REPORT 2007–08 73 forum recognises ACMA’s longstanding activities in The project aims to increase understanding of the use of protecting consumers and promoting participation in social networking services by children and young people communications and media, through its consumer aged eight to 17 years. It will examine the extent to education and information functions. which Australian children and their parents are aware of the online safety risks associated with their use of these Commissioned research on community attitudes to accuracy in current affairs programs services. The findings of this research project will help shape ACMA’s cybersafety education materials and will In January 2008, ACMA commissioned research into provide current evidence on the ways in which community attitudes to help inform an assessment of the Australian families manage online risks. effectiveness of code provisions dealing with the accuracy of current affairs programs. Market trends and service developments Research findings will contribute to ACMA’s Research in the area of market trends examined changes consideration of the effectiveness of requirements and in traditional and emerging communications services. remedies under the current Commercial Television During 2007–08, ACMA published several reports. Industry Code of Practice as part of the upcoming review of the code. IPTV and Internet Video Market In May 2008, ACMA released the report IPTV and Cybersafety and social networking services Internet Video Market. This report is the first in a series As part of the Australian Government’s cybersafety of reports examining the delivery of content over policy, ACMA provides a comprehensive national internet protocol. program of cybersafety initiatives, which includes The Australian VoIP Market researching current trends in cybersafety and developing In December 2007, ACMA released The Australian cybersafety education materials for use in schools. In VoIP Market, which examines the supply of and demand May 2008, ACMA commissioned research to examine for voice over internet protocol (VoIP) services in children and young people’s use of online media; in Australia. An analysis of the impact of emerging particular, their use of social networking services. services is part of this work program and complements ACMA’s ongoing research into the future of voice telecommunications services. Commercial television financial trends In May 2008, ACMA released The Commercial Television Industry Financial Trends 1978–79 to 2005–06 research report, which examined the financial performance of the commercial television industry over a period when the competitive environment and regulatory regime changed substantially. The purpose of this research was to understand the general economic and financial trends that have influenced the commercial television industry from 1978–79 to 2005–06. The report analyses the latest ACMA data from Broadcasting Financial Results 2005–06, and examines trend data on industry financial performance indicators such as profitability, revenue, expenditure, and assets and liabilities. A key trend identified in the report is the growth of commercial television revenues at a historically faster rate than the Australian economy and the achievement of financial returns well above those of other industries. Since 2000, however, revenue growth for the commercial television industry has slowed with profitability declining despite continued increases in expenditure. The research updates the earlier analysis presented in The Commercial Television Industry: 1978–79 to 1998–99, which ABA released in May 2001. ACMA’s Media and Communications in Australian Families 2007 research report.

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Technology trends • contextual considerations that might impact on the The technology research program is directed at relevance to Australia of the experience of other developing an understanding of the implications of countries; and technology change for regulation. Two major pieces of • the challenges for internet content filtering and other research work were undertaken during 2007–08. internet safety initiatives posed by new technologies and platforms that permit high levels of user- Top six trends Top Six Trends in Communications and Media generated content and social interaction. Technologies, Applications and Services – Possible In February 2008, the Minister for Broadband, Implications was released in May 2008 and identifies six Communications and the Digital Economy released the major technology trends that are likely to have a first of the three reports, entitled Developments in significant impact on regulation of the media and Internet Filtering Technologies and Other Measures for communications sector over the next five to 10 years. Promoting Online Safety. The trends are: The report provides an overview of online risks— 1. The accelerating pace of change. categorised into content, communications and e-security 2. Diversity in the development of risks—and identifies a range of measures that can be physical infrastructure. used to address those risks. This is complemented by a study of programs operating in the European Union to 3. The spread of distributed connectivity. promote online safety. 4. Enhanced content and network The report identifies that internet content filtering, as management capabilities. implemented under programs operating in several 5. The emerging social web. European countries, has been effective in preventing 6. Continuing scientific and technological innovation. access to illegal content and in managing access to content that may be inappropriate for minors. However, The report did not attempt to pick technology winners or educational programs are more effective in addressing losers, but presented for consideration those risks associated with online communication such developments that are affecting the regulation of the as cyberbullying. communications and media sectors. In undertaking its investigation into developments in ENUM online safety initiatives in the first report, ACMA Please refer to ENUM under Telecommunications drew on: numbering in Chapter 2. • its experience in establishing and overseeing the Ministerial reports regulatory framework for online services; and Report to Minister on developments in internet • published research and information from relevant filtering technologies and other measures for overseas organisations including filter vendors, online promoting online safety service providers and bodies responsible for programs On 9 June 2007, the then Minister for Communications, that assist in reducing online risks. Information Technology and the Arts made the ISP-level filtering trial Protecting Australian Families Online Direction No. 2 of On 9 June 2007, the then Minister for Communications, 2007 under section 171 of the Broadcasting Services Information Technology and the Arts made the Act. The direction instructed ACMA to investigate Protecting Australian Families Online Direction No. 1 of developments in internet content filtering technologies 2007 under subsection 14(1) of the ACMA Act. The and other safety initiatives to protect consumers, direction instructed ACMA to conduct a trial of products including minors, who access content on the internet. that can be deployed at the ISP level to filter internet ACMA was directed to provide a first report of its content that is illegal and inappropriate for minors, and findings by 31 December 2007, and two subsequent to report the findings of the trial by 30 June 2008. reports by 31 December 2008 and 2009. The purpose of this trial was to assess: The terms of reference for the reports were to examine: • the capacity of available technology suitable for • developments in internet content filtering technologies deployment by ISPs to filter illegal and inappropriate deployed by ISPs, on personal computers and on internet content accessed by consumers through their mobile devices; internet connection; and • how content filtering is currently deployed in these • the extent of advances made since a previous trial of ways in other countries; ISP-based filter technologies carried out during 2005. • legislative and administrative developments in other The direction specified that ACMA test ISP-level filter countries designed to promote safe and appropriate products against the following criteria: use of the internet by minors;

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• performance—whether the products cause delays or with particular reference to consumer satisfaction, otherwise degrade internet performance; consumer benefits and quality of service. This second • effectiveness—the extent to which the products whole-of-industry report reflects ACMA’s broadening distinguish illegal content, content that may be regulatory responsibilities, and covers many aspects of inappropriate for minors and innocuous content; the broadcasting, internet, radiocommunications and telecommunications industries. • scope—whether the products are capable of filtering internet traffic other than web content, such as peer­ The report also examines the availability of different to-peer file transfers, chat and instant messaging; and types of products and services, levels of adoption and use, and industry performance in meeting regulatory • adaptability—whether the products are capable of obligations. Data in the report is drawn from a range of being customised to apply different levels of blocking sources including information reported by industry, appropriate for children of different ages and to target ACMA’s research using third-party public sources, and different categories of content. commissioned surveys and analysis. Following an open tender, ACMA engaged Enex TestLab to conduct the testing under the trial. ACMA Anti-siphoning reports delivered the report to the Minister on 27 June 2008. Please refer to Anti-siphoning provisions under Content regulation in this chapter. Communications Report The ACMA Communications Report 2006–07 (released Economic analysis and regulatory reviews April 2008) fulfils ACMA’s obligations under section Convergence and voice over internet protocol (VoIP) 105 of the Telecommunications Act to report to the were major areas of study in 2007–08. Refer to Minister on all significant matters relating to the Regulation of VoIP services under Telecommunications performance of carriers and carriage service providers, numbering in Chapter 2.

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4 Managing and developing our resources Chapter 4 details ACMA’s staffing arrangements, information and knowledge management activities, communications activities, corporate governance arrangements and financial and property management strategies.

ACMA continues to focus on strengthening its corporate, financial management and information management frameworks.

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At 30 June 2008, the salary ranges for employees on OUR PEOPLE AWAs/common law arrangements were: • EL2: $90,568 to $108,855; Employment arrangements • SES1: $118,000 to $138,000; and • SES2: $150,000 to $165,000. ACMA’s staffing complement at 30 June 2008 was 591, compared with 552 at 30 June 2007. Comparative Non-salary benefits provided to employees on staffing details are given in Appendix 3. AWAs/common law arrangements may include: Employment arrangements and conditions of work for • at-risk pay; employees of ACMA who have not previously entered • performance bonus; into Australian Workplace Agreements (AWAs), or • retention bonus; more recently been employed under common law • mobile telephone/Blackberry; arrangements, are determined by the ACMA Collective Agreement 2008–10 (the ACMA Agreement)—a • airline club membership; collective agreement under section 328 of the Workplace • residential broadband service; Relations Act 1996. The ACMA Agreement was • car allowance; negotiated in the latter half of 2007, came into effect • parking; on 30 June 2008, and has a nominal expiry date of 31 December 2010. • laptop or personal computer and printer for use at home; and Approximately 500 employees are covered by the ACMA Agreement, the key features of which are: • outplacement assistance/financial counselling if deemed excess. • three-year agreement; • salary increases of: Performance payments - 4.6 per cent from 1 January 2008; One-off performance bonus payments are available only - 4 per cent from 1 January 2009; and to employees who are party to an AWA/common law - 4 per cent from 1 January 2010; arrangement. There are two components in the • a seven-and-a-half hour working day; performance payment arrangements: • access to paid leave for parental purposes; • an at-risk payment of five per cent of salary dependent on an individual performance assessment • streamlined redundancy and retrenchment outcome of ‘effective’ or ‘superior’; and provisions; and • a performance bonus of between five and 15 per cent • access to flexible working arrangements that of salary dependent on an individual performance promote work/life balance. assessment outcome of ‘superior’. Conditions are attached to the salary increases in A total of 81 employees at SES Band 1 level and below 2009 and 2010, with 0.5 per cent and one per cent received performance pay for service in 2007–08, with respectively being dependent on 90 per cent of eligible the aggregate amount paid being $985,101 and the staff completing performance reviews. average $11,727 (see Table 28). Performance pay for Salary ranges available under the ACMA Agreement general managers for 2007–08 is yet to be determined. are in Appendix 3. Performance pay for general managers for 2006–07 was AWAs/common law arrangements are in place for not determined when the annual report for that year was 17 Senior Executive Staff (SES), 67 Executive Level tabled. Since then, general managers have received employees and seven Australian Public Service (APS) performance pay for service in 2006–07 with the level employees. aggregate amount paid being $124,291 and the average individual payment $24,858.

Table 28: Performance payments

Employee level Employees eligible Employees paid Total bonuses ($) Average bonus ($) Bonus range ($)

EL1 3 3 22,072 7,357 4,289 - 12,899

EL2 69 66 742,733 10,764 0 - 21,227

SES Band 1 12 12 220,296 18,358 6,150 - 24,600

Total 84 81 985,101 11,727 0 - 24,600

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Workplace Diversity Program Occupational health and safety The ACMA Workplace Diversity Program incorporates ACMA aims to promote and maintain a high standard of APS values and follows the Australian Public Service health, safety and wellbeing for all staff. This is Commission’s Guidelines on Workplace Diversity. The achieved by: program has been put in place to assist ACMA to: • preventing accidents and ill-health caused by adverse • promote the benefits of diversity, for both the agency working conditions; and employees; • protecting employees, contractors and the public from • develop and implement actions and achieve results health hazards which may arise from their work or the towards diversity targets; conditions in which they work; • adhere to its legal responsibilities as an employer; • locating employees in an occupational environment that maximises health, safety and wellbeing; and • increase employee awareness and understanding of • providing information and training to employees on workplace diversity issues; and occupational health and safety issues. • encourage employees to recognise the benefits of ACMA has designated work groups covering all operating within an inclusive work environment. employees. Each group has an occupational health These diversity principles aim to value the range and and safety (OHS) representative and a deputy, with variety of skills, abilities and backgrounds in the each representative undertaking a five-day training workplace and the Australian community at large. course accredited by the Commission for the ACMA recognises and values individual differences and Safety, Rehabilitation and Compensation of aims to raise awareness of the importance of workplace Commonwealth Employees. diversity by: ACMA has a strong OHS consultative arrangement with one national and four local OHS committees made up of • including the acknowledgment and management representatives, OHS representatives and acceptance/encouragement of diversity in union delegates. OHS and management representatives organisational and individual performance plans; conduct regular workplace inspections. Representatives • ensuring that selection criteria for management take action to address any problems and prevent positions include the ability to integrate workplace potential hazards, with reports on these inspections diversity principles into everyday management presented at OHS committee meetings. practice; and OHS information is provided to all new • making information available to new employees in employees through ACMA’s electronic employee induction material. induction program. ACMA seeks to achieve high-quality equity and ACMA has a firm commitment to the promotion of diversity outcomes by: health and wellbeing within the workplace and has introduced several initiatives during the year including: • supporting equal access to training and development for all individuals and groups; • monthly Well at Work newsletter; • ensuring that senior management supports the • Health Expo; workplace diversity coordinator; and • Mental Health Awareness campaign; • helping employees balance work, study, family life • Understanding Ergonomics and Safe Computer Use and other caring responsibilities through access to campaign; and home-based work, part-time work, flexitime, studies • flu vaccinations. assistance, and personal and purchased leave. During the year, ACMA gave notice under section 68 of On 30 June 2008, ACMA’s employee profile was: the Occupational Health and Safety Act 1991 about one • total employees—591; dangerous occurrence. • number of women—291 (49.2 per cent); Consultation and workplace • number of staff from a non-English-speaking background—100 (16.9 per cent); and relations Staff consultative bodies are established under the • number of staff with a disability—11 (1.8 per cent). ACMA Agreement. The National Consultative Forum Equity in employee selection processes is promoted by deals primarily with the key strategic and change issues training all relevant employees in how to select that affect ACMA, and met four times in the reporting employees, and by monitoring the effectiveness of the period. Convened by the ACMA Chairman, it comprises selection guidelines. management, union and employee representatives.

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Four Local Consultative Forums, which met between skills and knowledge, and consequently enhancing one and three times in 2007–08, consulted with staff in career opportunities. the Sydney, Canberra and Melbourne central offices, and Individual Performance and Development Plans identify staff located in the regions. Each local forum comprises key targets and expected results required to ensure that management, union and employee representatives and is the objectives of area business plans and the ACMA chaired by a senior manager. These bodies can refer Corporate Plan are achieved. The framework is linked to matters with organisation-wide implications to the ACMA’s planning cycle and allows for effective National Consultative Forum. communication and formal feedback at regular intervals. Approaches used to involve employees in decision- There has been a greater emphasis on performance making and information sharing include ‘all staff’ management this year with a number of initiatives and meetings, planning sessions, branch and section strategies being undertaken to increase the meetings, focus groups, general information implementation and effectiveness of the performance sessions and the use of the ACMA intranet for management framework. These include: disseminating information. • the introduction of performance indicators for senior management based on the APS Integrated Leadership Graduate program System capabilities as well as business objectives; and Two graduates with qualifications in science and arts, • the introduction of conditional pay rises linked to the and secondary teaching commenced with ACMA in completion of performance reviews. 2008. Of the 16 graduates recruited between 2005 and The impact of these initiatives will be assessed over the 2008, 12 are still employed by ACMA. next year. Development and training Creating Knowledge program ACMA is committed to addressing identified learning Designed specifically for ACMA staff, Creating and development needs to improve skills and knowledge Knowledge was been developed to encourage the and support staff career development by offering a sharing of knowledge and expertise across the number of learning opportunities. organisation and to stimulate discussion and debate. ACMA’s net expenditure for employee training was Launched in June 2007, the program consists of six $999,580. A range of topics were addressed in the components: courses with particular focus on policy formulation, • Conversations—prominent industry and academic project management, job-specific and people speakers from the communications sector present management skills and knowledge. their views on the current and emerging ACMA staff also attend industry-related seminars and communications environment. conferences to gain knowledge of leading-edge • Cross Connections—staff-delivered seminar series on developments in the communications industry. ACMA’s approach to current regulatory and policy During the year, 38 employees were assisted under the issues which draws connections between the work provisions of ACMA’s Studies Assistance Policy and conducted in diverse ACMA branches and locations. Guidelines, at a total cost of $73,575. Employees were • Technology Talks—engineering staff and invited assisted in undertaking tertiary qualifications in guests deliver seminars on current and emerging specialised fields such as engineering, science, communications technologies. economics, telecommunications engineering, legal practice, business administration, public sector • Social Networking—web-based forums for discussion leadership and public policy. and debate on emerging communication issues are used to extend event discussions and knowledge The ACMA Field Office Competency Requirements, sharing among staff. Qualifications and Training Project also commenced and initial training was conducted for staff involved in • In the Field—field operations staff host seminars in ACMA’s field operations. the central offices outlining ACMA’s work in the field and sharing their stories and experience. Performance management • Chairman’s Events—biannual social events held on site in the Canberra, Melbourne and Sydney central ACMA’s performance management framework is offices. These events, including debates and trivia designed to assist ACMA to achieve organisational challenges, are hosted in partnership with the outcomes and outputs through the management of social clubs. employee performance, to support employees in the workplace, and to assist in maintaining healthy and sustainable work practices. The framework specifically ACMA transformation program benefits employees by clarifying expectations, To further its aim of being a forward-looking and improving individual work performance, increasing efficient organisation, ACMA has committed itself to a

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transformation program to build its organisational The overall ICT strategy for ACMA was enhanced with capability and implement its strategic direction. This the further development of technical, system and continuing program has a range of elements including applications architectures, the drafting of new ICT organisational culture, assessment of leadership security management instructions and guidelines, and attributes and capabilities, and ACMA’s internal the development of the IT Operational Plan. business and operating environment. With its Group 8 contract for the supply of ICT In 2007–08, the transformation program focused on services through Commander (Volante) due to expire, ACMA’s external engagement strategies, internal ACMA issued an open tender for new video, voice and communications, and organisational efficiency and data services (including a secure gateway) and capability initiatives. ACMA’s management team met printer/fax services. A new wide area network was twice in 2007–08 to further develop ACMA’s strategic established across all ACMA sites, the rollout of a new planning framework, and identified five platforms for voice over internet protocol (VoIP) telephone system ACMA’s strategic direction: commenced across ACMA, and a new internet/email 1. Ensure consumer safeguards are effective and keep gateway was implemented. pace with community standards. Support services for business functions, such as 2. Meet community and national interests in the the production of licences, was maintained throughout planning and delivery of communications services. the year. 3. Maximise consumer and audience choice of During the reporting period, ACMA’s systems communications and media products and services. underwent considerable improvements and change including: 4. Ensure the efficient allocation and use of public resources. • a significant level of application enhancement, testing and data maintenance to ensure 5. Ensure ACMA is a relevant and resilient knowledge- continued service provision and conformity with based organisation. legislative requirements; During the year, ACMA created the Office of the • enhancement of ACMA’s spectrum auction system Chairman to manage these transformational initiatives, to provide better access via the internet; and to facilitate responsive strategic advice and briefing to the Chairman. • changes to support ACMA’s move to a single banking service provider; ACMA also continued to have regular round table meetings with key stakeholders, particularly • an upgrade of corporate Oracle databases from the Department of Broadband, Communications and 8.1.7 to 10G; the Digital Economy, the Attorney-General’s • new IT infrastructure with failover capability for Department, and the Australian Competition and business systems. This is in place and awaiting Consumer Commission. migration of existing business systems; • a secure isolated network established for internet content assessment work; and INFORMATION • a wireless network has been established in Sydney, Melbourne and Canberra for use by visitors to ACMA MANAGEMENT and travelling staff. Information Technology In 2007–08, the Information Management Section made Key information and communications technology substantial progress in improving the organisation’s (ICT) objectives for the year were the enhancement of records management activities. governance processes, re-tendering of outsourced An internal audit of records and information services, support for the ACMA transformational management was conducted and a strategic plan to agenda, and maintenance of existing ICT services address the issues arising from the audit has been across ACMA. developed. The audit identified the need for: The Information Systems Section (ISS) adopted and • development of a records and information trained key staff in the IT Infrastructure Library management strategy; (ITIL), the Control Objectives for Information and Related Technology (COBIT), and Prince2 project • redeveloped procedures to be communicated management methodology. These were adopted as throughout the organisation; frameworks to drive the achievement of the IT • improved training in records management and the use Performance Management Plan 2008–2013 and provide of the records management system TRIM; more structured processes in the development and • improved functionality in TRIM; and delivery of ICT services.

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• the implementation of a procedures and business 2007–08 were completed. All statutory reporting classification scheme to enable electronic document requirements of the guidelines were met in 2007–08. and records management (EDRM). A Security Advisory Committee was created within The organisation’s records management system, TRIM, ACMA to oversee security issues and implement was upgraded and useability issues addressed to improve additional policy and procedures as required. acceptance of EDRM. In accordance with guidance provided in the A total of 65 top-level business activities were identified Commonwealth Fraud Control Guidelines, ACMA as requiring detailed analysis to successfully move them commenced a program of review of fraud risk to EDRM in TRIM. In 2007–08, foundation work was assessments with a view to updating its fraud control undertaken to develop an ACMA methodology for this policies and procedures early in 2008–09. work and contract employees were engaged to undertake All statutory reporting requirements of the guidelines the analysis and guide ACMA staff in the transition. As were met in 2007–08. a result, 30 per cent (21) of the activities have been moved to EDRM and 20 per cent of ACMA staff in line Audit areas have been involved in procedures development. During 2007–08, ACMA’s internal audit function Through specific section-based and generic TRIM continued to be undertaken by Oakton. The audit training sessions, 46 per cent (276) of ACMA staff have program for the year continued to focus on whole-of­ received computer-based TRIM training. Approximately organisation processes and key corporate processes 40 per cent attended briefing sessions on TRIM where a high level of quality assurance is required, functionality for EDRM. particularly those associated with financial The development of new policies on records administration. Gaining assurance on the management of and information management and information key initiatives was also an area of focus. management security has set the strategic direction. Additional information about ACMA’s Audit Committee An implementation plan for the strategic direction is in Appendix 2. comprising awareness briefings is scheduled to be rolled out in 2008–09. Risk management Changes introduced to date have delivered consistent ACMA met all statutory reporting requirements and improved records compliance and more efficient associated with reporting to the Australian National information management to ACMA business areas. Audit Office, ACMA’s insurer, Comcover, and the Attorney-General’s Department. During the year, ACMA implemented a revised whole- CORPORATE GOVERNANCE of-agency risk management framework, focusing on branch-level identification and management of operational risk, and a whole-of-agency focus on strategic organisational risks. Risks identified in the Security framework were used in ACMA’s business planning and ACMA manages its security function in accordance with linked to the 2008–09 internal budget process. the revised Australian Government Protective Security Development of the framework has been supported by Manual 2005. All requirements of the three-year, rolling ACMA’s participation in Comcover’s Benchmarking security inspection program recommended by the Risk Management Program, with ACMA continuing its manual for state and regional premises and scheduled for participation in the program in 2007–08.

Table 29: Summary of compliments and complaints, 2007–08

Description Total number of complaints Total number of compliments

Courtesy and respect - 1

Identification of staff dealing with client - 11

Reliable information 7 4

Prompt, open, honest and helpful service 4 21

Reasons for our decisions 1 -

Other 8 -

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• improve the external financial reporting External scrutiny process for the March ‘hard close’ and year-end During 2007–08, the Australian National Audit Office financial statements; conducted a performance audit on the regulation of • further improve internal management commercial broadcasting. The final audit report was accounting reporting; tabled on 27 June 2008. • improve the Certificate of Compliance process Client service charter and reporting; • upgrade the online travel database for ACMA ACMA’s first client service charter came into effect on to enhance travel processes; 1 July 2006. The client service charter outlines ACMA’s • enhance debtors and align processes; strategic intent, the goals it works towards and the broad range of services it provides. The charter provides • design and improve a number of internal advice on how clients can contact ACMA, outlines the accounting processes; service clients should expect, service standards and • implement new measures and activities as complaint procedures. requested by government; The ACMA client service charter reflects ACMA’s • develop and implement a range of Chief commitment to providing efficient, effective and Executive and Management Instructions; relevant services delivered in an environment of • implement a new cost-recovery arrangement for mutual respect. the Do Not Call Register; • implement a risk management process and improved corporate governance framework; and COMMUNICATIONS • complete an extensive internal audit program implementing a number of changes across ACMA and participate actively in other audit undertakings. Media ACMA also conducted a further review of the financial systems, fulfilling a strategic business plan objective for ACMA’s external positioning strategy sets out a 2007–08. ACMA’s financial statements for 2007–08 proactive approach to media relations to provide timely were prepared in accordance with section 57 of the and accurate information to the public. In 2007–08, Financial Management and Accountability Act 1997 and ACMA issued 185 media releases. Authority members the Finance Minister’s Orders. The ANAO issued an and staff gave interviews to the print and electronic unqualified audit opinion on the statements and notes media on a broad range of matters. (see Appendix 16). Publishing Procurement and contract ACMA’s broad publishing program covers printed and management electronically published material. ACMA publications ACMA continues to focus on the efficiency and are available on its website, with copies of printed effectiveness of procurement services in supporting publications available on request. business outcomes. All purchasing commitments are ACMAsphere, ACMA’s newsletter covers the consistent with the current Commonwealth organisation’s activities and is published both online Procurement Guidelines and represent value for and in print. money for the Commonwealth. During 2007–08, ACMA operated a centralised unit with roles that included the provision of procurement FINANCIAL MANAGEMENT and contract management advice, corporate monitoring and reporting, probity advice and staff training. This reflects ACMA’s commitment to responsible Throughout 2007–08, ACMA continued to improve the procurement and contract management and enhances its provision of financial management and related services capacity to provide best practice advice and expertise to to industry, government and the community, including its business groups. key agencies such as the Department of Finance and ACMA also adopted full electronic tendering processes Deregulation (DoFD). ACMA met all of its statutory through AusTender for open approaches to the market budgeting and reporting requirements and deadlines as that exceed $80,000. This has streamlined high-value set down by DoFD and the Australian National Audit procurement and reduced the impact on business and the Office (ANAO). environment because ACMA no longer requires Financial management resources were used to: expensive paper-based tender documentation.

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additional space in the Darling Park commercial office Asset management complex was undertaken, and new premises were ACMA’s asset management procedures and policies obtained and refurbished for the Sydney Regional reflect relevant legislation and better practice. Major Office, now located at Parramatta. asset categories are land and buildings, leasehold improvements, plant and equipment, and software purchased and developed internally. Fixed assets, valued Ecologically sustainable at fair value, are reviewed each year for carrying values development and and useful lives. environmental performance In 2007–08, ACMA managed 238 assets with a net ACMA has an ongoing commitment to reducing the value of $19.023 million and 825 items of IT equipment, organisation’s impact on the environment through the held under finance lease, with a net value of $0.598 procurement of green power. The organisation will million. During the year, several improvements were continue to amend and update current energy contracts, made to the asset register in line with 2006–07 changes, as they expire, to include a stipulation that 10 per cent to further improve asset management processes and of energy is to be green energy. procedures across ACMA. Cleaning contracts include specific reference to the provision of environmentally friendly cleaning products and office waste is separated into recyclable and non- PROPERTY MANAGEMENT recyclable components. Video-conferencing facilities are utilised enabling staff to hold meetings across its offices and reduce ACMA occupies several sites around Australia in a interstate travel. lease, licence and Commonwealth ownership capacity. During the reporting period, a lease option on the ACMA continues to procure office machines and Canberra Central Office was agreed, the fit-out of equipment in accordance with Commonwealth policy.

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Appendixes to Annual Report 2007–08

1. ACMA offices 2. ACMA committees, memberships and attendance at meetings 3. Staffing details 4. Disability strategy 5. Licensing and licence allocations 6. Programs and content 7. Investigations into broadcasting complaints 8. Freedom of information 9. Legislation 10. ACMA instruments 11. Notifications, directions and instruments 12. Disclosures of information 13. Consultancies, advertising expenditure and competitive tendering 14. Outcome and output structure 15. Regulatory impact analysis compliance report 16. Financial statements

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Appendix 1: ACMA offices Canberra Purple Building, Benjamin Offices Chan Street, Belconnen PO Box 78, Belconnen ACT 2616 Telephone: (02) 6219 5555 Facsimile: (02) 6219 5200 Melbourne Level 44, Melbourne Central Tower 360 Elizabeth Street, Melbourne PO Box 13112 Law Courts, Melbourne Vic 8010 Telephone: (03) 9963 6800 Facsimile: (03) 9963 6899 TTY: (03) 9963 6948 Sydney Level 15, Tower 1 Darling Park 201 Sussex Street, Sydney PO Box Q500, Queen Victoria Building NSW 1230 Telephone: (02) 9334 7700, 1800 226 667 Facsimile: (02) 9334 7799 Field Operations PO Box 13112 Law Courts, Melbourne Vic 8010 Telephone: 1300 850 115 Facsimile: (02) 6219 5346 ACMA has Field Operations staff in Melbourne, Sydney, Brisbane, Perth, Adelaide, Cairns, Canberra, Coffs Harbour, Hobart, Newcastle, Rockhampton, Townsville and Wodonga. Field Operations can be contacted through the Field Operations single point of contact listed above.

ACMA ANNUAL REPORT 2007–08 87 Appendix 2: ACMA committees, memberships and attendance at meetings The following tables provide information about ACMA committees, memberships and attendance at meetings in 2007–08. AUTHORITY MEETINGS At 30 June 2008, the Authority comprised the Chairman, the Deputy Chair, one full-time Member, four part-time Members and one Associate Member. The Authority met 27 times in 2007–08. Table 30: Attendance by Members at Authority meetings, 2007–08

Authority Member No. of meetings attended

Chris Chapman, Chairman 26

Lyn Maddock, Deputy Chair* 17

Chris Cheah, full-time Member 21

Professor Gerrard Anderson, part-time Member 24

Malcolm Long, part-time Member 24

Johanna Plante, part-time Member 26

Rod Shogren, part-time Member 22

Graeme Samuel, Associate Member 5

* Lyn Maddock seconded to Screen Australia from March 2008 EXECUTIVE GROUP MEETINGS The ACMA Executive Group functions as a senior oversight committee for management decisions. The Executive Group assists the Chairman by providing counsel on issues of high-level corporate or strategic significance to the agency. The Executive Group met 10 times in 2007–08.

Table 31: Attendance at Executive Group meetings, 2007–08

Member of Executive Group No. of meetings attended

Chris Chapman, Chairman 9

Lyn Maddock, Deputy Chair* 4

Chris Cheah, full-time Member 7

Dianne Carlos, General Manager Corporate Services 10

Giles Tanner, General Manager Inputs to Industry 7

James Shaw, General Manager Strategy, Analysis and Coordination 8

Marcus Bezzi, General Manager Legal Services 10

Nerida O’Loughlin, General Manager Industry Outputs 9

* Lyn Maddock seconded to Screen Australia from March 2008 AUDIT COMMITTEE The Audit Committee is an important part of ACMA’s corporate governance framework, approving and overseeing delivery of the internal audit program, reviewing ACMA’s financial statements and ensuring coordination of internal and external audit activities as they affect ACMA. It also oversees the development of a comprehensive risk management framework and the implementation of fraud control policies. Reporting to the ACMA Chairman, the audit committee met five times in 2007–08.

