House debates

Wednesday, 30 November 2016

Bills

Broadcasting Legislation Amendment (Media Reform) Bill 2016; Consideration in Detail

5:08 pm

Photo of Paul FletcherPaul Fletcher (Bradfield, Liberal Party, Minister for Urban Infrastructure) Share this | Hansard source

I am pleased to speak on the amendments moved by the shadow minister, the member for Greenway, and to indicate that the government will be opposing them. The effect of the amendments would be to remove the second schedule of the bill, which is the schedule which gives effect to the government's policy intention to remove the two-out-of-three rule. Of course that forms one of the key limbs of the integrated package of policy measures in this bill, with the other key limb being the removal of the 75 per cent reach rule.

It does seem that Labor is rather conflicted as to what their approach is in relation to legislation in this area. On the one hand we have the shadow minister in her contribution to the debate earlier today criticising this as piecemeal reform. The Labor Party is proposing with the amendments the House is presently considering the removal of one very substantial component of this integrated package of reforms. On the one hand she says it is piecemeal; on the other hand her plan is to make it even more piecemeal. This is not a logical approach; it is not an approach that the government is prepared to agree to. What we have in the bill before the House is an integrated package of reforms in the regulation of media in this country.

Let me remind the House that much of the legislative framework governing broadcast media in this country was developed at a time when there were only three principal media platforms—newspapers, TV and radio. It was well before smartphones, well before social media, well before streaming services. One key element of a legislative framework which was developed in a different time was the two-out-of-three rule, and that rule, which continues to have effect on the statute books today, prevents a person from controlling more than two out of three regulated media platforms—commercial television, commercial radio and associated newspapers in any commercial radio licence area. That is a rule that needs to be analysed and assessed in terms of its impact today on Australian media companies, employing Australians, with Australian investors—important Australian businesses. You have one set of businesses which are subject to this restrictive and prescriptive set of rules but at the same time you have other unregulated platforms owned by businesses all around the world, freely available to Australian consumers. Of course the increase in media diversity is a good thing, the increase in choice is a good thing, the increase in the options available to all Australian media consumers, thanks to the extraordinary development of the internet, is a good thing. But the parliament of Australia needs to be cognisant of the economic impact of fundamental technological transformation, and in turn fundamental economic translation, on Australian businesses. The reality is that from a consumer perspective online media is no longer viewed as something distinct from more traditional media platforms. Audiences in Australia and overseas now use multiple sources.

I do want to remind the House that changes to this rule would have a material impact only in capital city markets, and here I exclude Darwin and Hobart, and in a limited number of larger regional licence areas where for the most part sources of news and information are multiple and widespread and the maintenance of diversity is not generally an issue. In most regional and remote markets the removal of the two-out-of-three rule would have minimal impact. I also remind the House that media transitions would still be subject to general competition laws as administered by the ACCC.

This amendment moved by the shadow minister is not one that the government will support. It is ill thought through and it would undermine what is a comprehensive package of reforms.

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