Senator IAN CAMPBELL (9:32 AM) —I table a revised explanatory memorandum relating to the National Crime Authority Amendment Bill 1999 , Broadcasting Services Amendment Bill (No. 1) 1999 and the Broadcasting Services Amendment Bill (No. 3) 1999 and move:

That these bills be now read a second time.

I seek leave to have the second reading speeches incorporated in Hansard .

Leave granted.

The speeches read as follows—

NATIONAL CRIME AUTHORITY AMENDMENT BILL 1999

This bill amends the National Crime Authority Act 1984 and includes amendments made by the House of Representatives to the bill as introduced.

The National Crime Authority is a national crime body with Commonwealth and State functions. The Authority was established as the only law enforcement agency in Australia whose investigations would not be limited by jurisdictional boundaries and its existence reflects the seriousness with which the Commonwealth and States view organised crime. The Authority is not confined to only investigating breaches of Commonwealth law. It is truly a national body with powers to investigate organised crime offences against Commonwealth and State laws.

The States confer powers, duties and functions on the National Crime Authority in relation to a variety of State investigative laws such as controlled operations and electronic surveillance. These laws are the essential intelligence gathering tools used by law enforcement agencies in the States and by the Authority.

This amendment makes clear that the States can confer such powers, duties and functions on the Authority. Those powers may extend to the investigation of any relevant criminal activity, provided the Commonwealth has legislated to confer powers of the same kind.

I commend the bill to the Senate.

BROADCASTING SERVICES AMENDMENT BILL (No. 1) 1999

The Broadcasting Services Amendment Bill (No. 1) 1999 proposes amendments to the Broadcasting Services Act 1992 to:

. improve opportunities for the live television coverage of designated events and series by introducing an `anti-hoarding' regime for free-to-air broadcasters;

. protect regional broadcasters from "look alike" metropolitan free-to-air programming on regional pay TV services;

. allow the ABA to approve broadcaster transmissions beyond the originating licence area to address black spot reception problems; and

. increase the time allowed for sponsorship announcements on community broadcasting services from four to five minutes per hour.

The anti-hoarding and regional protection provisions, together with retransmission provisions, were originally introduced in the Broadcasting Services Amendment Bill 1998 last year, before lapsing with the calling of the last Federal election.

This bill introduces refinements to the anti-hoarding and regional protection measures, which reflect the Senate Legislation Committee process, further consultations with the industry and the opposition parties, and resultant amendments agreed by the Government in the House of Representatives.

The proposed anti-hoarding scheme in Schedule 1 of the bill consists of a `must offer' obligation to be imposed on free-to-air broadcasters and their regular program suppliers who have live broadcast rights to designated events or series, but who do not intend to facilitate live television coverage of these events. Free-to-air commercial broadcasters in this situation will have to offer, normally at least 30 days before the commencement of an event, the unused rights to the ABC and SBS for a nominal charge. The ABC and SBS will have to offer such rights to each other in similar circumstances.

Under the current provisions of the Broadcasting Services Act, free-to-air broadcasters are given priority access to the purchase of broadcasting rights to a wide range of major sporting events set out in the anti-siphoning list. However, there is nothing in the legislation to actively encourage free-to-air broadcasters to exercise the rights they have acquired. Broadcasters may delay coverage, or televise only a small proportion of an event.

The current provision for the Minister to remove events from the anti-siphoning list is unlikely to be effective in situations where a broadcaster decides, at short notice, not to fully televise an event. Such a situation occurred in 1997 when the Nine Network decided not to show the first session of play in the test matches of the Ashes cricket series in England, to the disappointment of many cricket supporters.

The operation of the proposed anti-hoarding amendments will be confined to events and series designated by the Minister. It is envisaged that the Ministerial designation power will be used only in limited circumstances—for example, where there is a widespread public expectation, based on past practice, of the full live televising of an event. The designation of events and series will be made in the form of a disallowable instrument.

However, the Minister will be empowered to allow, on an event by event basis, the delayed televising of designated events in Australia's Western and Central time zones on the grounds of, for example, viewer convenience. This provision responds to difficulties sometimes faced by viewers in these time zones.

In a situation where, for example, a day-night cricket match is being played in the Eastern states, the Minister will be able to allow a delayed telecast of that game in the Western and Central time zones by no more than the time difference with the Eastern states. Any such decision by the Minister will also be made in the form of a disallowable instrument.

Schedule 1 also provides for a review of the effectiveness of the anti-hoarding provisions to be conducted within two years of their commencement. A report on the outcome of this review will be tabled in the Parliament.