Table 32: Audit Committee meetings attended, 2007–08

Members No. of meetings attended

Chris Cheah, full-time Member (Chair) 5

Professor Gerrard Anderson, part-time ACMA Member 5

Vanessa Fanning, independent Audit Committee member 5

Maureen Cahill, Executive Manager Strategy and Coordination 3

Jonquil Ritter, Executive Manager National Licensing and Allocations 3

88 ACMA ANNUAL REPORT 2007–08 MEMBERSHIP OF ADVISORY AND CONSULTATIVE BODIES

Consumer Consultative Forum Up to two representatives from each of: • Australian Communications and Media • AAPT Ltd Authority (Chair) • Attorney-General’s Department • Australian Competition and Consumer Commission • Australian Security Intelligence Organisation • Australian Mobile Telecommunications Association • Department of Broadband, Communications • Communications Alliance and the Digital Economy • Department of Broadband, Communications • Hutchison Telecommunications (Australia) Ltd and the Digital Economy • Verizon Communications Inc. • Internet Industry Association • Primus Telecommunications Pty Ltd • Telecommunications Industry Ombudsman • SingTel Optus Pty Limited Consumer representatives: • Telstra Corporate Ltd • Gunela Astbrink, Australian Federation of • Vodafone Australia Ltd Disability Organisations • Teresa Corbin, Consumers’ Emergency Call Service Advisory Committee Telecommunications Network • Australian Communications and Media Authority (Chair) • Maureen le Blanc, Australian Council of Social Services • AAPT Limited • Mark Needham, National Farmers’ Federation • Australian Capital Territory Emergency Services Authority • Myra Pincott, Country Women’s Association • Australian Communication Exchange • Gordon Renouf, Australian Consumers’ Association • Department of Broadband, Communications • Rosemary Sinclair, Australian Telecommunications and the Digital Economy Users Group • Department of Emergency Services, Queensland Law Enforcement Advisory Committee • Emergency Management Australia • Australian Communications and Media Authority • Emergency Services Telecommunications (Chair) Authority, Victoria One representative from each of: • Hutchison Telecommunications (Australia) Limited • Australian Crime Commission • Internet Industry Association • Australian Federal Police • National Emergency Communications Working • Corruption and Crime Commission of Group Western Australia • New South Wales Police • Crime and Misconduct Commission of Queensland • New South Wales Fire Brigade • Defence Signals Directorate • Northern Territory Police, Fire and • Independent Commission Against Corruption Emergency Services (New South Wales) • Singtel Optus Pty Limited • Internet Industry Association • South Australian Ambulance Service • New South Wales Crime Commission • St John’s Ambulance, Western Australia • New South Wales Police • Tasmania Police • Northern Territory Police • Telstra Corporation Ltd • Police Integrity Commission of New South Wales • Victoria Police • Queensland Police Service • Vodafone Pty Ltd • South Australia Police • Tasmania Police • Victoria Police • Western Australia Police Service

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Appendix 3: Staffing information

Table 33: Staff profiles by employment type, gender and location, 2007–08

ONGOING NON-ONGOING NATIONAL Full-time Part-time Full-time Part-time

Classification Male Female Male Female Male Female Male Female Total

1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08

SES 2 3 3 2 2 5 5

SES 1 6 7 5 9 1 12 16

EL2 42 49 18 26 2 5 7 2 1 1 1 1 68 87 Principal Lawyer 4 4 4 3 1 1 1 9 9 EL1 73 85 45 62 2 4 23 25 4 1 2 1 1 146 182 Senior Lawyer 2 3 4 5 1 1 1 9 8 ACMA 6 63 70 43 50 2 1 8 8 1 1 2 1 1 120 131

Lawyer 1 2 3 3 3

ACMA 5 50 39 17 23 1 1 1 3 1 1 70 67

ACMA 4 29 13 40 33 1 5 6 1 1 4 4 3 4 2 1 84 63

ACMA 3 9 6 7 5 2 3 1 2 19 16

ACMA 2 1 1 1 1 2 2

Graduate 2 3 2 5 2

ACMA 1 0 0

TOTAL 285 279 190 223 5 9 47 54 5 6 11 9 6 6 3 5 552 591

CANBERRA ONGOING NON-ONGOING CENTRAL OFFICE Full-time Part-time Full-time Part-time

Classification Male Female Male Female Male Female Male Female Total

1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08

SES 2 1 1 1 1 2 2

SES 1 3 4 1 1 4 5

EL2 25 22 5 9 2 2 1 31 35 Principal Lawyer 1 1 1 2 1 EL1 24 33 16 13 2 2 4 1 1 44 52 Senior Lawyer 1 1 1 1 ACMA 6 25 27 10 9 1 1 4 3 1 1 42 40

Lawyer 1 1 0

ACMA 5 14 11 8 14 22 25

ACMA 4 16 10 24 21 1 4 3 1 4 2 2 3 2 1 53 41

ACMA 3 1 2 1 1 1 2 4 4

ACMA 2 1 1 1 1 2

Graduate 1 1 0

ACMA 1 0 0

TOTAL 111 110 69 69 1 6 12 14 3 6 2 3 3 3 4 208 208

Continued/...

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MELBOURNE ONGOING NON-ONGOING CENTRAL OFFICE Full-time Part-time Full-time Part-time

Classification Male Female Male Female Male Female Male Female Total

1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08

SES 2 1 1 1 1

SES 1 3 3 1 5 1 5 8

EL2 13 18 6 7 3 1 1 1 23 27 Principal Lawyer 2 2 2 2 EL1 31 31 16 26 2 1 14 14 3 1 63 76 Senior Lawyer 1 2 3 4 1 5 6 ACMA 6 16 19 19 21 4 4 39 44

Lawyer 1 1 1 1

ACMA 5 7 5 5 4 2 12 11

ACMA 4 4 1 10 10 1 2 1 15 14

ACMA 3 2 2 1 1 3 3

ACMA 2 0 0

Graduate 1 2 2 3 2

ACMA 1 0 0

TOTAL 78 81 66 83 2 1 23 24 2 4 1 1 1 172 195

SYDNEY ONGOING NON-ONGOING CENTRAL OFFICE Full-time Part-time Full-time Part-time

Classification Male Female Male Female Male Female Male Female Total

1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08

SES 2 2 2 2 2

SES 1 3 3 3 3

EL2 2 6 6 10 2 4 1 1 1 11 22 Principal Lawyer 1 1 4 3 1 1 5 6 EL1 14 16 13 22 1 7 7 1 1 1 35 48 Senior Lawyer 1 1 1 1 3 1 ACMA 6 8 11 14 20 1 1 2 1 24 34

Lawyer 1 2 1 2

ACMA 5 1 3 3 4 1 1 5 8

ACMA 4 3 1 3 1 1 2 1 1 7 6

ACMA 3 1 1 1 1 2 2

ACMA 2 0 0

Graduate 1 1 0

ACMA 1 0 0

TOTAL 34 41 47 66 1 11 15 2 5 6 2 2 1 99 134

Continued/...

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ONGOING NON-ONGOING FIELD OPERATIONS Full-time Part-time Full-time Part-time

Classification Male Female Male Female Male Female Male Female Total

1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08 1.7.07 30.6.08

SES 2 0 0

SES 1 0 0

EL2 2 3 1 3 3 Principal Lawyer 0 0 EL1 4 5 1 4 6 Senior Lawyer 0 0 ACMA 6 14 13 1 15 13

Lawyer 0 0

ACMA 5 28 20 1 1 1 1 1 1 31 23

ACMA 4 6 1 3 1 9 2

ACMA 3 7 5 3 2 10 7

ACMA 2 1 1 0

Graduate 0 0

ACMA 1 0 0

TOTAL 62 47 8 5 2 1 1 1 73 54

Table 34: Salary ranges under ACMA certified agreement, 2007–2008

ACMA local designation Equivalent APS classification 1 Jan 2008 ($)

ACMA 1.1 37,027 APS Level 1 ACMA 1.2 39,593

ACMA 2.1 41,659 APS Level 2 ACMA 2.2 44,582

ACMA 3.1 46,177

ACMA 3.2 47,379 APS Level 3 ACMA 3.3 48,580

ACMA 3.4 49,981

ACMA 4.1 51,466

ACMA 4.2 53,104 APS Level 4 ACMA 4.3 54,484

ACMA 4.4 55,992

ACMA 5.1 57,404

ACMA 5.2 59,206 APS Level 5 ACMA 5.3 60,957

ACMA 5.4 62,001

Continued/...

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ACMA local designation Equivalent APS classification 1 Jan 2008 ($)

ACMA 6.1 63,543

ACMA 6.2 65,284 APS Level 6 ACMA 6.3 68,564

ACMA 6.4 71,517

ACMA EL1.1 79,389

ACMA EL1.2 83,513 Executive Level 1 ACMA EL1.3 86,837

ACMA EL1.4* (restricted) 97,667

ACMA EL2.1 91,529

ACMA EL2.2 97,667 Executive Level 2 ACMA EL2.3 103,789

ACMA EL2.4 107,263

Lawyer/Legal Officer 1.1 APS Level 5 59,206

Lawyer/Legal Officer 1.2 APS Level 5 62,001

Lawyer/Legal Officer 1.3 APS Level 6 65,284

Lawyer/Legal Officer 1.4 APS Level 6 71,517

Snr Lawyer/Legal Officer 2.1 Exec Level 1 79,389

Snr Lawyer/Legal Officer 2.2 Exec Level 1 86,837

Snr Lawyer/Legal Officer 2.3 Exec Level 1 97,667

Principal Lawyer 3.1 Exec Level 2 103,789

Principal Lawyer 3.2 Exec Level 2 107,263

Tech Trainee 1 Trainee APS (Technical) 37,027

Tech Trainee 2 Trainee APS (Technical) 39,593

Tech Trainee 3 Trainee APS (Technical) 41,659

Tech Trainee 4 Trainee APS (Technical) 44,582

Graduate 1.1 Graduate APS 47,379

Graduate 1.2 Graduate APS 49,981

Graduate 1.3 APS Level 4 51,466

Employees on the former pay points listed below receive the same pay rise as other employees in accordance with clause 12 of the ACMA Collective Agreement.

ABA EL1.4 Executive Level 1 97,667

ABA EL2.5 Executive Level 2 109,790

*Access to the EL1.4 pay point is restricted to employees locally designated as Snr Lawyer/Legal Officer Abbreviations used in this appendix: SES—Senior Executive Service; EL—Executive Level; APS—Australian Public Service

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Appendix 4: Implementation of the Commonwealth Disability Strategy Under the Public Service Act 1999, ACMA is required to report on its performance in implementing the Commonwealth Disability Strategy. ACMA fulfilled the roles of regulator, purchaser, provider and employer as defined in the strategy. REGULATOR ROLE ACMA had key responsibilities related to access including: • licensing and monitoring of community broadcasting (Chapter 2); • monitoring the performance of the National Relay Service for people with a communication impairment (Chapter 3); • monitoring the supply of customer equipment that enables people with disabilities to access the standard telephone service (Chapter 3); • ensuring industry compliance with consumer safeguards (Chapters 2 and 3); • administering the universal service obligation to ensure reasonable access for all Australians to standard telephone services and payphones on an equitable basis, wherever they reside or carry on business (Chapter 3); • reporting on telecommunications performance (Chapter 3); • providing consumer information in print and electronic formats (Chapter 4); and • conducting public consultations when making decisions (Chapters 2 and 3).

Table 35: Regulator role performance, 2007–08

Performance indicator

TTY number was given in ACMA publications, on stationery and on the website. Consumer publications were published in print and on ACMA website in html and pdf formats, and mailed out to community groups, including disability organisations. Public information campaigns were conducted through the media, in ACMA publications and on Publicly available information on regulations and the website. quasi-regulations is available in accessible formats Information and advice was provided by telephone, mail, email or over the counter at regional for people with disabilities offices. Research was conducted to identify information needs of consumers to plan future consumer information campaigns. National Relay Service consumers were consulted through representative organisations on a consultative committee.

Broadcasting breach investigation reports were published on the ACMA website. Publicly available regulatory compliance reporting Quarterly telecommunications performance data was published on the ACMA website. is available in accessible formats for people with ACMA’s annual report to the Minister on telecommunications performance was distributed to disabilities consumer and disability organisations and published on the ACMA website.

PURCHASER ROLE ACMA purchased services and managed contracts for internal and external services. Table 36: Purchaser role performance, 2007–08 Performance indicator

Publicly available information on agreed ACMA made every effort to provide purchasing specifications in an accessible format when purchasing specifications are available in accessible requested. formats for people with disabilities Processes for purchasing goods and services with a direct impact on the lives of people with When ACMA purchased goods or services for a person with a disability, the person concerned disabilities are developed in consultation with was consulted. people with disabilities Contractors for ACMA, in carrying out services or providing goods for a contract, were Purchasing specifications and contract required to comply with all relevant legislation of the Commonwealth (including the Disability requirements for the purchase of goods and Discrimination Act 1992). services are consistent with the requirements of Suppliers were expected to comply with all relevant laws and any requirements of relevant the Disability Discrimination Act 1992 authorities when supplying goods or services under the conditions of the ACMA purchase order.

Publicly available performance reporting against the purchase contract specifications requested in ACMA made every effort to provide performance reporting in an acceptable format when accessible formats for people with disabilities is requested. provided

Complaints and grievance mechanisms, including External and internal mechanisms exist for complaints and grievances to address concerns access to external mechanisms, are in place to against performance. Usually, the first step was to contact the project officer or agency address any concerns raised about performance procurement adviser to discuss any concerns.

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PROVIDER ROLE ACMA provided radiocommunications licensing and interference investigation services direct to the public through its regional offices, as well as by telephone and email.

Table 37: Provider role performance, 2007–08

Performance indicator

Providers have established mechanisms for quality ACMA’s integrated structure ensures operations were linked to ACMA strategic directions and improvement and assurance were efficient.

Providers have an established service charter that specifies the roles of the provider and consumer, An ACMA Client Service Charter was developed and published in 2006. A report against the and service standards which address accessibility charter is provided in this Annual Report. for people with disabilities

Complaints and grievance mechanism, including access to external mechanisms, are in place to Complaints about ACMA services could be lodged in person, by telephone or in writing with any address issues and concerns raised about ACMA office. Complaints were investigated and addressed at the appropriate level. performance

EMPLOYER ROLE ACMA staff were employed under the Public Service Act 1999 and a Workplace Diversity Program was implemented (see Chapter 4 and Appendix 3).

Table 38: Employer role performance, 2007–08

Performance indicator

ACMA employment policies, procedures and practices complied with the Disability Discrimination Act 1992. Employment policies and procedures were covered by the Certified Agreement. The workplace Employment policies, procedures and practices diversity program and performance management framework facilitated the integration and comply with the requirements of the Disability linkages of employment policies and procedures with diversity principles, including disability Discrimination Act 1992 access and equity. Workplace issues were considered case-by-case in consultation with a medical professional (where appropriate) and employee concerned.

Recruitment information for potential job applicants is available in accessible formats ACMA provided recruitment information in accessible formats on request. on request

Agency recruiters and managers apply the Recruitment and selection guidelines provided assistance on workplace diversity and equity, principle of ‘reasonable adjustment’ including ‘reasonable adjustment’.

ACMA training and development programs considered the needs of staff with disabilities. Training and development programs consider the Training rooms in Canberra and Melbourne offices were accessible by employees with disabilities. needs of staff with disabilities Attendance at training courses was predominantly through public programs, where consideration of the needs of employees with disabilities could be negotiated with the training provider.

Training and development programs include information on disability issues as they relate to ACMA included information on disabilities issues within the broader context of valuing diversity. the content of the program

Mechanisms for complaints and grievances, including access to external mechanisms, were in place to address issues raised by employees. Dispute resolution procedures and reviews of decisions affecting employment are outlined in the ACMA Agreement in accordance with the Public Service Act 1999. Another internal mechanism, the Workplace Harassment Prevention Policy, guided the management of complaints relating to harassment, intimidation and Complaints and grievance mechanism, including discrimination. access to external mechanisms, in place to address External mechanisms for reviewing decisions by the Australian Public Service Commissioner were issues and concerns raised by staff also in operation. Other avenues of external address included the Human Rights and Equal Opportunity Commission, the Privacy Commissioner, and the Commonwealth Ombudsman. The Employee Assistance Program was offered by ACMA to provide free, confidential counselling to staff and members of their immediate families for a wide range of personal and/or work- related problems.

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Appendix 5: Licensing and licence allocations Table 39: Carrier licences issued, 2007–08

No. Carrier licence granted to Date granted

235 Elms Communications Pty Ltd ACN 122 078 255 4 July 2007

236 Emerge Technologies Pty Ltd ACN 087 855 221 5 July 2007

237 Snooper Systems Pty Ltd ACN 103 690 526 30 July 2007

238 Nuskope Pty Ltd ACN 125 849 149 30 July 2007

239 Opticomm Pty Ltd ACN 117 414 776 21 September 2007

240 Blubroadband Pty Limited ACN 122 495 158 9 October 2007

241 Pipe International (Australia) Pty Ltd ACN 123 898 215 4 December 2007

242 Christmas Island Internet Administration Ltd ACN 091 843 417 4 December 2007

243 Western Advance Pty Ltd ACN 008 879 767 4 December 2007

244 Western Australian Internet Association Inc ABN 71 817 988 968 6 December 2007

245 Exetel Pty Ltd ACN 097 986 546 8 February 2008

246 Business Services & Resources Pty Limited ACN 073 226 114 22 February 2008

247 Ochre Services Pty Ltd ACN 127 829 690 28 March 2008

248 ETT Limited ACN 091 320 464 22 April 2008

249 GE International Holdings Inc (Registered in Delaware, USA) 12 May 2008

250 Basslink Telecoms Pty Ltd ACN 129 550 563 13 May 2008

251 Ossini Pty Ltd ACN 100 584 656 23 May 2008

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Table 40: Nominated carrier declarations, 2007–08

No. Nominated carrier Network unit(s) Date made

Multiple line links connecting Central Plaza Building, University of Adelaide to Waite 92 Amcom Pty Ltd 26 July 2007 Institute, Waite Road, Urrbrae in South Australia and owned by The University of Adelaide.

Multiple line links located in the Aurora Estate at Epping North, Victoria and the Satellite and Wireless Valley Lake Estate at Niddrie, Victoria and a designated radiocommunications facility 93 15 August 2007 Pty Ltd between 97 Forest Street and 68 Burt Street Boulder, West Australia owned by IP Systems Pty Ltd, ACN 065 092 962.

Ergon Energy Designated radiocommunications facilities located in Queensland and owned by Ergon 94 Telecommunications 10 September 2007 Energy Corporation Limited, ACN 087 646 062. Pty Ltd

Fibre optic cable network owned by the Power and Water Authority of Northern Optus Networks Pty 95 Territory located in the Telecommunications Numbering Plan 1997 standard zone 14 December 2007 Ltd units of Darwin and Noonamah within the Northern Territory.

Multiple line links owned by the Central Gippsland Institute of TAFE (CGIT) and located: • between CGIT campus and ; • between Warragul Gippsland Group Training Campus and Warragul railway station; • between Moe/Newborough CGIT campus and ; Victorian Rail Track • between Mid Valley CGIT campus and ; 96 14 December 2007 Corporation (VicTrack) • between Mid Valley CGIT campus and Kurnai College campus at Churchill; • between Kurnai College campus at Churchill and Monash University campus at Churchill; and • designated radiocommunication facilities between the Gippsland VTU Radiocommunications Facility and Morwell railway station.

Allegro Networks Multiple line links owned by TradeCoast Central Pty Ltd, ACN 100 972 530 97 28 March 2008 Pty Ltd located within TradeCoast Central Business Park, Brisbane.

Single and multiple line links and designated radiocommunication facilities, being terrestrial base stations that are part of a customer access network and fixed radiocommunication 98 Pivit Pty Ltd 10 April 2008 links, located in the municipality of the City of Brisbane, Queensland and owned by Kelvin Grove Urban Village Community Title Scheme 35944.

Multiple line links owned by the State of Tasmania connecting Burnie, Launceston and 99 Auroracom Pty Ltd 16 April 2008 Hobart and intervening locations in Tasmania.

Optus Mobile A satellite owned by Thuraya Satellite Telecommunications Company as 100 29 April 2008 Pty Limited utilised by Optus to supply services within Australia.

Satellite-based facilities on the APSTAR-5 satellite owned by the APT Satellite Company Limited during any period in which they are used, or allocated for use, by Optus for communications to and from the Optus earth stations located at: Optus Networks 101 • Oxford Falls New South Wales; 13 May 2008 Pty Limited • Canberra Technical Facility Australian Capital Territory; • Regency Park South Australia; and • Lockridge Western Australia.

102 Silk Telecom Pty Ltd Multiple line links owned by CitiPower Pty. 18 June 2008

103 Silk Telecom Pty Ltd Multiple line links owned by Powercor Australia Ltd. 18 June 2008

Multiple line links owned by ClubCom Services Pty Ltd, located: • at the Sandhurst Club estate at Skye in the Frankston City municipality in ClubLINKS Telco 104 Victoria; and 26 June 2008 Pty Ltd • Sanctuary Lakes Resort estate at Point Cook in the City of Wyndham municipality in Victoria.

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Table 41: Retransmission services, 2007–08 Frequency Radio/TV Area State Applicant (MHz)/channel Date of effect Date of expiry

Radio Onslow WA Shire of Ashburton 106.7 23/8/2007 6/12/2007

Radio Mount Brockman NT Energy Resources of Australia Limited 88.5 17/5/2008 16/5/2013

Radio Mount Brockman NT Energy Resources of Australia Limited 91.7 17/5/2008 16/5/2013

TV Wongan Hills WA Shire of Wongan-Ballidu 744.25/59 22/12/2007 21/12/2012

TV Wongan Hills WA Shire of Wongan-Ballidu 723.25/56 22/12/2007 21/12/2012

TV Wongan Hills WA Shire of Wongan-Ballidu 702.25/53 22/12/2007 21/12/2012

TV Wongan Hills WA Shire of Wongan-Ballidu 765.25/62 22/12/2007 21/12/2012

Radio Wongan Hills WA Shire of Wongan-Ballidu 103.1 22/12/2007 21/12/2012

Radio Wongan Hills WA Shire of Wongan-Ballidu 104.7 22/12/2007 21/12/2012

Radio Wongan Hills WA Shire of Wongan-Ballidu 196.3 22/12/2007 21/12/2012

Radio Wongan Hills WA Shire of Wongan-Ballidu 107.9 22/12/2007 21/12/2012

Radio Golden Grove WA Oxiana Golden Grove Pty Ltd 106.3 18/2/2008 24/3/2012

TV Golden Grove WA Oxiana Golden Grove Pty Ltd 786.25/65 18/2/2008 24/3/2012

TV Golden Grove WA Oxiana Golden Grove Pty Ltd 807.25/68 18/2/2008 24/3/2012

Radio Lake Cargelligo NSW W & L Phillips Pty Ltd 101.5 4/9/2007 3/9/2012

TV Gundagai NSW Gundagai Shire Council 597.25/38 11/10/2007 10/10/2008

Radio Hungerford Qld Bulloo Shire Council 104.5 9/10/2007 8/10/2012

Radio Thargomindah Qld Bulloo Shire Council 102.9 9/10/2007 8/10/2012

Radio Prominent Hill SA Thiess Pty Ltd 89.7 25/10/2007 24/10/2012

Radio Mount Cuthbert Qld Matrix Metals Limited 104.3 21/11/2007 20/11/2012

Radio Tumby Bay Qld Matrix Metals Limited 107.5 21/11/2007 20/11/2012

Radio Norseman WA Norseman Gold Plc 101.7 27/10/2007 26/10/2008

TV Cooktown Qld Cook Shire Council 709.25/54 21/12/2007 20/12/2012

Radio Denham WA Hits Radio Pty Ltd 105.3 2/1/2008 1/1/2013

Radio Richmond Qld Richmond Shire Council 104.5 23/10/2007 5/5/2012

Radio Brewarrina NSW Brewarrina Shire Council 89.7 21/11/2007 20/11/2012

Radio Boggabilla NSW Moree Plains Shire Council 107.9 17/5/2008 16/5/2013

Radio Mungindi NSW Moree Plains Shire Council 102.3 9/4/2008 8/4/2013

Radio Emerald Qld Central Highlands Regional Council 93.1 10/5/2008 9/5/2013

Sapphire/ Radio Qld Central Highlands Regional Council 103.5 17/6/2008 16/6/2013 Rubyvale

Radio Willows Qld Emerald Shire Council 99.7 19/2/2008 12/2/2013

TV Springsure Qld Bauhinia Shire Council 709.25/54 22/2/2008 21/2/2013

Radio Springsure Qld Bauhinia Shire Council 99.3 22/2/2008 21/2/2013

Radio Boulia Qld Boulia Shire Council 104.5 23/11/2007 22/11/2012

Radio Boulia Qld Boulia Shire Council 101.3 23/11/2007 22/11/2012

Radio Cooladar Hill WA Equigold Nl 106.5 5/12/2007 4/12/2008

Continued/...

98 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 99

Continued from previous page Frequency Radio/TV Area State Applicant (MHz)/channel Date of effect Date of expiry Radio Prominent Hill SA Thiess Pty Ltd 91.3 30/11/2007 29/11/2012

Radio Shute Harbour Qld Whitsunday Shire Council 106.9 9/2/2008 8/2/2013

Radio Westonia WA Shire of Westonia 101.9 9/2/2008 8/2/2013

Radio Mildura VIC Mildura Rural City Council 98.7 25/1/2008 24/1/2013

Radio Gilgandra NSW Gilgandra Shire Council 103.7 19/3/2008 18/3/2013

Radio Norwich Park Qld BM Alliance Coal Operations Pty Ltd 88.5 13/11/2007 18/7/2012

Radio Norwich Park Qld BM Alliance Coal Operations Pty Ltd 89.3 13/11/2007 18/7/2012

Radio Norwich Park Qld BM Alliance Coal Operations Pty Ltd 94.9 13/11/2007 18/7/2012

Radio Mt Keith WA BHP Billiton Nickel West Pty Ltd 102.9 1/4/2008 31/3/2009

Radio Mt Keith WA BHP Billiton Nickel West Pty Ltd 105.3 1/4/2008 31/3/2009

Radio Mt Keith WA BHP Billiton Nickel West Pty Ltd 107.7 1/4/2008 31/3/2009

Radio Port Macquarie NSW Port Macquarie Hastings Shire Council 94.5 20/1/2008 19/1/2013

Radio Karratha South WA Pilbara Iron Company (Services) Pty Ltd 96.9 20/1/2008 19/1/2013

Radio Karratha South WA Pilbara Iron Company (Services) Pty Ltd 101.1 30/1/2008 29/01/2011

Radio Karratha South WA Pilbara Iron Company (Services) Pty Ltd 98.5 30/1/2008 29/1/2011

Radio Karratha South WA Pilbara Iron Company (Services) Pty Ltd 95.3 30/1/2008 29/1/2011

Radio Cadia Mine Site NSW Cadia Holdings Pty Pty 90.5 30/1/2008 29/1/2011

Radio Lady Annie Mine Qld Lady Annie Operations Pty Ltd 100.5 7/6/2008 6/6/2013

Radio Lady Annie Mine Qld Lady Annie Operations Pty Ltd 95.7 22/5/2008 21/5/2013

Radio Lady Annie Mine Qld Lady Annie Operations Pty Ltd 98.1 22/5/2008 21/5/2009

Radio Exmouth WA Shire of Exmouth 98.9 22/5/2008 21/5/2009

Radio King Island Tas King Island Council 98.9 7/6/2008 6/6/2013

Radio Richmond Qld Richmond Shire Council 106.1 21/2/2008 20/2/2009

Radio Cloudbreak Mine WA Fortescue Metals Group Ltd 103.5 7/4/2008 6/4/2013

Radio Cloudbreak Mine WA Fortescue Metals Group Ltd 106.7 3/3/2008 2/3/2013

Radio Cloudbreak Mine WA Fortescue Metals Group Ltd 105.1 19/6/2008 18/6/2013

Radio Cadia Mine Site NSW Cadia Holdings Pty Limited 92.9 19/6/2008 18/6/2013

Radio Hughenden Qld Flinders Shire Council 104.3 19/6/2008 18/6/2013

TV Dysart IBL Qld Channel Seven Queensland Pty Limited 739.5/58 7/6/2008 6/6/2013

TV Currie Tas King Island Council 655.5/46 4/4/2008 3/4/2009

TV Currie Tas King Island Council 613.5/40 24/4/2008 23/4/2009

TV Currie Tas King Island Council 634.5/43 21/4/2008 20/4/2009

Radio Cadia Mine Site NSW Cadia Holdings Pty Limited 98.7 21/4/2008 20/4/2009

Radio Cadia Mine Site NSW Cadia Holdings Pty Limited 96.3 21/4/2008 20/4/2009

Radio Kalgoorlie WA Kalgoorlie Consolidated Gold Mines Pty Ltd 93.5 7/6/2008 6/6/2013

Radio Kalgoorlie WA Kalgoorlie Consolidated Gold Mines Pty Ltd 94.3 7/6/2008 6/6/2013

Radio Chinchilla Qld Rebel Pty Ltd 95.5 19/6/2008 18/6/2009

Radio Weipa Qld Rio Tinto Aluminium Limited 104.1 19/8/2006 18/8/2007

ACMA ANNUAL REPORT 2007–08 99 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 100

Table 42: Licences for national services, 2007–08 Frequency Radio/TV Area Broadcaster (MHz)/channel Date of effect Date of expiry

Radio Hamilton ABC 91.7 1/12/2007 30/11/2012

Radio Mildura ABC 100.3 1/11/2007 31/10/2012

TV Inverell SBS 788.5/65 3/10/2007 2/10/2012

Radio Sale ABC 107.9 1/11/2007 31/10/2012

Radio Albany ABC 92.1 1/12/2007 30/11/2012

TV Ashford SBS 788.5/65 3/10/2007 2/10/2012

TV Inverell ABC 746.5/59 3/12/2007 30/11/2012

TV Glen Innes ABC 746.5/59 3/12/2007 30/11/2012

TV Tawonga South ABC 550.5/31 24/09/2007 30/11/2011

TV Port Sorell ABC 704.5/53 3/12/2007 30/11/2012

TV Moranbah Town ABC 711.5/54 15/11/2007 30/11/2011

TV Moranbah ABC 669.625/48 3/12/2007 30/11/2012

TV Ashford ABC 746.5/59 21/9/2007 30/11/2011

TV Alexandra Environs ABC 557.625/32 1/1/2008 31/12/2012

TV Walcha ABC 669.5/48 3/12/2007 30/11/2012

TV Kalgoorlie ABC 175.25/6 1/8/2007 31/7/2012

TV Glen Innes SBS 788.5/65 3/10/2007 2/10/2012

TV Lilydale SBS 781.625/64 3/10/2007 2/10/2012

TV Clermont SBS 732.625/57 3/10/2007 2/10/2012

TV Tenterfield ABC 739.5/58 21/9/2007 30/11/2011

TV Murrurundi ABC 669.625/48 25/9/2007 30/11/2011

TV Dysart ABC 718.5/55 17/9/2007 30/11/2011

TV Quorn ABC 718.5/55 31/8/2007 30/11/2011

TV Miles ABC 774.5/63 31/8/2007 30/11/2011

Radio Karratha ABC 104.1 1/11/2007 30/10/2012

Radio Port Hedland ABC 94.9 1/11/2007 31/10/2012

Radio ABC 104.5 1/12/2007 30/11/2012

Radio Tumby Bay ABC 91.5 16/11/2007 15/11/2012

TV Northam ABC 732.625/57 12/10/2007 30/11/2011

TV Bonalbo ABC 704.5/53 22/10/2007 30/11/2011

TV Clermont ABC 711.5/54 19/10/2007 30/11/2011

TV Kyogle ABC 739.625/58 22/10/2007 30/11/2011

TV Middlemount ABC 634.5/43 16/10/2007 30/11/2011

TV Warrnambool City ABC 534.224/29 9/11/2007 30/11/2011

TV Savage River ABC 606.5/39 15/11/2007 30/11/2011

TV Merriwa ABC 669.625/48 12/11/2007 30/11/2011

Continued/...

