Appendixes
Appendix 1: Committees, memberships and attendance at meetings
Authority meetings
During 2019–20, the Authority met 55 times.
Authority Member | No. of meetings attended |
---|---|
Nerida O’Loughlin, Chair | 51 |
Creina Chapman, Deputy Chair and CEO | 53 |
Chris Jose | 46 |
Fiona Cameron | 53 |
James Cameron | 52 |
Anita Jacoby (Associate Member) | 20 |
Cristina Cifuentes (Associate Member) | 9 |
Delia Rickard (Associate Member) | 6 |
For more details about the Authority, refer to the ‘Overview—The Authority’ section of this report.
Executive Management Committee meetings
During 2019–20, the EMC met 23 times.
Member of Executive Management Committee | No. of meetings attended |
---|---|
Nerida O’Loughlin, Chair | 20 |
Creina Chapman, Deputy Chair and CEO | 21 |
Brendan Byrne, General Manager, Legal Services Division | 22 |
Cathy Rainsford, General Manager, Content and Consumer Division* | 7 |
Jonquil Ritter, Acting General Manager, Content and Consumer Division† | 14 |
Helen Owens, General Manager, Corporate and Research Division | 22 |
Linda Caruso, General Manager, Communications Infrastructure Division | 20 |
* Cathy Rainsford commenced in the role of General Manager, Content and Consumer Division in March 2020.
† Jonquil Ritter acted as the General Manager, Content and Consumer Division from July 2019 until March 2020.
Audit and Risk Committee
In its capacity as an advisory committee to the ACMA Chair, the Audit and Risk Committee met five times in 2019–20.
Audit and Risk Committee members employed by the ACMA provide insight to the ACMA’s business operations. Internal members are appointed for a two-year term.
The Audit Committee charter is available on the ACMA website at:
acma.gov.au/compulsory-reporting#audit-risk-and-committee-charter.
Member name | Qualifications, knowledge, skills or experience (include formal and informal as relevant) | Number of meetings attended / total number of meetings | Total annual remuneration ($) |
---|---|---|---|
Ian McPhee AO PSM | Public sector and industry experience including as a company director, audit committee chair/member, chair of various governance reviews, and Auditor-General for Australia 2005–15. B. Bus (Accountancy), BA (Computing Studies), FCPA, FCA, FIPAA, GAICD | 5 / 5 | 20,000.00 |
Fay Holthuyzen | Communications and media environment experience, government and public sector experience, sound understanding of ACMA business, services and operating context, Commonwealth performance management framework, risk management policy and relevant legislative and policy requirements. B. Commerce | 3 / 3 | 8,616.40 |
Jeremy Chandler | Senior executive roles within Commonwealth Government, former Chief Operating Officer and Chief Financial Officer, Gateway Review team leader for major Commonwealth programs and projects, experience in change management, organisational capability, leadership and executive coaching. FCPA, FIML, qualified Executive Coach | 5 / 5 | 12,104.14 |
Karen Toole | Public sector and industry experience including former Chief Financial Officer in the Commonwealth Government, audit committee member, treasurer of a not-for-profit board, experience in audit, systems of control, finance and risk management, program management, stakeholder management, strategic planning and ICT management. B. Commerce, BSc, FCA | 2 / 2 | 4,000.00 |
Michael Parkinson | Experience in internal auditing, internal control, risk management, information technology, management guidance and the Commonwealth performance framework. CIA, CISA, CRISC, CRMA | 2 / 2 | 3,164.55 |
Allan Major | Public sector experience including former Executive Manager of Finance & Facilities Branch of the ACMA and audit committee member. M. Comm (Professional Accounting) | 5 / 5 | 0 |
Patrick Belton | Communications and media law experience, government and administrative law, corporate and commercial law, Commonwealth performance and procurement frameworks and Commonwealth projects. LLB (Hons), BSc (Hons) | 5 / 5 | 0 |
ACMA advisory and consultative bodies
Consumer Consultative Forum (CCF)
Chair
- Fiona Cameron, Authority Member, Australian Communications and Media Authority
Consumer representatives
- Standing member: Australian Communications Consumer Action Network
The following consumer representatives were appointed for a three-year term in September 2018:
- Consumer Policy Research Centre
- Country Women’s Association
- Deaf Australia
- Federation of Ethnic Communities’ Council of Australia
- Legal Aid NSW
- NSW Business Chamber
- South Australian Council of Social Services
- WEstjustice
Representatives from industry bodies
- Australian Mobile Telecommunications Association
- Communications Alliance
Regulatory and government representatives
- Australian Competition and Consumer Commission
- Telecommunications Industry Ombudsman
- Department of Infrastructure, Transport, Regional Development and Communications
Numbering Advisory Committee (NAC)
Chair
- Chris Jose, Authority Member, Australian Communications and Media Authority
Consumer representatives
- Australian Communications Consumer Action Network
Representatives from industry bodies
- AAPT Ltd
- Australian Phone Word Association Ltd
- Communications Alliance
- Lawrence Glen Clarke (resigned 13 March 2020)
- MyNetFone Ltd
- SingTel Optus Pty Ltd
- Telstra Corporation Ltd
- Vodafone Hutchison Australia Pty Ltd
Regulatory and government representatives
- Australian Competition and Consumer Commission
- Department of Infrastructure, Transport, Regional Development and Communications
Appendix 2: Staffing information
This appendix contains staffing details for the ACMA and eSafety on a headcount basis. Other than the Commissioner, all employees working for eSafety remain employed by the ACMA under the Public Service Act.
Location | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
NSW | 42 | 2 | 44 | 64 | 17 | 81 | 125 |
Qld | 5 | - | 5 | 2 | 1 | 3 | 8 |
SA | - | - | - | - | - | - | - |
Tas. | 1 | - | 1 | - | - | - | 1 |
Vic. | 78 | 2 | 80 | 62 | 22 | 84 | 164 |
WA | - | - | - | - | - | - | - |
ACT | 66 | 2 | 68 | 56 | 13 | 69 | 137 |
NT | - | - | - | - | - | - | - |
Overseas | - | - | - | - | - | - | - |
Total | 192 | 6 | 198 | 184 | 53 | 237 | 435 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Location | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
NSW | 39 | 3 | 42 | 67 | 17 | 84 | 126 |
Qld | 7 | - | 7 | 1 | 2 | 3 | 10 |
SA | - | - | - | - | - | - | - |
Tas. | 1 | - | 1 | - | - | - | 1 |
Vic. | 70 | 1 | 71 | 55 | 28 | 83 | 154 |
WA | - | - | - | - | - | - | - |
ACT | 58 | 3 | 61 | 56 | 12 | 68 | 129 |
NT | - | - | - | - | - | - | - |
Overseas | - | - | - | - | - | - | - |
Total | 175 | 7 | 182 | 179 | 59 | 238 | 420 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Location | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
NSW | 1 | - | 1 | 1 | 2 | 3 | 4 |
Qld | 1 | - | 1 | - | - | - | 1 |
SA | - | - | - | - | - | - | - |
Tas. | - | - | - | - | - | - | - |
Vic. | 5 | - | 5 | 4 | 1 | 5 | 10 |
WA | - | - | - | - | - | - | - |
ACT | 3 | - | 3 | 6 | 1 | 7 | 10 |
NT | - | - | - | - | - | - | - |
Overseas | - | - | - | - | - | - | - |
Total | 10 | - | 10 | 11 | 4 | 15 | 25 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Location | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
NSW | 1 | - | 1 | 3 | 2 | 5 | 6 |
Qld | 1 | - | 1 | - | - | - | 1 |
SA | - | - | - | - | - | - | - |
Tas. | - | - | - | - | - | - | - |
Vic. | 5 | 1 | 6 | 3 | 1 | 4 | 10 |
WA | - | - | - | - | - | - | - |
ACT | 5 | - | 5 | 3 | 1 | 4 | 9 |
NT | - | - | - | - | - | - | - |
Overseas | - | - | - | - | - | - | - |
Total | 12 | 1 | 13 | 9 | 4 | 13 | 26 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Australian Public Service (APS) classification and gender
Classification | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | 1 | - | 1 | 4 | - | 4 | 5 |
SES 1 | 8 | - | 8 | 4 | - | 4 | 12 |
EL 2 | 30 | - | 30 | 34 | 1 | 35 | 65 |
EL 1 | 76 | 4 | 80 | 61 | 28 | 89 | 169 |
APS 6 | 46 | 2 | 48 | 48 | 20 | 68 | 116 |
APS 5 | 21 | - | 21 | 17 | 2 | 19 | 40 |
APS 4 | 5 | - | 5 | 12 | 1 | 13 | 18 |
APS 3 | 1 | - | 1 | 1 | 1 | 2 | 3 |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other* | 4 | - | 4 | 3 | - | 3 | 7 |
Total | 192 | 6 | 198 | 184 | 53 | 237 | 435 |
* The only staff included in the ‘Other’ category are ACMA graduates.
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Classification | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | 1 | - | 1 | 3 | - | 3 | 4 |
SES 1 | 6 | - | 6 | 3 | 3 | 9 | |
EL 2 | 28 | - | 28 | 30 | 4 | 34 | 62 |
EL 1 | 67 | 6 | 73 | 60 | 27 | 87 | 160 |
APS 6 | 47 | 1 | 48 | 50 | 21 | 71 | 119 |
APS 5 | 18 | - | 18 | 15 | 3 | 18 | 36 |
APS 4 | 6 | - | 6 | 13 | 3 | 16 | 22 |
APS 3 | - | - | - | 1 | 1 | 2 | 2 |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other* | 2 | - | 2 | 4 | - | 4 | 6 |
Total | 175 | 7 | 182 | 179 | 59 | 238 | 420 |
* The only staff included in the ‘Other’ category are ACMA graduates.
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Classification | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | - | - | - | - | - | - | - |
SES 1 | - | - | - | - | - | - | - |
EL 2 | - | - | - | 1 | - | 1 | 1 |
EL 1 | 1 | - | 1 | 4 | 2 | 6 | 7 |
APS 6 | 7 | - | 7 | 3 | 2 | 5 | 12 |
APS 5 | 1 | - | 1 | 1 | - | 1 | 2 |
APS 4 | 1 | - | 1 | 2 | - | 2 | 3 |
APS 3 | - | - | - | - | - | - | - |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other | - | - | - | - | - | - | - |
Total | 10 | - | 10 | 11 | 4 | 15 | 25 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Classification | Male | Female | Total | ||||
---|---|---|---|---|---|---|---|
Full-time | Part-time | Total | Full-time | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | - | - | - | - | - | - | - |
SES 1 | - | - | - | ||||
EL 2 | - | - | - | 1 | - | 1 | 1 |
EL 1 | 3 | - | 3 | 1 | 2 | 3 | 6 |
APS 6 | 7 | 1 | 8 | 5 | 1 | 6 | 14 |
APS 5 | 1 | - | 1 | 1 | 1 | 2 | |
APS 4 | 1 | - | 1 | 2 | - | 2 | 3 |
APS 3 | - | - | - | - | - | - | - |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other | - | - | - | - | - | - | - |
Total | 12 | 1 | 13 | 9 | 4 | 13 | 26 |
Note: The ACMA had no staff recorded in the human resource information system as indeterminate.
Employment type by full-time and part-time status
Classification | Ongoing | Non-ongoing | Total | ||||
---|---|---|---|---|---|---|---|
Full- | Part-time | Total | Full- | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | 5 | - | 5 | - | - | - | 5 |
SES 1 | 12 | - | 12 | - | - | - | 12 |
EL 2 | 64 | 1 | 65 | 1 | - | 1 | 66 |
EL 1 | 137 | 32 | 169 | 5 | 2 | 7 | 176 |
APS 6 | 94 | 22 | 116 | 10 | 2 | 12 | 128 |
APS 5 | 38 | 2 | 40 | 2 | - | 2 | 42 |
APS 4 | 17 | 1 | 18 | 3 | - | 3 | 21 |
APS 3 | 2 | 1 | 3 | - | - | 3 | |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other* | 7 | - | 7 | - | - | - | 7 |
Total | 376 | 59 | 435 | 21 | 4 | 25 | 460 |
* The only staff included in the ‘Other’ category are ACMA graduates.
Classification | Ongoing | Non-ongoing | Total | ||||
---|---|---|---|---|---|---|---|
Full- | Part-time | Total | Full- | Part-time | Total | ||
SES 3 | - | - | - | - | - | - | - |
SES 2 | 4 | - | 4 | - | - | - | 4 |
SES 1 | 9 | - | 9 | - | - | - | 9 |
EL 2 | 58 | 4 | 62 | 1 | - | 1 | 63 |
EL 1 | 127 | 33 | 160 | 4 | 2 | 6 | 166 |
APS 6 | 97 | 22 | 119 | 12 | 2 | 14 | 133 |
APS 5 | 33 | 3 | 36 | 1 | 1 | 2 | 38 |
APS 4 | 19 | 3 | 22 | 3 | - | 3 | 25 |
APS 3 | 1 | 1 | 2 | - | - | - | 2 |
APS 2 | - | - | - | - | - | - | - |
APS 1 | - | - | - | - | - | - | - |
Other* | 6 | - | 6 | - | - | - | 6 |
Total | 354 | 66 | 420 | 21 | 5 | 26 | 446 |
* The only staff included in the ‘Other’ category are ACMA graduates.
