Senate debates

Thursday, 10 May 2007

Broadcasting Legislation Amendment (Digital Radio) Bill 2007; Radio Licence Fees Amendment Bill 2007

Second Reading

Debate resumed from 9 May, on motion by Senator Johnston:

That these bills be now read a second time.

11:30 am

Photo of Ian MacdonaldIan Macdonald (Queensland, Liberal Party) Share this | | Hansard source

When the debate on the Broadcasting Legislation Amendment (Digital Radio) Bill 2007 and the Radio Licence Fees Amendment Bill 2007 terminated last night I was making the point to the Minister for Communications, Information Technology and the Arts and her department that, in implementing these and other bills, we need to ensure that the interests of rural and regional Australia are to the fore. As I mentioned last night, as a result of the investigations and work that the committee did I am relatively satisfied that the arrangements being put in place are the right ones and do give flexibility for the future.

Before I conclude, there are two other brief points I would like to make. First, I wanted to congratulate the Chair of the Senate Standing Committee on Environment, Communications, Information Technology and the Arts, Senator Eggleston, who has just come into the chamber. Senator Eggleston is a very effective chairman of this committee. It is easy enough to deal with the Labor Party when they get argumentative on these committees; it is much more difficult when your own side becomes argumentative, and Senator Eggleston has a very good way of getting through difficulties, of liaising with the various members of the committee who have some problems with legislation and of liaising with the minister. He is usually able to resolve these matters very well. It is worth mentioning what an effective chairman Senator Eggleston is.

This legislation is about digital radio, and I want to draw the Senate’s attention to the government’s budget commitment of $10.1 million for community radio stations to begin the implementation of digital radio from January 2009. The funding that our government and the Treasurer provided a couple of nights ago will enable community radio broadcasters to extend their track record in innovation and provide fresh and vital services designed to complement the existing analog offerings. This is the first step in fulfilling the government’s promise to ensure access for community broadcasters to digital radio. For the 40 or so wide coverage community radio stations in the state capitals, it will provide the opportunity to add digital value to ongoing analog operations. I note the media release from the chairman of the Community Broadcasting Association of Australia congratulating the government on its initiative in the budget. Community radio is particularly important in many parts of Australia. As a representative of country Australia, I know only too well what a great job community broadcasting does in making sure local communities are kept aware of events. They involve local communities and they provide a form of expression for local communities. It is good to see the government recognising this. Congratulations to the minister on the budget initiative to assist community radio.

11:33 am

Photo of Stephen ConroyStephen Conroy (Victoria, Australian Labor Party, Deputy Leader of the Opposition in the Senate) Share this | | Hansard source

Before I speak to the substance of the debate, I mention that Senator Ian Macdonald made some unfortunate comments when he stood to speak yesterday. Clearly, he had not been properly briefed. We understand that, once you have been moved from the front bench to the back bench, you are in a situation where you are not kept fully in the loop. The government assured the opposition that the bill would not be debated before 6.50 pm last night, and other arrangements were put in place. It is unfortunate that the government did not keep you informed of that, Senator Macdonald, but I accept your apology for your injudicious comments. I know you are particularly angry that former Senator Vanstone has taken the plum role you were hoping for in Italy. But you just hang in there. I am sure they will find somewhere for you soon—perhaps Iraq.

I rose to speak to the Broadcasting Legislation Amendment (Digital Radio) Bill 2007, which brings with it amendments to the Trade Practices Act 1974, and to the Radio Licence Fees Amendment Bill 2007. Radio broadcasting is a media platform of pivotal importance. Radio is broadcast into nearly every home, car and office across Australia. It can quickly relay news and current affairs, as well as entertainment, to a diverse range of people across the nation. The digital radio bills are of great importance as they have the potential to affect all Australians. The benefits of digital radio to both broadcasters and listeners are enormous. As with digital television, digital radio frees up spectrum, which allows more stations to be broadcast than can be broadcast under the analog regime. The opportunity to broadcast more radio enables broadcasters to develop new and specialist stations dedicated to genres such as sports, gardening, jazz music or children’s programs.

Digital radio brings with it improved sound. No longer will listeners in digital coverage areas have to suffer poor reception or distorted sound. Reception will be free from interference. Digital radio also brings with it ease of tuning. No longer will listeners have to waste time tuning and retuning their radios. With digital radio, there are no frequencies. Instead, listeners instantly tune their radios with the touch of a button.