100 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 101

Continued from previous page Frequency Radio/TV Area Broadcaster (MHz)/channel Date of effect Date of expiry

TV Cassilis ABC 543.5/30 26/11/2007 30/11/2011

TV Warrnambool City ABC 534.244/29 10/10/2007 30/11/2011

TV Springsure ABC 655.5/46 1/2/2008 30/11/2012

TV Nebo ABC 711.5/54 1/1/2008 30/11/2012

TV Derby ABC 788.625/65 1/1/2008 30/11/2012

TV Lilydale ABC 788.625/65 1/1/2008 30/11/2012

Radio Esperance ABC 103.1 30/11/2007 29/11/2012

Radio Kalgoorlie ABC 100.3 30/11/2007 29/11/2012

Radio Upper Hunter ABC 104.9 30/11/2007 29/11/2012

Radio Airlie Beach ABC 93.9 30/11/2007 29/11/2012

Radio Geraldton ABC 101.3 30/11/2007 29/11/2012

Radio Carnarvon ABC 106.1 30/11/2007 29/11/2012

Radio Mudgee ABC 101.1 30/11/2007 29/11/2012

Radio Bathurst ABC 98.3 30/11/2007 29/11/2012

Radio Inverell ABC 93.5 1/3/2008 30/11/2012

Radio Portland ABC 97.7 1/3/2008 30/11/2012

Radio Mount Isa ABC 104.9 1/3/2008 30/11/2012

Radio Katherine ABC 105.3 1/3/2008 30/11/2012

Radio Gladstone ABC 96.7 1/3/2008 30/11/2012

Radio Emerald ABC 89.1 1/3/2008 30/11/2012

Radio Broome ABC 96.5 1/3/2008 30/11/2012

Radio Horsham ABC 89.3 1/5/2008 30/4/2013

TV Rosebery ABC 557.5/52 19/4/2008 18/4/2013

TV Strahan ABC 739.625/58 20/4/2008 19/4/2013

Radio Tuggeranong ABC 99.1 2/6/2008 30/11/2012

Radio Tuggeranong ABC 95.9 2/6/2008 30/11/2012

TV Queenstown/Zeehan ABC 662.5/47 14/8/2008 13/8/2009

TV Kojanup ABC 809.5/68 15/10/2008 30/11/2012

TV Margaret River ABC 648.5/45 17/6/2008 30/11/2012

TV Exmouth ABC 184.625/7 22/5/2008 21/5/2013

TV Dalwallinu ABC 676.5/49 14/11/2008 30/11/2012

TV Kununurra ABC 191.625/8 14/3/2009 30/11/2012

TV Kununurra East ABC 802.5/67 14/3/2009 30/11/2012

TV Moora ABC 697.5/52 14/10/2008 30/11/2012

TV Wongan Hills ABC 184.625/7 14/10/2008 30/11/2012

Radio Renmark/Loxton ABC 93.9 1/8/2008 31/7/2013

ACMA ANNUAL REPORT 2007–08 101 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 102

Table 43: Test transmissions, 2007–08

Radio/TV Area Broadcaster Frequency (MHz)/channel Date of effect Date of expiry

TV Port Sorell ABC 704.5/53 15/8/2007 14/2/2008

TV Glen Innes ABC 746.5/59 15/8/2007 14/2/2008

TV Moranbah ABC 669.625/48 15/8/2007 14/2/2008

Northern Rivers TV Laurieton 711.625/54 23/8/2007 22/8/2008 Television Pty Ltd

Radio Perth ABC 94.1 31/8/2007 29/9/2007

TV Walcha ABC 669.5/48 29/8/2007 16/2/2008

TV Inverell ABC 746.5/59 29/8/2007 16/2/2008

TV Laurieton WIN Television Qld Pty Ltd 788.5/65 22/8/2007 17/10/2008

Southern Cross TV Seymour 774.5/63 18/9/2007 17/9/2008 Communications Ltd

Radio Canungra Beaudesert Shire Council 104.9 10/11/2007 9/2/2008

Radio Cairns ABC 91.5 16/11/2007 14/12/2007

TV Goulburn Prime TV 788.5/65 30/11/2007 28/2/2008

TV Alexandra Environs SBS 536.625/29 1/12/2007 30/5/2008

Regional Television TV Murgon 767.5/62 14/12/2007 13/3/2008 Pty Limited Southern Cross TV Nhill 781.5/64 24/12/2007 23/6/2008 Communications Ltd Southern Cross TV Deniliquin 781.5/64 24/12/2007 23/6/2008 Communications Ltd

TV Queenstown SBS 655.5/46 14/3/2008 13/3/2009

Southern Cross Television TV Ulverstone 613.5/40 13/3/2008 2/3/2009 (TNT9) Pty Ltd Southern Cross Television TV Penguin 613.5/40 13/3/2008 2/3/2009 (Tnt9) Pty Ltd

TV Penguin WIN Television Tas Pty Ltd 774.5/63 1/3/2008 28/2/2009

TV Ulverstone WIN Television Tas Pty Ltd 627.5/42 1/3/2008 28/2/2009

TV Kingston SE WIN Television SA Pty Ltd 739.5/58 2/4/2008 1/4/2009

TV Keith WIN Television SA Pty Ltd 662.5/47 2/4/2008 1/4/2009

TV Bordertown WIN Television SA Pty Ltd 683.5/50 2/4/2008 1/4/2009

TV Waikerie WIN Television SA Pty Ltd 739.5/58 2/4/2008 1/4/2009

TV Ringarooma ABC 788.625/65 18/3/2008 17/3/2009

TV St Helens ABC 592.5/37 18/3/2008 17/3/2009

TV Binalong Bay ABC 592.5/37 18/3/2008 17/3/2009

Southern Cross Television TV Acton Road 599.5/38 8/4/2008 7/4/2009 (Tnt9) Pty Ltd

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Continued/...

102 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 103

Continued from previous page

Radio/TV Area Broadcaster Frequency (MHz)/channel Date of effect Date of expiry

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

Radio Sydney (SE) D2n Pty Ltd 90.9 7/4/2008 8/4/2008

WIN Television Qld TV Miles 795.5/66 17/5/2008 16/5/2009 Pty Ltd

TV Margaret River SBS 634.5/43 8/4/2008 7/4/2009

Prime Television (Southern) TV Braidwood 788.5/65 19/5/2008 18/5/2009 Pty Ltd Channel Seven Queensland TV Dysart 739.5/58 24/4/2008 23/4/2009 Pty Limited Channel Seven Queensland TV Miles 732.5/57 24/4/2008 23/4/2009 Pty Limited Channel Seven Queensland TV Moranbah 662.5/47 24/4/2008 23/4/2009 Pty Limited Channel Seven Queensland TV Springsure 662.5/47 24/4/2008 23/4/2009 Pty Limited

Radio Melbourne (SE) Back To Back Theatre 89.5 7/7/2008 11/7/2008

Northern Rivers Television TV Kyogle 760.625/61 9/4/2008 8/4/2009 Pty Ltd

Radio Broken Hill Super Hill 106 Fm Pty Ltd 96.5 14/5/2008 13/8/2008

TV Armidale NBN Ltd 599.5/38 17/4/2008 16/4/2009

TV Coffs Harbour NBN Ltd 802.5/67 17/4/2008 16/4/2009

TV Exmouth SBS 198.625/9 9/5/2008 8/5/2009

TV Blackwater Regional Television Pty Limited 669.5/48 16/6/2008 15/6/2009

TV Emerald Regional Television Pty Limited 774.5/63 16/6/2008 15/6/2009

TV Miles Regional Television Pty Limited 753.5/60 16/6/2008 15/6/2009

Radio Launceston Bass Radio Pty Ltd 100.3 1/7/2008 30/9/2008

Radio Launceston Bass Radio Pty Ltd 89.3 1/7/2008 30/9/2008

Radio Cairns North ABC 93.9 30/6/2008 1/7/2008

TV Cygnet WIN Television Tas Pty Ltd 667.198/48 1/7/2008 30/6/2009

TV Orford WIN Television Tas Pty Ltd 43 1/7/2008 30/6/2009

TV New Norfolk WIN Television Tas Pty Ltd 60 1/7/2008 30/6/2009

TV Dover WIN Television Tas Pty Ltd 61 1/8/2008 30/6/2009

TV Geeveston WIN Television Tas Pty Ltd 61 1/7/2008 30/6/2009

ACMA ANNUAL REPORT 2007–08 103 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 104

Table 44: Digital licences, 2007–08 Frequency Radio/TV Area Broadcaster Channel (MHz)/channel Date of effect Date of expiry

Inverell NSW SBS 788.5 65 3/10/2007 2/10/2012

Ashford NSW SBS 788.5 65 3/10/2007 2/10/2012

Inverell NSW ABC 746.5 59 3/12/2007 30/11/2012

Glen Innes NSW ABC 746.5 59 3/12/2007 30/11/2012

Tawonga South VIC ABC 550.5 31 24/9/2007 30/11/2011

Port Sorell Tas ABC 704.5 53 3/12/2007 30/11/2012

Moranbah Town Qld ABC 711.5 54 15/11/2007 30/11/2011

Moranbah Qld ABC 669.625 48 3/12/2007 30/11/2012

Ashford NSW ABC 746.5 59 21/9/2007 30/11/2011

Alexandra VIC ABC 557.625 32 1/1/2008 31/12/2012 Environs

Walcha NSW ABC 669.5 48 3/12/2007 30/11/2012

Mudgee ACT Australian Capital Television Pty Ltd 767.625 62 23/8/2007 22/8/2008

Glen Innes NSW SBS 788.5 65 3/10/2007 2/10/2012

Lilydale Tas SBS 781.625 64 3/10/2007 2/10/2012

Clermont Qld SBS 732.625 57 3/10/2007 2/10/2012

Mareeba Qld Regional Television Pty Limited 655.5 46 8/8/2007 8/5/2008

Mossman Qld Regional Television Pty Limited 669.5 48 8/8/2007 8/5/2008

Tenterfield NSW ABC 739.5 58 21/9/2007 30/11/2011

Murrurundi NSW ABC 669.625 48 25/9/2007 30/11/2011

Dysart Qld ABC 718.5 55 17/9/2007 30/11/2011

Young ACT Australian Capital Television Pty Ltd 774.5 63 23/8/2007 22/8/2008

Cowra ACT Australian Capital Television Pty Ltd 704.5 53 23/8/2007 22/8/2008

SW Slopes/ ACT Australian Capital Television Pty Ltd 690.5 51 23/8/2007 22/8/2008 E Riverina Central Western ACT Australian Capital Television Pty Ltd 655.5 46 23/8/2007 22/8/2008 Slopes

Quorn SA ABC 718.5 55 31/8/2007 30/11/2011

Miles Qld ABC 774.5 63 31/8/2007 30/11/2011

Collinsville Qld Channel Seven Queensland Pty Limited 746.5 59 1/10/2007 7/12/2008

Herberton Qld Channel Seven Queensland Pty Limited 760.5 61 1/10/2007 7/12/2008

Babinda Qld Channel Seven Queensland Pty Limited 634.5 43 1/10/2007 7/12/2008

Ravenshoe Qld Channel Seven Queensland Pty Limited 634.5 43 2/10/2007 7/12/2008

Murgon Qld Channel Seven Queensland Pty Limited 746.5 59 2/10/2007 7/12/2008

Warwick Qld Channel Seven Queensland Pty Limited 746.5 59 2/10/2007 7/12/2008

Continued/...

104 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 105

Continued from previous page

Frequency Radio/TV Area Broadcaster Channel (MHz)/channel Date of effect Date of expiry

Northam WA ABC 732.625 57 12/10/2007 30/11/2011

Bonalbo NSW ABC 704.5 53 22/10/2007 30/11/2011

Clermont Qld ABC 711.5 54 19/10/2007 30/11/2011

Kyogle NSW ABC 739.625 58 22/10/2007 30/11/2011

Middlemount Qld ABC 634.5 43 16/10/2007 30/11/2011

Savage River Tas ABC 606.5 39 15/11/2007 30/11/2011

Merriwa NSW ABC 669.625 48 12/11/2007 30/11/2011

Cassilis NSW ABC 543.5 30 26/11/2007 30/11/2011

Springsure Qld ABC 655.5 46 1/2/2008 30/11/2012

Nebo Qld ABC 711.5 54 1/1/2008 30/11/2012

Derby Tas ABC 788.625 65 1/1/2008 30/11/2012

Lilydale Tas ABC 788.625 65 1/1/2008 30/11/2012

East Devonport Tas Southern Cross Television (Tnt9) Pty Ltd 613.625 40 19/8/2006 30/7/2009

East Devonport Tas Tasmanian Digital Television 585.625 36 19/6/2008 20/11/2011

Melbourne - Albert Vic Kangaroo.Tv Europe Ltd 802.5 67 12/3/2008 17/3/2008 Park Raceway (SE)

Tamworth NSW Nbn Ltd 753.5 60 3/3/2008 2/3/2009

Darwin NSW Darwin Digital Television Pty Limited 564.625 33 19/3/2008 18/3/2013

Acton Road Tas Win Television Tas Pty Ltd 592.5 37 3/4/2008 2/4/2009

Acton Road Tas Tasmanian Digital Television Pty Ltd 690.5 51 4/4/2008 2/4/2009

Rosebery Tas ABC 557.5 32 19/4/2008 18/4/2013

Dysart IBL Qld Channel Seven Queensland Pty Limited 739.5 58 24/4/2008 23/4/2009

Strahan Tas ABC 739.625 58 20/4/2008 19/4/2013

Gladstone Tas ABC 788.625 65 15/4/2008 14/4/2013

Currie Tas King Island Council 655.5 46 21/4/2008 20/4/2009

Currie Tas King Island Council 613.5 40 21/4/2008 20/4/2009

Currie Tas King Island Council 634.5 43 21/4/2008 20/4/2009

King Island Tas ABC 732.5 57 1/5/2008 30/4/2013

Queenstown/ Tas ABC 662.5 47 14/8/2008 13/8/2009 Zeehan

Kojanup WA ABC 809.5 68 15/10/2008 30/11/2012

Margaret River WA ABC 648.5 45 17/6/2008 30/11/2012

Exmouth WA ABC 184.625 7 22/5/2008 21/5/2013

Dalwallinu WA ABC 676.5 49 14/11/2008 30/11/2012

Kununurra WA ABC 191.625 8 14/3/2009 30/11/2012

Kununurra East WA ABC 802.5 67 14/3/2009 30/11/2012

Moora WA ABC 697.5 52 14/10/2008 30/11/2012

Wongan Hills WA ABC 184.625 7 14/10/2008 30/11/2012

ACMA ANNUAL REPORT 2007–08 105 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 106

Table 45: Apparatus licences, 2006 to 2008

Licence type 30 June 2006 30 June 2007 30 June 2008

Aeronautical 2,174 1,448 1,966

Aircraft 17 13 13

Amateur 14,475 15,009 15,278

Broadcasting 8,840 9,154 9,538

Defence 71 71 71

Earth 287 346 368

Fixed 41,307 41,875 43,338

Land mobile 57,284 58,705 62,659

Maritime coast 3,468 3,271 3,403

Maritime ship 9,644 9,283 8,941

Outpost 7,011 6,342 5,837

Public telecommunications service 9 13 9

Radiodetermination 1,876 1,548 2,098

Scientific 550 545 508

Space 45 41 49

Major coast receive 17 17 17

Earth receive 242 322 349

Fixed receive 783 708 970

Space receive 40 36 53

Total 148,140 148,747 155,465

Note: these figures include multi-year licences

106 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 107

Table 46: Broadcasting service apparatus licence variations, 2007–08 Frequency Radio/TV Applicant Area served (MHz)/Channel Date of effect Date of expiry

Radio Bundaberg Broadcasters Pty Ltd Alpha 100.7 23/6/2005 22/6/2010

Radio Bundaberg Broadcasters Pty Ltd Dysart 90.9 17/12/2004 16/12/2009

Radio Bundaberg Broadcasters Pty Ltd Surat 94.7 23/6/2005 22/6/2010

Radio Australian Broadcasting Corporation Hobart 747 kHz 23/8/2007 30/11/2012

TV Tambo Shire Council Tambo 569.25/34 26/3/2007 25/3/2012

TV C31 Adelaide Ltd Adelaide 548.224/31 8/11/2007 4/7/2008

Radio Manly-Warringah Media Cooperative Ltd Manly North 88.7 11/10/2007 10/10/2008

Radio Unitab Limited Cooktown 103.3 16/10/2007 31/12/2007

Radio Double T Radio Pty Ltd Melbourne 101.1 20/4/2007 19/4/2008

Radio Double T Radio Pty Ltd Melbourne 104.3 8/6/2007 7/6/2008

Radio Tjuma Pulka (Media) Aboriginal Corporation Kalgoorlie 96.3 24/10/2007 23/10/2008

Radio Peel Valley Christian Broadcasters Inc. Tamworth 89.7 1/10/2007 30/9/2008

Radio Orange Community Broadcasters Inc. Orange 107.5 19/2/2008 21/1/2009

Radio North West Community Radio Association Inc. Melbourne 98.9 26/1/2008 3/10/2012

Robe River Iron Associates Is&T Comms Team (Seven Radio West Angelas 94.5 27/11/2006 18/4/2008 Mile-Dampier Wa) Accounts Payable Robe River Iron Associates Is&T Comms Team (Seven Radio West Angelas 91.3 27/11/2006 18/4/2008 Mile-Dampier Wa) Accounts Payable

Radio Talison Minerials Pty Ltd Wodgina 105.3 19/3/2008 18/3/2009

Radio Talison Minerials Pty Ltd Wodgina 106.9 19/3/2008 18/3/2009

Radio Talison Minerials Pty Ltd Wodgina 102.1 19/3/2008 18/3/2009

Radio Gympie-Noosa Broadcasters Pty Ltd Noosa/Tewantin 107.1 10/5/2008 8/8/2011

Radio Shire of Derby/West Kimberley Derby 105.9 16/4/2008 7/7/2008

Radio Tennant Creek Town Council Tennant Creek 107.7 16/4/2008 18/2/2009

University of Western Radio Way Out West Fine Music Inc. 100.7 1/6/2007 31/5/2008 Sydney

Radio WREB Co-Operative Ltd Bourke 585 kHz 3/5/2008 5/6/2011

Radio Encounter FM Community Broadcasters Association Inc. Yankalilla 94.7 30/4/2008 29/7/2008

Victor Harbour Radio Encounter FM Community Broadcasters Association Inc. 94.7 29/2/2008 28/2/2009 (Summer Hill) Melbourne Southern Radio Southern Community Broadcasters Inc. 88.3 24/6/2008 14/11/2010 Suburbs

Radio Central Burnett Community Radio Association Inc. Gayndah 91.5 7/4/2008 6/4/2009

Radio Rebel Radio Network Pty Ltd Chinchilla 97.1 20/5/2008 19/5/2009

Radio Kalgoorlie Consolidated Gold Mines Pty Ltd Kalgoorlie 92.7 17/8/2007 16/8/2008

Radio Kalgoorlie Consolidated Gold Mines Pty Ltd Kalgoorlie 91.9 17/8/2007 16/8/2008

Radio Tennant Creek Town Council Tennant Creek 98.1 27/10/2007 18/2/2012

ACMA ANNUAL REPORT 2007–08 107 104415_ACMA ch05a:appendix 1-15 23/9/08 11:05 AM Page 108

Table 47: Community radio licences allocated, 2007–08 General State area served Date applications sought Decision date Frequency (MHz) Licensee WA Beagle Bay 16/8/2007 26/9/2007 106.1 Pilbara and Kimberley Aboriginal Media (Aboriginal Corporation)

QLD Esk 1/12/2005 3/10/2007 95.9 Brisbane River Valley Radio Inc

WA Perth 13/7/2007 20/12/2007 100.9 Peedac Pty Ltd

WA Perth 13/7/2007 20/12/2007 90.5 Capital Community Radio Inc

QLD Doomadgee 15/4/2008 14/5/2008 107.7 Doomadgee Aboriginal Shire Council

Table 48: S102 licences allocated, 2007–08 Applicant Radio/TV Area Frequency (MHz) Channel Date of effect Date of expiry

Australian Capital Television Pty Ltd TV Mudgee 767.625 62 23/8/2007 22/8/2008

Regional Television Pty Limited TV Mareeba 655.5 46 8/8/2007 8/5/2008

Regional Television Pty Limited TV Mossman 669.5 48 8/8/2007 8/5/2008

Hobart FM Inc. Radio Hobart 96.1 N/A 15/8/2007 14/8/2008

Australian Capital Television Pty Ltd TV Young 774.5 63 23/8/2007 22/8/2008

Australian Capital Television Pty Ltd TV Cowra 704.5 53 23/8/2007 22/8/2008

Australian Capital Television Pty Ltd TV SW Slopes / E Riverina 690.5 51 23/8/2007 22/8/2008

Australian Capital Television Pty Ltd TV Central Western Slopes 655.5 46 23/8/2007 22/8/2008

Irrunytju Community Inc. TV Blackstone 814.25 69 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Warakurna 793.25 66 10/10/2007 4/10/2008

Mugarinya Community Association Inc. TV Yandeearra 793.25 66 10/10/2007 4/10/2008

Amata Community Council TV Amata 793.25 66 10/10/2007 4/10/2008

Ernabella Community Council TV Ernabella 793.25 66 10/10/2007 4/10/2008

Kaltijiti Community Aboriginal Corporation TV Fregon 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Coonana 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Cosmo Newberry 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Jameson (Mantamaru) 814.25 69 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Kanpa 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Tjirrkarli 814.25 69 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Tjuntjuntjara 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Warnarn 793.25 66 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Warburton 814.25 69 10/10/2007 4/10/2008

Irrunytju Community Inc. TV Karilywara 793.25 66 10/10/2007 4/10/2008

Launceston Community FM Group Inc. Radio Tamar Valley 96.5 N/A 5/10/2007 4/10/2008

2HD Broadcasters Pty Ltd Radio Newcastle 97.5 N/A 19/9/2007 18/9/2012

Channel Seven Queensland Pty Limited TV Herberton 760.5 61 1/10/2007 7/12/2008

Channel Seven Queensland Pty Limited TV Babinda 634.5 43 1/10/2007 7/12/2008

Channel Seven Queensland Pty Limited TV Ravenshoe 634.5 43 2/10/2007 7/12/2008

Channel Seven Queensland Pty Limited TV Murgon 746.5 59 2/10/2007 7/12/2008

Channel Seven Queensland Pty Limited TV Warwick 746.5 59 2/10/2007 7/12/2008

Bass Radio Pty Ltd Radio Launceston 89.3 N/A 4/10/2007 17/07/2009

Stephens Island Council TV Stephens Island 786.25 65 10/10/2007 4/10/2008

Southern Cross Television (Tnt9) Pty Ltd TV East Devonport 613.625 40 19/6/2008 30/7/2009

Tasmanian Digital Television TV East Devonport 585.625 36 19/6/2008 20/11/2011

Print Handicapped Radio of ACT Inc. Radio Wagga Wagga 89.5 N/A 11/2/2008 10/2/2013

NBN Ltd TV Tamworth 753.5 60 3/3/2008 2/3/2009

Charles Darwin University Radio Jabiru 96.5 N/A 25/2/2008 24/2/2013

Darwin Digital Television Pty Limited TV Darwin 564.625 33 19/3/2008 18/3/2013

Tasmanian Digital Television Pty Ltd Acton Road 690.5 51 4/4/2008 2/4/2009

108 ACMA ANNUAL REPORT 2007–08 _ pp g

Table 49: Community television licences allocated, 2007–08

General area State served Date applications sought Decision date Frequency (MHz) Licensee Pilbara and Kimberley Aboriginal Media WA Beagle Bay 16/8/2007 26/9/2007 793.25/66 (Aboriginal Corporation)

QLD Doomadgee 15/4/2008 14/5/2008 772.25/63 Doomadgee Aboriginal Shire Council

Table 50: Special events, 2007–08 Frequency Medium Location Applicant (MHz)/channel Start date End date Australian Capital Territory

Radio Canberra I & J & R Ozerskis/ACT PA Hire 99.1 20/2/2008 24/2/2008

Radio Canberra (SE) Street Machine Services Pty Ltd 99.1 2/1/2008 6/1/2008

Radio Mount Stromlo Guz Box Design & Audio 99.5 27/1/2008 1/9/2008

Radio Mount Stromlo Guz Box Design & Audio 99.5 10/10/2008 12/10/2008

Radio Mount Stromlo Guz Box Design & Audio 99.5 20/1/2009 26/1/2009

Radio Canberra Australian Muslim Voice 103.1 23/8/2008 20/9/2008

Radio Canberra Watchtower Bible and Tract Society of Australia 99.5 17/7/2008 20/7/2008

Radio Canberra Australian Muslim Voice 103.1 21/9/2008 10/10/2008

New South Wales

Radio Sydney Islamic Radio and Communication Limited 90.9 12/9/2007 30/9/2007

Radio Sydney Islamic Radio and Communication Limited 90.9 1/10/2007 15/10/2007

Radio Newcastle Octapod Association 97.9 20/9/2007 2/10/2007

Radio Mittagong Purvis, Jonathan 90.9 15/11/2007 17/11/2007

Radio Byron Bay Get Real Media Pty Ltd 93.5 17/11/2007 3/12/2007

Radio Tamworth Agricultural Publishers Pty Limited 101.5 16/1/2008 27/1/2008

Radio Sydney Islamic Radio and Communication Limited 90.9 30/11/2007 27/12/2007

Radio Sydney China Radio Network Pty Ltd 91.5 31/1/2008 24/2/2008

Radio Sydney Fusion Austalia Ltd 90.9 23/3/2008 23/3/2008

Radio Sydney University of Sydney Union 90.9 1/3/2008 23/3/2008

Radio Sydney Watchtower Bible and Tract Society of Australia 90.9 24/2/2008 24/2/2008

Radio Sydney Royal Agricultural Society of NSW 107.9 19/3/2008 2/4/2008

Radio Gosford (SE) Radio Yesteryear Inc 95.7 5/5/2008 11/5/2008

TV Sydney Western Sydney International Dragway Ltd 757 2/5/2008 4/5/2008

Radio Sydney City SE Epic Attractions Pty Ltd 90.9 22/5/2008 26/5/2008

Radio Sydney Lateral Linking Broadcast Pty Ltd 90.7 11/6/2008 15/6/2008

Radio Sydney Lateral Linking Broadcast Pty Ltd 91.5 11/6/2008 15/6/2008

Radio Sydney Lateral Linking Broadcast Pty Ltd 107.9 11/6/2008 15/6/2008

Radio St Albans Shahzada 400 Incorporated 90.9 20/8/2008 31/8/2008

Radio Sydney (SE) China Radio Network Pty Ltd 91.5 16/8/2008 14/9/2008

Radio Sydney Lateral Linking Broadcast Pty Ltd 89.5 11/6/2008 15/6/2008

Radio Sydney WYD 2008 89.3 30/6/2008 22/7/2008

Radio Sydney WYD 2008 106.9 30/6/2008 22/7/2008

Radio Sydney WYD 2008 107.9 30/6/2008 22/7/2008

Continued/...

ACMA ANNUAL REPORT 2007–08 109 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 110

Continued from previous page Frequency Medium Location Applicant (MHz)/channel Start date End date Radio Sydney WYD 2008 90.9 30/6/2008 22/7/2008

Radio Sydney WYD 2008 91.5 30/6/2008 22/7/2008

Radio Sydney WYD 2008 102.1 30/6/2008 22/7/2008

Radio Sydney WYD 2008 103.7 30/6/2008 22/7/2008

Radio Sydney WYD 2008 106.1 30/6/2008 22/7/2008

Radio Tamworth Watchtower Bible and Tract Society of Australia 101.5 24/7/2008 27/7/2008

Radio Sydney Watchtower Bible and Tract Society of Australia 90.9 31/7/2008 3/8/2008

Radio Mudgee (SE) Bicycle Institute of Victoria 103.7 2/4/2008 4/4/2008

Radio Cassillis (SE) Bicycle Institute of Victoria 103.7 4/4/2008 5/4/2008

Radio Scone (SE) Bicycle Institute of Victoria 103.7 5/4/2008 6/4/2008

Radio Denman (SE) Bicycle Institute of Victoria 107.9 6/4/2008 7/4/2008

Radio Singleton (SE) Bicycle Institute of Victoria 107.9 7/4/2008 9/4/2008

Radio Mortpeth (SE) Bicycle Institute of Victoria 107.9 9/4/2008 10/4/2008

Radio Stockton (SE) Bicycle Institute of Victoria 107.9 10/4/2008 10/4/2008

Radio Lithgow (SE) Bicycle Institute of Victoria 103.7 28/3/2008 30/3/2008

Northern Territory

Radio Darwin Watchtower Bible and Tract Society of Australia 96.1 11/9/2008 14/9/2008

Queensland

Radio Townsville Watchtower Bible and Tract Society of Australia 107.9 31/7/2008 3/8/2008

Radio Brisbane Watchtower Bible and Tract Society of Australia 91.5 7/8/2008 17/8/2008

Radio Gold Coast The Cancer Council Queensland 107.9 31/5/2008 1/6/2008

Radio Kooralbyn Harvan Electrical Pty Ltd 106.5 19/4/2008 21/4/2008

Radio Townsville (SE) The Cancer Council Queensland 93.5 17/5/2008 18/5/2008

Radio Wyndham Boyne Tannum Hook Up Assoc Inc 103.9 6/6/2008 8/6/2008

Radio Gracemere Paradise Lagoons Campdraft Pty Ltd 88.5 18/7/2008 20/7/2008

Radio Gracemere Paradise Lagoons Campdraft Pty Ltd 91.7 18/7/2008 20/7/2008

South Australia

Radio Adelaide Watchtower Bible and Tract Society of Australia 94.3 21/8/2008 24/8/2008

TV Murray Bridge Bob's Sound Systems Pty Ltd 681.25/50 11/9/2007 17/9/2007

Radio Adelaide South Australian Motorsport Board Pty Ltd 94.3 20/2/2008 24/2/2008

TV Edinburgh Bob's Sound Systems Pty Ltd 681.25/50 23/10/2007 30/10/2007 West Beach Kuca Radio Camp (SE) Uniting Church in Australia 94.3 11/4/2008 13/4/2008 Tasmania

Radio Deloraine Rotary Club of Deloraine 89.5 2/11/2007 5/11/2007

Radio Hobart Watchtower Bible and Tract Society of Australia 94.9 24/7/2008 27/7/2008

Radio Burnie Burnie Ten Inc 96.1 18/10/2008 20/10/2008

Victoria

Radio Wonthaggi Bicycle Institute of Victoria 94.7 24/11/2007 25/11/2007

Radio Foster Bicycle Institute of Victoria 94.7 25/11/2007 27/11/2007

Radio Yinnar Bicycle Institute of Victoria 94.7 27/11/2007 28/11/2007

Radio Rawson Bicycle Institute of Victoria 94.7 28/11/2007 29/11/2007

Radio Maffra Bicycle Institute of Victoria 94.7 29/11/2007 30/11/2007

Radio Paynesville Bicycle Institute of Victoria 94.7 30/11/2007 1/12/2007

Radio Buchan Bicycle Institute of Victoria 94.7 1 /12/2007 2/12/2007

Radio Melbourne Pvi Collective 94.5 3/9/2007 29/9/2007

TV Philip Island Motor Race Circuit (SE) Australian Grand Prix Corporation 800.25/67 8/10/2007 17/10/2007

Continued/...

