EXPLANATORY STATEMENT
AUSTRALIAN TELECOMMUNICATIONS CORPORATION REGULATIONS (AMENDMENT)
Statutory Rule No. 430 of 1990
Issued by the authority of the Minister for Transport and Communications
Section 105 of the Australian Telecommunications Corporation Act 1989 (the Act) provides that the Governor-General may make regulations for the purposes of the Act.
Subsection 96(1) of the Act exempts Telecom from any requirement, obligation, liability, penalty or disability under a law of a State or Territory to which the Commonwealth is not subject, other than taxation for which Telecom is made liable by section 59 of the Act.
Subsection 96(2) of the Act provides that subject to the regulations, Telecom’s exemption from State and Territory laws under subsection 96(1) applies only in relation to the period from the commencement of the Act to 31 December 1990.
The Government has recently announced that major changes are to be made to the structural arrangements for the Australian Telecommunications industry. The proposed reforms will include the merger of Telecom and OTC and the sale of AUSSAT to provide the basis for a competitor to the merged body.
The issue of what exemptions from State and Territory laws the new body and the competitor should have is to be considered in the context of proposed legislation to create the new structural arrangements. It is intended that the new structural arrangements will commence on 1 July 1991.
The amendment to the Australian Telecommunications Corporation Regulations will extend the period of Telecom’s exemption from State and Territory laws from 1 January 1991 to 30 June 1991, when the new legislation would commence.
Details of the proposed Regulations are as follows:
Clause 1 provides that the amendment commences on 1 January 1991.
Clause 2 is a formal provision.
Clause 3 inserts a new regulation 2A which provides for an extension of the current exemption until 30 June 1991.