Mr HUNT (Parliamentary Secretary to the Minister for the Environment and Heritage) (11:38 AM) —The government rejects the opposition’s amendments for a very simple principle: they would trap Australia’s media and communications network in the last century rather than allowing them move forward into the coming century. I repeat: the reason we reject these amendments is that they would trap and freeze Australia’s media and communications sector in the last century rather than allowing it to move forward and operate in preparation for the coming century. I make those points precisely because over the last 20 years we have seen a revolution in communications which has meant that the old rules applying to the old economy do not allow for the flexibility that will assist Australian firms and the Australian media prepare for the coming century. In essence, we have moved from three to six platforms, as I mentioned earlier. The traditional platforms of newspapers, radio and television have been supplemented by the now mature platforms of the internet and pay television and the sixth emerging platform of mobile communications in the form of 3G and mobile television.

These bills allow for a real transition and infusion of capital into that area. They allow for those transitions by creating diversity in terms of 15 new channels potentially by 2009, 25 new channels of high-definition TV, or digital television, by the point of switch-over from analog to digital, all free to air. But they recognise—and this is the point—that the fundamental mechanism for doing that is to allow reform. To compete in the global media environment where global communication is coming through the new three platforms you must allow the old platforms to evolve and work in an environment of reform.

That means there must be capital. I do not object to foreign capital at all. If people want to invest in Australia and to contribute their funds to the development of Australia, that is a profoundly good thing. But I do object—and here I respond directly to what the opposition shadow has said—to the proposition that we should do that without modifying our existing environment to give Australian content providers, Australian communicators and Australian communications companies the flexibility to compete. If you do one and not the other, it fails the package. The package around foreign ownership and cross-media communications does a very simple thing: it sets out the provisions which ensure that there can be capital, synergies and flexibility, but contrary to the view put forward by the opposition, there are real protections.

So their amendments provide all of the restrictions but none of the flexibilities. It is last century’s approach to this century’s great revolution. There are adequate and deep protections. There is provision for a minimum of six media groups in Melbourne and Sydney, five in the major cities, four in the regional areas and a requirement that no group can hold more than two out of three platforms and a maximum of two radio stations in any particular media market and, significantly, quite powerful local content provisions which, I would argue, actually expand the capacity and the requirements for the provision of local content around Australia.

On that basis we reject the arguments put forward. I note in particular that the shadow spokesperson of the opposition has a misunderstanding. I am advised that the speculation in today’s media about changes in media ownership is about movement under the current rules. So with great respect, there is a misunderstanding and for those reasons, because this is the way forward, we reject the position put forward and the amendments. I again commend the bill in its original form to the House.