Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026

Administered by Department of Infrastructure, Transport, Regional Development, Communications, Sport and the Arts

Legislation au F2026L00530 In force Legislative Instrument

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EXPLANATORY STATEMENT

Approved by the Australian Communications and Media Authority

 

Telecommunications (Carrier Licence Charges) Act 1997

 

Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026

 

Authority

 

The Australian Communications and Media Authority (the ACMA) has made the Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026 (the Determination) under paragraphs 15(1)(a), (c) and (ca) of the Telecommunications (Carrier Licence Charges) Act 1997 (the Act) and subsection 33(3) of the Acts Interpretation Act 1901 (the AIA).

 

Subsection 15(1) of the Act provides that the total of the annual carrier licence charges that are imposed on carrier licences in force at the beginning of a financial year must not exceed the sum of the amounts described in paragraphs 15(1)(a) to (d), three of which are amounts determined by a written instrument made by the ACMA, being:

 

  • the amount determined to be the proportion of the ACMA's costs for the immediately preceding financial year that is attributable to the ACMA's telecommunications functions and powers (paragraph 15(1)(a));

 

  • the amount determined to be the proportion of the Commonwealth’s contribution to the budget of the International Telecommunication Union (ITU) for the calendar year in which the beginning of the financial year occurs that is to be recovered from carriers (paragraph 15(1)(c)); and

 

  • the amount determined to be the sum of the amounts paid under section 136C of the Telecommunications Act 1997 (the Tel Act) during the immediately preceding financial year (paragraph 15(1)(ca)).

 

The Determination prescribes the relevant amounts under paragraphs 15(1)(a), (c) and (ca) of the Act.

 

Subsection 33(3) of the AIA provides that where an Act confers a power to make an instrument, the power shall be construed as including a power exercisable in the like manner and subject to the like conditions (if any) to repeal, rescind, revoke, amend, or vary any such instrument.

 

Purpose and Operation

 

The Determination has been made for the purposes of paragraphs 15(1)(a), (c) and (ca) of the Act and is relevant to determining the total of the charges that are imposed on carrier licences in force at the beginning of the 2024-2025 financial year. The Determination specifies:

  • the amount determined to be the proportion of the ACMA’s costs for the 2023-2024 financial year that is attributable to the ACMA’s telecommunications functions and powers (paragraph 15(1)(a));
  • the amount determined to be the proportion of the Commonwealth's contribution to the budget of the ITU for the 2024 calendar year that is to be recovered from carriers (paragraph 15(1)(c)); and
  • the sum of the amounts paid under section 136C of the Tel Act during the 2023-2024 financial year (paragraph 15(1)(ca)).

 

The amounts determined under paragraphs 15(1)(a), (c) and (ca) of the Act are included in the formula that is used to ascertain the amount of charge imposed on a carrier licence that was in force at the beginning of the 2024-2025 financial year, in accordance with the Telecommunications Carrier Licence Charges (Annual Charges) Determination (No. 1) 2026.

 

A provision-by-provision description of the Determination is set out in the notes in Attachment A.

 

The Determination is a disallowable legislative instrument under the Legislation Act 2003 (the LA).

Documents incorporated by reference

The Determination incorporates (including by the adoption of definitions), or otherwise refers to, the Act and the Tel Act.  Both Acts are incorporated as in force from time to time, in accordance with section 10 of the Acts Interpretation Act 1901 and subsection 13(1) of the LA, and may be accessed, free of charge, from the Federal Register of Legislation: www.legislation.gov.au. 

 

Consultation

 

Before the Determination was made, the ACMA was satisfied that consultation was undertaken to the extent appropriate and reasonably practicable, in accordance with section 17 of the LA.

 

The ACMA consulted with the public and industry stakeholders on the making of the instrument for a four-week period from 15 August 2025 to 12 September 2025.  The consultation was facilitated through the public release of a consultation paper and a draft cost recovery implementation statement (CRIS) on the ACMA’s website. The CRIS and consultation paper outlined that the Determination would specify the costs referred to in paragraphs 15(1)(a), (c) and (ca) of the Act.

 

In response to its consultation, ACMA received two written submissions[1]. The submissions mainly sought clarification on the decrease in the ACMA’s compliance, enforcement and consumer safeguard costs from the previous year and cost reduction opportunities aligned with the Government’s productivity agenda. None of the submissions commented on the amounts determined under 15(1)(a), (c) and (ca) of the Act and no changes were made to the Determination as a result of consultation. The ACMA considered the submissions before making the Determination.

 

Statement of Compatibility with Human Rights

 

Subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 requires the rule maker in relation to a legislative instrument to which section 42 (disallowance) of the LA applies to cause a statement of compatibility with human rights to be prepared in respect of that legislative instrument.