Digital radio allows broadcasters to provide information to their listeners by way of text and picture images, for example by displaying on the digital radio screen a daily or weekly program guide, the name of the song and its lyrics, news and traffic updates or weather maps. Some digital radios also allow listeners to pause, rewind and even record live radio or programs in the future. This allows listeners to fit radio into their lifestyles, not their lifestyles into the parameters of their favourite radio broadcasts. Given the vast array of opportunities for broadcasters and the benefits for listeners assured by the introduction of digital radio in Australia, Labor supports the intent of the digital radio bills.

However, given the importance of radio to listeners across Australia, Labor considers that digital radio should only be introduced after careful consideration of the digital radio bills and informed debate as to their effect. Here Labor diverges from the government. Both Labor and the government support the introduction of digital radio in Australia. However the government, while acknowledging that this legislation needs some finetuning, believes that it should be passed. Labor does not consider that near enough is good enough and, while we support the bill, we do not believe that it should be passed without amendment.

Labor is concerned about the substance of the government’s Broadcasting Legislation Amendment (Digital Radio) Bill and also about the way the Howard government pushed this bill through parliament. Firstly I would like to speak to the deficiency in the substance of the bill. The bill only specifies the use of digital audio broadcasting, known as DAB and also known as Eureka 147, as the technology platform for digital radio in Australia. This provision appears at odds with the government’s own regulation impact statement in the explanatory memorandum. The explanatory memorandum notes that DAB is unlikely to be a suitable platform to address the extended coverage requirements of some regional and remote services in Australia.

Further, technical trials of digital radio technologies, including Digital Radio Mondiale, or DRM, need to be undertaken to determine which technologies or combination of technologies will best serve people living in regional and remote Australia. If this is the case, why does the bill specify only the use of DAB? Why is the government willing to pass this bill without having undertaken the requisite technical trials? Labor considers that this bill should ensure that the appropriate technologies are in place to enable the rollout of digital coverage to all Australians, including those in remote, rural and regional areas.

Additionally, Labor recognises that the choices to be made today in relation to digital technology will affect the manufacturing sector also. Manufacturers require certainty so they can develop and provide the appropriate technologies to harness digital radio and make them accessible to all Australians.

If it is later decided by the government that an alternate standard, such as DRM, is required so that digital radio will reach regional and remote areas, it will only then be necessary for manufacturers to begin producing multiformat devices with the ability to receive both DAB and DRM signals. Unless a second digital radio standard for regional areas is considered now, manufacturers will have no incentive to produce multiformat devices and the next generation of digital radios will not be DRM compatible. Clearly this is an issue of fundamental importance to Australians living in remote, rural and regional areas, and is pertinent to digital radio manufacturers. Labor considers that it is an issue that should be addressed prior to the passing of the bill.

Secondly, I would like to speak to the way in which the government disregarded the Senate’s role as a house of review and conducted an inadequate and flawed inquiry into the bill. The government referred the bill to the ECITA committee for inquiry on 29 March 2007, with a reporting deadline of 30 April 2007. The committee called for submissions on 4 April, requesting them by 12 April 2007. The objective of the bill is to pave the way for digital radio in Australia. However, the government’s short time frame for submissions saw that parties interested in the future of the Australian radio communications were forced to consider this important legislation in a very short time frame. This has clearly been inadequate. Secondly, the government did allow sufficient time for the submissions to be adequately reviewed and/or considered by the inquiry. Late submissions were accepted by the government and information was provided to the committee just one day prior to the final meeting of the committee. This expedited review process is clearly insufficient. Why is the government so determined to accelerate this bill through the important process of Senate review? Why was the inquiry such a sham? We did not even hold a public hearing. There are some serious and important matters raised in submissions from the public, and yet we could not be bothered, because this government is hell-bent on ramming it through the chamber, to hold a public hearing into some of these important issues.

Labor considers digital radio to be an important technological advancement and one that Australia should adopt. Yet, like all new technologies, it should only be introduced after informed debate and after careful consideration. The government did not allow any such debate or consideration. The majority report, released on 7 May 2007, acknowledges that fact. Furthermore, the report recommends that notwithstanding that there ‘may be some finetuning needed’—a government Senator’s own words—the bills should be passed. It would appear, then, from its own report, that the government takes the attitude that near enough is good enough.

