Issue No 1: 24 January 2022

Communications Alliance Urges Assessment of Cost and Benefits of a Consumer Data Right Framework in Telecommunications

The Federal Government must undertake a regulatory impact assessment of the costs and benefits flowing from its decision today to designate telecommunications as an industry sector that will be subject to the Consumer Data Right (CDR) regime.

Communications Alliance said today that the Government has not yet quantified the benefits that it believes will flow to consumers from having a CDR for telecommunications. Many of the claimed benefits to consumers have been delivered through other Government policies, such as greater competition in the mobile sector, number portability, mobile blackspot funding and the $50 billion NBN project. There has been no evidence presented that CDR will add to these policies.

“Modelling undertaken for Government suggests that the costs to industry (and ultimately, largely, consumers) during the first two years of CDR operation could be close to $120 million,” Communications Alliance CEO, John Stanton, said.

The explanatory memorandum for the CDR Bill in 2019 identified the need for a regulation impact statement (RIS) - reflecting the net benefits of designation - to be prepared before a sector is designated. This was in recognition of the need to ensure that policy was measured and appropriate in delivering benefits to consumers, and to shape policy scope to minimise unexpected costs to participants.

“Undertaking this type of assessment would assist the creation of the CDR rules that will underpin the framework.

“It is also vital that industry and other stakeholders be given adequate time and opportunity to engage in the upcoming rule-making process,” Mr Stanton said.

He welcomed the fact that the Government has clarified a number of elements of the regulatory instrument in response to industry consultation on an earlier exposure draft.

Industry still believes, however, that corporate customers should not be captured by the framework.

Lifting Regulator Performance Capability and Culture

The Communications Alliance Satellite Services Working Group (SSWG) has provided a response to the Australian Government’s draft Regulator Performance Omnibus Bill, which proposes to introduce amendments across 17 Commonwealth Acts to lift regulator performance, capability and culture under the Deregulation Agenda.

Of particular interest to our members representing the satellite sector are the proposed amendments to Schedule 6 Part 2 of the Radiocommunications Act 1992. These include repealing existing bespoke consultation requirements for the making of spectrum frequency band plans, streamlining procedures relating to advisory guidelines, enabling the transfer of apparatus licences without licence holders first seeking the ACMA’s approval and finally allowing the ACMA to limit personal information on the Register for public inspection.

The SSWG response informed the Australian Government that it has no objections to the proposed changes.

AUS-UK FTA Welcomed

Communications Alliance has welcomed the signing of the Australia-UK Free Trade Agreement.

Communications Alliance CEO, John Stanton, said the Australian Government consulted closely and constructively with the telecommunications sector during the negotiation of the agreement.

“The Agreement will help maintain and improve market access for the communications sector in both countries. It also contains useful improvements and clarifications around data flows and measures against data localisation requirements, as well as measures designed to promote the exchange of skilled personnel, the growth of digital trade and to discourage the unsolicited commercial electronic messages, or spam.”

“We look forward to the Agreement coming into force next year and to continued collaboration with the Department of Foreign Affairs and Trade to promote global opportunities for the Australian communications and tech sectors,” Mr Stanton said

New Members

Communications Alliance is pleased to welcome the following new members;

Current Consultations

Below is a list of currently open telecommunications-related consultations being conducted by Government and other organisations that provide an opportunity for you to have your say.

Communications Alliance members interested in contributing to an industry submission (if one is being developed in response to a specific consultation) should contact us.