110 ACMA ANNUAL REPORT 2007–08 _ pp g

Continued from previous page Frequency Medium Location Applicant (MHz)/channel Start date End date Radio Natimuk Loewendahl, Anna 97.7 29/10/2007 4/11/2007

Radio Mildura Mildura Country Music Festival Inc 92.3 26/9/2007 8/10/2007

Radio Mildura Mildura District & Returned Ex-Servicemen's Agricultural & Horticultural Soc. Inc. 92.3 15/10/2007 22/10/2007 Radio Mildura Mildura River City Jazz Club 92.3 1/11/2007 6/11/2007

Radio Melbourne Rod Laver Arena (SE) Lawn Tennis Association of Australia Limited 99.7 9/1/2008 28/1/2008 Radio Lorne Ashlorien Management Pty Ltd 97.5 29/12/2007 1/1/2008

Radio Colac Otway FM Community Radio Group Inc 104.7 12/10/2007 12/10/2007

Radio Melbourne (SE) City of Melbourne 99.7 26/12/2007 2/1/2008

Radio Melbourne (SE) Australian Grand Prix Corporation 99.7 10/3/2008 17/3/2008

TV Melbourne (SE) Charter Broadcast Pty Ltd 704.5/53 6/1/2008 28/1/2008

Radio Oberon (SE) Bicycle Institute of Victoria 103.7 30/3/2008 31/3/2008

Radio Portland (SE) Bicycle Institute of Victoria 103.7 31/3/2008 1/4/2008

Radio Rylstone (SE) Bicycle Institute of Victoria 103.7 1/4/2008 2/4/2008

TV Melbourne - Albert Park Raceway (SE) Kangaroo TV Europe Pty Ltd 802.5/67 12/3/2008 17/3/2008 Radio Anglesea (SE) Scouts Australia - Geelong Rivers District 91.3 21/3/2008 24/3/2008

Radio Bendigo Watchtower Bible and Tract Society of Australia 95.1 10/7/2008 13/7/2008

Radio Melbourne Watchtower Bible and Tract Society of Australia 99.7 28/8/2008 31/8/2008

Radio Lardner Youth Vision Victoria 91.1 6/6/2008 8/6/2008

Radio Caveat Scout Association of Australia (Victorian Branch) 94.9 4/6/2008 13/6/2008

Radio Sandown Park International Management Group of America Pty Limited/Mccall Communications 99.7 7/6/2008 9/6/2008 TV Phillip Island Australian Grand Prix Corporation 800.25/67 29/9/2008 8/10/2008

Radio Melbourne (SE) Bill Yardley Enterprises Pty Ltd 96.1 10/9/2008 30/9/2008

Radio Meadow Heights Australian Muslim Media Inc 99.7 25/8/2008 20/9/2008

Radio Meadow Heights Australian Muslim Media Inc 99.7 25/2/2008 20/9/2008

Western Australia

Radio Perth Watchtower Bible and Tract Society of Australia 106.5 17/7/2008 20/7/2008

Radio Bentley (SE) Curtin University of Technology/Palis Sound & Lightning 106.5 25/8/2007 26/8/2007

Radio Newdegate Palis Sound & Lighting 93.1 4/9/2007 6/9/2007

Radio Perth Western Australian Yachting Foundation 106.5 4/2/2008 7/2/2008

Radio Perth Australian Film Television & Radio School 89.1 30/8/2007 31/8/2007

Radio Perth Palis Sound & Lighting 106.5 31/10/2007 4/11/2007

Radio Perth Palis Sound & Lighting 88.9 31/10/2007 4/11/2007

Radio Pemberton Palis Sound & Lighting 104.3 27/10/2007 28/10/2007

Radio Fremantle Freemantle Sailing Club Inc 89.1 24/11/2007 25/11/2007

Radio Fremantle Freemantle Sailing Club Inc 89.1 31/12/2007 1/1/2008

Radio Dalyellup Palis Sound & Lighting 94.9 5/12/2007 5/12/2007

Radio Brighton Palis Sound & Lighting 104.1 2/12/2007 2/12/2007

Radio Maida Vale Uniting Church In Australia 89.1 5/4/2008 6/4/2008

Radio Perth (SE) Cancer Council of Western Australia (Inc) 88.9 29/3/2008 30/3/2008

Radio Albany Cancer Council of Western Australia (Inc) 103.3 15/3/2008 16/3/2008

Radio Maida Vale Seventh-Day Adventist Church WA Conference 89.1 18/3/2008 25/3/2008

TV Maida Vale Seventh-Day Adventist Church WA Conference 632.25/43 18/3/2008 25/3/2008

Radio Perth Palis Sound & Lighting 104.1 29/10/2008 2/11/2008

Radio Perth Palis Sound & Lighting 88.9 29/10/2008 2/11/2008

Radio Bentley (SE) Palis Sound & Lighting 106.5 16/8/2008 17/8/2008

Radio Newdegate Palis Sound & Lighting 93.1 2/9/2008 4/9/2008

ACMA ANNUAL REPORT 2007–08 111 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 112

Appendix 6: Programs and content

Table 51: Programs granted children’s or preschool classification, 2007–08

Program title Style Type Origin Applicant

Children’s—C

Backyard Science (series 3, episodes 1-26) Live action Light Entertainment - Magazine Australia Beyond Productions Pty Ltd

Groovedelicious (series 2, episodes 1-13) Live action Light Entertainment - Magazine Australia Groovedelicious Pty Ltd Light Entertainment - It's Academic (series 6, episodes 1-65) Live action Australia Seven Network (Operations) Limited Competition/Game Show Light Entertainment - It's Academic (series 7, episodes 1-65) Live action Australia Seven Network (Operations) Limited Competition/Game Show Live action/ Light Entertainment - Sharky's Friends (series 2, episodes 1-65) Australia Ambience Entertainment Pty Ltd Puppetry Competition/Game Show Live action/ Light Entertainment - Sharky's Friends (series 3, episodes 1-65) Australia Ambience Entertainment Pty Ltd Puppetry Competition/Game Show The Shak (series 5, episodes 226-330) Live action Light Entertainment - Magazine Australia Nine Network Australia Pty Ltd

The Shak (series 6, episodes 331-395 ) Live action Light Entertainment - Magazine Australia Nine Network Australia Pty Ltd The Toothbrush Family Animation Drama - Series Australia Southern Star Entertainment Pty Ltd (series 1, episodes 1-26 ) Totally Wild (series 17) Live action Light Entertainment - Magazine Australia Network Ten Pty Ltd

Totally Wild (series 16, episodes 1–180) Live action Light Entertainment - Magazine Australia Network Ten Pty Ltd

Provisional—PRC

As The Bell Rings (series 1, episodes 1-40) Live action Drama - Series Australia Fremantle Media Pty Ltd Dennis and Gnasher Animation Drama - Series Australia Sticky Pictures Pty Ltd (series 1, episodes 1-52) Dex Hamilton - Alien Entomologist Animation Drama - Series Australia SLR Productions Pty Ltd (series 1, episodes 101-126 ) Enyo (series 1, episodes 1-26) Animation Drama - Series Australia Avrill Stark Entertainment

For Kids (series 1, episodes 1-26) Live action Light Entertainment - Magazine Australia Total Perception Pty Ltd

Groovedelicious (series 2, episodes 1-13) Live action Light Entertainment - Magazine Australia Groovedelicious Pty Ltd Light Entertainment ­ Head of the Class (series 1, episodes 1-130) Live action Australia Hogg Enterprises Pty Ltd Competition/Game Show Kids Top 20 (series 1, episodes 1-40) Live action Light Entertainment - Variety Australia The Creative Farm Pty Ltd Light Entertainment ­ Lab Rats (series 1, episodes 1-65) Live action Australia Pacific & Beyond Pty Ltd Competition/Game Show Li'l Larikkins (series 1, episodes 1-52) Animation Drama - Series Australia Ettamogah Entertainment

Pearlie (series 1, episodes 1-52) Animation Drama - Series Australia Sticky Pictures Pty Ltd

Pixel Pinkie (series 2, episodes 1-26) Animation Drama - Series Australia Blue Rocket Productions Pty Ltd

Rob the Robot (series 1, episodes 1-26) Animation Drama - Series Australia Mini Studios Pty Ltd

Sally Bollywood - Super Detective Animation Drama - Series Australia Trackdown Digital Pty Ltd The Adventures of Charlotte and Henry Animation Drama - Series Australia Mammal Pty Ltd (series 1, episodes 1-26) The Adventures of Charlotte and Animation Drama - Telemovie (TV) Australia Mammal Pty Ltd Henry - 'The Shortest Day' The Saddle Club (series 3, episodes 1-26) Live action Drama - Series Australia Crawford Productions Pty Ltd

Timehackers (series 1, episodes 1-13) Live action Drama - Series Australia Taylor Media Pty Ltd

Trapped (series 1, episodes 1-26) Live action Drama - Series Australia Northway Productions Pty Ltd

Wakkaville (series 1, episodes 1-26) Animation Drama - Series Australia Ettamogah Entertainment

Zeke's Pad (series 1, episodes 101-126) Animation Drama - Series Australia Avrill Stark Entertainment

Zoomers (series 1, episodes 1-26) Animation Drama - Series Australia Pacific & Beyond Pty Ltd

Continued/...

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Continued from previous page

Preschool—P

All For Kids (series 1, episodes 1-40) Live action Light Entertainment - Magazine Australia Gravity Media Pty Ltd

For Kids (series 1, episodes 1-26) Live action Light Entertainment - Magazine Australia Gravity TV

For Kids (series 1, episodes 27-40) Live action Light Entertainment - Magazine Australia Gravity TV Here's Humphrey Live action/Animation Light Entertainment - Variety Australia Banksia Productions Pty Ltd (series 7, episodes 701-760) Hi-5 (series 10, episodes 1-45) Live action/Puppetry Light Entertainment - Magazine Australia Hi-5 Operations Pty Ltd How 2 with the Hooley Dooleys Live action/ Light Entertainment - Music Australia Melissa Stephens-Gaha (series 1, episodes 1-26) Animation/Puppetry Puzzle Play (series 2, episodes 1-180) Live action/Animation Light Entertainment - Variety Australia Network Ten Pty Ltd Live action/ Raggs (series 3, episodes 131-195) Light Entertainment - Variety Australia Southern Star Entertainment Pty Ltd Animation/Puppetry Provisional—PRP

For Kids (series 1, episodes 1-26) Live action Light Entertainment - Magazine Australia Gravity TV ZOKKY the Kangaroo Live action/Puppetry Drama - Series Australia Instinct Entertainment (series 1, episodes 1-12) Australian children's drama—CD

Animalia (series 1, episodes 21-30 ) Animation Drama - Series Australia Animalia Productions Pty Limited

Animalia (series 1, episodes 31-40 ) Animation Drama - Series Australia Animalia Productions Pty Limited

As The Bell Rings (series 1, episodes 1-40) Live action Drama - Series Australia Fremantle Media Pty Ltd

Don't Blame Me (series 1, episodes 1-26 ) Live action Drama - Series Australia Southern Star Entertainment Pty Ltd Master Raindrop Animation Drama - Series Australia Flying Bark Productions Pty Ltd (series 1, episodes 101-126) Pixel Pinkie (series 1, episodes 1A-7A ) Animation Drama - Series Australia Blue Rocket Productions Pty Ltd

Pixel Pinkie (series 1, episodes 7B-13B ) Animation Drama - Series Australia Blue Rocket Productions Pty Ltd

Sea Princesses (series 2, episodes 27-52) Animation Drama - Series Australia Southern Star Entertainment Pty Ltd

Sumo Mouse (series 1, episodes 1-13) Animation Drama - Series Australia Sumo Mouse Productions Pty Ltd The Elephant Princess Live action Drama - Series Australia Jonathan M Shiff Productions Pty Ltd (series 1, episodes 1-8) The Elephant Princess Live action Drama - Series Australia Jonathan M Shiff Productions Pty Ltd (series 1, episodes 16-26) The Elephant Princess Live action Drama - Series Australia Jonathan M Shiff Productions Pty Ltd (series 1, episodes 1-15) The Saddle Club (series 3, episodes 1-13) Live action Drama - Series Australia Crawford Productions Pty Ltd

The Saddle Club (series 3, episodes 14-26) Live action Drama - Series Australia Crawford Productions Pty Ltd

Snake Tales (series 1, episodes 1-13) Live action Drama - Series Australia Westside Film & Television Pty Ltd

Zeke's Pad (series 1, episodes 1-12 &14) Animation Drama - Series Australia Avrill Stark Entertainment

g2g (series 1, episodes 14-26) Animation Drama - Series Australia g2g Productions Unit Trust

Table 52: Children’s television consultants, 2007–08 Name Expertise

Donna Andrews Child development/Production

John Armstrong Production

Dina Browne Production

Robert Greenberg Production/Script writer/Script editor

Alan Hardy Production

Simon Hopkinson Production/Script writer/Script editor

Stephen Measday Production/Script writer/Script editor

Fiona Mitchell Child development

Susan Roberts Child development

Jenny Tosi Child development/Production

ACMA ANNUAL REPORT 2007–08 113 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 114

Appendix 7: Broadcasting investigations outcomes

Table 53: ACMA investigations 1 July 2007 to 30 June 2008 Breach findings Code/licence condition Callsign Program name Substance of complaint applicable to breach finding

COMMERCIAL TELEVISION

New South Wales

Detailed depiction of suicide; no warnings Depiction of suicide; TCN Sydney 60 Minutes provided provision of warnings

Captioning of The Simpsons was The Simpsons, House such that the program would have TEN Sydney Poor quality of captioning and NCIS been incomprehensible to the deaf and hearing impaired*

Queensland

Comedy Inc - Comedy skit ridiculed people with learning QTQ Brisbane Complaints handling The Late Shift disabilities

Failure to present factual material A series of broadcasts were inaccurate and accurately and represent viewpoints QTQ Brisbane A Current Affair unfair; factual errors not corrected; complaint fairly (6 breaches); significant errors of not responded to fact not corrected (5 breaches)

QTQ Brisbane Holy Smoke (film) Sex scenes, nudity and coarse language M Classification - sex scenes

Tasmania

Use of material relating to a person's personal or private affairs without an TNT Invasion of privacy; information about a child identifiable public interest reason; failure Tasmania Today Tonight used without parental consent to exercise special care before using material relating to a child's personal or private affairs

Victoria

Comments relating to Israel and neighbouring ATV Melbourne Kenneth Copeland countries vilified groups on the basis of race, Complaints handling ethnicity and religion; complaints handling

No election advertisements to be Election advertisement broadcast during ATV Melbourne Election advertisement broadcast during ‘relevant’ or ‘blackout’ ‘blackout’ period period*

Advertisement for ATV Melbourne Advertisement broadcast during ‘C’ time Children’s Television Standards 2005* Nestle Milo cereal

Report contained factually inaccurate statements Failure to present factual material GTV Melbourne A Current Affair regarding child support payments; complaint not accurately and represent viewpoints responded to fairly; complaints handling

Bert's Family Feud GTV Melbourne Inappropriate sexual references in G program Complaints handling (27/06/07) Bert's Family Feud GTV Melbourne Inappropriate sexual references in G program Complaints handling (30/06/07) Bert's Family Feud GTV Melbourne Inappropriate sexual references in a G program Complaints handling (date not specified) M Classification - GTV Melbourne Outrageous Fortune Sex scene involving a minor sex and nudity, adult themes Report contained inaccurate and misleading GTV Melbourne A Current Affair Fair representation of viewpoints material

Home and Away Pole dancing scene inappropriate for G program HSV Melbourne (23/03/07) G Classification - sex and nudity

Home and Away P HSV Melbourne (26/03/07) ole dancing scene inappropriate for G program G Classification - sex and nudity

Home and Away HSV Melbourne (21/02/07) Inappropriate sexual references in G program G Classification - sex and nudity

Continued/...

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Closing credits of a program broadcast in ‘P’ time HSV Melbourne The Fairies Children’s Television Standards 2005* included an advertisement

Time limits on responding HSV Melbourne Channel Seven News Report depicted suicide as glamorous to written complaints

Western Australia

Inappropriate material for a G time zone; STW Perth National Nine News Break Complaints handling complaint not responded to

TVW Perth Zoo Magazine advertisement Inappropriate sexual references Complaints handling

COMMERCIAL RADIO

New South Wales

Inappropriate use of language; complaint not 2GB Sydney Overnight with Jim Ball Complaints handling responded to Commercial Radio Current Affairs Commercial agreement between announcer and Disclosure Standard 2000; Co 2UE Sydney The John Laws Show third party was not disclosed on-air mmercial Radio Compliance Program Standard 2000*

Victoria

Inciting racial and religious hatred; inaccurate 3AW Melbourne Sunday Morning Complaints handling comment re David Hicks

COMMUNITY RADIO

New South Wales

2CCR Parramatta Radio Mirchi Broadcasting advertisements Broadcasting advertisements*

Licensee is not a suitable licensee, does not 2EAR Moruya represent community interest and is not Encouraging community participation* encouraging participation

Not representing community interest; not 2EAR Moruya Encouraging community participation* encouraging participation

Not representing community interest; not 2GLF Liverpool Encouraging community participation* encouraging participation

Announcers not disclosing personal interests; 2MCR Campbelltown sponsorship announcements not ‘tagged’; lack of sponsorship guidelines; complaint not Complaints handling responded to

2SWR Blacktown Punjabi Broadcasting advertisements Broadcasting advertisements*

Northern Territory

Not accepting membership applications; change 8KNB Darwin Encouraging community participation* to community of interest

Queensland

Broadcasting advertisements and Broadcasting advertisements; broadcasting 4DDB Toowoomba broadcasting more than five minutes of excessive sponsorship announcements sponsorship announcements per hour*

Home Grown All Announcements broadcast without the required 4RED Redcliffe Broadcasting advertisements* Aussie Show sponsorship tags

Not representing community interest; Broadcasting advertisements and 4TTT Townsville broadcasting advertisements; broadcasting broadcasting more than five minutes of excessive sponsorship announcements sponsorship announcements per hour*

Victoria

Broadcasting advertisements and broadcasting 3BBB Ballarat Broadcasting advertisements* excessive sponsorship announcements

3RIM Melton Not encouraging community participation Encouraging community participation*

Not representing the community interest; not 3RIM Melton Encouraging community participation* encouraging community participation

3SER Melbourne Broadcast contained advertisements Advertising*

Continued/...

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Continued from previous page

Western Australia

Broadcasting excessive sponsorship Broadcasting more than five minutes of 6NR Perth announcements sponsorship announcements per hour*

Broadcasting advertisements and Broadcasting advertisement and broadcasting 6NR Perth broadcasting more than five minutes of excessive sponsorship announcements sponsorship announcements per hour*

Amount of Australian music broadcast; Groove FM has not complied with additional amount of announcements inviting licence conditions imposed on 1/5/2006 re 6YMS Perth listeners to become members; no Australian music content, talk programming announcements inviting listeners to take and invitations to participate part in talk programs*

TEMPORARY COMMUNITY RADIO

New South Wales

BFM Bankstown Radio Dosti Broadcasting advertisements Broadcasting advertisements*

Broadcasting more than five minutes of 2YYY Young Broadcasting advertisements sponsorship announcements per hour*

COMMUNITY TELEVISION

South Australia

C31 Adelaide Complaints handling Complaints handling

SBS TELEVISION

SBS Perth Obscene Machines Inappropriate sexual material MA Classification - sex and nudity

OPEN NARROWCAST RADIO

Western Australia

Providing a commercial broadcasting FLY FM Albany Providing a commercial broadcasting service service without the appropriate licence*

All breaches were of a code of practice unless otherwise indicated: *Breach of a licence condition or the Broadcasting Services Act 1992

Table 54: ACMA investigations 1 July 2007 to 30 June 2008 Non-breach findings

Code/licence condition Callsign Program name Substance of complaint applicable to non-breach finding

COMMERCIAL TELEVISION

New South Wales

Offensive comments Provoking intense dislike on the basis of ATN Sydney Sunrise regarding Muslims religion

ATN Sydney Kath and Kim Inappropriate language PG Classification - language

Presenting factual material accurately Report was factually inaccurate, did not represent ATN Sydney Today Tonight and representing viewpoints fairly; viewpoints fairly and invaded an individual’s privacy privacy

Presenting factual material accurately; unfair identification of a person or Report was factually inaccurate and unfairly ATN Sydney Today Tonight business when commenting on the identified a business behaviour of a group of persons or businesses

The Pussycat Dolls CTC Southern NSW Present the Search for Inappropriate sexual references M Classification - sex the Next Doll

Continued/...

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Inappropriate sexual material; MA Classification – sex and nudity, CTC Southern NSW Californication – Episode 1 coarse language, nudity and themes language, themes; proscribed material

Inappropriate sexual material; MA Classification – sex and nudity, CTC Southern NSW Californication – Episode 2 coarse language, nudity and themes language, themes; proscribed material

NBN Northern NSW NBN News Alleged failure of NBN to caption news Captioning*

Classification of current affairs NBN Northern NSW 60 Minutes Inappropriate language for timeslot programs

Inappropriate language for a PG NRN Northern NSW The Biggest Loser PG Classification – language program

Inappropriate sexual material; MA Classification – sex and nudity, NRN Northern NSW Californication – Episode 2 coarse language, nudity and themes language, themes; proscribed material

Excessive advertising and complaints TCN Sydney Fresh Advertising and complaints handling handling

TCN Sydney A Current Affair Poor quality of captioning Captioning*

TEN Sydney Torchwood program promotion Inappropriate nudity G Classification - nudity

M Classification – sex and nudity, Inappropriate content for promotion TEN Sydney Californication program promotion promotions for programs classified broadcast during M time zone MA; proscribed material

Inappropriate themes and sexual MA Classification – sex and nudity, TEN Sydney Californication – Episode 1 material language, themes; proscribed material

MA Classification – sex and nudity, Inappropriate sexual material; TEN Sydney Californication – Episode 2 language, themes, drug use; proscribed coarse language and nudity material

Inappropriate material for broadcast; MA Classification – sex and nudity, TEN Sydney Californication – Episode 5 offensive depiction of clergy language, themes; proscribed material

Inappropriate sexual material, MA Classification – sex and nudity, TEN Sydney Californication – Episode 6 language and themes language, themes

Inappropriate sexual material, MA Classification – sex and nudity, TEN Sydney Californication – Episode 7 language and themes language, themes; proscribed material

MA Classification – sex and nudity, Inappropriate sexual material, TEN Sydney Californication – Episode 8 language, themes, drug use; proscribed language and themes material

WIN Southern NSW 20 to 1 Inappropriate themes PG Classification - themes

Segment was factually inaccurate, Factual accuracy; fair representation of did not represent viewpoints fairly viewpoints; discrimination on the basis WIN Southern NSW A Current Affair and discriminated on the basis of of race; correction of significant errors; race; significant errors not corrected; complaints handling complaint not responded to

Queensland

BTQ Brisbane Today Tonight Privacy invaded during interview Privacy

QTQ Brisbane A Current Affair Poor quality of captioning Captioning*

A child was visually identified and his Privacy; exercising special care when RTQ Regional Queensland A Current Affair privacy invaded identifying children

STQ Regional Queensland Serious Crash Unit Report ridiculed the elderly Severe ridicule on the basis of age

TVQ Brisbane Mean Girls film Inappropriate language PG Classification - language

TVQ Brisbane The OC promotion Inappropriate sexual references G Classification - sex

TVQ Brisbane Channel Ten News Poor quality of captioning Captioning*

MA Classification – sex and nudity, TVQ Brisbane Californication – Episode 1 Inappropriate sexual material language, themes; proscribed material

Continued/...

ACMA ANNUAL REPORT 2007–08 117 _ pp g

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South Australia

Inappropriate language; severe MA Classification – sex and nudity, ADS Adelaide Californication – Episode 1 ridicule of the Christian faith language, themes; proscribed material Inappropriate language, sexual MA Classification – sex and nudity, ADS Adelaide Californication – Episode 2 material and adult themes; severe language, themes, drug use; proscribed ridicule of the Christian faith material Inappropriate language and MA Classification – sex and nudity, ADS Adelaide Californication – Episode 3 sexual material language, themes

Advertisement for An advertisement breached the NWS Adelaide Children’s Television Standards 2005* Smith’s potato chips Children’s Television Standards 2005

NWS Adelaide Program promotions; ER program promotion Inappropriate sex scene G Classification - sex

Tasmania Medium, Law & Order (SVU) TDT Tasmania Poor quality of captioning Captioning* and Law & Order (Criminal Intent) TVT Regional Tasmania News Inaccuracies in story about firearms Factual accuracy

Victoria

Numb3rs, The Simpsons, NCIS, ATV Melbourne Law & Order (SVU), Law & Order Poor quality of captioning Captioning* (Criminal Intent) and House MA Classification – sex and nudity, ATV Melbourne Californication – Episode 1 Unsuitable for MA classification language, themes; proscribed material MA Classification – sex and nudity, Inappropriate language, sexual ATV Melbourne Californication – Episode 2 language, themes, drug use; proscribed material and themes material Inappropriate language, sexual MA Classification – sex and nudity, ATV Melbourne Californication – Episode 3 material and themes language, themes Inappropriate sexual material, MA Classification – sex and nudity, ATV Melbourne Californication – Episode 5 language and themes language, themes; proscribed material Inappropriate advertisement during a PG Classification – sex and nudity; ATV Melbourne Sexpo advertisement PG program placement of commercials

GLV Eastern Victoria House and Medium Poor quality of captioning Captioning*

Penn & Teller’s Bullshit!: Program vilified and ridiculed GTV Melbourne Proscribed material Signs From Heaven Christians No consumer advice warning for HSV Melbourne Leprechaun 4: Space Platoon Consumer advice for certain programs coarse language.

Western Australia

An advertisement for a telephone sex- Advertisement relating to products of NEW Perth SMS Flirt Chat advertisement line was broadcast during the Spanish a particularly intimate nature Formula One Grand Prix Neighbours, House, NEW Perth Poor quality of captioning Captioning* NCIS and Medium

COMMERCIAL RADIO

New South Wales

Advertisement of a sexual nature broadcast when children were likely Contemporary standards of decency; 2AD Armidale to be listening; complaint not complaints handling responded to

Offensive material and gratuitous Contemporary standards of decency; 2UE Sydney The John Laws Show bad language was broadcast; avoidance of gratuitously offensive complaint not responded to language; complaints handling

Queensland

A segment ridiculed children and Standards of decency/regard for likely 4BBB Brisbane The Morning Crew there was a lack of regard for the characteristics of audience likely characteristics of the audience Commercial agreement between Commercial Radio Current Affairs 4EL Cairns Mornings With John MacKenzie announcer and third party was not Disclosure Standard 2000* disclosed South Australia

A discussion between the presenter 5MMM Adelaide Whispering David Howard Vilification and a caller included racist remarks

Continued/...

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COMMUNITY RADIO

New South Wales

2BCR Bankstown Punjabi Preetlari Broadcasting advertisements Advertising*

2CCR Parramatta Radio Mirchi Broadcasting advertisements Advertising* Licensee broadcast more than 2GLF Liverpool Radio Lehren five minutes per hour of sponsorship Excessive sponsorship announcements* announcements Licensee was not representing community interest, was Representing community interest, broadcasting advertisements and did encouraging participation, 2HHH Hornsby not give all candidates the advertisements, keeping records of opportunity to be on-air before the broadcast matter* NSW state election Programming decisions made Encouraging community 2WAY Port Macquarie without input from presenters or participation*; sponsorship policy volunteers Not representing the community Representing the community interest; 2YOU Tamworth interest; not encouraging encouraging community participation* community participation

Station run by three people; 2YOU Tamworth rejecting membership applications; Encouraging community participation* not involving the community

Queensland Not encouraging community 4RED Redcliffe Encouraging community participation* participation South Australia

Not encouraging participation; not Encouraging community representing the community interest; participation*; representing the 5EBI Adelaide Ethiopian Amharic Language inciting hatred on the basis of community*; inciting hatred on the ethnicity and religion basis of ethnicity and religion

Request for documents was Principles of democracy, diversity and 5TRX Port Pirie not followed through in independence; volunteering guidelines; accordance with Code complaints handling

Tasmania

Record of broadcast 7TFM Georgetown Breakfast Show Retention of broadcast matter* matter not retained

COMMUNITY TELEVISION

New South Wales

Not a suitable licensee; not representing the community Suitability; representing the community TSN31 Sydney interest; encouraging community interest; not encouraging participation* community participation

ABC RADIO

New South Wales

Offensive language; no response to 2JJJ Sydney This Sporting Life Language; complaints handling written complaint

2RN Sydney PM Factual inaccuracies during interview Accuracy and impartiality

Queensland

Inappropriate content and language Use of language; treatment of sex and 4JJJ Brisbane Hack of a sexual nature sexuality

Discussion on community issues 4QR Brisbane Mornings With Madonna King Balance and impartiality lacked balance

South Australia

5AN Adelaide Summer All Over Inappropriate language Language

Continued/...