The government is aware this bill is not quite right—that it requires some ‘finetuning’—but says that it will do and should be passed anyway. If this does not smack of political expediency, what does? The way the inquiry was handled demonstrates the government’s belief that the Senate should not do anything more than rubber-stamp its proposed legislation—a fine example, in this one small bill that has profound consequences, of democracy at work under John Howard!

Labor does support this bill, but it does not in any way support the manner in which the government has made a mockery of the legislative process in getting it across the line. It is on this basis that Labor intends to move a second reading amendment to the Broadcasting Legislation Amendment (Digital Radio) Bill. Labor’s amendment intends to make sure that all Australians are in a position to access digital radio, including those in regional, rural and remote areas, and that there is meaningful consultation to determine how we can achieve such access. The introduction of digital radio in Australia is exciting for all Australians. Digital radio offers a raft of innovations that will change the way we listen and use the radio to receive news, current affairs and music. However, it is important that we get the introduction of digital radio right and that no-one is left without access to this new technology and the benefits it can, and will, deliver.

11:45 am

Photo of Lyn AllisonLyn Allison (Victoria, Australian Democrats) Share this | | Hansard source

The Democrats strongly support digital radio and look forward to its introduction. However, like other speakers in this place, I point to the shabby process that has occurred so far. There does not seem to be a reason to rush this legislation, because a whole raft of questions were raised during the inquiry process. There has been too little time to consider what are 137 pages of amendments. Questions raised cover the fact that technical trials were not done; issues concerning the DRM platform and its impact on rural and remote area access, and limited spectrum access and the operation of multiplexes; and where the Broadcasting Legislation Amendment (Digital Radio) Bill 2007 and the Radio Licence Fees Amendment Bill 2007 leave community broadcasters in the event that they cease to hold a licence. I think it is not unreasonable to say that the government should have sorted out these problems before we had to deal with the bill itself.

The Democrats will consider the legislation and any amendments that are put up as the debate progresses. However, we recognise the difficulty in trying to fix this bill in the way in which many submitters to the inquiry on the legislation suggested it should be fixed. At the end of the day, this is really up to the government to fix rather than the Senate. I will be moving an amendment, which is not altogether related to the digital platform but is a very pressing issue for us at this point in time. I will come to it when the Senate moves into its committee stage.

11:47 am

Photo of Dana WortleyDana Wortley (SA, Australian Labor Party) Share this | | Hansard source

I rise to speak on the Broadcasting Legislation Amendment (Digital Radio) Bill 2007 and related amendments to the Radio Licence Fees Amendment Bill 2007 and the Trade Practices Act 1974. This is an opportunity to pass legislation that will benefit millions of Australians and will see the introduction of a sound policy framework that will enable innovative digital radio services to be accessible by all Australians. It is an opportunity to establish a framework that includes provisions for appropriate and efficient technology and licensing arrangements. But there are concerns that this is going to be a missed opportunity. The issues surrounding this legislation are complex and the implementation of the legislation is far-reaching, and we have a duty to get it right.

Labor support the introduction of digital radio and the intent of the digital radio bills, but we stress the importance of the legislation having the best possible legislative framework. As it stands, this bill does not meet this requirement. For this reason we will move an amendment so that we make sure we do get it right. It is what the people of Australia expect—that we make sure that all Australians, wherever they live, get access to improvements in technology, and that includes regional, rural and remote areas of Australia.

The Senate inquiry should have provided that opportunity but, instead, it only highlighted the government’s lack of interest in ensuring legislation is adequately scrutinised. Having received the chair’s revised draft report and the final corrected response from the Department of Communications, Information Technology and the Arts only the day before the committee met, members of the Senate Standing Committee on Environment, Communications, Information Technology and the Arts had to vote on whether to accept the final report, which had just one recommendation: that the bill be passed. Is it any wonder that Labor senators presented a minority report requesting an extension of time so that the issues raised during the drafting of the bill could be adequately addressed? Interested parties, including stakeholders, had to read, absorb and respond to the 137-page bill and its amendments in just eight days. It is not unreasonable to expect proper scrutiny. It is not unreasonable for interested parties to be provided with sufficient time to consider and draft submissions. It is not unreasonable to expect meaningful consultation.