Location | Ongoing | Non-ongoing | Total |
---|---|---|---|
NSW | 125 | 4 | 129 |
Qld | 8 | 1 | 9 |
SA | - | - | - |
Tas. | 1 | - | 1 |
Vic. | 164 | 10 | 174 |
WA | - | - | - |
ACT | 137 | 10 | 147 |
NT | - | - | - |
Overseas | - | - | - |
Total | 435 | 25 | 460 |
Location | Ongoing | Non-ongoing | Total |
---|---|---|---|
NSW | 129 | 6 | 135 |
Qld | 10 | 1 | 11 |
SA | - | - | - |
Tas. | 1 | - | 1 |
Vic. | 154 | 10 | 164 |
WA | - | - | - |
ACT | 126 | 9 | 135 |
NT | - | - | - |
Overseas | - | - | - |
Total | 420 | 26 | 446 |
Total | |
---|---|
Ongoing | 4 |
Non-ongoing | - |
Total | 4 |
Total | |
---|---|
Ongoing | 3 |
Non-ongoing | - |
Total | 3 |
Arrangements of SES and non-SES employees
SES | Non-SES | Total | |
---|---|---|---|
ACMA Enterprise Agreement 2017–2020 | - | 443 | 443 |
Section 24(1) Determination | 17 | - | 17 |
Total | 17 | 443 | 460 |
Note: A total of 27 non-SES employees had individual flexibility arrangements in place during 2019–20 and are included in the ACMA Enterprise Agreement 2017–2020 total.
Salary ranges by classification level
Minimum salary | Maximum salary | |
---|---|---|
SES 3 | - | - |
SES 2 | 277,153 | 284,653 |
SES 1 | 209,382 | 224,413 |
EL 2 | 120,283 | 145,631[1] |
EL 1 | 99,425 | 123,438[2] |
APS 6 | 81,826 | 92,407 |
APS 5 | 74,241 | 80,159 |
APS 4 | 66,629 | 72,425 |
APS 3 | 59,488 | 64,691 |
APS 2 | 52,347 | 57,743 |
APS 1 | 46,588 | 51,321 |
Other | - | - |
Total | 46,588 | 284,653 |
[1] This is the EL 2.5 classification, which is restricted to employees who were grandfathered from ABA/ACA.
[2] This is the top of the ACMA local designation Senior Lawyer, which is an EL1 equivalent.
Appendix 3: Executive remuneration
Name | Position title | Short-term benefits ($) | Post-employment benefits ($) | Long-term benefits ($) | Termination benefits ($) | Total remuneration ($) | |||
---|---|---|---|---|---|---|---|---|---|
Base salary | Bonuses | Other benefits and allowances | Superannuation contributions | Long service leave | Other long-term benefits | ||||
Nerida O’Loughlin | Chair | 516,697 | - | - | 72,517 | 12,353 | - | - | 601,567 |
Creina Chapman | Deputy Chair | 388,601 | - | 8,181 | 56,850 | 9,217 | - | - | 462,849 |
Julie Inman Grant | eSafety Commissioner | 356,687 | - | - | 25,192 | 8,375 | - | - | 390,254 |
Linda Caruso | General Manager | 279,441 | - | - | 46,391 | 6,924 | - | - | 332,756 |
Jonquil Ritter | Acting General Manager | 172,769 | - | 34,468 | 28,795 | 4,723 | - | - | 240,755 |
Helen Owens | General Manager | 275,190 | - | - | 47,630 | 6,924 | - | - | 329,744 |
Brendan Byrne | General Manager | 286,879 | - | - | 40,966 | 6,924 | - | - | 334,769 |
Cathy Rainsford | General Manager | 92,584 | - | - | 12,998 | 2,125 | - | - | 107,707 |
Rebecca Razavi | General Manager | 58,989 | - | - | 8,865 | 1,334 | - | - | 69,188 |
Notes
- Table 1.42 includes officers in a substantive key management personnel (KMP) role for any period during the financial year and officers acting in KMP roles for periods greater than three months. For these officers, the reported amounts reflect remuneration during these periods only.
- Base salary includes:
- wages
- accrual of recreational leave entitlements.
- Other benefits and allowances include:
- motor vehicle allowances
- allowances for higher duties
- other allowances under the relevant staff agreements.
- Long service leave includes the accrual of entitlements.
- For statutory office holders, the total remuneration reported in the above table includes elements outside the Remuneration Tribunal determination, such as the accrual of recreational and long service leave.
Short-term benefits ($) | Post-employment benefits ($) | Long-term benefits ($) | Termination benefits ($) | Total remuneration ($) | |||||
---|---|---|---|---|---|---|---|---|---|
Total remuneration bands | Number of senior executives | Average base salary | Average bonuses | Average other benefits and allowances | Average superannuation contributions | Average long service leave | Average other long-term benefits | Average termination benefits | Average total remuneration |
$0 – $220,000 | 6 | 95,057 | - | 12,600 | 18,483 | 4,680 | - | - | 130,820 |
$220,001 – $245,000 | 2 | 191,876 | - | 1,213 | 26,911 | 4,791 | - | - | 224,791 |
$245,001 – $270,000 | 2 | 188,991 | 2,134 | 32,804 | 29,923 | 5,418 | - | - | 259,270 |
$270,001 – $295,000 | 6 | 232,841 | - | 580 | 40,738 | 5,626 | - | - | 279,785 |
Notes
- Table 1.43 includes officers employed in a substantive SES role for any period during the financial year and officers acting in SES roles for periods greater than three months. For acting roles, the reported amounts reflect remuneration during these periods only.
- Base salary includes:
- wages
- accrual of recreational leave entitlements.
- ACMA SES officers are not paid bonuses. The average bonus in the table above reflects a bonus paid to an EL2 officer while acting in an SES role in 2019–20. This bonus related to 2018–19 performance when this officer was a substantive EL2.
- Other benefits and allowances include:
- motor vehicle allowances
- allowances for higher duties
- other allowances under the relevant staff agreements.
- Long service leave includes the accrual of entitlements.
Appendix 4: Telecommunications consumer protection compliance and enforcement outcomes
Appendix 4 includes information related to the ACMA’s requirement under paragraphs 57(d) and 57(e) of the ACMA Act.
Investigations by the ACMA
Table 1.44 reports on the number and types of complaints made to the ACMA under Part 26 of the Telecommunications Act 1997 and details of the subsequent investigations conducted during 1 July 2019 to 30 June 2020.
Entity/Entity type | Substance of complaint | Investigation outcome | Enforcement action |
---|---|---|---|
Spam Act 2003 | |||
Oneflare Pty Ltd | Sending marketing SMS without consent | Breach of subsection 16(1)—sending or causing to be sent, commercial electronic messages to electronic addresses with an Australian link without consent. Breach of subsection 18(1)—sending or causing to be sent, commercial electronic messages without a functional unsubscribe facility. | $75,600 infringement notice Enforceable undertaking |
Singtel Optus Pty Limited | Sending marketing emails after consent was withdrawn and without an unsubscribe facility | Breach of subsection 16(1)—sending or causing to be sent, commercial electronic messages to electronic addresses with an Australian link, more than five business days after consent had been withdrawn by the relevant account holder. Breach of subsection 18(1)—sending or causing to be sent, commercial electronic messages without a functional unsubscribe facility. | $504,000 infringement notice Enforceable undertaking |
Woolworths Group Limited | Sending marketing emails after consent was withdrawn and without an unsubscribe facility | Breach of subsection 16(1)—sending or causing to be sent, commercial electronic messages to electronic addresses with an Australian link, more than five business days after consent had been withdrawn by the relevant account holder. | $1,003,800 infringement notice Enforceable undertaking |
A total of three investigations were conducted under the Telecommunications Act 1997 from the 6,858 complaints received about alleged breaches of the Spam Act 2003. | |||
Do Not Call Register Act 2006 (DNCR Act) and Telecommunications (Telemarketing and Research Calls) Industry Standard 2017 | |||
TownandCountry | Making telemarketing calls to numbers on the Do Not Call Register (DNCR) without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | Formal warning Enforceable undertakings |
1st Energy Pty Ltd | Not having adequate contractual arrangements in place with call centres | Breach of subsection 12(1) of the DNCR Act—entering into agreements for telemarketing services that did not contain an express provision requiring compliance with the DNCR Act. Breach of subsection 139(1) of the Telecommunications Act—entering into agreements for telemarketing services that did not contain an express provision requiring compliance with Part 6 of the Telecommunications Act. | $2,100 infringement notice |
Wyndham Destinations Asia Pacific Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent and not ending the call immediately when asked | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. Breach of section 128 of the Telecommunications Act for failing to comply with paragraph 13(1)(b) of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—failing to immediately terminate calls when the call recipient asked for the call to be terminated or otherwise indicated that they did not want the call to continue. | $159,600 infringement notices |
Wise Business Group (trading as Eco Wise Energy) Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | Formal warning |
Ausgreen International (trading as Ausgreen Solar) Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | Formal warning |
Suntech Solar (trading as Ausuntech Energy) Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | $4,200 infringement notice |
Grand Group Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | $4,200 infringement notice |
Data One Communications (trading as Pioneer Solar) Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | Formal warning Enforceable undertaking |
BVivid Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | Formal warning Enforceable undertaking |
Green Sales Pty Ltd | Making telemarketing calls to numbers on the DNCR without consent, not ending the call immediately when asked and not providing required information at the start of the call | Breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. Breach of section 128 of the Telecommunications Act for failing to comply with paragraph 9(2)(b) of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—the caller failing to provide their employer’s company name as soon as the call start. Breach of section 128 of the Telecommunications Act for failing to comply with paragraph 9(2)(e) of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—the caller failing to provide the purpose of the call as soon as the call starts. Breach of section 128 of the Telecommunications Act for failing to comply with paragraph 13(1)(b) of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—failing to immediately terminate calls when the call recipient asked for the call to be terminated or otherwise indicated that they did not want the call to continue. | $50,400 infringement notice |
Liberal Party of Australia (SA Division) | Making or attempting to make research calls during prohibited calling times | Breach of section 128 of the Telecommunications Act for failing to comply with section 8 of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—making or attempting to make calls to Australian numbers during prohibited calling times. | Formal warning |
Illawarra Regional Information Service (IRIS Research) | Making or attempting to make research calls without calling line identification enabled | Breach of section 128 of the Telecommunications Act for failing to comply with section 14 of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—making or attempting to make calls to Australian numbers without enabling call line identification. | Formal warning |
Enxo Energy Pty Ltd trading as Energy Deal | Making telemarketing calls and not ending the call immediately when asked | Breach of section 128 of the Telecommunications Act for failing to comply with paragraph 13(1)(b) of the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017—failing to immediately terminate calls when the call recipient asked for the call to be terminated or otherwise indicated that they did not want the call to continue. | Enforceable undertaking |
Solar products and services provider | Making telemarketing calls to numbers on the DNCR without consent | No breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | n/a |
Solar products and services provider | Making telemarketing calls to numbers on the DNCR without consent | No breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | n/a |
Solar products and services provider | Making telemarketing calls to numbers on the DNCR without consent | No breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent. | n/a |
Solar products and services provider | Making telemarketing calls to numbers on the DNCR without consent | No breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent | n/a |
Solar products and services provider | Making telemarketing calls to numbers on the DNCR without consent | No breach of subsection 11(1) of the DNCR Act—making telemarketing calls to Australian numbers registered on the DNCR without consent | n/a |
A total of 18 investigations were conducted under the Telecommunications Act 1997 from the 30,603 complaints received about alleged non-compliance with the Do Not Call Register Act 2006 and the Telecommunications (Telemarketing and Research Calls) Industry Standard 2017. | |||
Telecommunications Integrated Public Number Database Scheme 2017 | |||
Localsearch Operations Pty Ltd | Publishing a customer’s unlisted telephone number in a phone directory | Breach of subparagraph 3.12(9)(c)(i) (releasing a document containing unlisted number customer data). Breach of paragraph 3.12(9)(d) (did not securely destroy all the unlisted number customer data within 10 business days of being notified the number was unlisted). Breach of subparagraph 3.12(15)(a)(i) (did not advise complainant that if they were dissatisfied with the way in which the complaint was handled, the customer could make a complaint to the Information Commissioner). Breach of paragraph 3.12(15)(b) (did not provide the complainant contact details of the Information Commissioner). Breach of paragraph 3.12(21)(c) (failed to notify the ACMA in writing as soon as practicable after becoming aware that it had breached a relevant requirement). Breach of paragraph 3.12(21)(d) (failed to take all reasonable steps to minimise the effects of the issue as soon as practicable). | Formal warning |
One investigation was conducted under the Telecommunications Act 1997 from the one complaint received about alleged non-compliance with the Telecommunications Integrated Public Number Database Scheme 2017. | |||
Determination made under Part 8 of the Telecommunications (Consumer Protection and Service Standards) Act 1999 | |||
No investigations were conducted from the four complaints received about alleged breaches of the Telecommunications (Emergency Call Service) Determination 2009. | |||
Codes registered under Part 6 of the Telecommunications Act 1997 | |||
No investigations were conducted from the four complaints received about alleged breaches of the Handling of Life Threatening and Unwelcome Communications (C525:2017). |
Note: A single investigation can concern multiple complaints.
ACMA’s operations on industry codes and industry standards
The following section includes information related to the ACMA’s operation of Part 6 of the Telecommunications Act 1997. During 2019–20, two codes were revised by Communications Alliance (CA), and the varied codes were registered by the ACMA, and one industry standard was made and registered by the ACMA in response to combating mobile number porting fraud scams.
