Mr MURPHY (10:40 PM) —I rise to make some observations about media diversity and the future of public broadcasting in Australia—in particular, the Australian Broadcasting Corporation. At a time when the Productivity Commission, on a reference initiated by the federal Treasurer, is inquiring into the need for the cross-media and foreign ownership rules in Australia in the face of what is known as `convergence of broadcast, telecommunications and Internet technology', I am gravely concerned about the future of the ABC.

The ABC is under enormous financial pressure at the moment following the Howard government's $55 million cut to the ABC's annual appropriation from 1997. The ABC is about to embark on new triennial funding negotiations with the government, and there is a real fear that the government will again cut funding to the ABC. As well, the ABC is being forced to deliver up to the government maximum proceeds from property sales within its national portfolio to help fund the ABC's conversion to digital broadcasting. As we know, the entire broadcast industry is now preparing for digital broadcasting from 2001.

So far, on my understanding, the ABC has been funded for only $20 million for the first phase of digital conversion. To raise money, it has to sell off operationally valuable sites like its television production facility at Gore Hill in Sydney. The ABC board has decided to cram its television operations into its existing Ultimo Centre in Sydney and spend some $130 million to build a 12-storey building on land it owns next door. In my view, the ABC should not be forced to sell its main television production facility in Sydney to help pay for digital broadcasting or borrow so heavily to provide replacement facilities. This technology upgrade is the clear responsibility of the Commonwealth government, just as the ABC's conversion to colour was a Commonwealth responsibility in the 1970s.

The funding pressure afflicting the ABC is now obvious to all through the largely British television programs the ABC buys cheaply instead of making Australian programs. I like Yes, Prime Minister, but I have seen it too many times and many of the actors are long since dead. More funding pressure on the ABC will see further reduction in quality Australian made programming. The ABC should not be forced to sell its prime assets to create funds which the government should legitimately provide it.

The government has been crying systemic bias against it by the ABC, but I note that all governments—including Labor governments—claim ABC bias. Neville Wran claimed bias by the ABC in the 1970s when he refused to answer questions from an ABC reporter covering the royal commission into allegations that he intervened in the magistracy. Bob Hawke claimed ABC bias in the early 1990s over the ABC's Gulf War coverage. With these types of allegations, the ABC cannot win.

In response to this perpetual allegation of bias, I point out that the ABC is already accountable to multiple layers of bodies and law: defamation and contempt laws, provisions under the Australian Broadcasting Corporation Act 1983, the ABC Board's Editorial Guidelines, the Independent Complaints Review Panel and, ultimately, the Australian Broadcasting Authority pursuant to the powers under the Australian Broadcasting Services Act 1997. These laws, powers and responsibilities constitute one of the most comprehensive regimes of accountability of any government agency. If the government is so adamant about these allegations, then there are a number of remedies available to it and it should seek redress within one or more of the smorgasbord of legal and regulatory panels governing the conduct of the ABC.

The ABC is a great national institution. I support it. The Australian people are fortunate to have such dedicated, professional broadcasters. The coverage the ABC has provided of the conflict in Yugoslavia and the crisis in East Timor has been exceptional—unmatched, in my opinion, by the commercial networks.

Let us not mix words. If the ABC is further marginalised by this government and media ownership rules are changed through the Productivity Commission inquiry, great damage will be done to media diversity. The tycoon Kerry Packer will take the Fairfax Press and Rupert Murdoch will take the Seven Network. Is that what we want?

The Australian people deserve a diverse and competitive media in all its emerging forms. That is plainly in the public interest. But, most particularly, this government should get the funding hooks off the ABC, stop the sale of Gore Hill and fully fund the ABC into digital broadcasting. At a time when our cable and network television screens are being flooded with imported television products, we should be thinking about reinvesting in the ABC, particularly to rebuild Australian content. This would be a legitimate initiative for government, particularly as local content on the ABC has been run down through funding cuts. I understand that the BBC runs 90 per cent British content and is a major exporter of quality programming. The ABC needs to be supported to play a more important role in what is becoming a globalised media industry to keep Australian identity alive.