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ABC TELEVISION

New South Wales

ABN Sydney Sideshow with Paul McDermott Coarse language Language

Queensland

Program was unbalanced and not ABQ Brisbane Four Corners Balance and impartiality impartial

ABQ Brisbane The Chaser’s War on Everything Inappropriate coarse language M Classification - language

South Australia

Segment biased and not impartial; ABS Adelaide 7.30 Report Impartiality; complaints handling complaint not responded to

ABS Adelaide Angelmouse Program promoted Christianity Religious content

Lack of impartiality and of Accuracy and impartiality ABS Adelaide ABC News accuracy in news programs

Lack of impartiality and of Accuracy and impartiality ABS Adelaide ABC News accuracy in news programs

Victoria

Program about evolution was not ABV Melbourne Compass Impartiality impartial

Western Australia

Three-part program contained ABW Perth Australian Story factual inaccuracies and lacked Accuracy; balance and impartiality balance and impartiality

SBS TELEVISION

New South Wales

Program contained content that MA Classification – sex and SBS TV Sydney South Park exceeded the MA classification nudity, themes

Item on Beijing bakers putting SBS TV Sydney World News Australia cardboard in their steam buns was Impartiality and accuracy prejudiced and partial

Northern Territory

News item was prejudiced and SBS Darwin World News Australia Accuracy; balance and impartiality partial

SUBSCRIPTION TELEVISION

Music video clip contained Channel V Music video clip MA Classification – sex and nudity inappropriate sexual behaviour

Note: All breaches were of a code of practice, unless otherwise indicated * Breach of a licence condition or the Broadcasting Services Act 1992

120 ACMA ANNUAL REPORT 2007–08 Appendix 8: Freedom of information SECTION 8 STATEMENT Documents accessible through FOI processes The Freedom of Information Act 1982 (FOI Act) creates Records are held by ACMA in various forms, including a right to access information in the possession of paper files, audiovisual recordings and computer media. Commonwealth Government agencies by making Files are maintained on topics relating to the functions information available about their organisation, functions of ACMA and are managed by ACMA’s Information and operations, and methods and practices adopted in Management Section. making decisions affecting members of the public. Computer databases are maintained for bulk record Section 8 of the FOI Act requires each agency to publish keeping. For example, ACMA maintains a database details of its nature and functions including its powers, called the RADCOM database that contains technical, kinds of decisions made, arrangements for public licensing and financial information on involvement in its work and how members of the public radiocommunications licensing. can obtain access to information. This appendix The types of documents held by ACMA include: supplements information in the body of this report about • brochures, bulletins and information papers; the role and functions of ACMA, for the purposes of section 8 of the FOI Act and is correct at 30 June 2008. • correspondence; • field staff guidelines; ACMA’S FOI PROCESSES • financial records and reports; Anyone is entitled to request access to information held by ACMA (including information previously held by the • legal instruments; Australian Broadcasting Authority (ABA) and the • mailing lists; Australian Communications Authority (ACA)). • ministerial briefing papers; Applications must be in writing (letter, fax or email) • policy advice; and accompanied by an application fee of $30 or a request for waiver of that fee. Applicants requesting • research and discussion papers; waiver are advised to provide evidence of financial • submissions to committees; hardship or explain how granting their request is in the • technical journals; public interest. • technical operating instructions; If the documents are publicly available it is not • workplace agreements; necessary to make an FOI request. ACMA makes a large amount of information available free of charge on its • working party reports; and website and through central offices. See Appendix 1 for • records related to staffing and other contact details. human resources activities. If the documents sought are not publicly available, ACMA also holds a variety of documents produced by contact should be made with ACMA’s FOI Coordinator its predecessors (the ABA, the ACA, the Australian on telephone (03) 9963 6963. Correspondence on FOI Broadcasting Tribunal, AUSTEL and the Spectrum matters (including FOI applications) should be sent to: Management Agency). However, documents produced by the former Competition Branch of AUSTEL are held Attention: Freedom of Information Coordinator Australian Communications and Media Authority by the Australian Competition and Consumer PO Box Q500 Commission (ACCC). Queen Victoria Building NSW 1230 Various registers were maintained by AUSTEL, the Fax: (02) 9334 7799 ABA and the ACA. Those registers are now held by The Chairman of ACMA has powers to grant or refuse ACMA or the ACCC, including registers that are no access to information held by ACMA and to impose longer maintained. charges for processing an FOI application. The Documents accessible through other means Chairman has authorised some nominated officers in the Documents available free of charge include brochures, agency to exercise these powers. bulletins, discussion papers and reports, and technical ACMA usually gives access by providing photocopies information papers. Documents may be accessed on the or emailed scans of the original records. It may be ACMA website at www.acma.gov.au. possible to arrange for personal inspection of records, Legislative instruments made by ACMA are available on or computer terminal access to some records, at the Federal Register of Legislative Instruments at ACMA’s offices. www.comlaw.gov.au.

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ACMA had a number of documents available for ACMA’s arrangements for public involvement purchase, including: in its work • broadcast transmitter data on disc; ACMA makes arrangements for bodies or persons outside of the Commonwealth to contribute views on • radio and television broadcasting stations book; and ACMA’s formulation of policy and on the • annual broadcasting financial results on CD. administration of its functions. ACMA consults ACMA also produces CD-ROMs of technical and extensively with representatives of industry, consumers, licensing information that are available to the public. government and academia, often through a range of committees including: DECISION MAKING POWERS OF ACMA • Consumer Consultative Forum; AFFECTING MEMBERS OF THE PUBLIC • Communications Technical Regulation Advisory ACMA has a range of decision making powers of Committee (CTRAC); that may affect members of the public. The powers are exercised: • Emergency Call Service Advisory Committee; • in accordance with the Acts specified in • Law Enforcement Advisory Committee; Appendix 9 of this report; and • Numbering Advisory Committee (NAC); • under regulations or other instruments • National Relay Service Consultative Committee; made under those Acts. • National Study Group 2; • Australian ENUM Discussion Group (AEDG); • Radiocommunications Consultative Committee (RCC).

122 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 123

Appendix 9: Legislation The Australian Communications and Media Authority performed its principal roles, responsibilities and obligations under the following legislation administered by the Department of Broadband, Communications and the Digital Economy and the Attorney-General’s Department1:

Table 55: Legislation

Acts and amending Acts 2007–08 Act number Date of assent Date of commencement

Part I (ss. 1–4), ss. 7, 9–24, 34, 69 Australian Broadcasting Corporation and 83: Royal Assent 6 of 1983 1 June 1983 Act 1983 Remainder: 1 July 1983 (see Gazette 1983, No. S124)

Australian Broadcasting Corporation Ss 1 and 2, sub-section 15(1)and (Transitional Provisions and 7 of 1983 1 June 1983 s 24: Royal Assent Consequential Amendments) Act 1983 Remainder: 1 July 1983

Australian Communications Ss. 3–68: 1 July 2005 and Media Authority Act 2005 44 of 2005 1 April 2005 Remainder: Royal Assent as amended in 2007-08 by:

Schedule 1 (items 1–4, 6–9): Communications Legislation 29 Sept 2007 Amendment (Information Sharing 178 of 2007 28 September 2007 Schedule 1 (item 5): 20 Jan 2008 and Datacasting) Act 2007 Remainder: Royal Assent

Schedule 1 (items 13, 68): 1 Nov 2007 (see F2007L03941) Telecommunications Schedule 2 (items 2-26): (Interception and Access) 177 of 2007 28 September 2007 29 Sept 2007 Amendment Act 2007 Schedule 2 (item 1): 3 Nov 2006 Remainder: Royal Assent

Communications Legislation Schedule 1, Parts 1 and 2 and Amendment (Content Services) 124 of 2007 20 July 2007 Schedule 2: 20 Jan 2008 Act 2007 Remainder: Royal Assent

Australian Communications and Media Schedule 1 (items 6-58) and Schedule Authority (Consequential and 45 of 2005 1 April 2005 4: 1 July 2005 Transitional Provisions) Act 2005 Schedule 2: I July 2005

Ss. 4, 5, 7–92 and 117–218: 5 Oct Broadcasting Services Act 1992 110 of 1992 14 July 1992 1992 (see Gazette 1992, No. GN38) as amended in 2007-08 by: Remainder: Royal Assent

Communications Legislation Schedule 1, Parts 1 and 2 and Amendment (Content Services) 124 of 2007 20 July 2007 Schedule 2: 20 Jan 2008 Act 2007 Remainder: Royal Assent

Broadcasting Legislation Schedule 1 (items 1–118, 183–185): 29 Amendment (Digital Radio) 68 of 2007 28 May 2007 May 2007 Act 2007 Schedule 2: 19 July 2007

Broadcasting Services (Transitional 5 Oct 1992 Provisions and Consequential 105 of 1992 9 July 1992 (see s. 2 and Gazette 1992, No. GN38) Amendments) Act 1992

Datacasting Charge (Imposition) Act 1998 98 of 1998 27 July 1998 27 July 2008 as amended in 2007-08 by:

Schedule 1 Part 1 Division 1: Communications Legislation 29 Sept 2007 Amendment (Information Sharing 178 of 2007 28 September 2007 Schedule 1 Part 1 Division 2: and Datacasting) Act 2007 20 Jan 2008 Remainder: 29 Sept 2007 Datacasting Transmitter 154 of 2006 8 December 2006 1 January 2007 Licence Fees Act 2006

Parts 2, 4-5, ss 39-40 and 42-45, Schedules 1-3: Do Not Call Register Act 2006 88 of 2006 30 June 2006 31 May 2007 (see F2007L01114) Remainder: Royal Assent

1. The administration of Acts is determined by the Administrative Arrangements Order Continued/... see www.comlaw.gov.au/ C2008Q00023

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Acts and amending Acts 2007–08 Act number Date of assent Date of commencement

Datacasting Transmitter 154 of 2006 8 December 2006 1 January 2007 Licence Fees Act 2006

Parts 2, 4-5, ss 39-40 and 42-45, Schedules 1-3: 31 Do Not Call Register Act 2006 88 of 2006 30 June 2006 May 2007 (see F2007L01114) Remainder: Royal Assent

Ss. 15, 15A, 61AA–61FE: 8 Aug 2001 Interactive Gambling Act 2001 84 of 2001 11 July 2001 Ss. 16–31, 42, 43, 48, as amended in 2007-08 by: 49, 54–59: 12 Jan 2002 Remainder: Royal Assent

Communications Legislation Amendment (Content Services) 124 of 2007 20 July 2007 Schedule 1 (item 95): 20 Jan 2008 Act 2007

NRS Levy Imposition Act 1998 3 of 1998 26 March 1998 26 March 1998

Radiocommunications Act 1992 174 of 1992 11 December 1992 1 July 1993 as amended in 2007-08 by:

Communications Legislation Schedule 1 (items 6, 7): Amendment (Information Sharing 178 of 2007 28 September 2007 29 Sept 2007 and Datacasting) Act 2007 Remainder: Royal Assent

Corporations (NZ Closer Economic Schedule 3 (items 1, 2): Relations) and Other Legislation 85 of 2007 21 June 2007 19 July 2007 Amendment Act 2007

Broadcasting Legislation Schedule Schedule 1: 29 May 2007 Amendment (Digital Radio) 68 of 2007 28 May 2007 Schedule 2: 19 July 2007 Act 2007 Remainder: Royal Assent

Radiocommunications 20 Aug 1985 132 of 1983 22 December 1983 (Receiver Licence Tax) Act 1983 (see Gazette 1985, No. S322)

Radiocommunications 144 of 1997 9 October 1997 9 October 1997 (Spectrum Licence Tax) Act 1997

Radio Communications Taxes 20 Aug 1985 133 of 1983 22 December 1983 Collection Act 1983 (see Gazette 1985, No. S322)

Radiocommunications (Transitional Provisions and Consequential 167 of 1992 11 December 1992 1 July 1993 Amendments) Act 1992

Radiocommunications 20 Aug 1985 137 of 1983 22 December 1983 (Transmitter Licence Tax) Act 1983 (see Gazette 1985, S322)

Radio Licence Fees Act 1964 119 of 1964 24 November 1964 24 Nov 1964

ss.1-14, 42, 47 and Sched 2: 12 Dec 2003; Spam Act 2003 129 of 2003 12 December 2003 Parts 2-6, s. 41, 43-46, Sched 1 and Sched 3: 10 April 2004 Remainder: Royal assent S. 54: 24 Mar 1994 Special Broadcasting Service Act 1991 180 of 1991 25 November 1991 (see Gazette 1994, No. GN10) Remainder: 23 Dec 1991

Ss. 41–51, 56–85, 98–495, 507–576, 579–588, 590–593 and Schedules Telecommunications Act 1997 47 of 1997 22 April 1997 1–4: 1 July 1997 as amended in 2007-08 by: Ss. 52–55: 5 June 1997 Remainder: Royal Assent

Telecommunications Legislation Amendment (National Broadband 22 of 2008 26 May 2008 27 May 2008 Network) Act 2008

Schedule 1 (items 13, 68): 1 Nov 2007 (see F2007L03941) Telecommunications Schedule 2 (items 2-26): (Interception and Access) 177 of 2007 28 September 2007 29 Sept 2007 Amendment Act 2007 Schedule 2 (item 1): 3 Nov 2006 Remainder: Royal Assent

Communications Legislation Schedule 1 Parts 1 and 2 and Schedule Amendment (Content Services) 124 of 2007 20 July 2007 2: 20 Jan 2008 Act 2007 Remainder: Royal Assent

Continued/...

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Acts and amending Acts 2007–08 Act number Date of assent Date of commencement

Ss. 1 and 2: Royal Assent Telecommunications and Postal Part 5 (ss. 17, 18): 30 June 1989 (see s. Services (Transitional Provisions and 63 of 1989 19 June 1989 2(3) and Gazette 1989, No. S216) Consequential Amendments) Act 1989 Remainder: 1 July 1989 (see Gazette 1989, No. S230)

Telecommunications 49 of 1997 22 April 1997 22 April 1997 (Carrier Licence Charges) Act 1997

Telecommunications (Consumer Part 3: 1 July 1999 Protection and Service Standards) Act 50 of 1999 5 July 1999 Remainder: 2 Aug 1999 1999 as amended in 2007-08 by:

Telecommunications Legislation Amendment (Protecting Services 152 of 2007 24 Sept 2007 25 Sept 2007 for Rural and Regional Australia into the Future) Act 2007

Communications Legislation Schedule 1, Parts 1 and 2 and Schedule Amendment (Content Services) 124 of 2007 20 July 2007 2: 20 Jan 2008 Act 2007 Remainder: Royal Assent

Telecommunications 1 June 1980 (see Gazette 1980, No. (Interception and Access) Act 1979 114 of 1979 25 Oct 1979 G21, p. 2) as amended in 2007-08 by:

Schedule 1 (items 1–19): 27 May 2008 Schedule 1 (items 20–25, 35, 37, 39A): Telecommunications [see Note 2] (Interception and Access) 23 of 2008 26 May 2008 Schedule 1 (items 43A, 46A): Amendment Act 2008 [see Note 2] Remainder: Royal Assent

Schedule 1: 1 Nov 2007 (see F2007L03941) Telecommunications Schedule 2 (item 1): 3 Nov 2006(w) (Interception and Access) 177 of 2007 28 Sept 2007 Schedule 2 (items 2–26): Amendment Act 2007 29 Sept 2007 Remainder: Royal Assent

Telecommunications Parts 1 and 4: Royal Assent 51 of 1997 22 April 1997 (Numbering Charges) Act 1997 Parts 2 and 3: 1 July 1997

Telecommunications (Transitional Provisions and 59 of 1997 3 May 1997 Schedule 1 (items 43–47): 1 July 1997 Consequential Amendments) Act 1997

Telecommunications 53 of 1997 24 April 1997 1 July 1997 (Universal Service Levy) Act 1997

Television Licence Fees Act 1964 118 of 1964 24 November 1964 24 November 1964

Part 1 (ss. 1–7): Royal Assent Telstra Corporation Act 1991 79 of 1991 26 June 1991 Remainder: 1 Feb 1992 (see Gazette as amended in 2007-08 by: 1992, No. S32)

Workplace Relations Amendment Schedules 1–7: 28 (Transition to Forward with 8 of 2008 20 Mar 2008 Mar 2008 (see F2008L00959) Fairness) Act 2008 Remainder: Royal Assent Schedule 1 items 45-51 and 53-65: 24 Nov 2006 (F2006L03997); Schedule 1 Item 52: The third Telstra (Transition to Full Private anniversary of the designated day 118 of 2005 23 September 1995 Ownership) Act 2005 declared under section 3. Schedule 1 Part 3: The 85% sale day declared under section 4. Remainder: Royal Assent Ss. 1 and 2: Royal Assent Trade Practices Act 1974, S. 55: 27 Sept 1975 Parts XIB and XIC as amended in 51 of 1974 24 August 1974 (see Gazette 1975, No. S178) 2007-08 by: Remainder: 1 Oct 1974 (see Gazette 1974, No. 75B)

Trade Practices Amendment 7 of 2008 20 March 2008 20 Mar 2008 (Access Declarations) Act 2008

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Appendix 10: ACMA instruments The instruments made by ACMA in 2007–08 are shown in Table 56.

Table 56: ACMA instruments made since 1 July 2007

Title Act Section Date/detail

Date of Instrument 6/7/2007 Broadcasting Services (Technical Broadcasting Services Act 1992 Section 33 Date of Registration: 9/8/2007 Planning) Guidelines 2007 FRLI Number:F2007L02469 Do Not Call Register 6/7/2007 (Administration Do Not Call Register Act 2006 Section 18 Reg: 13/7/2007 and Operation) Amendment F2007L02215 Determination 2007 (No. 1) Radiocommunications (Domestic 6/7/2007 Digital Television Receiver ­ Radiocommunications Act 1992 Section 5 Reg: 20 Characteristic) Determination 2007 F2007L02467

6/7/2007 Submarine Cable (Northern Sydney Telecommunications Act 1997 Subclause 4(1) of Schedule 3A 18/7/2007 Protection Zone) Declaration 2007 F2007L02216

12/7/2007 Submarine Cable (Southern Sydney Telecommunications Act 1997 Subclause 4(1) of Schedule 3A 18/7/2007 Protection Zone) Declaration 2007 F2007L02217

Radiocommunications (Receiver 23/7/2007 Radiocommunications Licence Tax) Amendment Subsection 7(1) 31/7/2007 (Receiver Licence Tax) Act 1983 Determination 2007 (No. 2) F2007L02339

Radiocommunications (Transmitter Radiocommunications 23/7/2007 Licence Tax) Amendment (Transmitter Licence Tax) Subsection 7(1) 31/7/2007 Determination 2007 (No. 2) Act 1983 F2007L02338

10/8/2007 Telecommunications (Approving Telecommunications Act 1997 Subsection 410(1) 16/8/2007 Bodies) Determination 2007 F2007L02578

13/8/2007 Licence Area Plan - Hobart Radio ­ Broadcasting Services Act 1992 Subsection 26(2) 16/8/2007 Variation No. 1 of 2007 F2007L02575

Radiocommunications (Digital 24/8/2007 Cordless Communications Devices ­ Radiocommunications Act 1992 Subsection 162(1) 31/8/2007 DECT Devices) Standard 2007 F2007L03471

Radiocommunications (Digital 24/8/2007 Cordless Communications Devices ­ Radiocommunications Act 1992 Subsection 162(1) 31/8/2007 PHS Devices) Standard 2007 F200703472

Radiocommunications Devices 24/8/2007 (Compliance Labelling) Amendment Radiocommunications Act 1992 Section 182 31/8/2007 Notice 2007 (No. 1) F2007L03473 Telecommunications Labelling 24/8/2007 (Customer Equipment and Telecommunications Act 1997 Section 407 3/9/2007 Customer Cabling) Amendment F2007L03465 Notice 2007 (No. 1) Radiocommunications 6/9/2007 Australian Communications and (Charges) Amendment Subsection 60(1) 17/9/07 Media Authority Act 2005 Determination 2007 (No. 3) F2007L03648

Radiocommunications 6/9/2007 Australian Communications and (Interpretation) Amendment Subsection 64(1) 17/9/2007 Media Authority Act 2005 Determination 2007 (No. 2) F2007L03650

Radiocommunications (Transmitter Radiocommunications 6/9/2007 Licence Tax) Amendment (Transmitter Licence Tax) Subsection 7(1) 17/9/2007 Determination 2007 (No. 3) Act 1983 F2007L03651

24/9/2007 Commercial Television Conversion Broadcasting Services Act 1992 Subclause 6(1) of Schedule 4 1/11/2007 Scheme Variation 2007 (No. 1) F2007L04259

24/9/2007 National Television Conversion Broadcasting Services Act 1992 Subclause 19(1) of Schedule 4 23/4/2008 Scheme Variation 2007 (No. 1) F2008L00981

Continued/...

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Submarine Cable 24/9/2007 (Perth Protection Zone) Telecommunications Act 1997 Subclause 4(1) of Schedule 3A 5/10/2007 Declaration 2007 F2007L03914

15/10/2007 Telecommunications (Annual Charge) Telecommunications Subsections 20(1) and 22(2) 22/10/2007 Determination 2007 (No. 2) (Numbering Charges) Act 1997 F2007L04138

Telecommunications (Consumer Telecommunications (Emergency 25/10/2007 Protection and Service Call Service) Amendment Determination Subsection 147(1) 1/11/2007 Standards) 2007 (No. 1) F2007L04260 Act 1999 Telecommunications (Consumer Telecommunications (Performance 25/10/2007 Protection and Service Standards) Determination 2002 Section 125 1/11/2007 Standards) Revocation Determination 2007 F2007L04277 Act 1999

Broadcasting Services 8/11/2007 (Deemed Digital Radio Licence Broadcasting Services Act 1992 Subsection 8AD(3) 21/11/2007 Areas) Determination 2007 F2007L04381

22/11/2007 Broadcasting Services (Meaning Broadcasting Services Act 1992 Subsection 61CC(1) 27/11/2007 of Local) Instrument 2007 F2007L04527

6/12/2007 Radiocommunications (Digital Radio Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 Channels - NSW/ACT) Plan 2007 F2007L04662

6/12/2007 Radiocommunications (Digital Radio Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 Channels - Queensland) Plan 2007 F2007L04664

Radiocommunications 6/12/2007 (Digital Radio Channels - South Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 Australia) Plan 2007 F2007L04666

Radiocommunications 6/12/2007 (Digital Radio Channels - Tasmania) Plan Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 2007 F2007L04667

Radiocommunications 6/12/2007 (Digital Radio Channels - Victoria) Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 Plan 2007 F2007L04663

Radiocommunications 6/12/2007 (Digital Radio Channels - Western Radiocommunications Act 1992 Subsection 44A(1) 10/12/2007 Australia) Plan 2007 F2007L04665

Radiocommunications 20/12/2007 (Infrared Devices) Class Licence Radiocommunications Act 1992 Section 135 3/1/2008 (Revocation) 2007 F2008L00008

Radiocommunications 20/12/2007 (Low Interference Potential Devices) Radiocommunications Act 1992 Section 134 3/1/2008 Class Licence Variation 2007 (No. 1) F2008L00007

20/12/2007 Restricted Access Systems Broadcasting Services Act 1992 Clause 14 of Schedule 7 7/1/2008 Declaration 2007 F2008L00048 20/12/2007 Telecommunications Numbering Telecommunications Act 1997 Section 455 3/1/2008 Plan Variation 2007 (No. 4) F2008L00011 20/12/2007 Telecommunications Numbering Plan Telecommunications Act 1997 Section 455 3/1/2008 Variation 2007 (No. 5) F2008L00013

Telecommunications Service 20/12/2007 Provider (Mobile Premium Telecommunications Act 1997 Subsection 99(1) 7/1/2008 Services) Determination 2005 (No. 1) F2008L00049 Amendment Determination 2007 (No. 1)

Radiocommunications 25/1/2008 (Electromagnetic Compatibility) Radiocommunications Act 1992 Subsection 162(1) 1/2/2008 Standard 2008 F2008L00261

Radiocommunications 25/1/2008 Labelling (Electromagnetic Radiocommunications Act 1992 Section 182 1/2/2008 Compatibility) Notice 2008 F2008L00262

Continued/...

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Title Act Section Date/detail

Telecommunications Telecommunications 25/1/2008 (Emergency Call Service) Amendment (Consumer Protection and Service Subsection 147(1) 19/2/2008 Determination 2008 (No. 1) Standards) Act 1999 F2008L00280

Telecommunications 25/1/2008 (Protection Zone and Submarine Cable Australian Communications and Subsection 60(1) 1/2/2008 Permit - Application Charges) Media Authority Act 2005 F2008L000256 Determination 2008 Radiocommunications 1/2/2008 (Foundation Category 1 Digital Radio Radiocommunications Act 1992 Paragraph 102C(2)(b) 12/2/2008 Multiplex Transmitter Licence ­ F2008L00319 Application Fee) Determination 2008 Radiocommunications 1/2/2008 (Foundation Category 2 Digital Radio Radiocommunications Act 1992 Paragraph 102D(2)(b) 12/2/2008 Multiplex Transmitter Licence ­ F2008L00316 Application Fee) Determination 2008

Radiocommunications 7/2/2008 (Overseas Amateurs Visiting Australia) Radiocommunications Act 1992 Subsection 132(1) 13/2/2008 Class Licence 2008 F2008L000376

Radiocommunications 7/2/2008 (Qualified Operators) Amendment Radiocommunications Act 1992 Section 119 18/2/2008 Determination 2008 (No. 1) F2008L00372

Radiocommunications 7/2/2008 Radiocommunications (Receiver Licence Tax) Amendment Subsection 7(1) 18/2/2008 (Receiver Licence Tax) Act 1983 Determination 2008 (No. 1) F2008L00379

Radiocommunications 7/2/2008 Radiocommunications (Transmitter Licence Tax) Amendment Subsection 7(1) 18/2/2008 (Transmitter Licence Tax) Act 1983 Determination 2008 (No. 1) F2008L00378

Radiocommunications 7/2/2008 Licence Conditions (Amateur Licence) Radiocommunications Act 1992 Paragraph 107(1)(f) 18/2/2008 Amendment Determination F2008L000374 2008 (No. 1) Telecommunications Labelling 7/2/2008 (Customer Equipment and Customer Telecommunications Act 1997 Section 407 18/2/2008 Cabling) Amendment Notice F2008L00377 2008 (No. 1)

Datacasting Charge 7/2/2008 Datacasting Charge (Amount) Amendment Determination Subsection 7(1) 13/5/2008 (Imposition) Act 1998 2008 (No. 1) F2008L01370 25/2/2008 Licence Area Plan - Gympie Radio ­ Broadcasting Services Act 1992 Subsection 26(2) 6/3/2008 Variation No. 1 of 2008 F2008L000658

Licence Area Plan - Innisfail Radio ­ 20/3/2008 Broadcasting Services Act 1992 Subsection 26(2) 31/3/2008 Variation No. 1 of 2008 F2008L00957 Radiocommunications 10/4/2008 (Foreign Space Objects) Amendment Radiocommunications Act 1992 Paragraph 16(1)(ca) 15/4/2008 Determination 2008 (No. 1) F2008L01081

28/4/2008 Licence Area Plan - Lithgow Radio ­ Broadcasting Services Act 1992 Subsection 26(2) 6/5/2008 Variation No. 1 of 2008 F2008L01314

Telecommunications Telecommunications 16/5/2008 (Emergency Call Service) Amendment (Consumer Protection and Service Subsection 147(1) 16/5/2008 Determination 2008 (No. 1) Standards) Act 1999 F2008L01646 Amendment Determination 2008

Licence Area Plan - Bendigo Radio ­ 28/5/2008 Broadcasting Services Act 1992 Subsection 26(2) 5/6/2008 V ariation No. 1 of 2008 F2008L01951 Telecommunications (Annual Carrier Telecommunications (Carrier Licence 3/6/2008 Subsection 14(1) 28/5/2008 Licence Charge Determination 2008 Charges) Act 1997 F2008L01855 Telecommunications 3/6/2008 Telecommunications (Carrier Licence (Recovery of ITU Budget Contribution) Paragraph 15(1)(c) 28/5/2008 Charges) Act 1997 Determination 2008 F2008L01872

Telecommunications 28/5/2008 (Costs Attributable to Telecommunications (Carrier Licence Paragraph 15(1)(a) 4/6/2008 Telecommunications Functions and Charges) Act 1997 F2008L01871 Powers) Determination 2008

10/6/2008 Licence Area Plan – Nowra Radio – Broadcasting Services Act 1992 Subsection26(2) 25/6/2008 Variation No. 1 of 2008 F2008L02155

Continued/...

128 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 129

Appendix 11: Notifications, directions and instruments

Section 57 of the Australian Communications and Media Authority Act 2005 requires copies of certain directions and instruments to be included in ACMA’s Annual Report, including directions given to ACMA under section 14 of the Australian Communications and Media Authority Act 2005. In the 2007–08 financial year, ACMA was not given any directions under section 14 of the Australian Communications and Media Authority Act 2005. Additionally, section 67 of the Act requires ACMA to maintain a register of all directions given to ACMA under the Australian Communications and Media Authority Act 2005 or any other Act. ACMA maintains this register by electronic means on its website at www.acma.gov.au.

ACMA ANNUAL REPORT 2007–08 129 Appendix 12: Disclosures of information Under section 57(2)(f) of the Australian Communications and Media Authority Act 2005, ACMA is required to provide statistical information relating to information or documents disclosed under Division 3 of Part 13 of the Telecommunications Act 1997 (Telecommunications Act) during the financial year and covered in a report to ACMA under section 308 of the Telecommunications Act. This information is provided in Table 57.

Table 57: Disclosures of information reported under section 308, 2007–08

Provision under Nature of disclosure No. of disclosures

For the period from 1 July 2007 to 30 June 2008

Section 280 By or under law 9,932

Section 281 Witnesses 46

Section 284(1) Assisting ACMA 939

Section 284(2) Assisting the ACCC 71

Section 284(3) Assisting the TIO 8,858

Section 287 Threats to a person's life or health 4,489

Section 288 Communications for maritime purposes 0

Section 289 Knowledge or consent of the person concerned 305,068

Section 292 Circumstances prescribed in the regulations 13

Section 293 Uses connected with exempt disclosures 0

Telecommunications Act 1997

Section 282(1) Enforcement of criminal law - not certified 16,099

Section 282(2) Pecuniary penalty or public revenue - not certified 4,849

Section 282(3) Enforcement of criminal law - certified 243,544

Section 282(4) Pecuniary penalty - certified 17,287

Section 282(5) Protection of public revenue - certified 2,678

Telecommunications (Interception and Access) Act 1979 For the period from 1 November 2007 to 30 June 2008

Section 177 Voluntary disclosures (as reasonably necessary) 49

Section 178 Assisting law enforcement (existing information) 289,745

Section 179 Pecuniary penalty or public revenue (existing information) 88,144

Section 180 Assisting law enforcement (prospective information) 1,135

Total number of disclosures 992,946

130 ACMA ANNUAL REPORT 2007–08 _ pp g

Appendix 13: Consultancies, advertising expenditure and competitive tendering

During 2007–08, 21 new consultancy contracts were entered into involving total actual expenditure of $945,162. In addition, 20 ongoing consultancy contracts were active during 2007–08, involving total actual expenditure of $561,696. Table 58 provides expenditure on consultancy contracts over the three most recent financial years.

