Michelle Rowland (Greenway, Australian Labor Party, Minister for Communications) Share this | Hansard source

I thank honourable members who contributed to the debate on the Communications Legislation Amendment (Prominence and Anti-Siphoning) Bill 2023. This important legislation was introduced by the Albanese government because we want all Australians, regardless of where they live or what they earn, to be able to access free, high-quality and diverse media services and programs, including sports, that reflect our unique perspectives and identity as a nation, and we want our homegrown media entities to be able to compete on a level playing field. The measures contained in this bill support those outcomes.

I particularly acknowledge and thank the Senate Environment and Communications Legislation Committee members for their consideration of the bill, and the stakeholders that contributed to the process. The committee inquiry was comprehensive and provided the opportunity for all interested parties to outline their views on the bill along with the draft prominence regulations and the draft antisiphoning list, which were released to assist the inquiry. The Albanese government has carefully considered the views raised through the inquiry and the recommendations made by the committee.

I will now provide the government's response to the recommendations and proposals raised through this process. The committee recommended that the antisiphoning provisions be passed and that the prominence provisions be passed subject to five specific recommendations. Its first recommendation was that the minister for communications and the Australian Communications and Media Authority consider options for a phased approach to the prominence framework and/or a reduction to a 12-month time frame. The government supports this recommendation and has carefully considered options for the phased introduction of the prominence framework and the potential to reduce the application time frame to 12 months but has not adopted this approach for a number of important reasons.

The prominence framework is novel in Australia and remains a relatively novel intervention in overseas markets. This dictates a relatively prudent approach to the commencement of any new regulations. The television device market is global and involves long lead times for the design, development, manufacture and distribution of devices. In the interests of Australian consumers, elected representatives should avoid passing laws that may result in manufacturers withdrawing from the Australian market or offering a more limited range of devices.

There also needs to be a period of time for the Australian Communications and Media Authority to establish the operative and detailed elements of the framework, including in relation to the devices to be regulated and the description and requirements of the primary user interface used on these devices. The 18-month application period specified in the bill seeks to accommodate these factors and to strike a balance, delivering a meaningful prominence outcome without unduly impacting on manufacturers or giving rise to unwanted outcomes. The government does not intend to make any amendments to this timing.

In its second recommendation, the committee recommended that the Minister for Communications and the department prioritise the implementation of radio prominence on devices such smart speakers. The government supports the committee's recommendation in principle. The principle that Australians should be able to easily access local services holds equally true for radio as it does for television. Radio services play a crucial and unique role in keeping Australians informed and entertained, particularly in remote and regional areas of the country. However, although there are some parallels between radio and television in relation to prominence, there are also a number of important differences in terms of technology interfaces and consumers' needs and expectations. It is important that we consult fully on any potential regulation for radio prominence and seek views from consumers and the sectors that may be affected. The government is preparing a consultation paper on radio prominence that will be released shortly.

The third recommendation of the committee's inquiry report focused on the regulation of online services provided by free-to-air broadcasters. The committee recommended that the Minister for Communications amend the bill to extend free-to-air codes of practice to online services. The government notes this recommendation but will not need to amend the bill as envisaged by the committee. However, the government recognises the need for reform in this area. There are clear gaps and imbalances in the regulatory framework applying to media content services in Australia. Traditional broadcasting services—television and radio—remain heavily regulated, while streaming video-on-demand services, including those provided by the broadcasters themselves, are subject to little if any regulation. This imbalance is something that the government intends to address as part of its broader media reform program, but this is not something that can be done easily or quickly through an amendment to this bill. Doing so would significantly delay the passage of the bill and withhold the benefits that the prominence and antisiphoning measures will deliver for Australian consumers and industry.

The committee's fourth recommendation was that the Minister for Communications, on advice from the department, amend the bill to allow the review of the prominence framework to be conducted within two years of implementation, as necessitated by rapid technological change. The government supports this recommendation in principle. The Senate committee inquiry highlighted the rapid and accelerating rate of change in media markets. While we need to allow time for these new regulatory arrangements to be bedded down, it is also vital to assess their impacts and effectiveness when feasible.

The fifth recommendation of the committee was that the Minister for Communications consider, either before or as part of the prominence framework review, other related reforms in the industry to reflect the growing role of the internet, online service provision and consumer behaviour. The government supports this recommendation in principle.

As I outlined earlier, the government is committed to a program of work to modernise media regulations and fulfil the legitimate expectations of consumers and industry for consistency, transparency and equity in our regulatory environment. A key focus of our media reform program will be to calibrate our regulatory and policy settings to harness the benefits of online media, while ensuring that consumers are adequately protected from potential harms and that key policy outcomes continue to be delivered. The government will be progressing various streams of work to support this outcome over the coming months.

Other notable issues were raised in the inquiry process and have been carefully considered by government. One such issue is the question of whether the prominence framework should explicitly exclude gaming consoles. The government is supportive of including a reference to gaming consoles in the revised explanatory memorandum as a type of device that is unlikely to be designed for the primary purpose of facilitating the viewing of audiovisual content. However, this shouldn't be codified in the bill, as the framework needs to retain the flexibility to accommodate changes in the role and intended purposes of devices over time.

Another significant issue is the question of whether to extend the antisiphoning scheme to prevent the acquisition of any right until a free-to-air broadcaster has both a broadcast and a BVOD right. The government does not support extension in this manner and acknowledges the concern around this issue as well as the need to balance other considerations, such as the interests of other media services and the financial sustainability of Australia's sporting codes. The government is mindful that evidence of recent rights deals shows that where a free-to-air broadcaster has acquired a broadcast right, they have also successfully secured online rights for their BVOD service in many instances.

The bill is a key component in the government's overall media reform program. These reforms will support a media sector that keeps us informed, reflects our diverse cultures and perspectives, upholds and respects community standards and provides equitable access to services for all Australians, irrespective of where they live or what they earn. I call on members to support the bill.

Question agreed to.

Bill read a second time.

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