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Federal Budget 2004-05

AUSTRALIAN COMMUNICATIONS AND MEDIA AUTHORITY


11 May 2004

The Australian Government will merge the Australian Broadcasting Authority (ABA) and the Australian Communications Authority (ACA) to establish a new media and communications regulator.

The Australian Communications and Media Authority (ACMA) will be responsible for regulating telecommunications, broadcasting, radiocommunications and online content. Its creation recognises the changing nature of the communications environment.

New digital technologies are allowing previously distinct sectors to compete across increasingly convergent markets using a range of different delivery platforms.

For example, the development of third-generation mobile technologies has created new business models involving offering telephony, online and potentially broadcasting-type services on the one network and on the one piece of consumer equipment.

In this environment, maintaining two separate regulators, both dealing with similar issues but focusing on different sectors of the communications industry, is neither practical nor effective.

The establishment of the ACMA will enable a coordinated regulatory response to converging technologies and services and to the long-term management of spectrum.

As a single regulatory body, the ACMA will also be better placed to respond to the outcomes of the statutory reviews of the digital television framework required in 2004 and 2005 under the Broadcasting Services Act 1992.

The establishment of the ACMA will not be accompanied by changes to the existing regulatory and spectrum planning frameworks for telecommunications and broadcasting.

There will be no immediate savings from the new arrangement.

This is in stark contrast to Labor's calculation of savings of $18.8 million per year for four years from 2004-05 following a merger of the two bodies. Labor's position demonstrates a complete lack of understanding of the key regulatory, licensing and engineering roles of the ABA and ACA.

The distinct skill bases and functions required will not disappear after the merger and there will be no change to the underlying regulatory framework.  This leaves the Opposition with an embarrassing $75 million black hole in its policy funding calculations.

The ACMA will maintain the existing offices of the ABA and ACA throughout Australia, although, over time, some functions may co-locate where practical.

The ACMA will be established by 1 July 2005, subject to the passage of enabling legislation through the Federal Parliament. Transitional arrangements will be put in place to enable the existing authorities to plan for the transition to a single communications regulator.

The structure and functions of the new authority will be similar to the existing regulators.




Media Contact: Carina Tan-Van Baren (02) 6277 7480/ 0439 425 373