The Broadcasting Legislation Amendment (Digital Radio) Bill 2007 will amend the Broadcasting Services Act 1992, the Radiocommunications Act 1992 and the Trade Practices Act 1974 to enable the licensing, planning and regulation of digital radio services. The legislated framework before us enables the provision of digital radio services by commercial and wide-coverage community radio broadcasting licensees and national broadcasters using the digital audio broadcasting, DAB, platform. The ABC in its submission to the Senate inquiry raised concerns that the DAB would not adequately service regional and remote Australia and recommended:

... that an additional digital radio standard that is appropriate for wide-area coverage of regional and remote Australia be adopted before the provisions of the Bill come into effect.

The coalition senators acknowledged this in the committee report, which stated:

The committee hopes that the government will take an approach that minimises barriers to the adaptation of digital radio in rural and remote areas.

When we look at the legislative framework before us, it is nowhere to be found. One would expect there to be some scope in the legislation to move to an alternative platform should it prove to be a better option and therefore provide manufacturers of radio receivers with the incentive to produce multiformat devices that can be adapted to receive DAB and DRM.

In today’s paper, we have the government acknowledging that consideration would need to be given to whether other technologies such as DRM were more appropriate in regional and rural areas and saying that the new system would be reviewed by 2011 to allow adjustments to the regulatory framework if necessary. Surely the aim should be to get it right from the beginning, get it right for the service providers and the consumers, and provide industry with long-term certainty in relation to technology development.

Our national broadcasters have raised concerns that the requirement to form a company in order to be eligible to access category 3 licences places additional tax obligations and administrative costs on them. Concerns were also raised about the restrictive definition of digital program enhancement content, with the view that to encourage the take-up of digital radio the definition should be broadened to include animation and video clips, which are already available on mobile phones.

The bill’s objective is to pave the way for digital radio in Australia, but there was minimal time for submissions to be written, minimal time for committee members to consider the content of the submissions, minimal time for the committee to consider the responses to its questions provided by the department and minimal time for committee members to adequately consider the full implications of the adoption of the chair’s revised report, with the recommendation to pass the bill. The inquiry process again appears to have been accelerated when there is no apparent time imperative for passing the digital radio bill. So we again see the Howard government’s disinterest in external scrutiny of legislation and again have significant issues raised, but the opportunity for them to be addressed is lost. The time frame was restrictive in that it did not permit the key issues identified as part of the Senate inquiry to be adequately considered—issues including ACMA being able to issue multiplex licences to only digital representative companies and no provision of guaranteed capacity for community radio broadcasting services on all available multiplexes.

Labor senators request that debate on the bill be deferred so that there can be a full assessment of issues raised in the submissions and that issues raised by Commercial Radio Australia, the ABC, SBS and other stakeholders can be adequately assessed. There are complex issues encompassed in this bill that should be addressed now. We should take up the opportunity to improve radio communications legislation and pave the way for digital radio in Australia.

Digital radio is an exciting development. It should be an exciting development for all Australians. It should ensure that rural, remote and regional areas are adequately serviced. It should be a case of access and entitlement issues being well managed. We should take the time necessary to ensure that industry concerns have been addressed in the best way possible; that consumers, wherever they live—city, metropolitan, rural, remote and regional Australia—have access to this exciting development; that the transition to digital radio is as smooth as possible; and that all Australians have access to gaining the maximum benefit from the introduction of digital radio broadcasting.

11:56 am

Photo of Ruth WebberRuth Webber (WA, Australian Labor Party) Share this | | Hansard source

As a member of the Senate Standing Committee on Environment, Communications, Information Technology and the Arts I would like to pick up where Senator Conroy left off about the committee process in dealing with the Broadcasting Legislation Amendment (Digital Radio) Bill 2007 and the Radio Licence Fees Amendment Bill 2007. The committee did not get to formally have a meeting or a hearing on this piece of legislation that the government heralds with great fanfare and trumpets in its budget announcements. We were circulated a few submissions and the chair’s draft report before we even had time to work out whether we wanted to conduct a hearing: such was the hurry that the committee was in. Perhaps it is a sign of the way that some committees are conducted in this place.