C555:2019 Integrated Public Number Database (IPND) Industry Code
C555:2019 Integrated Public Number Database (IPND) Industry Code – Revision was registered in March 2020. The revision sought to rectify three deficiencies in the Code identified by the ACMA. Broadly, the amendments seek to:
- clarify that all numbers issued to a customer by a carriage service provider (CSP) are required to be listed in the IPND, and give greater clarity of the number types that are required to be in the IPND
- set out what a CSP must do to reconcile Public Number Customer Data (PNCD) against their own customer data, including a mandatory obligation to review and action Changed Data Provider Reports issued by the IPND Manager
- make reconciliation of PNCD compulsory between a CSP’s customer systems and the IPND at least once every six months.
The revised Code makes it important for data providers to promptly and consistently provide information to the IPND. Similarly, it is important for data users to ensure consistency and prompt provision of information from the IPND.
C625:2020 Information on Accessibility Features for Telephone Equipment Industry Code
C625:2020 Information on Accessibility Features for Telephone Equipment Industry Code – Revision was registered in April 2020. Under the Code, equipment suppliers can provide information about accessibility features of equipment in a prescribed matrix. The revision replaced the Operational Matrices for Reporting on Accessibility Features for Telephone Equipment Industry Guideline (G627:2009) with the Accessibility Features Matrix. The new matrix aligns with the accessibility features reported within the Mobile & Wireless Forum Global Accessibility Reporting Initiative (GARI).
The revised Code continues to facilitate the provision of useful information to CSPs to assist them to guide consumers in choosing the most appropriate telecommunications equipment to meet their specific needs. The revised Code also ensures that consumers can approach equipment suppliers directly for information on equipment features, by requiring them to have a publicly available contact point for consumers.
Industry standards
During 2019–20, one industry standard was made and registered by the ACMA in response to combating mobile number porting fraud scams:
Telecommunications (Mobile Number Pre-Porting Additional Identity Verification) Industry Standard 2020
The Telecommunications (Mobile Number Pre-Porting Additional Identity Verification) Industry Standard 2020 commenced in April 2020. The new standard was made under subsection 125AA(1) of the Telecommunications Act and in accordance with the Telecommunications (Industry Standard for Mobile Number Pre-Porting Additional Identity Verification) Direction 2019. This standard requires CSPs to use additional identity verification measures before porting a mobile service number.
The objectives of this industry standard are, without limitation, to:
- prevent the unauthorised porting of mobile service numbers
- reduce harm to customers from the unauthorised porting of mobile service numbers
- require gaining carriage service providers to take reasonable steps to confirm that the person requesting a port:
- is the rights of use holder of the mobile service number to be ported
- has direct and immediate access to a mobile device associated with that mobile service number.
This standard will enhance safeguards against fraudulent number porting.
The ACMA maintains a register of the industry codes and standards on our website at
acma.gov.au/register-telco-industry-codes-and-standards.
Appendix 5: Disclosures of information
Customer information provided to telecommunications carriers and CSPs is protected under Part 13 of the Telecommunications Act. Carriers and CSPs are prohibited from disclosing that information to other parties—except in limited circumstances—and are required to report specific disclosures to the ACMA under section 308 of the Telecommunications Act.
The ACMA is required under paragraph 57(f) of the ACMA Act to include in its annual report information on disclosures of customer information made by carriers and CSPs during the reporting year. The disclosures made under Part 13 of the Telecommunications Act by carriers and CSPs, are included in reports to the ACMA under section 308 and are set out in Table 1.45 below for 2019–20.
Reason for disclosure | (Sub)section | Number of disclosures, 2019–20 |
---|---|---|
Under the Telecommunications Act 1997 | ||
Authorised by or under law | 280 | 4,095 |
Made as a witness under summons | 281 | 50 |
To assist the ACMA | 284(1) | 55,507[1] |
To assist the eSafety Commissioner | 284(1A) | 0 |
To assist the ACCC | 284(2) | 20 |
To assist the TIO | 284(3) | 44,049 |
Calls to emergency service number | 286 | 7,655 |
To avert a threat to a person’s life or health | 287 | 22,487 |
Communications for maritime purposes | 288 | 0 |
With the knowledge or consent of the person concerned | 289 | 1,008,841,738,842[2] |
In circumstances prescribed in the Telecommunications Regulations 2001 | 292 | 0 |
Under the Telecommunications (Interception and Access Act) 1979 | ||
Voluntary disclosure | 177 | 17 |
Authorisations for access to existing information or documents—enforcement of the criminal law | 178 | 541,072 |
Authorisations for access to existing information or documents—locating missing persons | 178A | 2,263 |
Authorisations for access to existing information or documents—enforcement of a law imposing pecuniary penalty or protection of the public revenue | 179 | 330 |
Authorisations for access to prospective information or documents | 180 | 201,961 |
Enforcement of the criminal law of a foreign country (existing information) | 180A | 66 |
Enforcement of the criminal law of a foreign country (prospective information) | 180B | 2 |
Total | 1,008,842,618,416 |
Source: Carriers and carriage service providers.
[1] This relates to information provided to the ACMA for investigations under section 510 of the Telecommunications Act.
[2] This is primarily due to a CSP disclosing anonymised customer data to one of its related companies, with the consent of those customers. The customer data is combined with other data sources to provide insights about population movements.
Part 13 of the Telecommunications Act allows information contained in the IPND to be disclosed for the testing and operation of telephone-based emergency warning systems by state and territory governments. The number and type of disclosures made under subsections 295V(1) or 295V(2) of the Telecommunications Act in 2019–20, as reported to the ACMA under section 295ZC of the Telecommunications Act, are set out in Table 1.46.
Reason for disclosure | (Sub)section | Number of disclosures, 2019–20 |
---|---|---|
Likely emergency | 295V(1) | 0 |
Actual emergency | 295V(2) | 17,126 |
Total | 17,126 |
Appendix 6: Lawful disruption of access to online services by government agencies
If an Australian Government agency relies on subsection 313(3) of the Telecommunications Act to request internet service providers disrupt access to certain online services, they are required to follow the Guidelines for the use of section 313(3) of the Telecommunications Act 1997 by government agencies for the lawful disruption of access to online services. State and territory agencies are also encouraged to follow the guidelines. Agencies are advised to limit the use of subsection 313(3) in disrupting services to cases involving serious criminal or civil offences, or threats to national security.
The guidelines require agencies to report to the ACMA on the use of subsection 313(3) to disrupt online services and for this statistical information to be included in the ACMA’s annual report.
Two agencies reported using subsection 313(3) of the Telecommunications Act to disrupt access to online services during the reporting period. This is reflected in tables 1.47 and 1.48 below.
Reason for requests to disrupt services under section 313(3) | (Sub)section | Number of requests |
---|---|---|
Enforcing the criminal law and laws imposing pecuniary penalties | 313(3)(c) | 8 |
Assisting the enforcement of the criminal laws in force in a foreign country | 313(3)(ca) | 0 |
Assisting the investigation and prosecution of: (i) crimes within the jurisdiction of the ICC (within the meaning of the International Criminal Court Act 2002) (ii) Tribunal offences (within the meaning of the International War Crimes Tribunals Act 1995) | 313(3)(cb) | 0 |
Protecting the public revenue | 313(3)(d) | 0 |
Safeguarding national security | 313(3)(e) | 0 |
Total number of disruption requests | 8 |
Source: Government agencies.
Reason for online services blocked under section 313(3) | (Sub)section | Number of services blocked 2019–20 |
---|---|---|
Enforcing the criminal law and laws imposing pecuniary penalties | 313(3)(c) | 67 |
Assisting the enforcement of the criminal laws in force in a foreign country | 313(3)(ca) | 0 |
Assisting the investigation and prosecution of: (i) crimes within the jurisdiction of the ICC (within the meaning of the International Criminal Court Act 2002) (ii) Tribunal offences (within the meaning of the International War Crimes Tribunals Act 1995) | 313(3)(cb) | 0 |
Protecting the public revenue | 313(3)(d) | 0 |
Safeguarding national security | 313(3)(e) | 0 |
Total number of online services blocked | 67 |
Source: Government agencies.
Appendix 7: Regional and Small Publishers Innovation Fund
The following information addresses the ACMA’s requirement under section 205ZL of the BSA to report on information about the recipients of grants in accordance with section 46 of the PGPA Act.
Regional Grant Opportunity
In October 2019, the ACMA awarded 62 grants of financial assistance to grantees under the Regional Grant Opportunity (RGO). The ACMA subsequently executed grant agreements with 59 grantees (three grantees withdrew). Advice about executed agreements was published on GrantConnect within 21 days of execution.
Recipient name | Amoun (excl. GST) | Purpose of grant |
---|---|---|
Alexandra Newspapers Pty Ltd | $19,547.00 | Publish weekly, large print editions of its newspapers |
Australian Cybermalls Pty Ltd | $71,740.00 | Upgrade its current website and expand coverage to include real estate, business and tourism sections |
Barham Media Pty Ltd ATF Shiloh Media Trust | $60,000.00 | Implement a news website and content management system |
Beaconwood Holdings Pty Ltd | $381,954.00 | Develop multi-channel online news delivery capacity |
Buloke Times | $60,000.00 | Purchase a digital publishing and technology package for a new website |
Business News Australia Pty Ltd | $286,000.00 | Upgrade current website and implement a subscription management system |
Cassowary Coast Independent News Pty. Ltd. | $39,036.36 | Support the creation of a weekly film segment on social media |
Central Coast Newspapers Pty Ltd | $158,500.00 | Upgrade website and develop an integrated database and content management system |
Condobolin Argus Pty Ltd* | $84,072.00 | Build digital and print circulation, update critical equipment and increase staff capabilities to improve digital presence (webpage and social media) |
Croakey Health Media Ltd | $142,000.00 | Establish a customer relationship management database, develop social media analytics and website redevelopment |
Diamond Valley Enterprises Pty Ltd as trustee for Lomas Family Trust | $94,500.00 | Design and develop a news website |
Elliott Gippsland Newspapers Pty Ltd trading as Latrobe Valley Express Partnership | $237,000.00 | Acquire a content management system, develop a photo sales website and online classified advertising section |
Elliott Midland Newspapers Pty Ltd | $215,000.00 | Purchase a content management system, develop a photo sales website and online classified advertising section |
Forty South Publishing Pty Ltd | $249,206.37 | Upgrade the current website and purchase content management system and customer relationship management tool |
Giles Newspapers Pty. Ltd. | $150,749.11 | Implement a new digital platform to support the online paper |
Gilgandra Newspapers Pty Ltd | $232,920.00 | Upgrade printing equipment and develop its current digital presence and technology capabilities |
Gippslandia Ltd | $265,000.00 | Upgrade its website, produce podcasts and conduct market research |
GJ Adams Trust | $104,002.00 | Develop capacity, skills and content via training to assist transitioning to an online environment |
Graziher Publishing Pty Ltd | $170,000.00 | Employ journalists in rural and remote areas, develop an integrated content platform and appoint a dedicated designer |
Greysen Enterprises Pty Ltd | $179,091.00 | Redevelop website and social media platforms |
Indigenous Remote Communications Association Aboriginal and Torres Strait Islanders Corporation | $382,500.00 | Establish an online news sharing platform and network |
James Yeates & Sons Pty Ltd | $78,718.18 | Purchase production equipment for a video and podcast content studio |
Junkies Magazine Australia Pty Ltd | $291,500.00 | Purchase a digital publishing and technology package including content management system |
King Media Regional Pty. Ltd. | $335,341.00 | Develop a digital platform and increase multimedia content and editorial outputs |
Kvitko Holdings Pty Ltd | $5,141.20 | Upskill content writing and graphic design skills via training |
Local Media Pty Ltd | $65,454.00 | Develop an online newspaper and expand journalistic content |
Locolee Pty Ltd trading as Coonamble Times | $52,000.00 | Transition from its current print and limited online presence to a fully integrated multimedia content publisher |
Longreach Printing Company Limited | $217,475.00 | Purchase a content management system to improve digital infrastructure |
Lynwood Press | $15,000.00 | Design and develop a new website |
Maryborough Regional Newspapers Pty. Ltd | $112,000.00 | Design and build a new website |
McPherson Newspapers Proprietary Limited (Trading as McPherson Media Group) | $160,000.00 | Redesign existing website and content management system and develop classified and photo sales module |
Mildura Weekly Pty Ltd | $54,920.00 | Implement a software solution that will streamline production and editorial functions |
Moscol Group Pty Ltd | $60,000.00 | Create news website driven by a content management system |
Myall Coast Communications Pty Ltd | $139,382.00 | Engage a reporter and an advertising expert and provide training to existing staff |
Narrandera Argus Pty Ltd | $172,680.25 | Design and build a new website and content management system |
Newcastle Newspapers Pty Ltd | $211,399.00 | Develop an audio news/podcast department |
Newstate Media Newcastle Pty Ltd | $82,806.00 | Create a new website and upgrade existing IT infrastructure |
Newstate Media Pty Ltd | $163,150.00 | Upgrade existing website, publishing and editorial software, and recruit journalists to assist in delivering new content |
North East Media Pty Ltd | $317,000.00 | Use a content management system and digital asset manager to consolidate all publications and online media into an online newsroom |
Papers & Publications Pty Ltd | $83,278.55 | Upgrade desktop hardware, publishing software and purchase a new phone system |
Phillip Island & San Remo Advertiser Pty Ltd | $104,043.54 | Develop a news website and purchase a content management system |
Portasea Pty Ltd | $217,320.00 | Purchase a digital publishing and technology package, including content management system, for a new website |
Propeller Media Pty Ltd | $156,200.00 | Upgrade existing publication and website |
Quirindi Printing & Publishing Pty Ltd | $40,335.04 | Develop a new website, email portal and upgrade its computer systems |
Research for Agriculture | $210,000.00 | Hold an industry event, publish and distribute an annual publication, and engage with tertiary institutions |
RFP Enterprises Pty Ltd T/AS Bendigo Magazine | $90,800.00 | Develop a new website and upgrade its customer relationship management system, and fund an advertising consultant and a digital marketing consultant |
SCMH Enterprises Pty Ltd atf the Law Family Trust | $53,999.70 | Purchase a van for distribution, implement software and new system to boost its existing business |
Shore Media | $13,930.00 | Design and develop a new website |
Southern Cross Austereo Pty Ltd | $250,000.00 | Conduct a feasibility study and develop strategies for distribution of its new digital news content |
Southern Star (NSW) Pty Ltd* | $95,874.72 | Build a new website and print colour wraps for its newspapers |
Spilled Ink Pty Ltd* | $17,300.00 | Transition from an in-house server to a cloud-based server and acquire software upgrade and IT support |
Star News Group Pty Ltd as Trustee for Ian Thomas Family Trust | $170,049.00 | Employ editorial personnel to increase types of content distributed through the digital channels |
Sunraysia Publishing Co Pty Ltd | $142,775.82 | Purchase a customer relationship management system and a sales training program |
Surf Coast News Australia Pty Ltd | $129,993.00 | Purchase production equipment to establish a video and podcast content studio |
Tarrangower Times Pty Ltd | $102,000.00 | Purchase a digital publishing and technology package to develop a new website and content management system |
The Local Publishing Group Pty Ltd | $210,000.00 | Upgrade IT infrastructure and website and conduct initial marketing |
Tropic Group Pty Ltd ATF Tropic Trust | $55,000.00 | Implement a community engagement campaign and generate community created content |
Warracknabeal Herald Proprietary Limited | $102,332.72 | Upgrade existing digital services capabilities with new technology, hardware and software |
Warragul Regional Newspapers P/L | $205,000.00 | Acquire a content management system and develop a new website |
Warrumbungle Publications Pty Ltd | $72,664.56 | Upgrade existing website |
Wilkie Watson Publications | $257,841.90 | Redevelop existing websites and upgrade existing IT infrastructure |
YP Publishers PTY LTD | $161,711.49 | Develop a new website including a new newsroom content management system and provide training to staff |
Total | $9,059,234.51 |
* Denotes a grantee that withdrew from the program before a grant agreement was executed.