The statement of compatibility with human rights set out in Attachment B has been prepared to meet that requirement.

 


Attachment A

 

Notes on sections of the Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No.1) 2026.

 

 

Section 1 - Name

 

This section provides for the Determination to be cited as the Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026 (the Determination).

 

Section 2 - Commencement

 

This section states that the Determination commences on 13 May 2026.  The instrument will be registered on the Federal Register of Legislation which may be accessed free of charge at www.legislation.gov.au.

 

Section 3 – Authority

 

This section identifies the provisions of the Act that authorise the making of the Determination, namely paragraphs 15(1)(a), (c) and (ca) of the Telecommunications (Carrier Licence Charges) Act 1997 (the Act).

 

Section 4 – Repeal of this instrument

 

This section provides that the Determination is repealed at the start of 1 July 2027.

 

Section 5 - Definitions

 

This section states that, for the purposes of the Determination, Act means the Telecommunications (Carrier Licence Charges) Act 1997.

 

Section 6 - Determination of amount attributable to telecommunications functions and powers

 

This section determines an amount of $15,245,252 for the purposes of paragraph 15(1)(a) of the Act, being the proportion of the ACMA’s costs for the 2023-2024 financial year that is attributable to the ACMA’s telecommunications functions and powers. This amount has been calculated in accordance with accrual-based accounting principles in line with the definition of “cost” in subsection 15(4) of the Act. 

 

Section 7 – Determination of amount of ITU contribution to be recovered

 

This section determines an amount of $2,526,335 for the purposes of paragraph 15(1)(c) of the Act, being the proportion of the Commonwealth’s contribution to the budget of the ITU for the 2024 calendar year that is to be recovered from carriers. This amount has been calculated by apportioning the Commonwealth’s total contribution to the budget of the ITU for that calendar year between the ITU’s Radiocommunication Sector and Telecommunication Standardisation Sector.

 

Section 8 - Determination of amounts paid under section 136C of the Telecommunications Act 1997

 

This section determines, for the purposes of paragraph 15(1)(ca) of the Act, that no amount was paid under section 136C of the Telecommunications Act 1997 during the 2023-2024 financial year.

 

Attachment B

 

Statement of compatibility with human rights
 

Prepared by the Australian Communications and Media Authority (ACMA) under subsection 9(1) of the Human Rights (Parliamentary Scrutiny) Act 2011

 

Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026


Overview of the Determination

 

The Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026 (the Determination) is made under paragraphs 15(1)(a), (c) and (ca) of the Telecommunications (Carrier Licence Charges) Act 1997 (the Act). Subsection 15(1) of the Act provides that the total of the annual carrier licence charges (ACLC) that are imposed on carrier licences in force at the beginning of a financial year must not exceed the sum of the amounts determined under paragraphs 15(1)(a) to (d) of the Act. The ACMA determines the amounts specified in paragraphs 15(1)(a), (c) and (ca) of the Act annually. Accordingly, the objective and purpose of the Determination is to specify:

  • the amount determined to be the proportion of the ACMA’s costs for the 2023-2024 financial year that is attributable to the ACMA’s telecommunications functions and powers (paragraph 15(1)(a) of the Act);
  • the amount determined to be the proportion of the Commonwealth's contribution to the budget of the ITU for the 2024 calendar year that is to be recovered from carriers (paragraph 15(1)(c) of the Act); and
  • the sum of the amounts paid under section 136C of the Telecommunications Act 1997 (the Tel Act) during the 2023-2024 financial year (paragraph 15(1)(ca) of the Act).

 

The ACLC is a charge that is, under the Act, imposed on carrier licences that are in force at the beginning of a financial year.  Carrier licences are issued by the ACMA under the Tel Act and section 73 of the Tel Act provides for the collection of the ACLC by the ACMA on behalf of the Commonwealth.

 

Under section 14 of the Act, the amount of charge imposed on a carrier licence is the amount ascertained in accordance with a written determination made by the ACMA. The ACMA has made the Telecommunications Carrier Licence Charges (Annual Charges) Determination (No. 1) 2026 (the ACLC Determination) which sets out the amount of charge imposed on certain carrier licences (defined in the ACLC Determination) that were in force at the beginning of the 2024-2025 financial year.

 

Human rights implications

 

The ACMA has assessed whether the Determination is compatible with human rights, being the rights and freedoms recognised or declared by the international instruments listed in subsection 3(1) of the Human Rights (Parliamentary Scrutiny) Act 2011 as they apply to Australia.

 

Having considered the objective and purpose of the Determination and the nature of any applicable rights and freedoms, the ACMA has formed the view that the Determination does not engage any of those rights or freedoms. 