Schedule 2 of the bill introduces measures to support the integrity of the licence areas of regional television broadcasters. The Government considers that it is very important to retain television services in regional areas, which incorporate programming relevant to local events and interests, including local news and weather.

Accordingly, it is proposed to restrict the importation by regional pay TV services of prime time programming from metropolitan commercial television services. Schedule 2 requires pay TV operators to take all reasonable steps to ensure that their services in regional areas do not include three or more consecutive programs identical to three or more consecutive prime time programs on metropolitan commercial television services, without the approval of the Australian Broadcasting Authority.

As introduced in the House of Representatives, Schedule 3 of the bill provided for a new retransmission regime, based on broadcaster consent. The regime would have fulfilled a previous Coalition election promise to give broadcasters control over their own signal, consistent with the general approach adopted by the Copyright Convergence Group (CCG) in its 1994 report Highways to Change: Copyright in the New Communications Environment . An anomaly in the current retransmission rules allows pay TV operators to retransmit free-to-air broadcasting services without consent or compensation.

However, despite the fact that the CCG was established by the former Labor Government, the Opposition has proposed an arbitration regime, in lieu of the broadcaster consent model. The Democrats have also indicated support for the arbitration regime.

It has not been possible for the free-to-air broadcasters and pay TV operators to reach agreement in the short term on arbitration arrangements, or any alternative retransmission model. Further consultations will clearly be required with the industry and the opposition parties to resolve outstanding issues.

Accordingly, the Government agreed to amend the bill in the House of Representatives to remove the retransmission provisions in Schedule 3, to permit the other non-contentious elements of the bill to be progressed, and to facilitate further consultations on a new retransmission regime. It is in the mutual interests of the free-to-air and pay TV sectors to reach agreement on new retransmission proposals in the near future, rather than the Parliament being forced to impose a new regime on the industry.

Removal of the retransmission provisions means that the existing retransmission rules in section 212 of the Broadcasting Services Act continue to apply. These rules allow retransmissions without the agreement or compensation of broadcasters.

However, Schedule 3 provides that provisions in the associated Copyright Amendment (Digital Agenda) Bill 1999—which require payment of equitable remuneration to underlying rights holders for the retransmission of copyright material contained in broadcasting services—will still have effect on commencement of that bill.

Very importantly, provision has been retained in Schedule 3 to allow the Australian Broadcasting Authority to approve out of area broadcaster transmissions—including by satellite—to overcome black spot reception problems, or in exceptional circumstances, such as natural disasters. These provisions will support the black spot program under the Government's $120 million Television Fund, which will provide significant benefits in many regional areas.

Finally, Schedule 4 of the bill gives effect to the Government's election commitment to increase the community broadcasting sponsorship limit from four to five minutes per hour. This will assist the viability of individual stations, and bring the community sector into line with similar limits imposed on the SBS.

The amendments in this bill are expected to have no significant impact on Commonwealth expenditure or revenue. I commend the bill to the Senate.

BROADCASTING SERVICES AMENDMENT BILL (NO. 3) 1999

The Broadcasting Services Amendment Bill (No. 3) 1999 seeks to amend the Broadcasting Services Act 1992 to make the Australian content licence condition for subscription television broadcasting licensees enforceable; and to limit the scope of international agreements that apply to the functions of the Australian Broadcasting Authority (ABA).

Firstly, the bill gives effect to the outcomes of the Ministerial review of Australian content on subscription television broadcasting services conducted in 1997. The review identified that the existing Australian content licence condition is unenforceable because it does not take into account the operating practices of the subscription television industry. In view of the high level of non-compliance with the existing requirement over successive years, the Government has decided that legislative amendments are necessary to make the licence condition enforceable so that the intended policy outcomes are achieved.

The Government recognises the important role of television drama in developing and reflecting a sense of Australian identity, character and cultural diversity. The aim of the licence condition is to require the subscription television industry to contribute to the production of Australian drama programming for the cultural benefit of Australian audiences. The licence condition will also promote the further development of the highly acclaimed Australian drama production industry, providing further employment opportunities and new Australian product available for export. The amendments will also ensure that the licence condition complies with Australia's obligations under the Protocol on Trade in Services to the Closer Economic Relations Agreement with New Zealand, by treating services provided by New Zealand personnel to the production of drama programs no less favourably than services provided by Australians.

The Government will closely monitor the operation of the enforcement measures contained in the bill to ensure that they are effective in delivering the intended policy objectives. A review of Australian and New Zealand content on subscription television broadcasting services will be conducted by 31 March 2003. This review will, amongst other things, provide an opportunity to assess the effectiveness of the enforcement measures contained in this bill. The Government expects the subscription television broadcasting sector to comply with the spirit as well as the letter of the new enforcement arrangements over the next three years leading up to the review.