Advice to the ACMA by the Advisory Committee
The Advisory Committee reviewed 100 applications of the 113 applications received for the RGO round. Thirteen applications were not reviewed as they did not progress past the eligibility assessment stage. The Advisory Committee recommended that, based on this assessment, 64 applications should be considered for full- or part-funding. The total amount recommended by the Advisory Committee was $9,461,265.42.
Membership of the Advisory Committee is listed in Table 1.50. The advice provided by the Advisory Committee was consistent with the RGO objectives and outcomes and represent the application of the Advisory Committee’s collective expertise and experience in publishing, journalism and business.
Name | Organisation |
---|---|
Megan Brownlow (Chair) | Partner, PricewaterhouseCoopers (retired) |
John Angilley | Expert nominee of Country Press Australia |
Louisa Graham | CEO, Walkley Foundation |
Michael Malone | Chairman, Superloop |
Susan Skelly | Adjudication Panel Member, Australian Press Council |
Recommendations to the ACMA
In general, the Advisory Committee looked favourably on applications that included one or more of the following features:
- a well-articulated business case that:
- would increase the sustainability of the applicant’s public interest journalism through a clear and realistic outcome by increasing revenue or circulation, or decreasing operating costs
- clearly linked requests for items to the business case and explained how they would support the business case or solve a market problem
- a manageable proposal of a size and scope within the capacity of the applicant to implement
- proposals to employ journalists or to provide additional resources and training for journalists to produce public interest journalism
- proposals for a pilot program that could be expanded over time if successful or for research and development that could be used to come up with viable proposals in the future.
By contrast the Advisory Committee generally looked unfavourably on applications that:
- contained ineligible components, for example, requests to fund activities that do not support the RGO objectives and outcomes
- proposed an outdated, unproven or disproven technology solution, such as the reliance on app development, a paywall or server technology
- sought funding for untested ‘start-up’ proposals to enter new markets in which the applicant had little expertise.
The Advisory Committee considered the quality of applications could be improved by:
- adjusting the guidelines and application form for the next grant round
- limiting text explaining the funding proposal to 200 words—to include information only about the key activities of the proposal
- advising applicants to state explicitly how they will demonstrate (or plan to demonstrate) that market demand for their proposal exists and how meeting that demand will ensure sustainability
- advising applicants to show how requested hardware is linked to a sound business strategy and supports business sustainability
- requiring applicants to be as precise as possible when listing activities to be funded, including:
- not using general terms such as ‘equipment’, ‘staffing’, ‘training’ or bundling activities into non-specific groups of items or activities
- when referring to staff, being clear about the number required and their roles (for example, journalist, advertising sales)
- where possible, providing brand names of the items requested and the likely supplier of each item, in addition to describing what the item is.
2020 Round
On 24 April 2020, the ACMA opened the 2020 Round of the Regional and Small Publishers Innovation Fund (the 2020 Round), offering $5 million in grants to regional and small metropolitan publishers. The application period closed on 22 May 2020 and an announcement of successful applicants was due to be made in July 2020. As at 30 June, the Advisory Committee had not provided any advice to the ACMA.
Appendix 8: Advertising expenditure and market research
This appendix contains information for both the ACMA and eSafety.
Advertising
During the reporting period, advertising was placed for a range of purposes, including public notices, legal notices, job vacancies and small-scale campaigns targeted to both consumer and industry audiences.
During 2019–20, the ACMA or eSafety did not undertake any advertising campaigns with expenditure in excess of $250,000.
Total expenditure on advertising in 2019–20 was $255,700.
Organisation name | Purpose | Amount of payment (incl. GST) |
---|---|---|
ACMA expenditure: | ||
Universal McCann | Public notices and general advertising | $203,856 |
eSafety expenditure: | ||
General advertising | $51,844 | |
Total | $255,700 |
Market research
Organisation name | Purpose | Amount of payment (including GST) |
---|---|---|
ACMA expenditure | ||
Woolcott Research & Engagement | ACMA Customer Service Centre satisfaction survey 2020 | $27,500 |
Social Research Centre | ACMA Annual consumer survey 2020 | $123,657 |
Lonergan Research Pty Ltd | Credit assessment shadow shopping study | $60,000 |
Heartward Strategic | Australians and news qualitative research | $106,458 |
Social Research Centre | New omnibus quantitative survey | $38,940 |
Engine Asia pacific | Telecommunications consumer experience research | $341,727 |
ACMA total | $698,282 | |
eSafety expenditure | ||
Omnipoll Pty Ltd | COVID-19 omnibus survey | $15,950 |
University of NSW | Research: Child exploitation during COVID-19 | $30,000 |
Queensland University of Technology | Qualitative research on technology-facilitated abuse of women with intellectual disability | $21,450 |
Whereto Research | National adult e-safety online survey | $165,000 |
Griffith University | Children and technology-facilitated abuse in domestic or family violence | $230,830 |
Whereto Research | Qualitative research: Online safety of young people | $28,600 |
Whereto Research | Understanding experiences and support needs of frontline workers | $43,780 |
Queensland University of Technology | Online safety education—best practice framework | $20,000 |
eSafety total | $555,610 | |
Total | $1,253,892 |
Appendix 9: Data reported by regulated entities
Data about control of media assets
Notifications by foreign stakeholders
Foreign persons have an ongoing obligation to notify the ACMA if they become, or cease to be, a foreign stakeholder in an Australian media company. These notifications are recorded in the Register of Foreign Owners of Media Assets. Foreign stakeholders have further annual notification obligations, which are required by 31 July each year. Based on annual notifications provided during the reporting period, there were 94 foreign stakeholders in Australian media companies as at 30 June 2019.
Notifications of changes in control
Licensees, publishers and persons assuming control are obliged to notify the ACMA of changes in control of regulated media assets; namely, commercial radio broadcasting licences, commercial television broadcasting licences and associated newspapers.
The ACMA received notifications of 10 events that affected the control of media operations comprising:
- five commercial television broadcasting licences
- 31 commercial radio broadcasting licences
- 15 associated newspapers.
The ACMA updated its public register with these new notifications, as well as our public database of regulated media assets and their controllers.
All notifications lodged with us in the reporting period for change-of-control events were processed within the statutory timeframes.
During the reporting period, we received two applications under section 67 of the Broadcasting Services Act 1992 (the BSA) for prior approval of temporary breaches of the media control rules, and four applications under section 61AJ of the BSA for unacceptable media diversity situations. The applications related to proposals by Seven West Media Limited (Seven) and by Southern Cross Media Group Limited (SCA) (respectively) to enter into transactions that would result in breaches of the media control rules and the media diversity rules under the BSA. One of the applications under section 67 and two of the applications under section 61AJ of the BSA were subsequently withdrawn. The applications were finalised within the allowed statutory period of 45 days.
The ACMA also accepted an enforceable undertaking given by Seven under section 61AS of the BSA to remedy breaches of the media diversity rules under the BSA in six commercial radio licence areas in Western Australia and an enforceable undertaking given by SCA under sections 61AS and 205W of the BSA to remedy breaches of the media control rules and the media diversity rules under the BSA in Bunbury RA1 Western Australia.
Breaches of media control and diversity rules
In 2019–20, the ACMA investigated whether Mr Bruce Gordon was in breach of media control and diversity rules in Part 5 of the BSA as a result of information reported by Mr Gordon about a transaction involving shares in Prime Media Limited (Prime) that may have caused him to be in position to exercise control of Prime from 29 April 2019 until 24 May 2019.
Mr Gordon was found to be in breach of the ‘one-to-a-market’ commercial television licence rule in eight separate licence areas during this time. Mr Gordon’s interests also caused an unacceptable media diversity situation to occur, or to be worsened, in more than 40 licence areas.
The ACMA considered evidence from Mr Gordon that the breaches occurred as a result of actions taken by a third party that were contrary to his instructions and that, as a result, he could not reasonably have known that he was in breach of media laws. The ACMA also noted that Mr Gordon acted immediately to sell down his shareholding in Prime as soon as he became aware of the mistake. The ACMA found no evidence to suggest that Mr Gordon took any steps to exercise control over Prime during the period of his control. Consequently, the ACMA took no formal action under the BSA in relation to the breaches.
Register of licensed interactive wagering services
In raising awareness of Australian gambling laws to help minimise the supply and use of illegal interactive gambling services, the ACMA is required under the Interactive Gambling Act 2001 (IGA) to maintain a register of interactive wagering service providers that are licensed by an Australian state or territory. At 30 June 2020, there were 124 entries on the register—35 were TABs, corporate bookmakers and betting exchanges and 89 were on-course bookmakers.
Australian content
All commercial television broadcasting licensees reported meeting primary channel (55 per cent) and non-primary channel (1,460 hours) transmission quotas for Australian content in 2019.
The transmission quotas are specified by the BSA and apply to programs televised by free-to-air commercial television broadcasters between 6 am and midnight each calendar year.
The amount of Australian content provided by metropolitan commercial television licensees on their primary channels was high, with the Seven Network providing an average of 77 per cent local programming, the Nine Network an average of 75 per cent and Network Ten an average of 70 per cent. All three networks met the 1,460 hours quota for non-primary channels:
- Seven Network averaged 4,770 hours
- Nine Network averaged 2,598 hours
- Network Ten averaged 2,533 hours.
Broadcasting Services (Australian Content) Standard 2016 and the Children’s Television Standards 2009
All licensees reported compliance with the annual sub-quota requirements for first-release Australian drama, documentary and children’s programs in 2019.
Regional radio local content obligations
Local content and presence obligations due to a regional radio trigger event
The BSA sets out circumstances where a trigger event for a regional commercial radio broadcasting licence causes additional obligations to apply to a regional commercial radio licence.6
There were two trigger events affecting 10 regional commercial radio licences. All required draft local content plans and local presence reports were provided in the 90-day statutory timeframe.
Compliance with local content plans7
Annual reporting for the 2018–19 financial year showed a high level of compliance with their local content plans by trigger event-affected regional commercial radio broadcasting licensees.
Of the 146 annual compliance reports provided to us by 79 trigger event-affected licensees, 140 reported compliance with their approved local content plans. Of the six licences who reported non-compliance with their local content plan:
- two provided less than the minimum number of eligible local weather bulletins (although all provided well in excess of the statutory minimum of five eligible local weather bulletins per week)
- two provided less than the minimum number of eligible local news bulletins and did not meet the required daily duration for eligible local news bulletins
- two did not meet the required daily duration for eligible local news bulletins.
6 Subject to certain exceptions, a ‘trigger event’ for a regional commercial radio broadcasting licence is defined as: (a) a change in control of a regional commercial radio licence, (b) the formation of a new registrable media group where a regional commercial radio broadcasting licence is in the group or (c) a change in controller of a registrable media group where a regional commercial radio broadcasting licence is in the group. A trigger event for a regional commercial radio broadcasting licence is different to a trigger event for a regional commercial television broadcasting licence, as introduced by the Broadcasting Reform Act.
7 Local content plans include obligations to meet minimum service standards for local news, weather, community service announcements and emergency warnings, and the requirement to prepare a local content plan and take all reasonable steps to comply with it.
Appendix 10: Outcome table
This appendix contains information for both the ACMA and the eSafety and shows how much was spent (on an accrual basis) on achieving the outcome by funding source.