 

Conclusion

 

The Determination is compatible with human rights as it does not raise any human rights issues.

 

[1] These can be accessed at: www.acma.gov.au.

Overview

The Telecommunications (Carrier Licence Charges) Act 1997 was enacted to establish a framework for imposing carrier licence charges on telecommunications carriers to cover the costs of regulatory functions performed by the Australian Communications and Media Authority (ACMA). This legislation was introduced to ensure that the costs associated with the regulatory oversight of telecommunications services are adequately funded and transparently managed. The Act empowers the ACMA to determine the costs attributable to its telecommunications functions and to set the annual charges imposed on carrier licences. The Australian Parliament enacted this legislation to address the need for a stable and predictable funding mechanism for the ACMA’s regulatory activities. The policy objective is to maintain an efficient and effective regulatory environment that supports the growth and innovation of the telecommunications sector while ensuring public interest considerations are met. The ACMA, as the relevant authority under the Act, made the Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026 to specify the amounts that will be used in calculating the carrier licence charges for the 2024-2025 financial year. This Determination ensures the charges do not exceed the costs attributable to the ACMA’s telecommunications functions, the Commonwealth's contribution to the International Telecommunication Union, and any payments made under section 136C of the Telecommunications Act 1997.

Scope and Application

The Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026, made by the Australian Communications and Media Authority (ACMA) under the Telecommunications (Carrier Licence Charges) Act 1997, applies to carrier licences in force at the beginning of the 2024-2025 financial year. The primary purpose of this Determination is to specify the proportion of the ACMA's costs attributable to its telecommunications functions and powers, the Commonwealth's contribution to the budget of the International Telecommunication Union (ITU) for the 2024 calendar year to be recovered from carriers, and the amounts paid under section 136C of the Telecommunications Act 1997 during the 2023-2024 financial year. These specified amounts are integral to the calculation of the annual carrier licence charges imposed on carrier licences, which must not exceed the total sum of the specified amounts as per the Act. The Determination is a disallowable legislative instrument under the Legislation Act 2003 and will be registered on the Federal Register of Legislation. The ACMA has assessed the compatibility of the Determination with human rights, concluding that it does not engage any of the rights and freedoms recognised or declared by the international instruments listed in the Human Rights (Parliamentary Scrutiny) Act 2011 as they apply to Australia.

Key Provisions

The Telecommunications Carrier Licence Charges (Specification of Costs by the ACMA) Determination (No. 1) 2026 specifies the amounts to be considered in calculating the total annual carrier licence charges (ACLC) imposed on carrier licences under the Telecommunications (Carrier Licence Charges) Act 1997. Section 6 of the Determination identifies $15,245,252 as the proportion of the Australian Communications and Media Authority's (ACMA) costs for the 2023-2024 financial year attributable to its telecommunications functions and powers. Section 7 sets out $2,526,335 as the proportion of the Commonwealth’s contribution to the budget of the International Telecommunication Union (ITU) for the 2024 calendar year to be recovered from carriers. Lastly, Section 8 confirms that no amount was paid under section 136C of the Telecommunications Act 1997 during the 2023-2024 financial year. These amounts are integral to the formula used to determine the ACLC for carrier licences that were active at the start of the 2024-2025 financial year, as stipulated in the Telecommunications Carrier Licence Charges (Annual Charges) Determination (No. 1) 2026. The Determination imposes obligations on the ACMA to accurately calculate and specify these amounts annually, ensuring that the total ACLC does not exceed the sum prescribed by the Act. The ACMA must also ensure that these calculations align with accrual-based accounting principles and the definition of “cost” as outlined in the Act. Furthermore, the ACMA is required to consult with the public and industry stakeholders before making such determinations, as stipulated in the Legislation Act 2003. This consultation ensures transparency and allows stakeholders to provide input on the proposed charges. Any non-compliance with the requirements set forth in the Determination could lead to civil or administrative penalties under the relevant acts. For instance, under the Telecommunications Act 1997, failure to accurately report or charge the specified amounts could result in enforcement actions against the ACMA or the carrier. However, the Determination itself does not explicitly state penalties for non-compliance but references the overarching legislative framework under which these penalties would be determined. Additionally, the Determination is subject to disallowance under the Legislation Act 2003, meaning that Parliament can review and potentially disallow the instrument if it finds it to be inconsistent with law or otherwise inappropriate. The ACMA has undertaken a compatibility assessment with human rights as required by the Human Rights (Parliamentary Scrutiny) Act 2011. The assessment concludes that the Determination does not engage any of the rights and freedoms recognised or declared by the international instruments applicable to Australia. Therefore, the Determination is deemed compatible with human rights, ensuring that it does not infringe upon any recognised human rights during its operation.

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.