EXPLANATORY STATEMENT
Issued by the authority of the Minister for Broadband, Communications
and the Digital Economy
National Broadcasting Legislation Amendment Act 2012
Proclamation
Subsection 2(1) of the National Broadcasting Legislation Amendment Act 2012 (the Act) provides that Schedule 1 to the Act commences on a single day to be fixed by proclamation, but no later than six months after the date the Act receives Royal Assent. That section also provides that Schedule 2 to the Act (with the exception of item 2) commences at the same time as Schedule 1. Item 2 of Schedule 2 to the Act commences immediately after the commencement date for the other provisions.
The Act received the Royal Assent on 24 July 2012. The purpose of the Proclamation is to fix 24 November 2012 as the commencement date.
Schedule 1 to the Act amends the Australian Broadcasting Corporation Act 1983 (ABC Act) and the Special Broadcasting Service Act 1991 (SBS Act) to provide a framework for the conduct of a merit‑based process for appointing the Chairperson and other non-executive Directors to the respective board of each national broadcaster.
Schedule 2 to the Act amends the ABC Act to re-establish the position of the staff-elected Director on the ABC Board.
The Act specifies no conditions that need to be satisfied before the Proclamation is made.
The Proclamation is a legislative instrument for the purposes of the Legislative Instruments Act 2003.
Since the Proclamation provides solely for the commencement of legislative provisions, it is exempt from disallowance under section 42 of the Legislative Instruments Act 2003. As a result, no statement of compatibility needs to be prepared under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011.
The Department of Broadband, Communication and the Digital Economy consulted with the Australian Broadcasting Corporation (ABC) and the Special Broadcasting Service (SBS) in the development of the Act and the Proclamation.
The Office of Best Practice Regulation (OBPR) has confirmed that the preparation of a Regulation Impact Statement is not necessary.
Authority: Subsection 2(1) of the National Broadcasting Legislation Amendment Act 2012
Overview
The National Broadcasting Legislation Amendment Act 2012 was enacted to address the need for a more structured and transparent process for the appointment of key positions within the Australian Broadcasting Corporation (ABC) and the Special Broadcasting Service (SBS). This Act, received Royal Assent on 24 July 2012, was introduced by the Parliament of Australia under the authority of the Minister for Broadband, Communications and the Digital Economy. The primary policy objective of this Act is to enhance governance within the national broadcasters by establishing a merit-based selection process for appointing the Chairperson and non-executive Directors to the boards of the ABC and SBS. Furthermore, the Act seeks to re-establish the role of the staff-elected Director on the ABC Board, ensuring that the voices of the staff are included in the decision-making processes of the national broadcaster.
The Proclamation issued under this Act sets 24 November 2012 as the commencement date for the majority of the legislative changes introduced by Schedules 1 and 2. This commencement is designed to ensure a seamless implementation of the new appointment frameworks and the reinstatement of the staff-elected Director position. The Department of Broadband, Communications and the Digital Economy worked closely with the ABC and SBS during the development of the Act, ensuring that the changes would meet the needs of these national broadcasters while enhancing their governance structures. The Office of Best Practice Regulation has confirmed that a Regulation Impact Statement is not necessary for this legislation, highlighting the streamlined nature of the changes introduced.
Scope and Application
The National Broadcasting Legislation Amendment Act 2012 applies to the boards of the Australian Broadcasting Corporation (ABC) and the Special Broadcasting Service (SBS), specifically to the appointment and role of non-executive Directors, including the Chairperson of each board. This legislation is a Commonwealth Act and therefore applies nationally across Australia, impacting the operations and governance of these two public broadcasters. The Act provides a structured process for the merit-based appointment of board members, which includes the reintroduction of a staff-elected Director on the ABC Board. The commencement of the Act's provisions was set by a Proclamation on 24 November 2012, with certain parts of the Act coming into effect on this date while others commenced immediately after. The Act does not specify any exclusions, exemptions, or thresholds for its application, and it does not extend its application through subordinate instruments. The Office of Best Practice Regulation confirmed that a Regulation Impact Statement was not necessary for this Act.
Key Provisions
The National Broadcasting Legislation Amendment Act 2012 introduces several key provisions aimed at enhancing the governance structures of Australia's national broadcasters, the Australian Broadcasting Corporation (ABC) and the Special Broadcasting Service (SBS). The main operative sections of this Act, as outlined in the Explanatory Statement, involve the amendment of the Australian Broadcasting Corporation Act 1983 and the Special Broadcasting Service Act 1991. Specifically, Section 2(1) establishes a merit-based process for appointing the Chairperson and other non-executive Directors to the boards of the ABC and the SBS (Schedule 1). Additionally, the Act reinstates the position of the staff-elected Director on the ABC Board, as detailed in Schedule 2.
The obligations imposed by the Act on the respective boards include ensuring that appointments of the Chairperson and non-executive Directors are conducted through a merit-based process. This means that appointments should be based on the qualifications, experience, and suitability of candidates, rather than on political or other non-merit-based considerations. Furthermore, the reinstatement of the staff-elected Director on the ABC Board requires that the ABC must provide a mechanism for staff to elect one of their members to serve on the board, ensuring that the voices of the organisation’s employees are represented in its governance.
Breaches of the requirements set out in the Act may result in various consequences. While the Act itself does not specify particular offences or penalties, the governance frameworks established by the legislation are intended to ensure accountability and transparency in the appointment processes of board members. Any failure to adhere to the merit-based appointment process could potentially lead to legal challenges, public scrutiny, and reputational damage for the broadcasters. Additionally, while the Act does not detail specific penalties, non-compliance with legislative requirements could also result in broader legal consequences under the respective governing Acts of the ABC and SBS, such as fines or other administrative penalties.
The Act's provisions are designed to strengthen the governance and accountability of the national broadcasters by ensuring that board appointments are made based on merit rather than political influence. This aims to uphold the integrity and public trust in the operations of these important national institutions.