Outcome 1: A communications and media environment that balances the needs of the industry and the Australian community through regulation, education and advice
Budget1 (1) $’000 | Actual2 (2) $’000 | Variance | |
---|---|---|---|
Program 1.1: Communications regulation, planning and licensing | |||
Administered expenses | |||
Ordinary annual services (Appropriation Act Nos. 1 and 3) | 50 | - | 50 |
Departmental expenses | - | - | - |
Departmental appropriation | 39,772 | 35,970 | 3,802 |
Expenses not requiring appropriation in the budget year3 | 5,332 | 8,418 | (3,086) |
Subtotal for Program 1.1 | 45,154 | 44,388 | 766 |
Program 1.2: Consumer safeguards, education and information | |||
Administered expenses | |||
Ordinary annual services (Appropriation Act Nos. 1 and 3) | 16,000 | 5,132 | 10,868 |
Special appropriations | 300 | 165 | 135 |
Departmental expenses | - | - | - |
Departmental appropriation | 40,316 | 36,631 | 3,685 |
Expenses not requiring appropriation in the budget year3 | 4,922 | 8,418 | (3,496) |
Subtotal for Program 1.2 | 61,538 | 50,346 | 11,192 |
Program 1.3: Office of the eSafety Commissioner | |||
Administered expenses | |||
Ordinary annual services (Appropriation Act Nos. 1 and 3) | 7,749 | 5,359 | 2,390 |
Departmental expenses | |||
Special account | - | - | - |
Online Safety Special Account—s72 Enhancing Online Safety Act 2015 | 17,341 | 18,889 | (1,548) |
Subtotal for Program 1.3 | 25,090 | 24,248 | 842 |
Departmental | 107,683 | 108,326 | (643) |
Administered | 24,099 | 10,656 | 13,443 |
Total for Outcome 1 | 131,782 | 118,982 | 12,800 |
Average staffing level | 456 | 427 | - |
1 Budget represents the original budget per the 2019–20 Portfolio Budget Statements.
2 Actual appropriations are the total available appropriation in 2019–20, including MYEFO budget adjustments.
3 This overspend is due to the application of the new accounting standard on leases and is offset by the underspend in departmental appropriation.
Appendix 11: Agency resource statement
This appendix contains information for both the ACMA and the eSafety.
Actual available appropriations for 2019-20 | Payments made 2019-20 | Balance remaining | |
---|---|---|---|
Ordinary Annual Services | |||
Departmental appropriation1 | 130,305 | 95,980 | 34,325 |
Total | 130,305 | 95,980 | 34,325 |
Administered expenses | |||
Outcome 1 | 23,749 | 9,556 | |
Total | 23,749 | 9,556 | |
Total ordinary services A | 154,054 | 105,536 | |
Other services | |||
Departmental non-operating | - | - | |
Total other services B | - | - | |
Special appropriations | |||
Special appropriations limited by entitlement | |||
Public Governance, Performance and Accountability Act 2013 — s77 | 7,623 | ||
Telecommunication Act 1997— | 165 | ||
Total special appropriations C | 7,788 | ||
Special Accounts | |||
Opening balance | 2,161 | 2,161 | - |
Appropriation receipts | 17,353 | 15,828 | 1,525 |
Non-appropriations receipts | 995 | 995 | - |
Total Special Accounts D | 20,509 | 18,984 | 1,525 |
Total Resourcing A + B + C + D | 174,563 | 132,308 |
1 Children’s Online Safety appropriation is included in the Australian Communication and Media Authority’s Appropriation Act 1; however, the appropriation is moved to the Online Safety Special Account s72 Enhancing Online Safety Act 2015.
Appendix 12: eSafety financial reporting
This appendix contains financial information on the operation of eSafety, presented in accordance with subsection 57(aa) of the ACMA Act.
2020 | 2019 | |
---|---|---|
Departmental | ||
Operating expenses | ||
Employee benefits | 7,545 | 7,450 |
Supplier expenses | ||
Consultants | 962 | 316 |
Contractors | 4,781 | 2,547 |
Outsourced services | 3,423 | 2,405 |
I.T. and communications services | 590 | 475 |
Travel costs | 433 | 471 |
Other | 763 | 553 |
Total supplier expenses | 10,952 | 6,767 |
Total operating expenses | 18,497 | 14,217 |
Capital purchases | ||
Internally developed software | 151 | 1,140 |
Leasehold improvements | - | 215 |
Total capital purchases | 151 | 1,355 |
Total departmental expenditure | 18,648 | 15,572 |
Administered | ||
Supplier expenses | ||
Consultants | 39 | 396 |
Contractors | 2,976 | 3,749 |
Outsourced services | 1,422 | 1,479 |
I.T. and communications services | 166 | 1,014 |
Travel costs | 35 | 100 |
Other | 721 | 95 |
Total supplier expenses | 5,359 | 6,833 |
Total administered expenditure | 5,359 | 6,833 |
Appendix 13: List of requirements
PGPA Rule Reference | Part of Report | Description | Requirement |
---|---|---|---|
17AD(g) | Letter of transmittal | ||
17AI | A copy of the letter of transmittal signed and dated by accountable authority on date final text approved, with statement that the report has been prepared in accordance with section 46 of the Act and any enabling legislation that specifies additional requirements in relation to the annual report. | Mandatory | |
17AD(h) | Aids to access | ||
17AJ(a) | Table of contents. | Mandatory | |
17AJ(b) | Alphabetical index. | Mandatory | |
17AJ(c) | Glossary of abbreviations and acronyms. | Mandatory | |
17AJ(d) | List of requirements. | Mandatory | |
17AJ(e) | Details of contact officer. | Mandatory | |
17AJ(f) | Entiy's website address. | Mandatory | |
17AJ(g) | Electronic address of report. | Mandatory | |
17AD(a) | Review by accountable authority | ||
17AD(a) | A review by the accountable authority of the entity. | Mandatory | |
17AD(b) | Overview of the entity | ||
17AE(1)(a)(i) | A description of the role and functions of the entity. | Mandatory | |
17AE(1)(a)(ii) | A description of the organisational structure of the entity. | Mandatory | |
17AE(1)(a)(iii) | A description of the outcomes and programmes administered by the entity. | Mandatory | |
17AE(1)(a)(iv) | A description of the purposes of the entity as included in corporate plan. | Mandatory | |
17AE(1)(aa)(i) | Name of the accountable authority or each member of the accountable authority. | Mandatory | |
17AE(1)(aa)(ii) | Position of the accountable authority or each member of the accountable authority. | Mandatory | |
17AE(1)(aa)(iii) | Period as the accountable authority or member of the accountable authority within the reporting period. | Mandatory | |
17AE(1)(b) | - | An outline of the structure of the portfolio of the entity. | Portfolio departments - mandatory |
17AE(2) | Where the outcomes and programs administered by the entity differ from any Portfolio Budget Statement, Portfolio Additional Estimates Statement or other portfolio estimates statement that was prepared for the entity for the period, include details of variation and reasons for change. | If applicable, Mandatory | |
17AD(c) | Report on the Performance of the entity | ||
Annual performance Statements | |||
17AD(c)(i); 16F | Annual performance statement in accordance with paragraph 39(1)(b) of the Act and section 16F of the Rule. | Mandatory | |
17AD(c)(ii) | Report on Financial Performance | ||
17AF(1)(a) | A discussion and analysis of the entity’s financial performance. | Mandatory | |
17AF(1)(b) | A table summarising the total resources and total payments of the entity. | Mandatory | |
17AF(2) | - | If there may be significant changes in the financial results during or after the previous or current reporting period, information on those changes, including: the cause of any operating loss of the entity; how the entity has responded to the loss and the actions that have been taken in relation to the loss; and any matter or circumstances that it can reasonably be anticipated will have a significant impact on the entity’s future operation or financial results. | If applicable, Mandatory. |
17AD(d) | Management and Accountability | ||
Corporate Governance | |||
17AG(2)(a) | Information on compliance with section 10 (fraud systems). | Mandatory | |
17AG(2)(b)(i) | A certification by accountable authority that fraud risk assessments and fraud control plans have been prepared. | Mandatory | |
17AG(2)(b)(ii) | A certification by accountable authority that appropriate mechanisms for preventing, detecting incidents of, investigating or otherwise dealing with, and recording or reporting fraud that meet the specific needs of the entity are in place. | Mandatory | |
17AG(2)(b)(iii) | A certification by accountable authority that all reasonable measures have been taken to deal appropriately with fraud relating to the entity. | Mandatory | |
17AG(2)(c) | An outline of structures and processes in place for the entity to implement principles and objectives of corporate governance. | Mandatory | |
17AG(2)(d) – (e) | A statement of significant issues reported to Minister under paragraph 19(1)(e) of the Act that relates to non-compliance with Finance law and action taken to remedy non-compliance. | If applicable, Mandatory | |
Audit Committee | |||
17AG(2A)(a) | A direct electronic address of the charter determining the functions of the entity’s audit committee. | Mandatory | |
17AG(2A)(b) | The name of each member of the entity’s audit committee. | Mandatory | |
17AG(2A)(c) | The qualifications, knowledge, skills or experience of each member of the entity’s audit committee. | Mandatory | |
17AG(2A)(d) | Information about the attendance of each member of the entity’s audit committee at committee meetings. | Mandatory | |
17AG(2A)(e) | The remuneration of each member of the entity’s audit committee. | Mandatory | |
External Scrutiny | |||
17AG(3) | Information on the most significant developments in external scrutiny and the entity's response to the scrutiny. | Mandatory | |
17AG(3)(a) | Information on judicial decisions and decisions of administrative tribunals and by the Australian Information Commissioner that may have a significant effect on the operations of the entity. | If applicable, Mandatory | |
17AG(3)(b) | Information on any reports on operations of the entity by the Auditor-General (other than report under section 43 of the Act), a Parliamentary Committee, or the Commonwealth Ombudsman. | If applicable, Mandatory | |
17AG(3)(c) | Information on any capability reviews on the entity that were released during the period. | If applicable, Mandatory | |
Management of Human Resources | |||
17AG(4)(a) | An assessment of the entity’s effectiveness in managing and developing employees to achieve entity objectives. | Mandatory | |
17AG(4)(aa) | Statistics on the entity’s employees on an ongoing and non-ongoing basis, including the following: (a) statistics on full-time employees; (b) statistics on part-time employees; (c) statistics on gender; (d) statistics on staff location. | Mandatory | |
17AG(4)(b) | Statistics on the entity’s APS employees on an ongoing and non-ongoing basis; including the following: Statistics on staffing classification level; Statistics on full-time employees; Statistics on part-time employees; Statistics on gender; Statistics on staff location; Statistics on employees who identify as Indigenous. | Mandatory | |
17AG(4)(c) | Information on any enterprise agreements, individual flexibility arrangements, Australian workplace agreements, common law contracts and determinations under subsection 24(1) of the Public Service Act 1999. | Mandatory | |
17AG(4)(c)(i) | Information on the number of SES and non-SES employees covered by agreements etc identified in paragraph 17AG(4)(c). | Mandatory | |
17AG(4)(c)(ii) | The salary ranges available for APS employees by classification level. | Mandatory | |
17AG(4)(c)(iii) | A description of non-salary benefits provided to employees. | Mandatory | |
17AG(4)(d)(i) | Information on the number of employees at each classification level who received performance pay. | If applicable, Mandatory | |
17AG(4)(d)(ii) | Information on aggregate amounts of performance pay at each classification level. | If applicable, Mandatory | |
17AG(4)(d)(iii) | Information on the average amount of performance payment, and range of such payments, at each classification level. | If applicable, Mandatory | |
17AG(4)(d)(iv) | Information on aggregate amount of performance payments. | If applicable, Mandatory | |
Assets Management | |||
17AG(5) | An assessment of effectiveness of assets management where asset management is a significant part of the entity’s activities. | If applicable, Mandatory | |
Purchasing | |||
17AG(6) | An assessment of entity performance against the Commonwealth Procurement Rules . | Mandatory | |
Consultants | |||
17AG(7)(a) | A summary statement detailing the number of new contracts engaging consultants entered into during the period; the total actual expenditure on all new consultancy contracts entered into during the period (inclusive of GST); the number of ongoing consultancy contracts that were entered into during a previous reporting period; and the total actual expenditure in the reporting year on the ongoing consultancy contracts (inclusive of GST). | Mandatory | |
17AG(7)(b) | A statement that “During [reporting period], [specified number] new consultancy contracts were entered into involving total actual expenditure of $[specified million]. In addition, [specified number] ongoing consultancy contracts were active during the period, involving total actual expenditure of $[specified million]”. | Mandatory | |
17AG(7)(c) | A summary of the policies and procedures for selecting and engaging consultants and the main categories of purposes for which consultants were selected and engaged. | Mandatory | |
17AG(7)(d) | A statement that “Annual reports contain information about actual expenditure on contracts for consultancies. Information on the value of contracts and consultancies is available on the AusTender website.” | Mandatory | |
Australian National Audit Office Access Clauses | |||
17AG(8) | If an entity entered into a contract with a value of more than $100 000 (inclusive of GST) and the contract did not provide the Auditor-General with access to the contractor’s premises, the report must include the name of the contractor, purpose and value of the contract, and the reason why a clause allowing access was not included in the contract. | If applicable, Mandatory | |
Exempt contracts | |||
17AG(9) | If an entity entered into a contract or there is a standing offer with a value greater than $10 000 (inclusive of GST) which has been exempted from being published in AusTender because it would disclose exempt matters under the FOI Act, the annual report must include a statement that the contract or standing offer has been exempted, and the value of the contract or standing offer, to the extent that doing so does not disclose the exempt matters. | If applicable, Mandatory | |
Small business | |||
17AG(10)(a) | A statement that “[Name of entity] supports small business participation in the Commonwealth Government procurement market. Small and Medium Enterprises (SME) and Small Enterprise participation statistics are available on the Department of Finance’s website.” | Mandatory | |
17AG(10)(b) | An outline of the ways in which the procurement practices of the entity support small and medium enterprises. | Mandatory | |
17AG(10)(c) | If the entity is considered by the Department administered by the Finance Minister as material in nature—a statement that “[Name of entity] recognises the importance of ensuring that small businesses are paid on time. The results of the Survey of Australian Government Payments to Small Business are available on the Treasury’s website.” | If applicable, Mandatory | |
Financial Statements | |||
17AD(e) | - | Inclusion of the annual financial statements in accordance with subsection 43(4) of the Act. | Mandatory |
Executive Remuneration | |||
17AD(da) | Information about executive remuneration in accordance with Subdivision C of Division 3A of Part 2-3 of the Rule. | Mandatory | |
17AD(f) | Other Mandatory Information | ||
17AH(1)(a)(i) | - | If the entity conducted advertising campaigns, a statement that “During [reporting period], the [name of entity] conducted the following advertising campaigns: [name of advertising campaigns undertaken]. Further information on those advertising campaigns is available at [address of entity’s website] and in the reports on Australian Government advertising prepared by the Department of Finance. Those reports are available on the Department of Finance’s website.” | If applicable, Mandatory |
17AH(1)(a)(ii) | If the entity did not conduct advertising campaigns, a statement to that effect. | If applicable, Mandatory | |
17AH(1)(b) | A statement that “Information on grants awarded by [name of entity] during [reporting period] is available at [address of entity’s website].” . | If applicable, Mandatory | |
17AH(1)(c) | Outline of mechanisms of disability reporting, including reference to website for further information. | Mandatory | |
17AH(1)(d) | Website reference to where the entity’s Information Publication Scheme statement pursuant to Part II of FOI Act can be found. | Mandatory | |
17AH(1)(e) | Correction of material errors in previous annual report. | If applicable, mandatory | |
17AH(2) | Information required by other legislation. | Mandatory |
Requirements in section 57 of Part 6 of the Australian Communications and Media Authority Act 2005
ACMA Act reference | Requirement | Page reference |
---|---|---|
57(a) | A copy of each direction given to the ACMA under section 14 during the period. | |
57(aa) | A report on the following matters: remuneration, and other employment-related costs and expenses, in respect of APS employees whose duties relate to the performance of the eSafety Commissioner’s functions or the exercise of the eSafety Commissioner’s powers; any other costs, expenses and other obligations incurred by the Commonwealth in connection with the performance of the eSafety Commissioner’s functions or the exercise of the eSafety Commissioner’s powers. | |
57(b), (c) | A copy, or extract, of each instrument given to a carrier or to a carriage service provider under section 581 of the Telecommunications Act 1997 during the financial year. | |
57(d) | A report on the number and types of complaints made under Part 26 of the Telecommunications Act 1997. A report on the investigations conducted as a result of complaints made under Part 26. The results of those investigations. | |
57(e) | A report on the operation of Part 6 of the Telecommunications Act 1997. | |
57(f) | A report setting out statistical information relating to information or documents disclosed under Division 3 of Part 13 of the Telecommunications Act 1997. |
Requirement under section 205ZL of the Broadcasting Services Act 1992
BSA Act reference | Requirement | Page reference |
---|---|---|
205ZL | Reporting on information about the recipients of grants in accordance with section 46 of the Public Governance, Performance and Accountability Act 2013. | Efficient and effective delivery of the Regional and Small Publishers |
Other information required to be included by an Act or instrument
Requirement | Page reference |
---|---|
Reporting on work health and safety under Schedule 2, Part 4 of the | |
Advertising and market research reporting requirements in section 311A of the Commonwealth Electoral Act 1918. | |
Ecologically sustainable development and environmental performance (section 516A of the Environment Protection and Biodiversity Conservation Act 1999). | Ecologically sustainable development and environmental performance |
Reporting requirements under the Guidelines for the use of section 313(3) of the Telecommunications Act 1997. |
Appendix 14: Financial statements
For the period ended 30 June 2020.