The Government recognises the importance of the documentary genre in developing and reflecting a sense of Australian identity, character and cultural diversity, and believes that the extension of the requirement to documentary channels warrants further consideration. The Government is also aware of some industry concerns in relation to the treatment of development expenses under the bill. Therefore, the Government will be asking the Australian Broadcasting Authority (ABA) to consider both of these issues and report back to the Minister for Communications, Information Technology and the Arts within twelve months.

Secondly, the bill will limit the scope of international agreements that apply to the functions of the ABA, following the decision of the High Court of Australia in Project Blue Sky v the ABA. The High Court held that the Australian Content Standard for commercial free-to-air television was unlawfully made because it was not consistent with the CER Services Protocol, as required by section 160(d) of the Broadcasting Services Act. Section 160(d) provides that the ABA is to exercise its functions in a manner consistent with Australia's international obligations. This bill will amend section 160(d) to limit its scope to the CER Services Protocol with New Zealand. By doing so it will protect the level of Australian content on free-to-air television so that foreign access to local content quotas under the section will be explicitly confined to New Zealand. The amendment will accommodate the CER Services Protocol and retain the special position of New Zealand, while making it clear that there are no flow-ons under the amended section to other treaties. It will also assist the ABA in the exercise of its regulatory responsibilities.

FARM HOUSEHOLD SUPPORT AMENDMENT BILL 1999

The proposed amendments to the Farm Household Support Act 1992 repeal the current 30 November 1999 closing date for Farm Family Restart Scheme (FFRS) re-establishment grants.

The Government intends to extend the current deadline by 7 months to 30 June 2000. The new deadline will be contained in the instrument which establishes the Restart Re-establishment Grant Scheme under section 52A of the Farm Household Support Act 1992.

The FFRS is the Government's key program for delivering improved welfare support to the farm sector. The FFRS is available to low income farm families who cannot borrow further against their assets and wish to consider their future in the farm sector. Assistance through the FFRS is flexible and can be tailored to meet the needs of each farm family. FFRS provides income support for up to one year and professional advice to meet individual needs, such as financial, legal or career advice. The FFRS re-establishment grant of up to $45,000 is also available to assist those farmers who take the decision to leave agriculture.

Over 2,900 farm families have received income support under FFRS since the scheme commenced in December 1997 and over 240 re-establishment grants have been paid.

Extending the FFRS re-establishment grants will assist farmers in severe financial difficulties to assess their future in agriculture and, if necessary, leave the industry with dignity.

APPROPRIATION (EAST TIMOR) BILL 1999-2000

It is with pleasure that I introduce the Appropriation (East Timor) Bill 1999-2000. This bill makes provision for special appropriations to the Department of Defence and the Australian Agency for International Development (AusAID) in relation to operations in the East Timor region.

In the bill, the Parliament is asked to appropriate monies from the consolidated revenue fund to meet these necessary additional expenditures. The monies are additional to the appropriations made in Appropriation Acts (Nos 1 and 2) 1999-2000 last Budget, and the additional appropriations proposed in the Appropriation Bills (Nos 3 and 4) 1999-2000 to be tabled in this session.

In order that the Department of Defence and AusAID can operate, financially uninhibited, in fulfilling the Government's commitment to the East Timor region, it is necessary that they have timely access to the supplementary funding. For this reason, the appropriations are sought outside the additional estimates process, and introduction and passage of the East Timor Bill in this session is being sought.

The appropriations in the East Timor Bill total $920.0 million.

$860.0 million is provided for the Department of Defence for the deployment and peace enforcement in East Timor, new investments that may be needed to augment the capability of the forces in East Timor and an increase in overall ADF numbers so that the deployment can be sustained and acceptable levels of overall readiness maintained.

- Of this total amount some $845.0 relates to operational expenses and net capital investment of the department, and $15m to fund the capital user charge. The latter amount is an internal transaction to Government and so does not impact on the overall budget bottom line.

$60.0 million is provided for AusAID to fund Australia's contribution to the humanitarian and reconstruction needs of East Timor and to support the establishment and operations of the United Nations Transitional Administration in East Timor (UNTAET).

I commend the bill to the Senate.

Debate (on motion by Senator O'Brien) adjourned.

Ordered that the resumption of the debate be made an order of the day for a later hour.

Ordered that these bills be listed on the Notice Paper as separate orders of the day.