As I said, a draft report was circulated. We were told, very quickly after that report was circulated, that we needed to have a teleconference to adopt the report. Unfortunately, that could not take place with the alacrity that the chair wanted, because I for one need more than 12 hours to consider things. I was not prepared to take a draft report one day and sign off on it the next morning, and that is what was proposed. It was an unnecessary rush. At that point, when the draft report was circulated and the initial teleconference was suggested, we had not even received the response from the department. So there is room for improvement when it comes to the way that this committee is conducted, with regard to the pressure that the government perhaps puts on members of the committee and the way that they therefore conduct themselves.

If this is about the use of new technology and new advances in communications then perhaps we could actually be given the time by the department to consider their response to the matters that were raised in submissions before the committee is unnecessarily rushed into it. This is not the first time that it has happened in this particular committee, so perhaps we have some issues that we need to deal with.

As Senators Conroy and Wortley mentioned, we not only have concerns about the committee’s tight deadlines—and that is a growing issue with the way that the government is choosing to treat some of the committees in this place—but also have some issues with the legislation itself. It was a fast-tracked process, but the submissions that the committee did get revealed a number of significant issues that we felt we could have taken further time to consider.

As I said, the submissions revealed significant issues with the drafting of the bill. The short reporting time frame that we were given, particularly when considering the response from the department, did not permit the committee to fully explore all of those issues. We could have, if we had had the chance to fully explore them, corrected some of the issues within the bill, or our concerns may have been alleviated and we may have found it was a matter of misinterpretation. I think we need to fix the process. If we are going to talk about the significance of this advance in legislation and the budget announcements as heralded by Senator Macdonald, we need to get the process right so that, if this is as good as the minister says it is, we can all support the bill process. I formally move the second reading amendment that has now been circulated in the name of Senator Stephen Conroy:

At the end of the motion, add:

“but the Senate:

(a)
notes:
(i)
that the inquiry into the bill by the Environment, Communications, Information Technology and the Arts Committee did not allow interested parties sufficient time to consider and draft submissions to the committee, this constraint not allowing meaningful consultation on the bill;
(ii)
the lack of information as to how the omission of the Digital Radio Mondiale (DRM) platform from the legislation will affect the roll-out of digital radio to rural and regional Australia;
(iii)
that this legislation only specifies the use of Digital Radio Broadcasting; and
(iv)
that trials on DRM and compression standards are still being carried out;
(b)
calls for debate on the bill to be deferred until meaningful consultation has occurred; and
(c)
demands that the Government make every endeavour to ensure that standards are in place to enable the rollout of digital radio to remote, rural and regional Australia”.

12:00 pm

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Minister for Communications, Information Technology and the Arts) Share this | | Hansard source

I commend Senator Webber for waffling on about however long was required for Labor to get their act in order on this second reading amendment, which seems to have been largely the same as the one in the House of Representatives! Anyway, let us be charitable about this. The Broadcasting Legislation Amendment (Digital Radio) Bill 2007 and the Radio Licence Fees Amendment Bill 2007 provide the Australian radio industry with a unique and important opportunity to commence digital radio services. These bills provide for the introduction of digital radio services using the digital audio broadcasting or DAB standard initially commencing in the state capital city markets by 1 January 2009.

Digital radio has the potential to provide a range of new and innovative services to listeners and thereby enhance the quality and diversity of radio services currently enjoyed by millions of Australians every day. Yet I note that the opposition is calling on the government to delay the introduction of the new technology, citing a lack of consultation with industry and suggesting that regional radio listeners have not been included in this process—I will deal with both of those issues a little later. In fact the Australian radio industry has been working closely with government for three years in the development of the policy that is implemented through this legislation. Numerous opportunities have been extended to major stakeholders to contribute to the development of the policy framework, and their valuable contributions and how important this is to the radio industry have been embraced and welcomed by the government.