STATEMENT OF COMPREHENSIVE INCOME
for the period ended 30 June 2020
Original Budget | ||||
---|---|---|---|---|
NET COST OF SERVICES | Notes | 2020 $'000 | 2019 $'000 | 2020 $'000 |
Expenses Employee benefits | 58,749 | 56,940 | 62,211 | |
Suppliers | 31,814 | 32,907 | 35,218 | |
Depreciation and amortisation | 16,835 | 11,539 | 10,254 | |
Finance costs | 716 | 42 | - | |
Impairment loss on financial instruments | - | 20 | - | |
Write-down and impairment of assets | 213 | 1,560 | - | |
Total expenses | 108,327 | 103,008 | 107,683 | |
Own-Source Income Own-source revenue Revenue from contracts with customers | 1,012 | 32 | 900 | |
Other revenue | 16 | 792 | - | |
Total own-source revenue | 1,028 | 824 | 900 | |
Gains Reversals of write-downs and impairment | 3 | - | - | |
Other gains | 81 | 81 | - | |
Total gains | 84 | 81 | - | |
Total own-source income | 1,112 | 905 | 900 | |
Net cost of services | (107,215) | (102,103) | (106,783) | |
Revenue from Government | 96,039 | 90,157 | 96,529 | |
Deficit attributable to the Australian Government | (11,176) | (11,946) | (10,254) | |
OTHER COMPREHENSIVE INCOME Items not subject to subsequent reclassification to net cost of services Changes in asset revaluation surplus | 604 | (385) | - | |
Total other comprehensive income/(loss) | 604 | (385) | - | |
Total comprehensive loss | (10,572) | (12,331) | (10,254) |
The above statement should be read in conjunction with the accompanying notes.
Budget Variances Commentary
There has been a major change in the categorisation of expenses associated with lease costs, which were budgeted in supplier expenses, but as per the new accounting standard AASB 16 Leases, are now recognised as depreciation and amortisation, and finance costs. This has also driven actual expenses to be over the Original Budget set in April 2019 by 0.6% due to the accounting treatment of the leases held by the ACMA.
Additionally, employee benefits were lower than the Original Budget due to the ACMA budgeting for 456 staff, however, actual staffing did not reach this level.
Revenue from Government has decreased slightly from the Original Budget due to an increase in the efficiency dividend applied to the 2019-20 departmental appropriation.
STATEMENT OF FINANCIAL POSITION
for the period ended 30 June 2020
Original Budget | ||||
---|---|---|---|---|
ASSETS | Notes | 2020 $'000 | 2019 $'000 | 2020 $'000 |
Financial Assets Cash and cash equivalents | 1,881 | 3,630 | 2,100 | |
Trade and other receivables | 35,099 | 23,887 | 24,539 | |
Total financial assets | 36,980 | 27,517 | 26,639 | |
Non-Financial Assets | ||||
Land and buildings1 | 62,997 | 13,649 | 20,177 | |
Plant and equipment | 5,600 | 7,980 | 9,244 | |
Intangibles | 10,142 | 11,174 | 5,816 | |
Prepayments | 2,902 | 1,867 | 2,331 | |
Total non-financial assets | 81,641 | 34,670 | 37,568 | |
Assets held for sale | - | 4,100 | - | |
Total assets | 118,621 | 66,287 | 64,207 | |
LIABILITIES | ||||
Payables | ||||
Suppliers | 2,174 | 4,856 | 4,377 | |
Other payables | 1,973 | 1,074 | 441 | |
Total payables | 4,147 | 5,930 | 4,818 | |
Interest Bearing Liabilities | ||||
Leases | 53,415 | - | 3,077 | |
Total interest bearing liabilities | 53,415 | - | 3,077 | |
Provisions | ||||
Employee provisions | 21,803 | 20,030 | 17,391 | |
Make good provisions | 2,686 | 2,617 | 2,575 | |
Total provisions | 24,489 | 22,647 | 19,966 | |
Total liabilities | 82,051 | 28,577 | 27,861 | |
Net assets | 36,570 | 37,710 | 36,346 | |
EQUITY | ||||
Contributed equity | 128,624 | 121,274 | 128,004 | |
Reserves | 2,204 | 1,600 | 1,985 | |
Accumulated deficit | (94,258) | (85,164) | (93,643) | |
Total equity | 36,570 | 37,710 | 36,346 |
1 Right-of-use assets recognised under AASB 16 Leases are included in Land and Buildings.
The above statement should be read in conjunction with the accompanying notes.
Budget Variances Commentary
While the Original Budget net assets position is broadly in line with actual results, there are some variances in the categorisation of the balances. There has been an increase in trade and other receivables due to an increase in unspent capital appropriations, with some capital projects delayed to the next financial year due to COVID-19 restrictions. Additionally, there is an offsetting significant increase in both land and buildings, and leases, as a result of the accounting treatment of AASB 16 Leases.
Plant and equipment was lower than the Original Budget due to the delays in the purchase of capital items as a result of COVID-19 restrictions. Additionally, although at a total level non-financial assets remained relatively stable (excluding the impact of AASB 16 Leases), Intangibles were higher than the Original Budget as a result of expenditure being redirected to computer software projects from leasehold improvement works, which were delayed.
The 2019-20 employee provisions balance was higher than the Original Budget due to the fall in the 10-year government bond rate used to discount the provision, and a decrease in leave utilisation during the COVID-19 pandemic.
Suppliers payable is lower than the Original Budget due to the derecognition of lease payables following the implementation of AASB 16 Leases.
STATEMENT OF CHANGES IN EQUITY
for the period ended 30 June 2020
Original Budget | |||
---|---|---|---|
2020 $'000 | 2019 $'000 | 2020 $'000 | |
CONTRIBUTED EQUITY/CAPITAL | |||
Opening balance | |||
Balance carried forward from previous period | 121,274 | 113,826 | 120,617 |
Adjusted opening balance | 121,274 | 113,826 | 120,617 |
Contributions by owners | |||
Equity injection - Appropriations | - | 535 | - |
Departmental capital budget | 7,350 | 6,913 | 7,387 |
Total transactions with owners | 7,350 | 7,448 | 7,387 |
Closing balance as at 30 June | 128,624 | 121,274 | 128,004 |
RETAINED EARNINGS | |||
Opening balance | |||
Balance carried forward from previous period | (85,164) | (73,136) | (83,389) |
Other movements | - | (82) | - |
Adjustment on initial application of AASB 16 | 2,082 | - | - |
Adjusted opening balance | (83,082) | (73,218) | (83,389) |
Comprehensive income | |||
Deficit for the period | (11,176) | (11,946) | (10,254) |
Total comprehensive income | (11,176) | (11,946) | (10,254) |
Closing balance as at 30 June | (94,258) | (85,164) | (93,643) |
ASSET REVALUATION RESERVE | |||
Opening balance | |||
Balance carried forward from previous period | 1,600 | 1,985 | 1,985 |
Adjusted opening balance | 1,600 | 1,985 | 1,985 |
Comprehensive income | |||
Revaluation increment/(decrement) on non-financial assets | 604 | (385) | - |
Total comprehensive income | 604 | (385) | - |
Closing balance as at 30 June | 2,204 | 1,600 | 1,985 |
Original Budget | |||
---|---|---|---|
2020 $'000 | 2019 $'000 | 2020 $'000 | |
TOTAL EQUITY | |||
Opening balance | |||
Balance carried forward from previous period | 37,710 | 42,675 | 39,213 |
Other movements | - | (82) | - |
Adjustment on initial application of AASB 16 | 2,082 | - | - |
Adjusted opening balance | 39,792 | 42,593 | 39,213 |
Comprehensive income | |||
Revaluation increment/(decrement) on non-financial assets | 604 | (385) | - |
Deficit for the period | (11,176) | (11,946) | (10,254) |
Total comprehensive income | (10,572) | (12,331) | (10,254) |
Contributions by owners | |||
Equity injection - Appropriations | - | 535 | - |
Departmental capital budget | 7,350 | 6,913 | 7,387 |
Total transactions with owners | 7,350 | 7,448 | 7,387 |
Closing balance as at 30 June | 36,570 | 37,710 | 36,346 |
Accounting Policy
Equity Injections
Amounts appropriated which are designated as ‘equity injections’ for a year (less any formal reductions) and Departmental Capital Budgets (DCBs) are recognised directly in contributed equity in that year.
Budget Variances Commentary
The departmental capital budget has decreased slightly from the Original Budget due to an increase in the efficiency dividend applied to the 2019-20 departmental appropriation.
STATEMENT OF CASHFLOWS
for the period ended 30 June 2020
Original Budget | ||||
---|---|---|---|---|
2020 | 2019 | 2020 | ||
Notes | $'000 | $'000 | $'000 | |
OPERATING ACTIVITIES | ||||
Cash received | ||||
Sale of goods and rendering of services | 1,843 | 29 | 900 | |
Appropriations | 93,352 | 90,885 | 96,529 | |
GST received | 3,578 | 3,962 | 191 | |
Other | 16 | 1,505 | - | |
Total cash received | 98,789 | 96,381 | 97,620 | |
Cash used | ||||
Employees | 56,637 | 54,538 | 62,211 | |
Suppliers | 36,514 | 39,021 | 35,409 | |
Section 74 receipts transferred to the Official Public Account | 4,434 | 1,535 | - | |
Interest payments on lease liabilities | 647 | - | - | |
Total cash used | 98,232 | 95,094 | 97,620 | |
Net cash from operating activities | 557 | 1,287 | - | |
INVESTING ACTIVITIES Proceeds from the sale of land1 | 4,100 | - | - | |
Total cash received | 4,100 | - | - | |
Cash used | ||||
Purchase of property, plant and equipment | 601 | 4,772 | 7,387 | |
Purchase of intangibles | 2,181 | 4,766 | - | |
Total cash used | 2,782 | 9,538 | 7,387 | |
Net cash from/(used by) investing activities | 1,318 | (9,538) | (7,387) | |
FINANCING ACTIVITIES | ||||
Cash received | ||||
Equity injections | - | 535 | - | |
Departmental capital budget | 2,630 | 8,246 | 7,387 | |
Total cash received | 2,630 | 8,781 | 7,387 | |
Cash used | ||||
Principal payments of lease liabilities | 6,254 | - | - | |
Total cash used | 6,254 | - | - | |
Net cash from/(used by) financing activities | (3,624) | 8,781 | 7,387 | |
Net increase/(decrease) in cash held | (1,749) | 530 | - | |
Cash and cash equivalents at the beginning of the | ||||
reporting period | 3,630 | 3,100 | 2,100 | |
Cash and cash equivalents at the end of the reporting period | 1,881 | 3,630 | 2,100 |
1 Proceeds from the sale of land relates to the funds received from the sale of the Capalaba land asset.
The above statement should be read in conjunction with the accompanying notes.
