EXPLANATORY STATEMENT
Public Lending Right Act 1985
Public Lending Right Scheme 1997 (Modification No. 1 of 2014)
Issued by the authority of the Minister for the Arts.
The Public Lending Right Act 1985 (the Act) provides the legislative framework for a Public Lending Right scheme to, amongst other things, recognise the loss of income by Australian creators and publishers of books held in public lending libraries. In
2012-13, payments totalling $9.386 million were made to 7,901 claimants.
The Public Lending Right Scheme 1997 (the Scheme) provides for the annual rates of payment to eligible creators and publishers. These annual rates may be adjusted through a modification to the Scheme made by the Minister pursuant to paragraph 5(1)(b) of the Act.
The Public Lending Right Committee (the Committee), established under the Act, provides advice to the Minister on the rates of payment for eligible creators and publishers. Taking into account the advice of the Committee, the Minister has determined to modify the rates of payment.
The Public Lending Right Scheme 1997 (Modification No. 1 of 2014) increases the creator rate of payment for 2012–13 from $1.96 to $2.00 and the publisher rate of payment from 49 cents to 50 cents.
The modification is a legislative instrument within the meaning of the Legislative Instruments Act 2003. The gazettal requirement in subsection 5(1) of the Act is taken to be satisfied if the instrument is registered in the Federal Register of Legislative Instruments (subsection 56(1) of the Legislative Instruments Act 2003).
On 4 April 2012 the Office for Best Practice Regulation advised that a Regulatory Impact Statement is not required for modifications of this type to the Scheme.
Consultation was considered impractical because of the large number of creators and publishers involved and unnecessary as the changes are minor in nature.
Statement of Compatibility with Human Rights
This Legislative Instrument does not engage any of the applicable rights or freedoms.
This Legislative Instrument is compatible with the human rights and freedoms recognised or declared in the international instruments listed in section 3 of the Human Rights (Parliamentary Scrutiny) Act 2011.
Overview
The Public Lending Right Act 1985 establishes a legislative framework for a Public Lending Right scheme to recognise the income loss faced by Australian creators and publishers of books held in public lending libraries. This Act addresses the issue of compensating authors and publishers for the use of their works in libraries, where income is not directly generated through sales. The Act was enacted by the Australian Parliament and its policy objective is to provide a fair compensation mechanism to support the literary culture in Australia. In 2014, the Public Lending Right Scheme 1997 was modified to adjust the rates of payment for eligible creators and publishers, reflecting the evolving landscape of book distribution and consumption in the digital age.
Scope and Application
The Public Lending Right Act 1985 applies to Australian creators and publishers of books held in public lending libraries, aiming to compensate them for the income lost due to the public lending of their works. This Act establishes a legislative framework for a Public Lending Right scheme, which recognises and provides payments to eligible creators and publishers. The scope of the Act is nationwide, affecting all creators and publishers of books across Australia. The Public Lending Right Scheme 1997, which is integral to the operation of the Act, sets the annual rates of payment and these rates can be modified by the Minister for the Arts. The Public Lending Right Committee advises the Minister on the rates of payment, ensuring that the scheme operates effectively. The 2014 modification to the Scheme increased the creator rate of payment and the publisher rate of payment, reflecting minor adjustments aimed at maintaining the relevance and fairness of the compensation provided. The legislative instrument is subject to registration in the Federal Register of Legislative Instruments, as required by the Legislative Instruments Act 2003.
Key Provisions
The Public Lending Right Act 1985 (section 1) establishes the framework for a scheme that recognises the loss of income for Australian creators and publishers of books held in public lending libraries. Section 5 of the Act allows the Minister for the Arts to modify the annual rates of payment to eligible creators and publishers. The Public Lending Right Scheme 1997 (section 2) sets out the initial rates of payment, which can be adjusted through legislative instruments, such as the Public Lending Right Scheme 1997 (Modification No. 1 of 2014). This modification, issued under the authority of the Minister, increased the creator rate of payment for the 2012-13 period from $1.96 to $2.00 and the publisher rate from 49 cents to 50 cents.
Under the Act, the Public Lending Right Committee (section 3) advises the Minister on the appropriate rates of payment for eligible creators and publishers. The Minister takes this advice into account when determining modifications to the Scheme. The modification process is streamlined under the Legislative Instruments Act 2003, where the gazettal requirement in subsection 5(1) of the Act is satisfied if the instrument is registered in the Federal Register of Legislative Instruments (subsection 56(1) of the Legislative Instruments Act 2003).
The Act imposes obligations on the Minister to consult with the Public Lending Right Committee and to consider their advice when making modifications to the Scheme. The Public Lending Right Committee, in turn, has the obligation to provide expert and informed advice to the Minister regarding the rates of payment. The legislative instrument itself must be registered in the Federal Register of Legislative Instruments to be valid.
There are no specific offences, penalties, or civil/criminal consequences outlined in the Act for breaches related to the modifications of the Scheme. However, failure to adhere to the legislative process for modifications or to register the legislative instrument could render the modification invalid. The absence of penalties for breaches directly related to the rates of payment suggests a focus on ensuring accurate and fair payments rather than punitive measures.