The Senate committee’s recent report on the provisions of the bills noted that submissions to the inquiry were very supportive of the bill’s intent and the majority of its provisions. Indeed, I think it is fair to say that the interest of these stakeholders in commencing digital radio has been a key factor in bringing this legislation forward. The Australian radio industry, which has to implement this legislation and use this technology, has lobbied strongly for the introduction of digital radio to enable it to respond to the opportunities and challenges of an emerging digital media landscape. It astounds me that the opposition and others do not see the relevance of getting started in digital radio. If you wait until the technology all aligns, you will never start. Technology continues to develop, and the legislation is flexible enough to allow reassessment—and there is a legislative review in 2011, which I will get to.

There are opportunities and challenges presented by this legislation and the adoption of digital radio. These opportunities will simply pass the industry by if we have troglodytes looking at this sort of legislation who do not understand that technology evolves and changes and that you cannot nail it to the floor until it all lines up and then start. It does not work like that with technology because it will be obsolete by the time everybody agrees on it in a Senate committee.

This government is very supportive of the intention of introducing digital radio. It is the last significant broadcasting platform to remain analog only, and digitisation is a key strategic priority for radio—they do not want to be left behind; they want to get on with it. The legislation provides the radio industry with an opportunity to go digital in a manner which incorporates the lessons learned from digital radio implementation overseas. We know from our inquiries and the extensive research that has been undertaken, for instance, that digital radio is generally preferred as a supplementary technology to analog radio rather than as a replacement—different to television. Analog radio shutdown may well be a long-term prospect but only a long-term prospect at best, and the dual operation of analog and digital is a reality for all countries that have commenced digital radio.

In recognition of this, the legislation provides for a progressive transition to digital radio without seeking to mandate both an unrealistic and costly conversion from analog. The first digital radio broadcast is to occur in the state capital city markets on or before 1 January 2009 using the DAB standard. The use of DAB as the primary platform for digital radio in Australia has the strong support of the Australian radio industry, including the ABC. It is widely recognised that DAB is the most developed terrestrial digital radio platform already introduced in a range of countries—and, importantly, for a small to medium country like Australia, there are a range of reasonably priced DAB consumer receivers available on the international market.

Contrary to the suggestions of the opposition, listeners outside the state capitals have not been and will not be overlooked. The legislation will enable the commencement of DAB radio services in regional markets, depending on the interest of relevant broadcasters in providing services. From my conversations as I travel around Australia and talk to broadcasters in rural and regional Australia, there is strong interest, and we aim to ensure that they will be able to access this new technology. However, I am pleased to note that the commercial radio industry has expressed considerable interest in providing DAB services in markets such as Newcastle, Wollongong, Geelong, Hobart, Darwin and the Gold Coast, and it is reasonable to expect that listeners in these markets will be provided with DAB radio services in these areas sometime after 2009. While DAB is the clear choice for the implementation of digital radio in Australia’s larger metropolitan and regional markets, it is acknowledged that the platform—

Photo of Judith TroethJudith Troeth (Victoria, Liberal Party) Share this | | Hansard source

Order! I would ask that conversations in the chamber cease while a senator, particularly a minister, is speaking. Please resume, Minister.

Photo of Helen CoonanHelen Coonan (NSW, Liberal Party, Minister for Communications, Information Technology and the Arts) Share this | | Hansard source

It is, however, acknowledged that the platform may not be able to replicate the extensive broadcast coverage of some AM services. Consideration will need to be given to whether other technologies such as Digital Radio Mondiale, or DRM, are better placed to address the audience needs of some regional areas. I think it should also be noted that, at this time, DRM is not a widely deployed technology nor has it received significant commercial support. Only recently have manufacturers even committed to producing DRM sets in any meaningful numbers. In my view, there would be clear risks if Australia were to draft legislation to specifically support or even mandate the introduction of a technology that is yet to achieve significant commercial support in overseas markets.

This consideration, together with the view of digital radio as a supplementary rather than a replacement technology, supports the conclusion that it would be simply premature for Australia to develop a detailed and specific regulatory framework for alternative digital radio technologies at this time. However, there would be a clear benefit in continuing the assessment of the technology options for regional digital radio, and we think it is a sensible way forward. It is consistent with the government’s stated commitment to ensuring equitable access to new services in broadcasting by people living in rural, regional and remote Australia.

To this end, the legislation provides for a statutory review, as I mentioned, by 1 January 2011 of technologies for the transmission of digital radio broadcasting services and restricted datacasting services in regional licence areas. This review will allow for the appropriate consideration of issues such as the availability of equipment for and the coverage characteristics of various digital radio technologies as well as the types of services that could result from the use of those technologies in regional areas and will thus allow for adjustment to the regulatory framework should that be necessary.