Budget Variances Commentary
Net cash from operating activities – The small increase to the Original Budget reflects a reduction in cash used for lease payments, which was budgeted as an operating activity, but under the new accounting standard AASB 16 Leases is recognised as a financing activity. This is offset by an increase in section 74 receipts transferred to the OPA due to the return of cash proceeds from the sale of the Capalaba site to the Redland City Council.
Net cash from investing activities – The increase from the Original Budget is due to delays in capital projects, predominantly caused by COVID-19 restrictions, and the unbudgeted cash proceeds of the sale of the Capalaba site.
Net cash from financing activities – The decrease from the Original Budget is due to delays in capital projects and the recognition of lease payments as a financing activity under the new leasing standard, rather than an operating activity.
ADMINISTERED SCHEDULE OF COMPREHENSIVE INCOME
for the period ended 30 June 2020
Original Budget | ||||
---|---|---|---|---|
2020 | 2019 | 2020 | ||
Notes | $'000 | $'000 | $'000 | |
NET COST OF SERVICES | ||||
EXPENSES | ||||
Suppliers | 5,521 | 6,833 | 5,799 | |
Grants | 5,132 | 2,266 | 18,250 | |
Impairment loss on financial instruments | - | 4,689 | 50 | |
Total expenses | 10,653 | 13,788 | 24,099 | |
INCOME | ||||
Revenue | ||||
Taxation revenue | ||||
Other taxes | 508,451 | 649,628 | 1,214,098 | |
Total taxation revenue | 508,451 | 649,628 | 1,214,098 | |
Non-taxation revenue | ||||
Revenue from contracts with customers | 8,397 | 5,876 | 5,033 | |
Fees and fines | 33,141 | 31,819 | 40,018 | |
Other revenue | 2,497 | 17,607 | 4,130 | |
Total non-taxation revenue | 44,035 | 55,302 | 49,181 | |
Total revenue | 552,486 | 704,930 | 1,263,279 | |
Gains | ||||
Sale of assets | - | 115 | 855,353 | |
Resources received free of charge | 852,853 | - | - | |
Reversal of write-downs and impairment | 9,906 | - | - | |
Total gains | 862,759 | 115 | 855,353 | |
Total income | 1,415,245 | 705,045 | 2,118,632 | |
Net contribution by services | 1,404,592 | 691,257 | 2,094,533 |
The above schedule should be read in conjunction with the accompanying notes.
Budget Variances Commentary
Expenses – The Original Budget for Grants expected the full expenditure of the funding for the Regional and Small Publishers Innovation Fund. Actual expenditure was less than the Original Budget due to delays in grant agreements being finalised. Impairment loss on financial instruments were nil in 2020, as the expected credit loss model under AASB 9 Financial Instruments resulted in a Reversal of write-downs and impairment recorded under Gains. This was due to the reduction in the administered receivables balance and increased likelihood of collectability of these debts.
Revenues – The Original Budget for Other taxes is significantly higher than the actual result due to the delay of Regional Broadband Scheme (RBS) legislation, which included $682m in the Original Budget. The RBS legislation has now been passed with revenue expected to be recognised in 2020-21. Additionally, the Original Budget included the sale of licences for the 3.6GHz spectrum as sale of assets, however, under the new accounting standards, the proceeds are recognised as resources received free of charge.
ADMINISTERED SCHEDULE OF ASSETS AND LIABILITIES
as at 30 June 2020
Original Budget | ||||||
---|---|---|---|---|---|---|
2020 | 2019 | 2020 | ||||
Notes | $'000 | $'000 | $'000 | |||
ASSETS | ||||||
Financial Assets | ||||||
Cash and cash equivalents | 436 | 451 | 868 | |||
Taxation receivables | 25,931 | 103,044 | 711,201 | |||
Trade and other receivables | 31,137 | 30,199 | 31,399 | |||
Other financial assets | - | 429,845 | - | |||
Total financial assets | 57,504 | 563,539 | 743,468 | |||
Total assets administered on behalf of Government | 57,504 | 563,539 | 743,468 | |||
LIABILITIES | ||||||
Payables | ||||||
Other payables | 131,160 | 108,904 | 130,728 | |||
Total payables | 131,160 | 108,904 | 130,728 | |||
Total liabilities administered on behalf of Government | 131,160 | 108,904 | 130,728 | |||
Net assets/(liabilities) | (73,656) | 454,635 | 612,740 |
The above schedule should be read in conjunction with the accompanying notes.
Budget Variances Commentary
The main driver for reduced Taxation receivables against Original Budget is due to the delayed commencement of the RBS. The balance for Other financial assets in 2018-19 represents the remaining instalment relating to the sale of 700MHz spectrum in 2017-18. This instalment was paid in 2019-20.
ADMINISTERED RECONCILIATION SCHEDULE
for the period ended 30 June 2019
2020 $'000 | 2019 $'000 | |
Opening assets less liabilities as at 1 July | 454,635 | 809,204 |
Income | 1,415,245 | 705,045 |
Expenses | (10,653) | (13,788) |
Transfers (to)/from Australian Government | ||
Other movements | - | 117 |
Appropriation transfers from the OPA | 18,711 | 16,764 |
Transfers to the OPA | (1,689,731) | (808,820) |
Transfers to the OPA (collected on behalf on another entity)1 | (261,863) | (253,887) |
Closing assets less liabilities as at 30 June | (73,656) | 454,635 |
1 Relates to the collection of the Telecommunications Industry Levy collected on behalf of the Department of Infrastructure, Transport, Regional Development and Communications Public Interest Telecommunications Services Special Account.
Accounting Policy
Administered Cash Transfers to and from the OPA
Revenue collected by the ACMA for use by the Australian Government rather than the ACMA is Administered revenue. Collections are transferred to the OPA maintained by the Department of Finance. Conversely, cash is drawn from the OPA to make payments under Parliamentary appropriation on behalf of the Australian Government. These transfers to and from the OPA are adjustments to the Administered cash held by the ACMA on behalf of the Australian Government and reported as such in the Administered Cash Flow Statement and in the Administered Reconciliation Schedule.
ADMINISTERED CASH FLOW STATEMENT
for the period ended 30 June 2020
2020 | 2019 | ||
---|---|---|---|
Notes | $'000 | $'000 | |
OPERATING ACTIVITIES | |||
Cash received | |||
Sale of goods and rendering of services | 7,575 | 5,082 | |
Taxes | 617,059 | 580,315 | |
Rental income1 | 852,853 | - | |
Fees | 31,262 | 31,751 | |
Fines | 1,999 | 560 | |
Other | 5 | 4,154 | |
Total cash received | 1,510,753 | 621,862 | |
Cash used | |||
Grants | 5,002 | 2,266 | |
Suppliers | 6,111 | 6,510 | |
Total cash used | 11,113 | 8,776 | |
Net cash from operating activities | 1,499,640 | 613,086 | |
INVESTING ACTIVITIES | |||
Cash received | |||
Revenue from sales of intangibles | 432,329 | 432,440 | |
Total cash received | 432,329 | 432,440 | |
Net cash from investing activities | 432,329 | 432,440 | |
Net increase in cash held | 1,931,969 | 1,045,526 | |
Cash and cash equivalents at the beginning of the reporting period | 451 | 868 | |
Cash from the Official Public Account | |||
Appropriations | 18,711 | 16,764 | |
Total cash from the Official Public Account | 18,711 | 16,764 | |
Cash to the Official Public Account | |||
Administered revenue | (1,688,832) | (808,820) | |
Transfer to other entities (collected on behalf of another entity) | (261,863) | (253,887) | |
Total cash to the Official Public Account | (1,950,695) | (1,062,707) | |
Cash and cash equivalents at the end of the reporting period | 436 | 451 |
1 Rental income relates to the proceeds from the 3.6GHz spectrum licences.
The above schedule should be read in conjunction with the accompanying notes.
NOTES TO AND FORMING PART OF THE FINANCIAL STATEMENTS
Overview
1.1 Expenses
1.2 Own-Source Revenue and Gains
2. Income and Expenses Administered on Behalf of Government
2.1 Administered – Expenses
2.2 Administered – Income
3.1 Financial Assets
3.2 Non-Financial Assets
3.3 Payables
3.4 Leases
3.5 Other Provisions
4. Assets and Liabilities Administered on Behalf of Government
4.1 Administered – Financial Assets
4.2 Administered – Payables
5.1 Appropriations
5.2 Special Accounts
5.3 Regulatory Charging Summary
5.4 Net Cash Appropriation Arrangement
6.1 Employee Provisions
6.2 Key Management Personnel Remuneration
6.3 Related Party Disclosures
7.1 Contingent Assets and Liabilities
7.2 Financial Instruments
7.3 Administered Financial Instruments
7.4 Fair Value Measurement
8.1 Aggregate Assets and Liabilities
Overview
Objectives of the Entity
The Australian Communications and Media Authority (ACMA) is an Australian Government controlled entity. It is a not-for-profit entity. The ACMA is Australia's regulator for telecommunications, broadcasting, radiocommunications, and certain online content. The ACMA’s purpose is to maximise the economic and social benefits of communications and media for Australia.
Basis of Preparation
The financial statements are general purpose financial statements and are required by section 42 of the Public Governance, Performance and Accountability Act 2013.
The financial statements have been prepared in accordance with the:
- Public Governance, Performance and Accountability (Financial Reporting) Rule 2015 (FRR); and
- Australian Accounting Standards and Interpretations – Reduced Disclosure Requirements issued by the Australian Accounting Standards Board (AASB) that apply for the reporting period.
The financial statements have been prepared on an accrual basis and in accordance with the historical cost convention, except where certain assets and liabilities are recorded at fair value. Except where stated, no allowance is made for the effect of changing prices on the results or the financial position. The financial statements are presented in Australian dollars and are rounded to the nearest thousand dollars unless otherwise specified.
New Australian Accounting Standards
All new standards that were issued prior to the sign-off date and are applicable to the current reporting period were implemented and details of the effect are outlined below.
Standard/ Interpretation | Nature of change in accounting policy, transitional provisions, and adjustment to financial statements |
SB 15, AASB 2016-8 and AASB 1058 became effective 1 July 2019. | |
ASB 15 Revenue from Contracts with Customers / AASB 2016-8 Amendments to Australian Accounting Standards – Australian Implementation Guidance for Not-for- Profit Entities and AASB 1058 Income of Not-For-Profit Entities | AASB 15 establishes a comprehensive framework for determining whether, how much and when revenue is recognised. It replaces existing revenue recognition guidance, including AASB 118 Revenue, AASB 111 Construction Contracts and Interpretation 13 Customer Loyalty Programmes. The core principle of AASB 15 is that an entity recognises revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. ASB 1058 is relevant in circumstances where AASB 15 does not apply. AASB 1058 replaces most of the not-for-profit (NFP) provisions of AASB 1004 Contributions and applies to transactions where the consideration to acquire an asset is significantly less than fair value principally to enable the entity to further its objectives, and where volunteer services are received. The details of the changes in accounting policies, transitional provisions and adjustments are disclosed below and in the relevant notes to the financial statements. |
Standard/ Interpretation | Nature of change in accounting policy, transitional provisions, and adjustment to financial statements |
AASB 16 Leases | AASB 16 became effective on 1 July 2019. This new standard has replaced AASB 117 Leases, Interpretation 4 Determining whether an Arrangement contains a Lease, Interpretation 115 Operating Leases—Incentives and Interpretation 127 Evaluating the Substance of Transactions Involving the Legal Form of a Lease. AASB 16 provides a single lessee accounting model, requiring the recognition of assets and liabilities for all leases, together with options to exclude leases where the lease term is 12 months or less, or where the underlying asset is of low value. AASB 16 substantially carries forward the lessor accounting in AASB 117, with the distinction between operating leases and finance leases being retained. The details of the changes in accounting policies, transitional provisions and adjustments are disclosed below and in the relevant notes to the financial statements. |
No accounting standard has been adopted earlier than the application date as stated in the standard.
Other new standards, revised standards, interpretations and amending standards that were issued prior to the sign-off date, and are applicable to the current reporting period, did not have a material financial impact, and are not expected to have a future material financial impact on the ACMA.
Application of AASB 15 Revenue from Contracts with Customers / AASB 1058 Income of Not‐For‐Profit Entities The ACMA adopted AASB 15 and AASB 1058 using the modified retrospective approach, under which the cumulative effect of initial application is recognised in retained earnings at 1 July 2019. Accordingly, the comparative information presented for 2019 is not restated, that is, it is presented as previously reported under the various applicable AASBs and related interpretations.