Table 58: Expenditure on consultancy contracts, 2005–06 to 2007–08

Year New consultancies ($) Continued consultancies ($)

2005–06 522,931 289,008

2006–07 2,263,871 284,410

2007–08 945,162 561,696

Information on expenditure on contracts and consultancies is also available on the AusTender website at www.tenders.gov.au. ADVERTISING During the year, ACMA placed advertising for a range of purposes including public notices, and recruitment. Direct mail was used for periodicals and other information material. Expenditure by ACMA on advertising in 2007–08 was $0.819 million. COMPETITIVE TENDERING No contracts have been let that contract out delivery of government activities previously performed by a Commonwealth agency. ACCESS BY AUDITOR-GENERAL No contracts have been let that prevent access by the Auditor-General. EXEMPTIONS FROM REPORTING OF COMMONWEALTH CONTRACTS No exemptions have been sought or granted for the non-reporting of Commonwealth contracts on AusTender.

ACMA ANNUAL REPORT 2007–08 131 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 132

Appendix 14: Outcome and output structure

Table 59: Outcome 1 - ACMA will provide a regulatory environment that supports an efficient communications sector

2007–08 2008–09

Budget1 Actual Variance Budget1

(1) (2) (2) minus (1)

$000s $000s $000s $000s Administered expenses (including third party outputs) Total administered expenses2 331 210 (121) 350

Price of departmental outputs

Revenue from government for departmental outputs

Output 1.1—Effective regulation of the communications industry 43,453 41,929 (1,524) 43,232

Output 1.2—Planning and licensing of communications services 18,579 26,230 7,651 18,528

Total revenue from government for departmental outputs3 62,032 68,159 6,127 61,760

Revenue from other sources 1,280 1,478 198 1,282

Total price of departmental outputs 63,312 69,637 6,325 63,042

Total for Outcome 1 63,643 69,847 6,204 63,392

Table 60: Outcome 2 - ACMA will contribute to meeting the communications products and services needs of the Australian community by enabling an effective information, standards and safeguards regime

2007–08 2008–09

Budget1 Actual Variance Budget1

(1) (2) (2) minus (1)

$000s $000s $000s $000s Administered expenses (including third party outputs) Total administered expenses 175,192 170,649 (4,543) 162,576

Price of departmental outputs

Revenue from government for departmental outputs Output 2.1— Ensuring the provision of community standards and 28,801 22,436 (6,365) 25,627 safeguards which reflect broad community expectations Output 2.2—Facilitating sufficient community information to enable 6,396 6,634 238 5,626 informed decisions about communications products and services Total revenue from government for departmental outputs3 35,197 29,070 (6,127) 31,253

Revenue from other sources 200 383 183 200

Total price of departmental outputs 35,397 29,453 (5,944) 31,453

Total for Outcome 2 210,589 200,102 (10,487) 194,029

NOTES: 1. Budget figures The 2007–08 budget is the full-year budget including additional estimates as reflected in the 2008–09 Portfolio Budget Statements. The 2008–09 budget reflects the estimates as reported in the 2008–09 Portfolio Budget Statements. 2. Variance in administered expenses The total underspent of $4.664 million is primarily due to the reduction in the subsidy payments to universal service obligations. 3. Variance in departmental outputs The variance of the departmental outputs $6.127 million is offset by the same amount in each outcome, resulting in a net variance of zero. The individual output variance within each outcome is due to the reclassification of ACMA's outcome and output structure.

132 ACMA ANNUAL REPORT 2007–08 104415_ACMA ch05a:appendix 1-15 23/9/08 11:06 AM Page 133

Appendix 15: Regulatory impact analysis compliance report

The Office of Best Practice Regulation (OBPR) manages and monitors regulatory impact analysis requirements and is required to report annually on regulatory impact compliance by Australian Government departments and agencies. To fulfil its responsibilities, ACMA lodges six-monthly compliance reports with the OBPR. In 2007–08, ACMA prepared a Regulation Impact Statement (RIS) for one regulatory proposal. This RIS was assessed as adequate at both the decision-making and tabling stages. ACMA has undertaken 48 preliminary assessments for regulations made or tabled in the reporting period. OBPR assessed ACMA as 100 per cent compliant with the Government’s Regulatory Performance Indicators and fully compliant with its Best Practice Regulation requirements.

ACMA ANNUAL REPORT 2007–08 133

Appendix 16:

Financial statements

Contents

• Independent audit report • Statement by the Chair and Chief Financial Officer of ACMA • Income statement • Balance sheet • Statement of changes in equity • Cash flow statement • Schedule of commitments • Schedule of contingencies • Schedule of administered items • Notes

1

INCOME STATEMENT for Not For Profit Reporting Entities for the period ended 30 June 2008

Note 2008 2007 $'000 $'000 INCOME Revenue Revenues from Government 3A 97,229 82,089 Sale of goods and rendering of services 3B 439 602 Rental income 3C 264 309 Other revenue 3D 1,033 1,526 Total revenue 98,965 84,526

Gains Sale of assets 3E - 21 Other gains 3F 124 96 Total gains 124 117

Total Income 99,089 84,643

EXPENSES Employee benefits 4A 54,650 44,267 Suppliers 4B 39,888 35,466 Depreciation and amortisation 4C 4,191 5,011 Finance costs 4D 23 45 Write-down and impairment of assets 4E 366 1,760 Losses from asset sales 4F 10 34 Total Expenses 99,128 86,583

Deficit (39) (1,940)

Deficit attributable to the Australian Government (39) (1,940)

The above statement should be read in conjunction with the accompanying notes.

1 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

BALANCE SHEET for Not For Profit Reporting Entities as at 30 June 2008

Note 2008 2007 $'000 $'000 ASSETS Financial Assets Cash and cash equivalents 5A 4,056 2,586 Trade and other receivables 5B 36,066 32,254 Total Financial Assets 40,122 34,840 Non-Financial Assets Land and buildings 6A,C 12,829 12,106 Infrastructure, plant and equipment 6B,C 3,407 3,007 Intangibles 6D 4,451 4,884 Other non-financial assets 6E 996 954 Total Non-Financial Assets 21,683 20,951 Total Assets 61,805 55,791

LIABILITIES Payables

Suppliers 7A 5,447 5,011

Tax liabilities 7B (32) 54

Other payables 7C 2,231 2,572

Total Payables 7,646 7,637 Interest Bearing Liabilities

Leases 8A 241 802

Total Interest Bearing Liabilities 241 802 Provisions

Employee provisions 9A 16,717 14,057

Other provisions 9B 1,659 1,253

Total Provisions 18,376 15,310

Total Liabilities 26,263 23,749

Net Assets 35,542 32,042

2 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

EQUITY Parent Entity Interest

Contributed equity 23,522 20,243

Reserves 1,728 10,709

Retained surplus (accumulated deficit) 10,292 1,090

Total Parent Entity Interest 35,542 32,042

TOTAL EQUITY 35,542 32,042

Current assets 41,118 35,794

Non-current assets 20,687 19,997

Current liabilities 22,871 21,301

Non-current liabilities 3,392 2,448

The above statement should be read in conjunction with the accompanying notes.

3 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

STATEMENT of CHANGES in EQUITY for Not For Profit Reporting Entities as at 30 June 2008

Retained Earnings Asset Revaluation Contributed Total Equity Reserves Equity/Capital 2008 2007 2008 2007 2008 2007 2008 2007 Opening balance $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

Balance carried forward from previous period 1,090 3,030 10,709 10,134 20,243 20,616 32,042 33,780

Income and Expenses Revaluation increment/(decrement) on non-financial assets - current year - - 260 575 260 575 Transfer of revaluation reserve on derecognised non-financial assets 9,241 - (9,241) - - - Sub-total income and expenses recognised Directly in Equity 9,241 - (8,981) 575 - - 260 575 (Deficit)/Surplus for the period (39) (1,940) (39) (1,940) Total income and expenses 9,202 (1,940) (8,981) 575 - - 221 (1,365)

of which:

attributable to the Australian Government 9,202 1,090 (8,981) 10,709 - 20,616 221 32,415

Transactions with owners Distributions to owners Returns of capital: Return of appropriation - - -- (4,300) (1,000) (4,300) (1,000) Contributions by Owners Appropriation (equity injection) - - -- 7,579 627 7,579 627 Sub-total transactions with Owners - - - - 3,279 (373) 3,279 (373) Closing balance at 30 June 10,292 1,090 1,728 10,709 23,522 20,243 35,542 32,042 Closing balance attributable to the Australian Government 10,292 1,090 1,728 10,709 23,522 20,243 35,542 32,042

The above statement should be read in conjunction with the accompanying notes.

4 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

CASH FLOW STATEMENT for Not For Profit Reporting Entities for the period ended 30 June 2008

Note 2008 2007 $'000 $'000 OPERATING ACTIVITIES Cash received Goods and services 620 782 Appropriations 92,987 77,612 Net GST received 5,008 3,695 Other cash received 1,033 1,525 Total cash received 99,648 83,614 Cash used Employees (54,924) (47,138) Suppliers (41,305) (35,907) Total cash used (96,229) (83,045) Net cash from operating activities 10 3,419 569

INVESTING ACTIVITIES Cash received Proceeds from sales of property, plant and equipment 4 21 Total cash received 4 21 Cash used Purchase of property, plant and equipment (3,087) (1,691) Purchase of intangibles (1,490) (204) Total cash used (4,577) (1,895) Net cash used by investing activities (4,573) (1,874)

FINANCING ACTIVITIES Cash received Appropriations - contributed equity 3,209 - Total cash received 3,209 - Cash used Other cash used (585) (201) Total cash used (585) (201) Net cash from financing activities 2,624 (201)

Net increase/(decrease) in cash held 1,470 (1,506)

Cash at the beginning of the reporting period 2,586 4,092

Cash at the end of the reporting period 5A 4,056 2,586

The above statement should be read in conjunction with the accompanying notes.

5 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF COMMITMENTS for Not For Profit Reporting Entities as at 30 June 2008

2008 2007 $'000 $'000 BY TYPE

Commitments receivable Sublease rental income - 114 GST recoverable on commitments 3,928 3,504 Total commitments receivable 3,928 3,618

Commitments payable Capital commitments Infrastructure, plant and equipment 1 160 186 Intangibles - 549 Total capital commitments 160 735 Other commitments Operating leases 2 31,699 21,173 Other commitments 11,504 16,749 Total other commitments payable 43,203 37,922

Net commitments by type 39,435 35,039

BY MATURITY

Commitments receivable Operating lease income One year or less - 114 Total operating lease income - 114 Other commitments receivable One year or less 3,928 3,504 Total other commitments 3,928 3,504

Commitments payable Capital commitments One year or less 160 485 From one to five years - 250 Total capital commitments 160 735 Operating lease commitments One year or less 8,089 6,866 From one to five years 23,618 9,920 Over five years 267 4,387 Total operating lease commitments 31,974 21,173 Other commitments One year or less 4,665 5,846 From one to five years 6,839 10,903 Total Other Commitments 11,504 16,749

Net commitments by maturity 39,710 35,039

NB: Commitments are GST inclusive where relevant

6 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Infrastructure, plant and equipment relate mainly to purchasing of 1 office equipment.

SCHEDULE OF COMMITMENTS (Cont.)

Operating leases are effectively non-cancellable and 2 comprise:

Nature of lease General description of leasing arrangement Leases for office accommodation Office lease payments are subject to annual increases in accordance with upward movements of the Consumer Price Index or increased by a fixed rate. All office accommodation leases are current or in the process of being executed by the Lessor. A number of leases allow for extensions, the longest option providing for two five year extensions at the Authority's discretion. On renewal, each lease allows for a market review to set the new rental base.

Agreements for the provision of motor No contingent rentals exist. There are no renewal or purchase options vehicles - senior executives officers available to the Authority.

The above schedule should be read in conjunction with the accompanying notes.

7 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF CONTINGENCIES for Not For Profit Reporting Entities as at 30 June 2008

ACMA has no known contingent liabilities or assets as at 30 June 2008 and had no known contingent liabilities or assets as at 30 June 2007.

8 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF ADMINISTERED ITEMS 2008 2007 Note $'000 $'000 Income Administered on Behalf of Government for the period ended 30 June 2008

Revenue

Taxation Revenue Other Taxes 18A 491,089 465,974 Total taxation revenue 491,089 465,974

Non-Taxation Revenue Sale of goods and rendering of services 18B 2,382 1,404 Fees and fines 18C 40,168 42,424 Other revenue 18D 170,203 181,917 Total non-taxation revenue 212,753 225,745

Total revenues administered on behalf of Government 703,842 691,719

Gains Sale of assets 18E 4,612 5,746 Total gains administered on behalf of Government 4,612 5,746

Total income administered on behalf of Government 708,454 697,465

Expense Administered on Behalf of Government for the period ended 30 June 2008

Subsidies 19A 170,014 185,491 Suppliers 19B 281 - Write-down and impairment of assets 19C 564 5,626 Total expenses administered on behalf of Government 170,859 191,117

This schedule should be read in conjunction with the accompanying notes.

9 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF ADMINISTERED ITEMS 2008 2007 Note $'000 $'000 Assets administered on behalf of Government as at 30 June 2008

Financial Assets Cash and cash equivalents 20A 7,366 3,959 Taxation receivables 20B 281,541 274,037 Receivables 20C 37,761 35,178 Other financial assets 20D - 25 Total financial assets 326,668 313,199

Total assets administered on behalf of Government 326,668 313,199

Liabilities Administered on Behalf of Government as at 30 June 2008

Payables Suppliers 21A 224 167 Subsidies 21B 7,546 3,969 Other payables 21C 3,852 3,300 Total payables 11,622 7,436

Total liabilities administered on behalf of Government 11,622 7,436

This schedule should be read in conjunction with the accompanying notes.

10 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF ADMINISTERED ITEMS (continued)

Note 2008 2007 $'000 $'000 Administered Cash Flows for the period ended 30 June 2008

OPERATING ACTIVITIES Cash received Sales of goods and rendering of services 3,164 409 Taxes 490,087 469,369 Fees 37,160 36,386 Fines 4,537 162 Net GST received 6,466 5,468 Levies and other receipts 55,758 76,266 Total cash received 597,172 588,060 Cash used Suppliers paid (303) - Subsidies paid (62,928) (78,183) Other (6,914) (5,306) Net GST paid - - Total cash Used (70,145) (83,489)

Net Cash from Operating Activities 527,027 504,571

INVESTING ACTIVITIES Cash Received Proceeds from sale of property, plant, equipment and intangibles 4,693 5,890 Total cash received 4,693 5,890 Net Cash from Investing Activities 4,693 5,890

Net Increase in Cash Held 531,720 510,461

Cash and cash equivalent at the beginning of the reporting period 3,959 1,084 Cash from Official Public Account for: -Appropriations 9,359 11,117 9,359 11,117 Cash to Official Public Account for: - Administered income (537,672) (518,703) (537,672) (518,703)

Cash and cash equivalents at the end of the reporting period 20A 7,366 3,959

The above schedule should be read in conjunction with the accompanying notes.

11 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

SCHEDULE OF ADMINISTERED ITEMS (continued)

Administered Commitments

There are no administered commitments as at 30 June 2008 (2007: nil).

Administered Contingencies

There are no administered commitments as at 30 June 2008 (2007: nil).

12 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Notes To and Forming Part of the Financial Statements

Note 1: Summary of Significant Accounting Policies Note 2: Events after the Balance Sheet Date Note 3: Income Note 4: Expenses Note 5: Financial Assets Note 6: Non-Financial Assets Note 7: Payables Note 8: Interest Bearing Liabilities Note 9: Provisions Note 10: Cash Flow Reconciliation Note 11: Contingent Liabilities and Assets Note 12: Executive Remuneration Note 13: Remuneration of Auditors Note 14: Average Staffing Levels Note 15: Financial Instruments Note 16: Member Remuneration Note 17: Related Party Disclosures Note 18: Income Administered on Behalf of Government Note 19: Expenses Administered on Behalf of Government Note 20: Assets Administered on Behalf of Government Note 21: Liabilities Administered on Behalf of Government Note 22: Administered Reconciliation Table Note 23: Administered Financial Instruments Note 24: Appropriations Note 25: Special Accounts Note 26: Assets Held in Trust Note 27: Compensation and Debt Relief Note 28: Reporting of Outcomes

13 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 1: Summary of Significant Accounting Policies

1.1 Objectives of Australian Communications and Media Authority

The Australian Communications and Media Authority (ACMA) is an Australian Public Service organisation. The objective of ACMA is to enable the communications needs of the Australian community to be met by supporting and encouraging an innovative and vibrant communications sector. The objective will be met by managing an effective regulatory environment that supports a dynamic communications sector and enables industry to meet the communications needs of the community with a professional and highly committed work force.

The following table outlines the outcomes and outputs for ACMA.

Outcome Output Outcome 1 ACMA will provide a regulatory environment that Output 1.1 supports an efficient communications sector Effective regulation of the communications industry Output 1.2 Planning and licensing of communications services Outcome 2 ACMA will contribute to meeting the communications Output 2.1 products and services needs of the Australian community Ensuring the provision of community standards and by enabling an effective information, standards and safeguards which reflect broad community expectations safeguards regime Output 2.2 Facilitating sufficient community information to enable informed decisions about communications products and services

ACMA activities contributing towards these outcomes are classified as either departmental or administered. Departmental activities involve the use of assets, liabilities, revenues and expenses controlled or incurred by ACMA in its own right. Administered activities involve the management or oversight by ACMA, on behalf of the Government, of items controlled or incurred by the Government.

The continued existence of ACMA in its present form and with its present program is dependant on Government policy and on continuing appropriations by Parliament for ACMA’s administration and programs.

1.2 Basis of Preparation of the Financial Report

The Financial Statements and notes are required by section 49 of the Financial Management and Accountability Act 1997 and are a General Purpose Financial Report.

The Financial Statements and notes have been prepared in accordance with:

• Finance Minister’s Orders (or FMOs) for reporting periods ending on or after 1 July 2007; and • Australian Accounting Standards and Interpretations issued by the Australian Accounting Standards Board (AASB) that apply for the reporting period.

The Financial Report has been prepared on an accrual basis and is in accordance with historical cost convention, except for certain assets at fair value. Except where stated, no allowance is made for the effect of changing prices on the results or the financial position.

The Financial Report is presented in Australian dollars and values are rounded to the nearest thousand dollars unless otherwise specified.

14 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY Unless an alternative treatment is specifically required by an Accounting Standard or the FMOs, assets and liabilities are recognised in the Balance Sheet when and only when it is probable that future economic benefits will flow to the Entity and the amounts of the assets or liabilities can be reliably measured. However, assets and liabilities arising under agreements equally proportionately unperformed are not recognised unless required by an Accounting Standard. Liabilities and assets that are unrealised are reported in the Schedule of Commitments and the Schedule of Contingencies (other than unquantifiable or remote contingencies, which are reported at Note 11).

Unless alternative treatment is specifically required by an accounting standard, revenues and expenses are recognised in the Income Statement when and only when the flow, consumption or loss of economic benefits has occurred and can be reliably measured.

Administered revenues, expenses, assets, liabilities and cash flows reported in the Schedule of Administered Items and related notes are accounted for on the same basis and using the same policies as for departmental items, except where otherwise stated in Note 1.18.

1.3 Statement of Compliance

Adoption of new Australian Accounting Standard requirements

No accounting standard has been adopted earlier than the application date as stated in the standard. The following new standard is applicable to the current reporting period:

Financial instrument disclosure

AASB 7 Financial Instruments: Disclosures is effective for reporting periods beginning on or after 1 January 2007 (the 2007-08 financial year) and amends the disclosure requirements for financial instruments. In general AASB 7 requires greater disclosure than that previously required. Associated with the introduction of AASB 7 a number of accounting standards were amended to reference the new standard or remove the present disclosure requirements through 2005-10 Amendments to Australian Accounting Standards [AASB 132, AASB 101, AASB 114, AASB 117, AASB 133, AASB 139, AASB 4, AASB 1023 & AASB 1038]. These changes have no financial impact but will effect the disclosure presented in future financial reports.

The following new standards, amendments to standards or interpretations for the current financial year have no material financial impact on ACMA.

2007-4 Amendments to Australian Accounting Standards arising from ED 151 and Other Amendments and Erratum: Proportionate Consolidation

2007-7 Amendments to Australian Accounting Standards

UIG Interpretation 11 AASB 2 – Group and Treasury Share Transactions

2007-1 Amendments to Australian Accounting Standards arising from AASB Interpretation 11

AASB 101 Presentation of Financial Statements (issued October 2006)

AASB 1048 Interpretation and Application of Standards

AASB 2007-5 Amendments to Australian Accounting Standard - Inventories Held for Distribution by Not-for-Profit Entities [AASB 102]

ERR Erratum Proportionate Consolidation [AASB 101, AASB 107, AASB 121, AASB 127, Interpretation 113]

AASB Interpretation 10 Interim Financial Reporting and Impairment

AASB Interpretation 11 AASB 2 Group and Treasury Share Transactions

AASB Interpretation 1003 Australian Petroleum Resource Rent Tax

15 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Future Australian Accounting Standard requirements

The following new standards, amendments to standards or interpretations have been issued by the Australian Accounting Standards Board but are effective for future reporting periods. It is estimated that the impact of adopting these pronouncements when effective will have no material financial impact on future reporting periods.

AASB Interpretation 12 Service Concession Arrangements and 2007-2 Amendments to Australian Accounting Standards arising from AASB Interpretation 12

AASB 8 Operating Segments and 2007-3 Amendments to Australian Accounting Standards arising from AASB 8

2007-6 Amendments to Australian Accounting Standards arising from AASB 123

AASB Interpretation 13 Customer Loyalty Programmes

AASB Interpretation 14 AASB 119 – The Limit on a Defined Benefit Asset, Minimum Funding Requirements and their Interaction

AASB 3 Business Combinations

AASB 101 Presentation of Financial Statements (issued September 2007)

AASB 123 Borrowing Costs

AASB 127 Consolidated and Separate Financial Sttatements

AASB 1004 Contributions

AASB 1050 Administered Items

AASB 1051 Land Under Roads

AASB 1052 Disaggregated Disclosures

AASB 3 Business Combinations

AASB 2007-2 Amendments to Australian Accounting Standards arising from AASB Interpretation 12

AASB 2007-8 Amendments to Australian Accounting Standards arising from AASB 101

AASB 2007-9 Amendments to Australian Accounting Standards arising from the Review of AASs 27, 29 and 31

AASB 2008-1 Amendments to Australian Accounting Standard - Share-based Payments: Vesting Conditions and Cancellations

AASB 2008-2 Amendments to Australian Accounting Standards - Puttable Financial Instruments and Obligations arising on Liquidation

AASB 2008-3 Amendments to Australian Accounting Standards arising from AASB 3 and AASB 127

AASB 2008-4 Amendments to Australian Accounting Standard - Key Management Personnel Disclosures by Disclosing Entities

AASB Interpretation 1 Changes in Existing Decommissioning, Restoration and Similar Liabilities

AASB Interpretation 4 Determining Whether an Arrangement Contains a Lease

AASB Interpretation 129 Service Concession Arrangements Disclosures

16 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

AASB Interpretation 1038 Contributions by Owners Made to Wholly-Owned Public Sector Entities

Other

The following standards and interpretations have been issued but are not applicable to the operations of ACMA.

AASB 1049 Financial Reporting of General Government Sectors by Governments

AASB 1049 specifies the reporting requirements for the General Government Sector. The FMOs do not apply to this reporting or the consolidated financial statements of the Australian Government.

1.4 Revenue

Revenue from Government

Amounts appropriated for departmental outputs appropriations for the year (adjusted for any formal additions and reductions) are recognised as revenue, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned.

Appropriations receivable are recognised at their nominal amounts.

Other Types of Revenue

Revenue from the sale of goods is recognised when: • The risks and rewards of ownership have been transferred to the buyer; • The seller retains no managerial involvement nor effective control over the goods; • The revenue and transaction costs incurred can be reliably measured; and • It is probable that the economic benefits associated with the transaction will flow to the Entity.

Revenue from rendering of services is recognised by reference to the stage of completion of contracts at the reporting date. The revenue is recognised when: • The amount of revenue, stage of completion and transaction costs incurred can be reliably measured; and • The probable economic benefits with the transaction will flow to the Entity.

The stage of completion of contracts at the reporting date is determined by reference to the proportion that costs incurred to date bear to the estimated total costs of the transaction.

Receivables for goods and services, which have 30 day terms, are recognised at the nominal amounts due less any provision for bad and doubtful debts. Collectability of debts is reviewed at balance date. Provisions are made when collectability of the debt is no longer probable.

1.5 Gains

Resources Received Free of Charge

Resources received free of charge are recognised as gains when and only when a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources is recognised as an expense.

Contributions of assets at no cost of acquisition or for nominal consideration are recognised as gains at their fair value when the asset qualifies for recognition, unless received from another Government Agency or Authority as a consequence of a restructuring of administrative arrangements (Refer to Note 1.6).

Resources received free of charge are recorded as either revenue or gains depending on their nature ie whether they have been generated in the course of the ordinary activities of the Entity.

Sale of Assets

17 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY Gains from disposal of non-current assets are recognised when control of the asset has passed to the buyer.

1.6 Transactions with the Government as Owner

Equity Injections

Amounts appropriated which are designated as ‘equity injections’ for a year (less any formal reductions) are recognised directly in Contributed Equity in that year.

Restructuring of Administrative Arrangements

Net assets received from or relinquished to another Australian Government Agency or Authority under a restructuring of administrative arrangements are adjusted at their book value directly against contributed equity.

Other Distributions to Owners

The FMOs require that distribution to owners be debited to contributed equity unless in the nature of a dividend. In 2007- 08, by agreement with the Department of Finance and Deregulation, ACMA returned $4.3m for prior years unused appropriations.

1.7 Employee Benefits

Liabilities for services rendered by employees are recognised at the reporting date to the extent that they have not been settled.

Liabilities for short-term employee benefits (as defined in AASB 119) and termination benefits due within 12 months of balance date are measured at their nominal amounts.

The nominal amount is calculated with regard to the rates expected to be paid on settlement of the liability.

All other employee benefit liabilities are measured at the present value of the estimated future cash outflows to be made in respect of services provided by employees up to the reporting date.

Leave

The liability for employee benefits includes provision for annual leave and long service leave. No provision has been made for sick leave as all sick leave is non-vesting and the average sick leave taken in future years by employees of ACMA is estimated to be less than the annual entitlement for sick leave.

The leave liabilities are calculated on the basis of employees’ remuneration, including ACMA’s employer superannuation contribution rates to the extent that the leave is likely to be taken during service rather than paid out on termination.

The liability for long service leave has been determined by reference to the short hand method prescribed by the Department of Finance and Deregulation’s Finance Brief 13 Measurement of Commonwealth sector employee leave entitlements. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation.

Superannuation

The Commonwealth Superannuation Scheme (CSS) is no longer the majority scheme and has been replaced by the Public Sector Superannuation Scheme defined benefits (PSSdb), and more recently, the PSS accumulation plan (PSSap).

The CSS and PSSdb are defined benefit schemes for the Australian Government. The PSSap is a defined contribution scheme.

The liability for defined benefits is recognised in the financial statements of the Australian Government and is settled by the Australian Government in due course. This liability is reported by the Department of Finance and Deregulation as an administered item.

18 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY ACMA makes employer contributions to the Employee Superannuation Scheme at rates determined by an actuary to be sufficient to meet the cost to the Government of the superannuation entitlements of ACMA’s employees. ACMA accounts for the contributions as if they were contributions to defined contribution plans.

The liability for superannuation is recognised as at 30 June including any amounts accrued to the Reporting Date.

1.8 Leases

A distinction is made between finance leases and operating leases. Finance leases effectively transfer from the lessor to the lessee substantially all the risks and rewards incidental to ownership of leased non-current assets. An operating lease is a lease that is not a finance lease. In operating leases, the lessor effectively retains substantially all such risks and benefits.

Where a non-current asset is acquired by means of a finance lease, the asset is capitalised at either the fair value of the lease property or, if lower, the present value of minimum lease payments at the inception of the contract and a liability recognised at the same time and for the same amount.

The discount rate used is the interest rate implicit in the lease. Leased assets are amortised over the period of the lease. Lease payments are allocated between the principal component and the interest expense.

Operating lease payments are expensed on a straight line basis which is representative of the pattern of benefits derived from the leased assets.

The net present value of future net outlays in respect of surplus space under non-cancellable lease agreements is expensed in the period in which the space becomes surplus.

Lease incentives taking the form of ‘free’ leasehold improvements and rent holidays are recognised as liabilities. These liabilities are reduced by allocating lease payments between rental expense and reduction of the liability.

1.9 Cash

Cash means notes and coins held and any deposits held at call with a bank or financial institution with an original maturity of 3 months or less that are readily convertible to known amounts of cash and subject to insignificant risk of changes in value. Cash is recognised at its nominal amount.

1.10 Financial assets other than cash

Financial assets are derecognised when the contractual rights to the cash flows from the financial assets expire or the asset is transferred to another entity. In the case of a transfer to another entity, it is necessary that the risks and rewards of ownership are also transferred.

ACMA classifies its financial assets other than cash as 'loans and receivables" as defined in AASB 139 Financial Instructments: Recognition and Measurement.

Loans and receivables

Trade receivables, loans and other receivables that have fixed or determinable payments that are not quoted in an active market are classified as ‘loans and receivables’. They are included in current assets, except for maturities greater than 12 months after the balance sheet date. These are classified as non current assets. Loans and receivables are measured at amortised cost using the effective interest method less impairment. Interest is recognised by applying the effective interest rate.

The classification depends on the nature and purpose of the financial assets and is determined at the time of initial recognition.

1.11 Impairment of Financial Assets

Financial assets are assessed for impairment at each balance date.

Financial Assets held at Amortised Cost

19 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY If there is objective evidence that an impairment loss has been incurred for loans and receivables, the amount of the loss is measured as the difference between the asset’s carrying amount and the present value of the estimated future cash flows discounted at the asset’s original effective interest rate. The carrying amount is reduced by way of an allowance account. The loss is recognised in the Income Statement.

1.12 Financial liabilities

Suppliers and other payables Suppliers and other payables are recognized at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).