The bills provide for the participation of wide-coverage commercial national and community broadcasters in the first phase of digital radio implementation. This recognises that the strength of Australian radio over recent decades has been based in no small part on the individual contribution made by each of these sectors. To back this up the federal government has provided funding of over $10 million to help community broadcasters establish digital radio infrastructure. It was a very important although quite small initiative in what was a most significant budget.

The government has also committed to funding the rollout of infrastructure to support the delivery of digital ratio services by the national broadcasters, the ABC and SBS. Together these initiatives will enable the sectors to participate with the wide-area commercial broadcasters in the commencement of digital radio services in the state capital cities on 1 January 2009. In Australia, the national broadcasters play a vital role in the Australian radio market and they are a critical source of service diversity, with their services highly valued by audiences across the country. Similarly, community radio is an established player in the radio broadcasting landscape also making a valuable contribution to the diversity of offerings of radio services. This funding package will ensure that the roles of the respective sectors are carried forward in the digital environment.

So, taken as a whole, the measures contained in this legislation cement radio’s important position in the Australian media landscape, providing industry with the opportunity to invest in innovative new digital content and provide listeners with a rich and more diverse radio offering.

I do want to address a couple of matters that have been raised in connection with the opposition’s second reading amendment, the first of which is the suggestion, indeed the claim, that this legislation has been rushed and calling into question the degree of consultation. The Australian radio industry has been working closely with the government, as I have said, for three years in the development of the policy that is implemented through this legislation. Numerous opportunities have been extended to major stakeholders to contribute to the framework’s development.

I just wanted to mention that back in December 2004, which is almost ancient history when you are looking at this kind of technology, the government initiated an extensive process of industry consultation, research and policy development to examine the most appropriate technology and framework for the introduction of digital radio in Australia. It culminated with the release by me in October 2005 of a policy framework to guide the implementation of digital radio which is now being implemented through this legislation. And—to borrow a well-known phrase—guess what? Nobody seemed to suggest that there was anything wrong with the policy framework. I never heard the opposition complaining about any of the policy framework as it was being developed. Indeed, it had the strong support and involvement of industry, and the framework was warmly received by the major stakeholder groups when it was announced. The stakeholders have been further involved in the development of the legislation to implement it through the release of an exposure draft of the bills prior to their introduction to parliament and through the Senate committee’s inquiry.

Somehow or other all this went under the radar, from 2004 until the Senate inquiry. You would think the Senate inquiry happened over 24 hours, but it went from 29 March to 30 April. That is hardly a rushed inquiry, and I reject any suggestion that the committee were anything other than able to deal with the issue. If they could not, it really calls into question their ability to get their heads around what has been on the table now since about 2004.

The government’s policy development process has been open, it has been transparent, and we can hardly take the blame if people do not wake up when they have some issues with it. The committee’s report on the provision of the bills said that the submissions were very supportive of the bills’ intent—and, indeed, industry wants this. I intend, as far as I am capable of delivering this legislation in this place, to ensure that they have it.

In sum, we have an interest in proceeding with the legislation to reflect the industry’s stated desire to get on with it and to actually commence digital radio. The Australian radio industry have lobbied strongly for the introduction of digital radio because they want to take advantage of the opportunities and challenges. The opposition should get out of the way and let them have it, because they actually run the industry.

I have mentioned in my summing-up remarks the fact that we do acknowledge that technology evolves, and it is important that we continue to look at the best way to deliver it in other areas such as rural and regional Australia. We will continue to ensure that consideration is given to other technologies such as DRM. It may not be the best, but we will continue to look at what will be. It is not widely deployed, so we certainly do not want to go down the path of adopting something that might otherwise not be a commercial or, indeed, a proper solution.

This legislation, as I have said, provides for a statutory review, and we will keep it closely under review. It is the intention of this government that digital radio will be available throughout Australia, and we will do it in a measured and a considered way that will allow the industry to adopt the technology that best suits them and certainly to deliver the services that will help to meet the needs of Australians regardless of where they live.

Question negatived.

Original question agreed to.

Bills read a second time.