EXPLANATORY STATEMENT

Telecommunications (Approved Auditor) Determination 2010

Telecommunications (Consumer Protection and Service Standards) Act 1999

The Telecommunications (Approved Auditor) Determination 2010 (“the Determination”) is made by the Australian Communications and Media Authority (“the ACMA”) pursuant to subsection 8F(1) of the Telecommunications (Consumer Protection and Service Standards) Act 1999 (“the Act”).

The Determination specifies the class of persons who are approved auditors for the purposes of Part 2 of the Act.

Legislative Provisions

Subsection 8F(1) of the Act provides that a reference in Part 2 of the Act to an approved auditor is a reference to a person included in a class of persons specified in a written determination made by the ACMA for the purposes of section 8F.

Subsection 20D(1) of the Act provides that an eligible revenue return given to the ACMA must be accompanied by a report of an approved auditor.

Subsection 20K(1) of the Act provides that a claim for levy credit must be accompanied by a report of an approved auditor.

The Determination is a legislative instrument for the purposes of the Legislative Instruments Act 2003.

Consultation

On 22 July 2010, the ACMA commenced a four week public consultation process which included advising all telecommunications carriers that held licences on 30 June 2010 of the proposed Determination and inviting comments.  This advice stated the basis of the Determination, and advised that the Determination would specify:

• persons who by reason of subsection 1281(1) of the Corporations Act 2001 are taken to be registered as auditors (Auditors-General);
• companies registered under Part 9.2A of the Corporations Act 2001 and named in the Register of Authorised Audit Companies provided for in section 1299E of that Act (authorised audit companies); and
•  persons registered as an auditor under Part 9.2 of the Corporations Act 2001 and named in the Register of Auditors provided for in section 1285 of that Act (registered auditors);

as the class of persons specified for the purposes of section 8F of the Act.

Details of the proposed Determination and of the consultation process were made available on the ACMA website. 

The ACMA considered all responses made during the consultation process. The majority of the responses received during the consultation process were supportive of the making of a Determination in the form proposed.

Attachment 1

Notes on the Instrument

Section 1 - Name of Determination

This section sets out the name of the Determination.

Section 2 - Commencement

This section provides that the Determination commences on the day after it is registered.

Section 3 - Definitions

This section sets out the definitions of key terms used in the Determination.  The definitions of Auditor-General, authorised audit company and registered auditor are aligned to these classes as defined in the Corporations Act 2001.

Section 4 – Meaning of approved auditor

This section specifies that an approved auditor must be an Auditor-General, an authorised audit company or a registered auditor.

This ensures that an approved auditor has been registered, or is taken to be registered, in accordance with the Corporations Act 2001.