Financial liabilities are classified as "other financial liabilities" as defined in AASB 139 Financial Instructments: Recognition and Measurement.

Other financial liabilities Other financial liabilities, including borrowings, are initially measured at fair value, net of transaction costs.

Other financial liabilities are subsequently measured at amortised cost using the effective interest method, with interest expense recognised on an effective yield basis.

The effective interest method is a method of calculating the amortised cost of a financial liability and of allocating interest expense over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash payments through the expected life of the financial liability, or, where appropriate, a shorter period.

1.13 Contingent Liabilities and Contingent Assets

Contingent Liabilities and Assets are not recognised in the Balance Sheet but are reported in the relevant schedules and notes. They may arise from uncertainty as to the existence of a liability or asset or represent an existing liability or asset, in respect of which settlement is not probable or the amount cannot be reliably measured. Contingent assets are reported when settlement is probable, and contingent liabilities are recognised when settlement is greater than remote.

1.14 Acquisition of Assets

Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially at their fair value plus transaction costs where appropriate.

Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and revenues at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor Agency’s accounts immediately prior to the restructuring.

1.15 Property, Plant and Equipment

Asset Recognition Threshold

Purchases of property, plant and equipment are recognised initially at cost in the Balance Sheet, except for purchases costing less than the applicable asset threshold, which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total). The asset thresholds have been revised during the year as follows:

Asset Class 2007-08 2006-07 Buildings $50,000 $5,000 Leasehold improvements $50,000 $50,000 Plant and equipment $5,000 $5,000 Motor vehicles $20,000 n/a Software - purchased $50,000 $50,000 Sofware - internally developed $50,000 $200,000

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The changes in the asset threshold meant that assets costing $193,500 (2007: $3,150,967) with a written down value of $153,085 (2007: $1,236,335) were written off in 2007-08.

The initial cost of an asset includes an estimate of the cost of dismantling and removing the item and restoring the site on which it is located. This is particularly relevant to ‘makegood’ provisions in property leases taken up by ACMA where there exists an obligation to restore the property to its original condition. These costs are included in the value of ACMA’s leasehold improvements with a corresponding provision for the ‘makegood’ taken up.

Revaluations

Fair values for each class of asset are determined as shown below.

Asset Class Fair Value Measured at: Land Market selling price Building Market selling price Market selling price or depreciated Leasehold Improvements replacement cost Market selling price or depreciated Plant & Equipment replacement cost Market selling price or depreciated Motor Vehicles replacement cost

Following initial recognition at cost, property plant and equipment are carried at fair value less accumulated depreciation and accumulated impairment losses. Valuations are conducted with sufficient frequency to ensure that the carrying amounts of assets do not differ materially from the assets’ fair values as at the reporting date. The regularity of independent valuations depends upon the volatility of movements in market values for the relevant assets.

Revaluation adjustments are made on a class basis. Any revaluation increment is credited to equity under the heading of asset revaluation reserve except to the extent that it reverses a previous revaluation decrement of the same asset class that was previously recognised through the surplus or deficit. Revaluation decrements for a class of assets are recognised directly through surplus or deficit except to the extent that they reverse a previous revaluation increment for that class.

Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the asset and the net amount restated to the revalued amount of the asset.

Depreciation

Depreciable property plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to ACMA using, in all cases, the straight-line method of depreciation. Leasehold improvements are depreciated on a straight-line basis over the lesser of the estimated useful life of the improvements or the unexpired period of the lease.

Depreciation rates (useful lives), residual values and methods are reviewed at each reporting date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate. Residual values are re- estimated for a change in price only when assets are revalued.

Depreciation rates applying to each class of depreciable asset are based on the following useful lives:

Asset Class Useful life Buildings & Freehold Land 5 to 40 years Leasehold Improvements Lease term Plant & Equipment 3 to 15 years Finance leases 3 years

The aggregate amount of depreciation allocated for each class of asset during the reporting period is disclosed in Note 4C.

Impairment

21 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY All assets were assessed for impairment at 30 June 2008. Where indications of impairment exist, the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount.

The recoverable amount of an asset is the higher of its fair value less costs to sell and its value in use. Value in use is the present value of the future cash flows expected to be derived from the asset. Where the future economic benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset would be replaced if ACMA were deprived of the asset, its value in use is taken to be its depreciated replacement cost.

1.16 Intangibles

ACMA’s intangibles comprise internally developed software and purchased software for internal use. These assets are carried at cost less accumulated amortisation and accumulated impairment losses.

Software is amortised on a straight-line basis over its anticipated useful life. The useful lives of ACMA’s software is 3 to 10 years.

All software assets were assessed for indications of impairment as at 30 June 2008.

1.17 Taxation

ACMA is exempt from all forms of taxation except fringe benefits tax (FBT) and the goods and services tax (GST).

Revenues, expenses and assets are recognised net of GST: • except where the amount of GST incurred is not recoverable from the Australian Taxation Office; and • except for receivables and payables.

1.18 Reporting of Administered Activities

Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the Schedule of Administered Items and related Notes.

Except where otherwise stated below, administered items are accounted for on the same basis and using the same policies as for Departmental items, including the application of Australian Accounting Standards.

Administered Cash Transfers to and from Official Public Account

Revenue collected by ACMA for use by the Government rather than by ACMA is Administered Revenue. Collections are transferred to the Official Public Account (OPA) maintained by the Department of Finance and Deregulation. Conversely cash is drawn from the OPA to make payments under Parliamentary appropriation on behalf of Government. These transfers to and from the OPA are adjustments to the administered cash held by ACMA on behalf of the Government and reported as such in the Statement of Cash Flows in the Schedule of Administered Items and in the Administered Reconciliation Table in Note 22. Thus the Schedule of Administered Items largely reflects the Government’s transactions, through ACMA, with parties outside the Government.

Revenue

All administered revenues are revenues relating to the course of ordinary activities performed by ACMA on behalf of the Australian Government.

Radiocommunication, telecommunication and broadcasting fees and fines collected by ACMA are recognised as revenue when the economic activity of the fee payer takes place that gives rise to the Australian Government’s right to the fee. It is recognised at its nominal amount due less any provision for bad or doubtful debts. Collectability of debts is reviewed at balance date. Allowances are made when collection of the debt is judged to be less rather than more likely.

Note 2: Events after the Balance Date

No event has occurred after the balance date that should be disclosed in these statements.

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Note 3: Income

2008 2007 Revenues $'000 $'000

Note 3A: Revenues from Government Appropriation: Departmental outputs 97,229 82,089 Total revenue from Government 97,229 82,089

Note 3B: Sale of goods and rendering of services Provision of goods - related entities 95 9 Provision of goods - external entities 1 38 Total sale of goods 96 47 Rendering of services - related entities - 69 Rendering of services - external entities 343 486 Total rendering of services 343 555 Total sale of goods and rendering of services 439 602

Note 3C: Rental income Operating lease: Other 264 309 Total rental income 264 309

Note 3D: Other revenue Number allocation charges and other receipts 1,033 1,526 Total other revenue 1,033 1,526

Gains

Note 3E: Sale of assets Land and Buildings Proceeds from sale - 3 Carrying value of assets sold - - Infrastructure, Plant and Equipment Proceeds from sale - 18 Carrying value of assets sold - - Net gain from sale of assets - 21

Note 3F: Other gains Resources received free of charge 105 96 Reversal of provision for restoration obligations 19 - Total other gains 124 96

Total Income 99,089 84,643

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Note 4: Expenses 2008 2007 $'000 $'000 Note 4A: Employee benefits Wages and salaries 38,704 32,764 Superannuation 7,458 5,229 Leave and other entitlements 7,709 5,577 Separation and redundancies 779 697 Total employee benefits 54,650 44,267

Note 4B: Suppliers Provision of goods - related entities - 11 Provision of goods - external entities 1,250 956 Rendering of services - related entities 1,686 1,152 Rendering of services - external entities 26,290 25,336 Operating lease rentals: Minimum lease payments 10,285 7,529 Workers compensation premiums 377 482 Total supplier expenses 39,888 35,466

Note 4C: Depreciation and amortisation Depreciation: Infrastructure, plant and equipment 544 428 Buildings 1,407 1,476 Total depreciation 1,951 1,904

Amortisation: Intangibles - computer software 1,889 2,338 Leased assets 351 769 Total amortisation 2,240 3,107

Total depreciation and amortisation 4,191 5,011

Note 4D: Finance costs Finance leases 23 45 Total finance costs 23 45

2008 2007 $'000 $'000

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Note 4E: Write-down and impairment of assets Impairment of financial assets Bad and doubtful debts expense - 522 Write-down of non-financial assets Property, plant and equipment 332 814 Intangibles 34 423 Impairment of non-financial assets Property, plant and equipment - 1 Total write-down and impairment of assets 366 1,760

Asset capitalisation thresholds were changed during the year. Assets with historical cost lower than the new threshold were written off.

Note 4F: Losses from assets sales Land and Buildings Proceeds from sale - - Carrying value of assets sold - 18 Infrastructure, Plant and Equipment Proceeds from sale (4) - Carrying value of assets sold 14 16 Total losses from assets sales 10 34

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Note 5: Financial Assets

2008 2007 $'000 $'000 Note 5A: Cash and cash equivalents Cash on hand or on deposit 4,056 2,586 Total cash and cash equivalents 4,056 2,586

Note 5B: Trade and other receivables Goods and services 240 781 Appropriations receivable: for existing outputs 8,952 9,010 for additional outputs 25,774 21,404 Total appropriations receivable 34,726 30,414 GST receivable from the Australian Taxation Office 426 1,091 Other: v 724 537 Total other receivables 724 537 Total trade and other receivables (gross) 36,116 32,823 Less Allowance for doubtful debts: Goods and services (50) (569) Total trade and other receivables (net) 36,066 32,254

Receivables are represented by: Current 36,066 32,254 Non-current - - Total trade and other receivables (net) 36,066 32,254

Receivables are aged as follows: Not overdue 36,031 32,171 Overdue by: Less than 30 days 2 15 30 to 60 days 24 4 61 to 90 days 9 - More than 90 days 50 633 Total receivables (gross) 36,116 32,823

The allowance for doubtful debts is aged as follows: Overdue by: More than 90 days (50) (569) Total allowance for doubtful debts (50) (569)

Note 5B: Trade and other receivables (Cont.)

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Reconciliation of the allowance for doubtful debts Goods and Other Movements in relation to 2008 Services Receivables Total 2008 2008 2008 $'000 $'000 $'000 Opening Balance (569) - (569) Amounts written off 519 - 519 Amounts recovered and reversed - - - Increase / decrease recognised in net surplus - - - Closing Balance (50) - (50)

Goods and Other Movements in relation to 2007 Services Receivables Total 2007 2007 2007 $'000 $'000 $'000 Opening Balance (50) - (50) Amounts written off - - - Amounts recovered and reversed - - - Increase / decrease recognised in net surplus (519) - (519) Closing Balance (569) - (569)

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Note 6: Non-Financial Assets

2008 2007 $'000 $'000 Note 6A: Land and buildings

Freehold land (at fair value) 8,560 7,910 Buildings on freehold land: – fair value 210 644 – accumulated depreciation (8) - Total buildings on freehold land 202 644

Leasehold improvements: – fair value 5,711 3,552 – accumulated amortisation (1,644) - Total leasehold improvements 4,067 3,552 Total land and buildings (non-current) 12,829 12,106

No indicators of impairment were found for land and buildings.

Note 6B: Infrastructure, plant and equipment Infrastructure, plant and equipment: - gross carrying value (at fair value) 6,084 5,048 - accumulated depreciation (2,677) (2,041) Total infrastructure, plant and equipment 3,407 3,007

Plant and equipment under finance leases are subject to revaluation. The carrying amount is included in the valuation figures above.

All revaluations are conducted in accordance with the revaluation policy stated at Note 1. In 2007-08, an independent valuer, CB Richard Ellis Pty Ltd, conducted the revaluation on land.

Revaluation increment of $650,000 for land (2007: increment of $375,000) and revaluation decrement $390,351 for leasehold improvements (2007: increment of $165,988) were credited and debited to the asset revaluation reserve by asset class and included in the equity section of the balance sheet. There were no revaluation adjustments for other asset classes. (2007: increment of $30,212 for buildings on freehold land and $3,845 for plant and equipment) No decrements were expensed. (2007: no decrements were expensed).

No indicators of impairment were found for infrastructure, plant and equipment.

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2008 2007 $'000 $'000 Note 6D: Intangibles

Purchased computer software Purchased - at cost 4,237 4,060 Accumulated amortisation (3,372) (3,108) Total purchased computer software 865 952

Internally developed computer software Internally developed – in progress 1,334 233 Internally developed – in use 12,829 12,729 Accumulated amortisation (10,577) (9,030) Total internally developed computer software 3,586 3,932

Total intangibles (non-current) 4,451 4,884

No indicators of impairment were found for intangibles.

Note 6E: Other non-financial assets Prepaid expenses 996 954 Total other non-financial assets 996 954

All other non-financial assets are current assets.

No indicators of impairment were found for other non-financial assets.

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Note 6C: Analysis of property, plant and equipment

TABLE A – Reconciliation of the opening and closing balances of property, plant and equipment (2007/2008)

Other IP & Item Land Buildings E Total $'000 $'000 $'000 $'000 As at 1 July 2007 Gross book value 7,910 4,196 5,048 17,154 Accumulated depreciation and impairment - - (2,041) (2,041) Net book value 1 July 2007 7,910 4,196 3,007 15,113 Additions: by purchase - 1,664 1,848 3,512 Revaluations and impairments through equity 650 (390) - 260 Reclassification - 375 (375) - Depreciation expense - (1,407) (896) (2,303) Write-down - (169) (163) (332) Disposals: Other disposals - - (14) (14) Net book value 30 June 2008 8,560 4,269 3,407 16,236

Net book value as at 30 June 2008 represented by: Gross book value 8,560 5,921 6,084 20,565 Accumulated depreciation and impairment - (1,652) (2,677) (4,329) 8,560 4,269 3,407 16,236

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Note 6C: Analysis of property, plant and equipment (Cont.)

TABLE B – Reconciliation of the opening and closing balances of property, plant and equipment (2006/2007)

Other IP & Item Land Buildings E Total $'000 $'000 $'000 As at 1 July 2006 Gross book value 7,535 5,268 4,938 17,741 Accumulated depreciation and impairment - - (1,379) (1,379) Net book value 1 July2006 7,535 5,268 3,559 16,362 Additions: by purchase - - 852 852 by finance lease - - 634 634 from acquisition of operations - 1 - 1 Revaluations and impairments through equity 375 196 4 575 Reclassification - 318 (108) 210 Depreciation expense - (1,476) (1,197) (2,673) Impairments recognised in the operating result - - (1) (1) Write-down due to asset capitalisation threshold changed - (93) (720) (813) Disposals: Other disposals - (18) (16) (34) Net book value 30 June 2007 7,910 4,196 3,007 15,113

Net book value as at 30 June 2007 represented by: Gross book value 7,910 4,196 5,048 17,154 Accumulated depreciation and impairment - - (2,041) (2,041) 7,910 4,196 3,007 15,113

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Note 6D: Intangibles (Cont.)

Table C: Reconciliation of the opening and closing balances of intangibles (2007/2008).

Item Computer software Computer software Total purchased internally developed

$'000 $'000 $'000 As at 1 July 2007 Gross book value 4,060 12,962 17,022 Accumulated amortisation and impairment (3,108) (9,030) (12,138) Net book value 1 July 2007 952 3,932 4,884 Additions: by purchase 156 1,334 1,490 Revaluations and impairments through equity - - - Reclassification 133 (133) - Amortisation expense (342) (1,547) (1,889) Write-down (34) - (34) Net book value 30 June 2008 865 3,586 4,451

Net book value as at 30 June 2008 represented by: Gross book value 4,237 14,163 18,400 Accumulated amortisation and impairment (3,372) (10,577) (13,949) 865 3,586 4,451

Note 6D: Intangibles (Cont.)

Table D: Reconciliation of the opening and closing balances of intangibles (2006/2007).

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Item Computer software Computer software Total purchased internally developed

$'000 $'000 $'000 As at 1 July 2006 Gross book value 4,658 14,889 19,547 Accumulated amortisation and impairment (3,040) (9,066) (12,106) Net book value 1 July 2006 1,618 5,823 7,441 Additions: by purchase 160 253 413 from acquisition of operations 124 (332) (208) Revaluations and impairments through equity - - - Amortisation expense (707) (1,631) (2,338) Write-down due to asset capitalisation threshold changed (243) (180) (423) Disposals: Other disposals - (1) (1) Net book value 30 June 2007 952 3,932 4,884

Net book value as at 30 June 2007 represented by: Gross book value 4,060 12,962 17,022 Accumulated amortisation and impairment (3,108) (9,030) (12,138) 952 3,932 4,884

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Note 7: Payables

2008 2007 $'000 $'000

Note 7A: Suppliers Trade creditors 5,447 5,011 Total supplier payables 5,447 5,011

All payables to suppliers are current. Settlement is usually made net 30 days.

Note 7B: Tax liabilities FBT payable to the ATO (32) 54 Total tax liabilities (32) 54

All tax liabilities are current.

Note 7C: Other payables Prepayments received/unearned income 62 5 Lease incentive 1,224 1,622 Deferred rent 945 945 Total other payables 2,231 2,572

All other payables are current liabilities.

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Note 8: Interest Bearing Liabilities

2008 2007 $'000 $'000

Note 8A: Leases Finance leases 241 802 Total finance leases 241 802

Payable: Within one year Minimum lease payments 193 456 Deduct: future finance charges (7) (29) In one to five years Minimum lease payments 56 390 Deduct: future finance charges (1) (15) Finance leases recognised on the balance sheet 241 802

Finance leases exist in relation to IT equipment assets. The leases are non-cancellable and for fixed terms averaging three years. The interest rate implicit in the leases averaged 5% (2007: 5%). The lease assets secure the lease liabilities. There are no contingent rentals.

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Note 9: Provisions

2008 2007 $'000 $'000 Note 9A: Employee provisions Salaries and wages 2,715 1,104 Leave 13,650 11,517 Superannuation 246 1,142 Separations and redundancies 106 294 Total employee provisions 16,717 14,057

Employee provisions are represented by: Current 14,984 12,862 Non-current 1,733 1,195 Total employee provisions 16,717 14,057

The classification of current provisions includes amounts for which there is not an unconditional right to defer settlement by one year, hence in the case of employee provisions the above classification does not represent the amount expected to be settled within one year of reporting date.

Note 9B : Other Provisions Restoration obligations 1,659 1,253 Total other provisions 1,659 1,253

Other provisions are represented by: Current - - Non-current 1,659 1,253 Total other provisions 1,659 1,253

Provision for Provision for Guarantee Restoration Total $’000 $’000 $’000 Carrying amount 1 July 2007 - 1,253 1,253 Additional provisions made - 602 602 Amounts used - (177) (177) Amounts reversed - (19) (19) Closing balance 2008 - 1,659 1,659

ACMA currently has 14 agreements for the leasing of premises which have provisions requiring ACMA to restore the premises to their original condition at the conclusion of the lease. ACMA has made a provision to reflect the present value of this obligation.

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Note 10: Cash Flow Reconciliation

2008 2007 $'000 $'000 Reconciliation of cash and cash equivalents as per Balance Sheet to Cash Flow Statement

Reported cash and cash equivalents as per: Cash Flow Statement 4,056 2,586 Balance Sheet 4,056 2,586 Difference - -

Reconciliation of operating result to net cash from operating activities:

Operating result (39) (1,940) Depreciation/amortisation 4,191 5,012 Net write down of non-financial assets 366 1,237 Gain on disposal of assets (10) 13 Finance lease interest charges 24 44 (Increase)/decrease in net receivables (3,353) (3,826) (Increase)/decrease in inventories - 135 (Increase)/decrease in prepayments (40) (464) Increase/(decrease) in supplier payables 491 2,007 Increase/(decrease) in Tax Liabilities (86) 65 Increase/(Decrease) in other payables (785) (1,475)

Increase/(decrease) in employee provisions 2,660 (239) Net cash from/(used by) operating activities 3,419 569

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Note 11: Contingent Liabilities and Assets

Quantifiable Contingencies

ACMA has no quantifiable contingencies as at 30 June 2008 (2007: nil).

Unquantifiable Contingencies

At 30 June 2008, ACMA is involved in a number of legal proceedings, mostly of an administrative law nature, although some involved civil proceedings or prosecutions actioned by ACMA. It is not possible to estimate the amounts of any eventual payments that may be required in relation to these claims.

Remote Contingencies

ACMA has no remote contingencies as at 30 June 2008 (2007: nil).

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Note 12: Executive Remuneration

2008 2007

The number of senior executives who received or were due to receive total remuneration of $130,000 or more:

$130,000 to $144,999 0 1 $145,000 to $159,999 1 1 $160,000 to $174,999 1 0 $175,000 to $189,999 2 1 $190,000 to $204,999 2 5 $205,000 to $219,999 6 3 $220,000 to $234,999 2 1 $235,000 to $249,999 2 2 $250,000 to $264,999 2 1 $265,000 to $279,999 1 2 Total 19 17

The aggregate amount of total remuneration of executives shown above. $4,070,309 $3,620,252

No separation and redundancy/termination benefit payments were made during the year to executives shown above.

39 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 13: Remuneration of Auditors 2008 2007 $ $ Financial statement audit services are provided free of charge to the agency. The fair value of the services provided was: 2007-08 financial audit by ANAO or its representative 105,000 96,422

No other services were provided by the Auditor-General.

Note 14: Average Staffing Levels

2008 2007

The average staffing levels for the Agency during the year were: 554 501

40 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 15: Financial Instruments

2008 2007 $'000 $'000 15A Categories of financial instruments Financial Assets Loans and receivables financial assets Trade receivables 240 781 240 781

Carrying amount of financial assets 190 212

Financial Liabilities At amortised cost Trade payables 5,447 5,011 Finance lease 241 802 5,688 5,813

Carrying amount of financial liabilities 5,688 5,813

15B Net income and expense from financial assets

Trade receivables are short term and non interest bearing. There is no income or expense from these assets.

15C Net income and expense from financial liabilities

Financial liabilities - at amortised cost Interest expense 23 45 Net expense from financial liabilities - at amortised cost 23 45

Net expense from financial liabilities 23 45

15D Fee Income and Expense

There is no fee income or expense from financial instruments in 2007-08 (2007: nil).

15E Fair value of financial instruments

The carrying amounts of the financial assets and liabilities are a reasonable approximation of their fair values due to the short term nature of these assets and liabilities.

41 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

15F Credit risk

ACMA's maximum exposures to credit risk at reporting date in relation to each class of recognised financial assets is the carrying amount of those assets as indicated in the Balance Sheet.

ACMA has no significant exposures to any concentrations of credit risk.

The following table illustrates ACMA's gross exposure to credit risk, excluding any collateral or credit enhancements.

2008 2007 $'000 $'000 Financial assets Trade receivables 240 781 Total 240 781

No financial assets are pledged or held as collateral at the reporting date.

Credit quality of financial instruments not past due or individually determined as impaired

Not Past Not Past Past due or Past due or Due Nor Due Nor impaired impaired Impaired Impaired 2008 2007 2008 2007 $'000 $'000 $'000 $'000 Trade receivables 155 129 85 652 Total 155 129 85 652

Ageing of financial assets that are past due but not impaired for 2008

0 to 30 31 to 60 61 to 90 90+ days days days days Total $'000 $'000 $'000 $'000 $'000 Trade receivables 2 24 9 - 35 Total 2 24 9 - 35

Ageing of financial assets that are past due but not impaired for 2007

0 to 30 31 to 60 61 to 90 90+ days days days days Total $'000 $'000 $'000 $'000 $'000 Trade receivables 15 4 - 64 83 Total 15 4 - 64 83

Trade receivables past due by over 60 days have been individually assessed as impaired.

42 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

15G Liquidity risk

ACMA has sufficient appropriations to fully meet the obligations associated with the financial liabilities as disclosed in this note.

2008 2007 $'000 $'000 Financial liabilities Trade creditors 5,447 5,011 Finance lease 241 802 Total 5,688 5,813

The following tables illustrates the maturities for financial liabilities

On within 1 1 to 5 > 5 demand year years years Total 2008 2008 2008 2008 2008 $'000 $'000 $'000 $'000 $'000 Trade creditors - 5,447 - - 5,447 Finance lease - 186 55 - 241 Total - 5,633 55 - 5,688

On within 1 1 to 5 > 5 demand year years years Total 2007 2007 2007 2007 2007 $'000 $'000 $'000 $'000 $'000 Trade payables - 5,011 - - 5,011 Finance lease - 427 375 - 802 Total - 5,438 375 - 5,813

43 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 16 : Member Remuneration

2008 2007 The number of members of the Authority included in these figures are shown below in the relevant remuneration bands:

$30,000 to $44,999 - 2 $45,000 to $59,999 3 1 $60,000 to $74,999 1 - $75,000 to $89,999 - 1 $285,000 to $299,999 - 1 $315,000 to $329,999 1 1 $345,000 to $359,999 1 - $420,000 to $434,999 1 1 Total number of members of the Authority 7 7

Total remuneration received or due and receivable by members of ACMA $1,312,274 $1,229,893

44 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 17: Related Party Disclosures

Members of the Authority

The Members of the Authority during the year were:

Full time Executive Members

Mr Christopher John Chapman (Chair)

Ms Lynnita Mary Maddock (Deputy Chair)

Mr Christopher Michael Cheah (Full-time Member)

Part-time Members

Professor Gerrard Anderson (Member)

Mr Malcolm William Long (Member)

Ms Johanna Joyce Plante (Member)

Mr Rodney Francis Shogren (Member)

There were no loans, grants or other related party transactions with the members of the Authority other than the aggregate remuneration as disclosed in Note 16.

45 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 18: Income Administered on Behalf of Government

2008 2007 $'000 $'000 Revenue

Taxation Revenue

Note 18A: Other taxes Broadcasting licence and radiocomms taxes 431,090 405,974 Telco numbering charges 59,999 60,000 Total other taxes 491,089 465,974

Non–taxation revenue

Note 18B: Sale of goods and rendering of services Rendering of services – related entities - - Rendering of services – external entities 2,382 1,404 Total rendering of services 2,382 1,404

Total sale of goods and rendering services 2,382 1,404

Note 18C: Fees and fines Licence fees (excluding broadcasting) 40,156 36,875 Fines 12 5,549 Total fees and fines 40,168 42,424

Note 18D: Other revenue Industry contributions 170,203 181,917 Total other revenue 170,203 181,917

Gains

Note 18E: Sale of assets Intangibles Proceeds from sale 4,612 5,746 Total net gain from disposal of assets 4,612 5,746

46 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 19: Expenses Administered on Behalf of Government

2008 2007 $'000 $'000 Expenses

Note19A: Subsidies Payable to related entities - - Payable to external entities 170,014 185,491 Total subsidies 170,014 185,491

Note19A: Suppliers Payable to external entities 281 - Total suppliers 281 -

Note 19B : Write-down and impairment of assets Write down and impairment of Financial Assets Other taxes - bad and doubtful debts 80 (82) Sale of goods and rendering services - bad and doubtful debts 274 (818) Fees and fines - bad and doubtful debts 10 5,670 Other revenue - bad and doubtful debts 189 731 Write down and impairment of Non-Financial Assets Sale of intangible assets - bad and doubtful debts 11 125 Total write down and impairment of assets 564 5,626

47 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 20: Assets Administered on Behalf of Government

2008 2007 $'000 $'000 Financial Assets

Note 20A: Cash and cash equivalents Special accounts 7,358 3,944 Cash on hand or on deposits 8 15 Total cash and cash equivalents 7,366 3,959

Note 20B: Taxation receivables Other taxes 282,951 275,362 Total taxation receivables 282,951 275,362 Less: allowance for impairment losses (1,410) (1,325) Total taxation receivables (net) 281,541 274,037

Taxation receivables are aged as follows: Not overdue 281,082 273,616 Overdue by: Less than 30 days 4 33 30 to 60 days 455 147 61 days and over 14 242 Over 90 days 1,396 1,324 Total taxation receivables (gross) 282,951 275,362

All taxation receivables are current assets

The allowance for impairment losses is aged as follows: Overdue by: 61 days and over 14 - More than 90 days 1,396 1,325 Total allowance for impairment losses 1,410 1,325

Note 20C: Receivables Goods and services receivable 734 1,050 Other receivables: Fees, charges and other revenue 44,347 41,118 Total receivables 45,081 42,168

Less: Allowance for impairment losses: Other receivables (7,320) (6,990) Total receivables (net) 37,761 35,178

Receivables are aged as follows: Not overdue 37,417 34,080 Overdue by: Less than 30 days 221 657 30 to 60 days 41 14 61 to 90 days 7 - More than 90 days 7,395 7,417 Total receivables (gross) 45,081 42,168

48 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

The allowance for impairment losses is aged as follows: Overdue by: More than 90 days (7,320) (6,990) Total allowance for impairment losses (7,320) (6,990)

Goods and services receivables are with Entities external to the Australian Government. Credit terms vary dependant on legislation.

2008 2007 $'000 $'000

Note 20D: Other financial assets Fines issued 1,000 5,525 Total other financial assets 1,000 5,525 Less: Allowance for impairment losses (1,000) (5,500) Total other financial assets (net) - 25

Reconciliation of the allowance for doubtful debts Goods and Other Movements in relation to Services Receivables Total 2008 2008 2008 $'000 $'000 $'000 Opening Balance (1,325) (12,490) (13,815) Amounts written off - 4,500 4,500 Amounts recovered and reversed - - - Increase / decrease recognised in net surplus (85) (330) (415) Closing Balance (1,410) (8,320) (9,730)

Goods and Other Movements in relation to Services Receivables Total 2007 2007 2007 $'000 $'000 $'000 Opening Balance (1,439) (7,582) (9,021) Amounts written off - Amounts recovered and reversed - Increase / decrease recognised in net surplus 114 (4,908) (4,794) Closing Balance (1,325) (12,490) (13,815)

49 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 21: Liabilities Administered on Behalf of Government

2008 2007 $'000 $'000

Note 21A: Suppliers Trade creditors 224 167 Total suppliers 224 167

All creditors are entities that are not part of the Australian Government. Settlement is usually made net 30 days.

