Annual report 2009–10 communicating | facilitating | regulating Annual report 2009–10 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 T (03) 9963 6800 F (03) 9963 6899 E [email protected] This report is available on the ACMA website at www.acma.gov.au/annualreport. © Commonwealth of Australia 2010. ISSN 1834-1519 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. Contents 10 Chairman’s foreword 16 Highlights 17 Digital television 17 Public inquiry into customer service and complaints-handling 18 Cybersafety 18 Completion of review of the Children’s Television Standards 18 New codes of practice registered 19 Mobile premium services 19 Online content complaints 19 Do Not Call Register 20 Anti-spam activity 20 Investigations and enforcement action 21 Spectrum planning 21 International activities 21 Research and reporting 21 Conferences and events 22 Chapter 1: About the ACMA 23 Functions and responsibilities 24 Revenue collection 24 Structure 24 The Authority 25 About the Authority 27 Corporate structure 27 The ACMA restructure 28 Corporate governance 28 Strategic and business planning 28 Strategic planning 28 Corporate plan 28 Operating plan 29 Business planning ACMA Annual report 2009–10 | 5 32 Chapter 2: Regulatory environment 34 Regulatory functions 34 The ACMA’s responses to convergence and regulatory pressures 34 Ownership and control 34 Register of Controlled Media Groups 35 Compliance with ownership and control provisions 37 Local content 39 Broadcasting Financial Results 39 Digital broadcasting 39 Digital television 41 Digital radio 42 Spectrum planning 43 Radiocommunications 43 Stakeholder engagement 43 International activities 47 Wireless access services 48 Review of the Mobile Phone Jammer Prohibition 49 Space regulation 50 Radiocommunications research and analysis 51 Allocation and licensing 51 Market-based resource management 51 Radiocommunications licensing 52 Public mobile telecommunications services 52 Radiocommunications licensing arrangements for mobile communication services on aircraft 53 Other changes to licensing arrangements 53 Spectrum licensing 53 Class licensing 55 Broadcasting licence area plans and variations 58 Digital channel plans and variations 58 Broadcasting licensing 61 Telecommunications licensing 62 Telecommunications numbering 62 Numbering Plan administration 62 Numbering Advisory Committee 62 Number allocations register 62 Numbering transactions 64 ENUM 64 Portability 64 Pre-selection 65 Geographic numbering amendments 65 The numbering work program 65 Revenue and fees 67 USO funding and subsidies 67 Do Not Call Register access fees and cost recovery 68 NRS levy 68 Numbering charges 69 Number auctions 70 Carrier licensing and nominated carrier declaration charges 70 Apparatus licence taxes 70 Opportunity cost pricing for administratively allocated spectrum 71 Spectrum licence tax 71 Broadcasting licence fees and datacasting charge 6 | Contents 72 Technical regulation 72 Technical Advisory Group 73 Technical standards and labelling notices 74 Telecommunications standards 75 Radiocommunications standards 76 Electromagnetic compatibility standards 76 Standards and codes for digital television 79 Cabling regulation 79 Telecommunications infrastructure regulation 80 Electromagnetic energy standards 81 Submarine cable protection 81 Compliance investigations 81 Radiocommunications 83 LPONs 84 Radiocommunications interference management 85 Telecommunications 90 Consumer Consultative Forum 90 Telemarketing and fax marketing 97 Anti-spam 100 Broadcasting complaints and investigations 106 Online content complaints 108 Interactive gambling 108 National interest issues 108 Law enforcement liaison 109 Identity checking requirements for pre-paid mobile phone services 109 Disclosure of customer information to law enforcement and national security agencies 109 Disclosure of IPND data for telephone-based emergency warning systems 109 Industry code: Handling of Life Threatening and Unwelcome Communications 109 Interception capability plan compliance 109 Emergency call service 112 Integrated Public Number Database 113 e-Security 115 International matters 116 Hosting delegations from overseas stakeholders 117 INHOPE 118 Chapter 3: Content regulation and consumer information 120 The ACMA’s regulatory role 120 Content regulation 120 Australian content in advertising 121 Children’s television 122 Declaration of primary services 123 High definition broadcasting 123 Local content on regional television 123 Subscription television drama expenditure 124 Anti-siphoning provisions 124 Anti-terrorism standards 