Note 21B: Subsidies Payable to external entities 7,546 3,969 Total subsidies 7,546 3,969

Note 21C: Other payables Prepayments received/unearned income 3,852 3,300 Total other payables 3,852 3,300

50 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 22: Administered Reconciliation Table

2008 2007 $'000 $'000

Opening administered assets less administered liabilities as at 1 July 2007 305,763 303,914

Plus: Administered income 708,454 697,465

Less: Administered expenses (170,859) (191,117)

Administered transfers to/from Australian Government: Appropriation transfers from OPA:

Refunds of administered revenues 9,359 11,117

Transfers to OPA (537,671) (518,703)

Restructuring - 3,087 Closing administered assets less administered liabilities as at 30 June 2008 315,046 305,763

51 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 23: Financial Instruments

2008 2007 $'000 $'000 23A Categories of financial instruments Financial Assets Loans and receivables financial assets Goods and services receivables 734 1,050 Fees, charges and other revenue receivables 44,347 41,118 45,081 42,168

Carrying amount of financial assets 37,761 35,178

Financial Liabilities At amortised cost Trade creditors 224 167 Subsidies payable 7,546 3,969 7,770 4,136

Carrying amount of financial liabilities 7,770 4,136

23B Net income and expense from financial assets

All loans and receivables financial assets are short term and non interest bearing. There is no income or expense from these assets (2007: nil).

23C Net income and expense from financial liabilities

All financial liabilities are short term and non interest bearing. There is no income or expense from financial liabilities (2007: nil).

23D Fee Income and Expense

There is no fee income or expense from financial instruments in 2007-08 (2007: nil).

23E Fair value of financial instruments

The carrying amounts of the financial assets and liabilities are reasonable approximation of their fair values due to the short term nature of these assets and liabilities.

52 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

23F Credit risk

ACMA's maximum exposures to credit risk at reporting date in relation to each class of recognised financial assets is the carrying amount of those assets as indicated in the Balance Sheet.

ACMA has no significant exposures to any concentrations of credit risk.

The following table illustrates ACMA's gross exposure to credit risk, excluding any collateral or credit enhancements.

2008 2007 $'000 $'000 Financial assets Goods and services receivables 734 1,050 Fees, charges and other revenue receivables 44,347 41,118 Total 45,081 42,168

No financial assets are pledged or held as collateral at the reporting date.

Credit quality of financial instruments not past due or individually determined as impaired

Not Past Not Past Past due or Past due or Due Nor Due Nor impaired impaired Impaired Impaired 2008 2007 2008 2007 $'000 $'000 $'000 $'000 Goods and services receivables 386 1,050 348 - Fees, charges and other revenue 37,031 33,030 7,316 8,088 receivables Total 37,417 34,080 7,664 8,088

Ageing of financial assets that are past due but not impaired for 2008

0 to 30 31 to 60 61 to 90 90+ days days days days Total $'000 $'000 $'000 $'000 $'000 Goods and services receivables 124 27 - 197 348 Fees, charges and other revenue 97 13 7 7,199 7,316 receivables Total 221 40 7 7,396 7,664

Ageing of financial assets that are past due but not impaired for 2007

0 to 30 31 to 60 61 to 90 90+ days days days days Total $'000 $'000 $'000 $'000 $'000 Goods and services receivables - - - - - Fees, charges and other revenue 657 14 - 7,417 8,088 receivables Total 657 14 - 7,417 8,088

53 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

The following list of assets have been individually assessed as impaired: Goods and services receivables past due by over 60 days Fees, charges and other revenue receivables past due by over 60 days

23G Liquidity risk

ACMA has the right to request appropriation to meet obligations associated with trade creditors. Subsidies payable are funded by special accounts set up for the specific purposes.

On within 1 1 to 5 > 5 demand year years years Total 2008 2008 2008 2008 2008 $'000 $'000 $'000 $'000 $'000 Trade creditors - 224 - - 224 Subsidies payable - 7,546 - - 7,546 Total - 7,770 - - 7,770

On within 1 1 to 5 > 5 demand year years years Total 2007 2007 2007 2007 2007 $'000 $'000 $'000 $'000 $'000 Trade creditors - 167 - - 167 Subsidies payable - 3,969 - - 3,969 Total - 4,136 - - 4,136

54 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 24: Appropriations

Table A: Acquittal of Authority to Draw Cash from the Consolidated Revenue Fund for Ordinary Annual Services Appropriations and borrowings

Departmental Outputs Total Particulars 2008 2007 2008 2007 $'000 $'000 $'000 $'000

Balance carried from previous period 12,686 8,926 12,686 8,926

Appropriation Act:

Appropriation Act (No.1) 94,440 81,069 94,440 81,069

Appropriation Act (No.3) 2,789 1,020 2,789 1,020

Reductions: - - - -

- prior years (4,300) - (4,300) -

FMA Act:

Refunds credited (FMA s 30) - 863 - 863

Appropriations to take account of recoverable GST (FMA s 30A) 4,426 3,002 4,426 3,002

Annotations to ‘net appropriations’ (FMA s 31) 5,015 2,421 5,015 2,421

Total appropriation available for payments 115,056 97,301 115,056 97,301

Cash payments made during the year (GST inclusive) 101,622 84,615 101,622 84,615

Appropriations credited to Special Accounts (excluding GST) - - - - Balance of Authority to Draw Cash from the Consolidated Revenue Fund for Ordinary Annual Services Appropriations 13,434 12,686 13,434 12,686

Represented by

Cash at bank and on hand 4,056 2,586 4,056 2,586

Departmental appropriations receivable 8,952 9,010 8,952 9,010

GST Receivable 426 1,090 426 1,090

Total 13,434 12,686 13,434 12,686

Departmental and non-operating appropriations do not lapse at financial year end. However, the responsible Minister may decide that part or all of a departmental or non-operating appropriation is not required and request the Finance Minister to reduce that appropriation. The reduction is effected by the Finance Minister's determination and is disallowable by Parliament. During the 2007/2008 financial year, the Minister determined $4,300,000 under section 9 of the FMA Act to be no longer required (2007: nil).

55 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Table B: Acquittal of Authority to Draw Cash from the Consolidated Revenue Fund for Other than Ordinary Annual Services Appropriations

Non – operating Previous Years’ Admin assets and Total Equity Loans Particulars Outputs liabilities 2008 2007 2008 2007 2008 2007 2008 2007 2008 2007 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000 $'000

Balance carried from previous period 21,404 21,777 ------21,404 21,777

Appropriation Act:

Appropriation Act (No.2) 7,748 627 ------7,748 627

Appropriation Act (No.4) (169) ------(169) -

Reductions:

- prior years - (1,000) ------(1,000)

- current year ------

FMA Act:

Total appropriations available for payments 28,983 21,404 ------28,983 21,404 Cash payments made during the year (GST inclusive) 3,209 ------3,209 - Balance of Authority to Draw Cash from the Consolidated Revenue Fund for Other Than Ordinary Annual Services Appropriations 25,774 21,404 ------25,774 21,404

Represented by:

Appropriation receivable 25,774 21,404 ------25,774 21,404

Total 25,774 21,404 ------25,774 21,404

56 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Table C: Acquittal of Authority to Draw Cash from the Consolidated Revenue Fund - Special Appropriations (Refund Provisions)

Financial Management and Accountability Act 1997 -- s28 2008 2007

Providing refunds for administered revenues $'000 $'000

Refunds paid (FMA Act s28) 2,890 3,792

Total charged to special appropriation 2,890 3,792

Budget estimate - FMA Act s28 4,500 2,000

Table D: Acquittal of Authority to Draw Cash from the Consolidated Revenue Fund - Special Appropriation (Limited Amount)

Telecommunications Act 1997 -- s136C(4) 2008 2007 Reimbursement of costs of developing consumer-related industry code $'000 $'000

Appropriation for reporting period 281 -

Appropriations to take account of recoverable GST (FMA Act s30A) 28 -

Available for payments 309 -

Cash payments made during the year (GST inclusive) 309 -

Budget estimate - Telecommunications Act 1997 - s136C(4) 500 800

57 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 25: Special Accounts

2008 2007 Universal Service Account (Administered) $'000 $'000 Legal Authority: Telecommunications (Consumer Protection and Service Stds) Act 1999, Division 14, Section 21(2) Appropriation: Financial Management and Accountability Act 1997; s21

Purpose: The above account is used for the collection of the USO levy from telecommunications providers and making payments to the USO provider (Telstra). This account is non-interest bearing

Balance carried from previous period 658 990

Appropriation for reporting period - -

GST credits (FMA Act s30A) 5,505 5,406

Other receipts 55,194 58,242

Available for payments 61,357 64,638

Payments made to suppliers 60,551 63,980

Repayments debited from the special account (FMA Act s28) - -

Investments debited from the special account (FMA Act s39) - -

Total debits 60,551 58,574

Balance carried to next year 806 658

Represented by:

Cash - transferred to the Official Public Account 806 658

Total balance carried to the next period 806 658

58 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

2008 2007 National Relay Service (Administered) $'000 $'000

Legal Authority: Telecommunications (Consumer Protection and Service Stds) Act 1999, Division 4, Section 102(2) Appropriation: Financial Management and Accountability Act 1997; s21

Purpose: The above account is used for the collection of the NRS levy from telecommunications providers and making payments to the NRS providers. This account is non-interest bearing Balance carried from previous period 3,286 - Appropriation for reporting period - - GST credits (FMA Act s30A) 1,137 1,020 Other receipts 17,158 13,830 Available for payments 21,581 14,850 Payments made to suppliers 15,029 11,564 Total debits 15,029 11,564 Balance carried to next year 6,552 3,286

Represented by: Cash - transferred to the Official Public Account 6,552 3,286 Total balance carried to the next period 6,552 3,286

59 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

2008 2007 Other Trust Money (Trust) $'000 $'000 Legal Authority: Appropriation: Financial Management and Accountability Act 1997; s21

Purpose: Monies held in trust and advanced to ACMA by various satelite operators (or prospective operators). These are in respect of a cost recovery (guarantee required in advance) for filings with the International Telecommunication Union. This account is interest bearing Balance carried from previous period - 6 Other receipts 7 1,358 Available for payments 7 1,364 Payments made to ITU 7 1,364 Total debits 7 1,364 Balance carried to next period - -

Represented by: Cash - transferred to the Official Public Account - - Total balance carried to the next period - -

2008 2007 Comcare Trust account (Trust) $'000 $'000 Legal Authority: Appropriation: Financial Management and Accountability Act 1997; s21

Purpose: moneys held in trust and advanced to the Authority by COMCARE for the purpose of distributing compensation payments made in accordance with the Safety, Rehabilitation and Compensation Act 1998. This account is interest bearing Balance carried from previous period 10 12 Other receipts 139 149 Available for payments 149 161 Payments made 140 151 Total debits 140 151 Balance carried to next period 9 10

Represented by: Cash - transferred to the Official Public Account 9 10 Total balance carried to the next period 9 10

60 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 26: Assets Held in Trust

Financial assets

Financial assets held in trust are disclosed in another section of this Financial Report (refer to Note 25: Special Accounts in the table of Other Trust Money and table of Comcare Trust Account).

Refer to Outcome 1 Resourcing Table and Outcome 2 Resourcing Table of this annual report. (Note: These resourcing tables are not audited).

Note 27: Compensation and Debt Relief

Departmental

No waivers of amounts owing to the Australian Government were made pursuant to subsection 34(1) of the Financial Management and Accountability Act 1997 (2007: Nil).

No "Act of Grace" expenses were incurred during the report period (2007: Nil).

No ex-gratia payments were provided for during the reporting period (2007: Nil).

2008 2007 $ $ Administered

2 waivers of amounts owing to the Australian Government were made pursuant to subsection 34(1) of the Financial Management and Accountability Act 1997. 25,000 429,799 (2007: 22 waivers)

No "Act of Grace" expenses were incurred during the report period (2007: Nil).

No ex-gratia payments were provided for during the reporting period (2007: Nil).

61 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 28: Reporting of Outcomes

The ACMA uses an Activity Based Costing System to determine the attribution of its shared items. This system was based on average staffing levels (ASL) for the majority of corporate activities in 2007-08 with other relevant allocations including floor space and fixed percentages.

Note 28A: Net cost of outcome delivery

2007/2008 Outcomes Outcome 1 Outcome 2 Total $'000 $'000 $'000 Administered 210 170,649 170,859 Departmental 67,526 31,602 99,128 Total Expenses 67,736 202,251 269,987

Costs recovered from provision of goods and services to the non-government sector Administered Sale of goods and rendering services 460,145 172,473 632,618 Total Administered 460,145 172,473 632,618

Costs recovered from provision of goods and services to the non-government sector Departmental Sale of goods and rendering services 332 11 343 Other revenue 750 249 999 Sale of assets - - - Total Departmental 1,082 260 1,342 Total costs recovered 461,227 172,733 633,960 Other external revenues Administered Sale of goods and rendering services 55,161 20,676 75,837 Total Administered 55,161 20,676 75,837 Other external revenues Departmental Sale of goods and rendering services 93 3 96 Rental income 188 76 264 Other revenue 26 8 34 Other gains 88 36 124 Total Departmental 395 123 518 Total Other External Revenues 55,556 20,799 76,355 Net Cost / (Contribution) of Outcome (449,047) 8,719 (440,328)

62 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

2006/2007 Outcomes Outcome 1 Outcome 2 Total $'000 $'000 $'000 Administered 12 191,105 191,117 Departmental 68,223 18,360 86,583 Total Expenses 68,235 209,465 277,700

Costs recovered from provision of goods and services to the non-government sector Administered Sale of goods and rendering services 433,527 199,182 632,709 Total Administered 433,527 199,182 632,709

Costs recovered from provision of goods and services to the non-government sector Departmental Sale of goods and rendering services 472 51 523 Other revenue 1,154 122 1,276 Sale of assets 21 - 21 Total Departmental 1,647 173 1,820 Total costs recovered 435,174 199,355 634,529 Other external revenues Administered Sale of goods and rendering services 44,370 20,386 64,756 Total Administered 44,370 20,386 64,756 Other external revenues Departmental Sale of goods and rendering services 71 8 79 Rental income 289 20 309 Other revenue 226 24 250 Other gains 88 8 96 Total Departmental 674 60 734 Total Other External Revenues 45,044 20,446 65,490 Net Cost / (Contribution) of Outcome (411,983) (10,336) (422,319)

63 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 28B: Major classes of departmental revenues and expenses by output groups and outputs

2007/2008

Outcome 1 Outcome 2 Total Output 1.1 Output 1.2 Output 2.1 Output 2.2 $'000 $'000 $'000 $'000 $'000 Departmental Expenses Employees 21,455 17,059 12,664 3,472 54,650 Suppliers 14,535 10,828 11,803 2,722 39,888 Depreciation and amortisation 1,628 1,686 648 229 4,191 Financing costs 9 7 5 2 23 Write-down and impairment of assets 231 78 41 16 366 Loss on sale of assets 8 2 - - 10 Total Departmental Expenses 37,866 29,660 25,161 6,441 99,128 Funded by: Revenues from Government 41,929 26,230 22,436 6,634 97,229 Sale of goods and rendering services 154 270 10 5 439 Rental income 105 83 55 21 264 Other revenue 370 406 183 74 1,033 Sale of assets - - - - - Other gains 49 39 26 10 124 Total Departmental Revenues 42,607 27,028 22,710 6,744 99,089

2006/2007

Outcome 1 Outcome 2 Total Output 1.1 Output 1.2 Output 2.1 Output 2.2 $'000 $'000 $'000 $'000 $'000 Departmental Expenses Employees 20,943 14,404 6,135 2,785 44,267 Suppliers 16,090 10,676 5,606 3,094 35,466 Depreciation and amortisation 2,428 1,988 413 182 5,011 Financing costs 27 14 2 2 45 Write-down and impairment of assets 1,101 518 85 56 1,760 Loss on sale of assets 29 5 - - 34 Total Departmental Expenses 40,618 27,605 12,241 6,119 86,583 Funded by: Revenues from Government 49,866 25,248 4,044 2,931 82,089 Sale of goods and rendering services 210 333 32 27 602 Rental income 194 95 11 9 309 Other revenue 198 1,183 101 44 1,526 Sale of assets 18 3 - - 21 Other gains 59 29 5 3 96 Total Departmental Revenues 50,545 26,891 4,193 3,014 84,643

64 AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY

Note 28B: Major classes of departmental revenues and expenses by output groups and outputs

2007/2008

Outcome 1 Outcome 2 Total Output 1.1 Output 1.2 Output 2.1 Output 2.2 $'000 $'000 $'000 $'000 $'000 Departmental Expenses Employees 21,455 17,059 12,664 3,472 54,650 Suppliers 14,535 10,828 11,803 2,722 39,888 Depreciation and amortisation 1,628 1,686 648 229 4,191 Financing costs 9 7 5 2 23 Write-down and impairment of assets 231 78 41 16 366 Loss on sale of assets 8 2 - - 10 Total Departmental Expenses 37,866 29,660 25,161 6,441 99,128 Funded by: Revenues from Government 41,929 26,230 22,436 6,634 97,229 Sale of goods and rendering services 154 270 10 5 439 Rental income 105 83 55 21 264 Other revenue 370 406 183 74 1,033 Sale of assets - - - - - Other gains 49 39 26 10 124 Total Departmental Revenues 42,607 27,028 22,710 6,744 99,089

2006/2007

Outcome 1 Outcome 2 Total Output 1.1 Output 1.2 Output 2.1 Output 2.2 $'000 $'000 $'000 $'000 $'000 Departmental Expenses Employees 20,943 14,404 6,135 2,785 44,267 Suppliers 16,090 10,676 5,606 3,094 35,466 Depreciation and amortisation 2,428 1,988 413 182 5,011 Financing costs 27 14 2 2 45 Write-down and impairment of assets 1,101 518 85 56 1,760 Loss on sale of assets 29 5 - - 34 Total Departmental Expenses 40,618 27,605 12,241 6,119 86,583 Funded by: Revenues from Government 49,866 25,248 4,044 2,931 82,089 Sale of goods and rendering services 210 333 32 27 602 Rental income 194 95 11 9 309 Other revenue 198 1,183 101 44 1,526 Sale of assets 18 3 - - 21 Other gains 59 29 5 3 96 Total Departmental Revenues 50,545 26,891 4,193 3,014 84,643

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GLOSSARY

3G third generation mobile telecommunications Mobile telecommunications systems that can provide global mobile communications and support multimedia applications. 3.5G/4G Enhancements to mobile telecommunications systems that increase the usable data rate to allow the delivery of data-intensive applications such as high resolution video. ABA Australian Broadcasting Authority Former Commonwealth regulatory authority responsible for broadcasting. ABC Australian Broadcasting Corporation Free-to-air national broadcaster of ABC radio and television channels, as well as the internet services ABC Online, ABC Broadband and DIG internet radio. The ABC is funded by the Australian Government. ABS Australian Bureau of Statistics Australia’s official statistical organisation serving government, business and the general population. ACA Australian Communications Authority Former Commonwealth regulatory authority responsible for radiocommunications and telecommunications. ACCC Australian Competition and Consumer Commission Commonwealth regulatory body with responsibilities derived from the Trade Practices Act 1974. ACE Australian Communication Exchange Current National Relay Service provider and emergency call person for the text-based emergency call service. ACMA Australian Communications and Media Authority Commonwealth regulatory authority for broadcasting, online content, radiocommunications and telecommunications, with responsibilities under the Broadcasting Services Act 1992, the Radiocommunications Act 1992, the Telecommunications Act 1997 and related Acts. Established on 1 July 2005 following a merger of the Australian Communications Authority and the Australian Broadcasting Authority.

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ACTA Australian Community Television Alliance A not-for-profit industry association representing free-to-air community television channels licensed by the Australian Government under the Broadcasting Services Act. AEDG Australian ENUM Discussion Group A consultative and advisory body designed to assist stakeholders in responding to the policy, regulatory, technical and commercial implications associated with the introduction of ENUM. AISI Australian Internet Security Initiative Managed by ACMA to address e-security threats. ANAO Australian National Audit Office Office responsible for financial and performance audits of Commonwealth departments and authorities. ANC annual numbering charges ARPANSA Australian Radiation Protection and Nuclear Safety Agency Commonwealth regulatory and research agency responsible for protecting people and the environment from the harmful effects of ionising and non-ionising radiation. Associated Newspaper A public register of newspapers ‘associated’ with commercial Register radio or commercial television broadcasting licence areas. ASTRA Australian Subscription Television and Radio Association Industry body for subscription television, radio broadcasters and narrowcasters, responsible for developing and reviewing industry codes of practice, in consultation with ACMA. broadband Describes a class of internet access technologies, such as ADSL, HFC cable and WiFi, offering a data rate significantly higher than narrowband services. These services are usually ‘always on’ and do not tie up a telephone line exclusively for data. BSB broadcasting services bands Parts of the radiofrequency spectrum dedicated to broadcasting services. carrier The holder of a telecommunications carrier licence in force under the Telecommunications Act 1997. CCF Consumer Consultative Forum Assists ACMA to perform its functions relating to consumers. CDMA code division multiple access Digital coding technique used primarily for mobile telecommunications and satellite services, employing a bandwidth much larger than the original signal. Each signal is uniquely encoded and decoded, allowing many signals to occupy the same spectrum. Communications Alliance Australia’s peak communications industry organisation that promotes the growth of the Australian communications industry and the protection of consumer interests. communications satellite Orbiting radio relay station that receives, amplifies and redirects radiocommunications signals. coverage area Geographic area in which calls are able to be made successfully. For instance, the area between a base station and a mobile phone handset. CPRs cabling provider rules Rules to support telecommunications cabling industry self-regulation.

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CSG Customer Service Guarantee Standard covering provision of the standard telephone service that provides for financial compensation to customers if the requirements in the standard are not met. The new CSG Standard came into effect from 30 June 2000, replacing the original 1998 standard, and was amended in 2004. CSP carriage service provider Person supplying or proposing to supply services to the public using carrier networks. CTS Children’s Television Standards Standards designed to provide access for children (aged <14 years) to quality television programs made specifically for them. The standards regulate timing and scheduling of children’s programs and content of adjacent programming. DAB digital audio broadcasting A digital radio technology for broadcasting radio stations. DBCDE Department of Broadband, Communications and the Digital Economy Commonwealth department that provides policy advice and program support to the Australian Government on information technology and communications portfolio issues. DDSO digital data service obligation Obligation to provide digital data services to all people in Australia on an equitable basis, wherever they reside or carry on business. The provider must make available on request, to at least 96 per cent of the Australian population, a data transmission service broadly comparable to a 64 kbit/s service. DFAT Department of Foreign Affairs and Trade Commonwealth department that manages the Government’s foreign relations and trade policies. DNCR Do Not Call Register Established by ACMA to allow individuals to register their home and mobile numbers to opt out of receiving most unsolicited telemarketing calls, with limited exemptions for public interest organisations.

DOFD Department of Finance and Deregulation Commonwealth department that provides high-quality, strategic policy and financial advice to support government decision-making and improved Australian Government financial management. DRCP digital radio channel plan DRM digital radio mondiale A digital radio technology supported internationally for frequency bands below 30 MHz, including for non-BSB spectrum. DSL digital subscriber line Transmission system allowing high data rate communication over copper wires. ECSAC Emergency Call Service Advisory Committee Formerly the Emergency Services Advisory Committee. Advises on emergency services matters. EDRM electronic document and records management

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EMC electromagnetic compatibility Ability of an electrical or electronic device or system to function satisfactorily without causing electromagnetic interference to other devices. EME electromagnetic energy Energy of electric and magnetic field components of a radio wave. EME-MRA EME mutual recognition arrangement EMR electromagnetic radiation Transmission of energy in the form of waves having an electric and magnetic component. ENUM A protocol that translates numbers into a format that can be recognised by the internet system, and enables the linking of telephone numbers or internet addresses with communications services such as email, facsimile transmission and mobile telephony. ESNA e-security National Agenda Established by the Australian Government to strengthen the electronic operating environment for business, home users and government agencies. ESO emergency service organisation Organisation providing an emergency service, such as police, ambulance or fire brigade. FLRN freephone and local rate number Telephone numbers commencing with the digits 180 (freephone) and 13 (local rate). FOI Act Freedom of Information Act 1982 Legislation dealing with access by the general public to information gathered and held by Commonwealth agencies. FOSI Families Online Safety Institute An international non-profit organisation whose mission is to identify and promote best practices, tools and methods of online safety. GHz gigahertz One billion Hertz (where one Hertz is the measurement of frequency equal to one cycle of electromagnetic radiation per second). GSM global system for mobiles Digital cellular network standard that uses a time division multiple access technique to multiplex signals onto a single channel in a rotated sequence of time slots, with each user having exclusive access to a time slot. HDTV high definition television A digital television broadcasting system with higher resolution than traditional television systems. HF high frequency Radiofrequency spectrum in the 3–30 MHz frequency range. IAG Digital Switchover Taskforce Industry Advisory Group IAP Internet Assistance Program ICH internet content host ICT information and communication technology

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IEEE Institute of Electrical and Electronics Engineers Inc Professional association that is a leading authority in areas such as computer engineering and telecommunications. The IEEE Standards Association develops international technical standards. INHOPE International Association of Internet Hotlines Deals with complaints about illegal internet content, mainly child pornography. INMS Industry Number Management Services Ltd Company established by carriers and carriage service providers to manage and allocate portable freephone and local rate numbers from a , under delegation from ACMA. IP internet protocol The key member of the suite of internet protocols at the logical layer, specifying packet addressing and routing of data through the internet. IPND Integrated Public Number Database Database of information about customers of telecommunications services in Australia, arranged by number, for all carriers and carriage service providers. IPTV internet protocol television Television system whereby digital content is delivered via a network infrastructure, often in conjunction with video-on-demand and other non-television services such as VoIP and other internet services. IRAC International Radiocommunications Advisory Committee Committee established to advise ACMA on international radiocommunications matters. ISP internet service provider Service provider offering internet access. ITU International Telecommunication Union United Nations agency that coordinates international telecommunications matters. ITU-R ITU – Radiocommunication Sector ITU body dealing with international radiocommunications matters.

ITU-T ITU – Telecommunication Standardization Sector ITU body dealing with international telecommunications standards. IWF Internet Watch Foundation UK organisation working to report exposure to potentially illegal online content. kbit/s kilobits per second Data communication rate of one thousand bits per second. kHz kilohertz One thousand Hertz (see also Gigahertz). LAP licence area plan A legislative instrument setting out the licence area and the technical specifications for existing and proposed services. LEAC Law Enforcement Advisory Committee Committee that advises on communications law enforcement matters. LIPD low interference potential devices

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LPON low power open narrowcasting Radiocommunications class licence type authorising radio services operating at very low power outputs in the frequency range 87.5–88.0 MHz. MET Minimum Equivalent Throughput MHz megahertz One million Hertz (see also Gigahertz). MMS multimedia messaging service Mobile telecommunications data transmission service for sending messages with a combination of text, sound, image and video to MMS-capable handsets. the Minister Minister for Broadband, Communications and the Digital Economy Minister responsible for ACMA and its governing legislation. NAC Numbering Advisory Committee Committee established to advise on numbering matters. narrowband A class of telecommunications services such as dial-up internet access that offer data rates of 64 kbit/s or lower. NATA National Association of Testing Authorities Australia’s national laboratory accreditation authority that recognises and promotes facilities competent in specific types of testing, measurement, inspection and calibration. NGN next generation network General term for developments in network architecture using various access and core technologies covering wired, wireless and mobile communications. A primary characteristic is the decoupling of services and networks, allowing these to be offered separately and to evolve independently. NITV National Indigenous TV Service NRF Network Reliability Framework Requirement on Telstra from January 2003 to provide regular reports to ACMA on the reliability of its fixed line services, and to remediate the network in areas with particularly poor performance. NRS National Relay Service Translation service between voice and non-voice telephone users providing access to the standard telephone service for people with communication impairment. Relays voice, modem or telephone typewriter communications. number portability Arrangements allowing customers to transfer from one telecommunications service provider to another without changing their number. ONT open narrowcast television PAFO Protecting Australian Families Online An initiative of the previous Australian Government that provided Australian families to with access to free content filters for their home computers and practical advice about internet safety. payphone Public telephone where calls may be paid for with coins, phone cards, credit cards or reverse charge facilities.

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portability see number portability pre-selection Offers customers choice and supports competition by enabling competing operators to use the networks of other carriers to access their customers. priority assistance Service for people with a diagnosed life-threatening medical condition entitling them to faster connection and fault repair of their fixed-line telephone service. PSTN public switched telecommunications network Public telecommunications network for which a carrier is responsible and which provides services to the public. RCC Radiocommunications Consultative Committee Formed to facilitate consultation between ACMA and industry on major domestic and international radiocommunications issues. RCMG Register of Controlled Media Groups Lists the media groups in each licence area, the media operations that form part of a group and the controllers of those operations. RLAN radio local area network High data rate two-way wireless data communications network. Uses radiocommunications to provide low-cost data communications infrastructure for a limited geographic area. SBS Special Broadcasting Service Free-to-air national radio and television broadcasting service providing multilingual and multicultural programs that inform, educate and entertain all Australians and, in doing so, reflect Australia’s multicultural society. The SBS Online service also provides additional multilingual content through the internet. SDDSO special digital data service obligation The SDDSO applies to customers unable to receive service under the general DDSO because they are not close enough to the necessary network infrastructure. Telstra is the sole general DDSO and SDDSO provider. SDTV standard definition television

SIM subscriber identity module Card inserted inside mobile phones or terminals to provide secure user authentication for network connection and roaming. The card is embedded with small metal-coated microprocessor silicon chips capable of storing data and adding, deleting, or manipulating information in the card memory. SMS short message service Mobile telecommunications data transmission service that allows users to send short text messages to each other using the mobile handset keypad. spam Unsolicited messages often sent in bulk to a large number of email addresses. smartnumbers® Specified freephone (1800) or local rate (13, or 1300) numbers allocated by auction that are considered desirable because they can be translated to a phoneword or have a memorable pattern. SpamMATTERS ACMA’s spam reporting and forensic analysis system. Users download a ‘button’ from the ACMA website to their email application that enables them to simultaneously delete spam from their computer and report it to ACMA.

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TAG Technical Advisory Group Provides policy advice and recommendations to ACMA about strategic directions in the technical regulation of communications in Australia. TCBL temporary community broadcasting licence TIO Telecommunications Industry Ombudsman Industry-funded independent dispute resolution service for consumers who are unable to resolve individual complaints with their carriers and carriage service providers. TS technical standard Standard for communications customer equipment or networks. TSAG Telecommunications Standardization Advisory Group TTY teletypewriter Telephone typewriter where the caller types the communication after the call is connected, enabling people with communication impairment to use the standard telephone service. TWG Technical Working Group UHF ultra high frequency Part of the radiofrequency spectrum between 300 and 3,000 MHz. USO universal service obligation Obligation under the Telecommunications Act 1997 to ensure that standard telephone, payphone and prescribed carriage services are reasonably accessible to all people in Australia on an equitable basis, wherever they reside or carry on business. VHF very high frequency Portion of the radiofrequency spectrum between 30 and 300 MHz. VoIP voice over internet protocol A protocol for transmitting voice over packet-switched data networks. Also called IP telephony. WAS wireless access services The wireless connection of business and households to the internet and the phone system. WRC World Radiocommunication Conference ITU conference held every three or four years to review and amend international radio regulations. WTSA World Telecom Standardization Assembly Defines general policy and adopts working methods and procedures for ITU-T.

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