125 Mobile premium services 127 Review of commercial radio standards 127 Internet industry codes 127 Telecommunications industry codes 128 Broadcasting industry codes and guidelines 129 Community broadcasting reviews ACMA Annual report 2009–10 | 7 130 Consumer safeguards 130 Advice to government on consumer safeguard reforms 130 Telecommunications Industry Ombudsman 130 Universal service obligation and digital data service obligation 131 Payphone performance 131 Customer Service Guarantee 131 Network Reliability Framework 132 Priority assistance 132 Local presence plan 132 National Relay Service 133 Do Not Call Register 135 Extended zones agreement 135 Mobile phone coverage 136 Internet Assistance Program 136 Protection of consumer information 137 Community awareness 137 Cybersafety: The Cybersmart program 143 Telecommunications awareness 144 Internet awareness 144 Research and reporting 145 Consumer and audience research 146 Transition to digital television 146 Research relating to online safety 146 Broadcasting and media privacy 146 Digital media literacy 147 Market trends and service developments 148 Ministerial reports 149 Economic analysis and regulatory reviews 150 Chapter 4: Managing and developing our resources 151 Our people 152 Performance payments 152 Workplace Diversity Program 153 Health and safety 154 Consultation and workplace relations 154 People and capability development 155 Performance management 155 Creating Knowledge program 155 ACMA transformation program 156 Client Service Charter 157 Information management 157 Transformation agenda 158 Technology platform 158 Information management 159 Corporate governance 159 Audit 159 Risk management 159 Security 160 Communications and engagement 8 | Contents 160 Financial management 161 Procurement and contract management 161 Grant programs 161 Asset management 161 Property management 161 Ecologically sustainable development and environmental performance 162 Appendixes 163 Appendix 1. ACMA offices 164 Appendix 2. ACMA committees, memberships and attendance at meetings 168 Appendix 3. Staffing information 176 Appendix 4. Implementation of the Commonwealth Disability Strategy 178 Appendix 5. Licensing and licence allocations 191 Appendix 6. Programs and content 193 Appendix 7. Broadcasting investigations outcomes 212 Appendix 8. Freedom of information 214 Appendix 9. Legislation 216 Appendix 10. Notifications, directions and instruments 217 Appendix 11. Disclosures of information 218 Appendix 12. Judicial and administrative decisions 2009–10 219 Appendix 13. Consultancies, advertising expenditure and competitive tendering 221 Appendix 14. Outcome table 222 Appendix 15. Agency resource statement 224 Appendix 16. Performance against PBS KPIs and deliverables 2009–10 226 Appendix 17. Regulatory impact analysis compliance report 227 Appendix 18. Compliance index 230 Appendix 19. Financial statements 297 Glossary 302 Index ACMA Annual report 2009–10 | 9 Chairman’s foreword The last year was one of Let me mention what, for me, were two of the most eye-opening: significant change and > Internet users in Australia are downloading development for the Australian an exponential increase in data over the Communications and Media internet, highlighting its importance as a business and social tool. The Australian Authority (the ACMA). The Bureau of Statistics has estimated that pace of change in media and internet users downloaded 135,674 terabits of data during the December 2009 communications is relentless quarter, up from 81,352 terabits for the and illustrated by any number of same period in 2008, representing a statistics and observations. 66 per cent increase. > Internet users have also continued to shift to higher internet speeds to support their more intensive use of the internet; by December 2009, 62 per cent of internet connections have a download speed of 1.5 Mbps or greater. To maintain its relevance in this complex and constantly changing convergent communications environment, the ACMA itself changed with a mid-year restructure. This was designed to put the organisation on an agile footing to address the pace of the challenges of this environment, as well as to better recognise the citizen aspects of our functions and roles. So the restructure Chris Chapman, Chairman became the latest step in the organisation’s continuing transformation. The new structure is designed with the unequivocal intention of meeting the sector- specific tasks of the present—a broadcasting focus on digital TV and radio and the current telecommunications lens for the National Broadband Network (the