Under the new income recognition model the ACMA shall first determine whether an enforceable agreement exists and whether the promises to transfer goods or services to the customer are ‘sufficiently specific’. If an enforceable agreement exists and the promises are ‘sufficiently specific’ (to a transaction or part of a transaction), the ACMA applies the general AASB 15 principles to determine the appropriate revenue recognition. If these criteria are not met, the ACMA considers whether AASB 1058 applies.
In relation to AASB 15, the ACMA elected to apply the new standard to all new and uncompleted contracts from the date of initial application. The ACMA is required to aggregate the effect of all of the contract modifications that occur before the date of initial application.
In terms of AASB 1058, the ACMA is required to recognise volunteer services at fair value if those services would have been purchased if not provided voluntarily, and the fair value of those services can be measured reliably
Upon transition, the application of AASB 15 Revenue from Contracts with Customers / AASB 1058 Income of Not‐For‐Profit Entities had no material impact on the Statement of Financial Position or the Administered Schedule of Assets and Liabilities.
Set out below are the amounts by which each financial statement line item is affected as at and for the year ended 30 June 2020 as a result of the adoption of AASB 15 and AASB 1058. The first column shows amounts prepared under AASB 15 and AASB 1058 and the second column shows what the amounts would have been had AASB 15 and AASB 1058 not been adopted:
Transitional disclosure | AASB 15 / AASB 1058 $’000 | Previous AAS $’000 | Increase / (decrease) $’000 |
Administered Revenue | |||
Revenue from contracts with customers | 1,189 | 2,084 | (895) |
Total Revenue | 1,189 | 2,084 | (895) |
Net contribution by services | 1,189 | 2,084 | (895) |
Administered Liabilities | |||
Other payables | 895 | - | 895 |
Total liabilities | 895 | - | 895 |
The table above reflects the Do Not Call Register subscription revenue recognition changing from point in time to over time. The table does not include the treatment of transactions related to the 3.6GHz spectrum licences, which have been accounted for under AASB 16 Leases and AASB 138 Intangible Assets.
Application of AASB 16 Leases
The ACMA adopted AASB 16 using the modified retrospective approach, under which the cumulative effect of initial application is recognised in retained earnings at 1 July 2019. Accordingly, the comparative information presented for 2019 is not restated, that is, it is presented as previously reported under AASB 117 and related interpretations.
The ACMA elected to apply the practical expedient to not reassess whether a contract is or contains a lease at the date of initial application. Contracts entered into before the transition date that were not identified as leases under AASB 117 were not reassessed. The definition of a lease under AASB 16 was applied only to contracts entered into or changed on or after 1 July 2019.
AASB 16 provides for certain optional practical expedients, including those related to the initial adoption of the standard. The ACMA applied the following practical expedients when applying AASB 16 to leases previously classified as operating leases under AASB 117:
- Apply a single discount rate to a portfolio of leases with reasonably similar characteristics;
- Exclude initial direct costs from the measurement of right-of-use assets at the date of initial application for leases where the right-of-use asset was determined as if AASB 16 had been applied since the commencement date;
- Reliance on previous assessments on whether leases are onerous as opposed to preparing an impairment review under AASB 136 Impairment of assets as at the date of initial application; and
- Applied the exemption not to recognise right-of-use assets and liabilities for leases with less than 12 months of lease term remaining as of the date of initial application.
As a lessee, the ACMA previously classified leases as operating or finance leases based on its assessment of whether the lease transferred substantially all of the risks and rewards of ownership. Under AASB 16, the ACMA recognises right-of-use assets and lease liabilities for most leases.
On adoption of AASB 16, the ACMA recognised right-of-use assets and lease liabilities in relation to leases of office space, which had previously been classified as operating leases.
The lease liabilities were measured at the present value of the remaining lease payments, discounted using the ACMA’s incremental borrowing rate as at 1 July 2019. The ACMA’s incremental borrowing rate is the rate at which
a similar borrowing could be obtained from an independent creditor under comparable terms and conditions. The weighted-average rate applied was 1.22%.
The right-of-use assets were measured as follows:
- Office space: measured at an amount equal to the lease liability, adjusted by the amount of any prepaid or accrued lease payments.
- All other leases: the carrying value that would have resulted from AASB 16 being applied from the commencement date of the leases, subject to the practical expedients noted above.
- Impact on transition
On transition to AASB 16, the ACMA recognised additional right-of-use assets and additional lease liabilities, recognising the difference in retained earnings. The impact on transition is summarised below:
Impact on Transition of AASB 16
Departmental | 1 July 2019 |
$’000 | |
Right-of-use assets - land and buildings | 59,600 |
Lease liabilities | (59,600) |
Retained earnings | 2,082 |
The following table reconciles the Departmental minimum lease commitments disclosed in the ACMA's 30 June 2019 annual financial statements to the amount of lease liabilities recognised on 1 July 2019:
1 July 2019 | |
$'000 | |
Minimum operating lease commitment at 30 June 2019 | 25,218 |
Plus: effect of extension options reasonable certain to be exercised | 38,711 |
Undiscounted lease payments | 63,929 |
Less: effect of discounting using the incremental borrowing rate as at the date of initial application | (4,329) |
Lease liabilities recognised at 1 July 2019 | 59,600 |
Reporting of Administered activities
Administered revenues, expenses, assets, liabilities and cash flows are disclosed in the Administered schedules and related notes.
Except where stated below, Administered items are accounted for on the same basis and using the same policies as for departmental items, including the application of Australian Accounting Standards.
Taxation
The ACMA is exempt from all forms of taxation except Fringe Benefits Tax (FBT) and the Goods and Services Tax (GST).
Significant Accounting Judgements and Estimates
In the process of applying the accounting policies listed in this note, the ACMA has made a judgement for the provision for long service leave which has been estimated using present value techniques, which take into account attrition rates and pay increases through promotion and inflation.
No other accounting assumptions or estimates have been identified that have a significant risk of causing a material adjustment to carrying amounts of assets and liabilities within the next reporting period.
Events after the reporting period
Departmental
There are no known events occurring after the reporting period that could impact on the financial statements.
Administered
There are no known events occurring after the reporting period that could impact on the financial statements.
1. Financial Performance
This section analyses the financial performance of the ACMA for the year ended 30 June 2020.
1.1 Expenses
Note 1.1A: Employee Benefits | 2020 $'000 | 2019 $'000 |
Wages and salaries | 42,025 | 39,012 |
Superannuation | ||
Defined contribution plans | 4,333 | 4,147 |
Defined benefit plans | 3,974 | 4,021 |
Leave and other entitlements | 8,348 | 9,233 |
Separation and redundancies | 69 | 527 |
Total employee benefits | 58,749 | 56,940 |
Accounting Policy
For accounting policies on employee related expenses please refer to Section 6, People and Relationships
Note 1.1B: Suppliers | ||
Goods and services supplied or rendered | ||
Contractors | 9,617 | 7,110 |
IT and communications services | 7,494 | 6,936 |
Outsourced services | 5,640 | 5,222 |
Consultants | 3,041 | 2,416 |
Travel costs | 1,166 | 2,101 |
Occupancy costs | 1,432 | 1,613 |
Other | 1,635 | 1,191 |
Stationery and publications | 588 | 551 |
Legal costs | 722 | 246 |
Total goods and services supplied or rendered | 31,335 | 27,386 |
Goods supplied | 889 | 571 |
Services rendered | 30,446 | 26,815 |
Total goods and services supplied or rendered | 31,335 | 27,386 |
Other suppliers | ||
Operating lease rentals1 | - | 5,126 |
Low value leases | 283 | - |
Workers compensation expenses | 196 | 395 |
Total other suppliers | 479 | 5,521 |
Total suppliers | 31,814 | 32,907 |
1 The ACMA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.
The ACMA has no short-term lease commitments as at 30 June 2020.
The above lease disclosures should be read in conjunction with the accompanying notes 1.1C, 3.2A and 3.4A.
Accounting Policy
Short-term leases and leases of low-value assets
The ACMA has elected not to recognise right-of-use assets and lease liabilities for short-term leases of assets that have a lease term of 12 months or less and leases of low-value assets (less than $10,000). The ACMA recognises the lease payments associated with these leases as an expense on a straight-line basis over the lease term.
2020 | 2019 | |
$'000 | $'000 | |
Note 1.1C: Finance Costs | ||
Unwinding of discount | 69 | 42 |
Interest on lease liabilities1 | 647 | - |
Total finance costs | 716 | 42 |
1 The ACMA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.
The above lease disclosures should be read in conjunction with the accompanying notes 1.1B, 3.2A and 3.4A.
Note 1.1D: Impairment Loss on Financial Instruments | ||
Impairment of financial instruments | - | 20 |
Total impairment loss on financial instruments | - | 20 |
Note 1.1E: Write-Down and Impairment of Other Assets | ||
Write-down of property, plant and equipment | 213 | 3 |
Write-down of land | - | 1,385 |
Impairment of intangible assets | - | 172 |
Total write-down and impairment of assets | 213 | 1,560 |
1.2 Own-Source Revenue and Gains
Own-Source Revenue | 2020 $'000 | 2019 $'000 |
Note 1.2A: Revenue from Contract with Customers | ||
Sale of goods | 101 | 32 |
Rendering of services | 911 | - |
Total revenue from contract with customers | 1,012 | 32 |
Disaggregation of revenue from contracts with customers1 | ||
Major product / service line: | ||
Service delivery | 911 | - |
Sales of low value plant and equipment | 101 | - |
1,012 | - | |
Type of customer: | ||
Australian Government entities (related parties) | 724 | - |
Non-government entities | 288 | - |
1,012 | - | |
Timing of transfer of goods and services: | ||
Over time | 911 | - |
Point in time | 101 | - |
1,012 | - |
1 The ACMA has applied AASB 15 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 118.
Accounting Policy
Revenue from the sale of goods is recognised by the ACMA when all of the following conditions have been satisfied:
- the entity has transferred to the buyer the significant risks and rewards of ownership of the goods;
- the entity retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
- the amount of revenue can be measured reliably;
- it is probable that the economic benefits associated with the transaction will flow to the entity; and
- the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue from a transaction involving the rendering of services shall be recognised by reference to the stage of completion of the transaction at the end of the reporting period. The outcome of a transaction can be estimated reliably when all of the following conditions are satisfied:
- the amount of revenue can be measured reliably;
- it is probable that the economic benefits associated with the transaction will flow to the entity;
- the stage of completion of the transaction at the end of the reporting period can be measured reliably; and
- the costs incurred for the transaction and the costs to complete the transaction can be measured reliably.
When the outcome of a transaction involving the rendering of services cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that are recoverable. Revenue is recognised only when it is probable that the economic benefits associated with the transaction will flow to the entity.
For the ACMA, in general, sale of goods is recognised at a point in time when control is transferred to the buyer, and rendering of services is recognised over time as performance obligations are met. Each contract is assessed at inception against AASB 15, or AASB 1058 where AASB 15 does not apply, and determines whether the ACMA will recognise the revenue over time or at a point in time.
The following is a description of principal activities from which the ACMA generates its departmental revenue: sale of minor assets (generally point in time), service arrangements with other Australian Government entities (generally over time), and cost recovery income received for work completed for satellite co-ordination charges collected by the ACMA, Emergency Position Indicating Radio Beacon triangulation (EPIRB) and police investigation assistance (generally over time).
Receivables for goods and services, which have 30 day terms, are recognised at the nominal amounts due less any impairment allowance account. Collectability of debts is reviewed at end of the reporting period. Allowances are made when collectability of the debt is no longer probable.
Note 1.2B: Reversals of Write-Downs and Impairment | 2020 $'000 | 2019 $'000 |
Receivables | 3 | - |
Total reversals of previous asset write-downs and impairments | 3 | - |
Note 1.2C: Other Gains | ||
Resources received free of charge | 81 | 81 |
Total other gains | 81 | 81 |
Accounting Policy
Resources Received Free of Charge
Resources received free of charge are recognised as revenue when, and only when, a fair value can be reliably determined and the services would have been purchased if they had not been donated. Use of those resources are recognised as an expense. Resources received free of charge are recorded as either revenue or gains depending on their nature. The value of income represents the services provided free of charge by the Australian National Audit Office.
2. Income and Expenses Administered on Behalf of Government
This section analyses the activities that the ACMA does not control but administers on behalf of the Government.
Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.
2.1 Administered – Expenses
2020 | 2019 | |
$'000 | $'000 | |
Note 2.1A: Suppliers | ||
Goods and services supplied or rendered | ||
Contractors | 5,202 | 5,228 |
IT and communications services | 166 | 1,014 |
Consultants | 39 | 396 |
Travel | 35 | 100 |
Other | 79 | 95 |
Total goods and services supplied or rendered | 5,521 | 6,833 |
Goods supplied | - | 14 |
Services rendered | 5,521 | 6,819 |
Total goods and services supplied or rendered | 5,521 | 6,833 |
Note 2.1B: Grants | ||
Private sector | ||
Commercial entities | 5,132 | 2,266 |
Total grants | 5,132 | 2,266 |
Accounting Policy Grants The ACMA administers a number of grants on behalf of the Australian Government. Grant liabilities are recognised to the extent that (i) the services required to be performed by the grantee have been performed; or (ii) the grant eligibility criteria have been satisfied, but payments due have not been made. Where grant monies are paid in advance of performance or eligibility, a prepayment is recognised. | ||
Note 2.1C: Impairment Loss on Financial Instruments | ||
Asset write-downs and impairments | - | 4,689 |
Total impairment loss on financial instruments | - | 4,689 |
2.2 Administered – Income
2020 | 2019 | |
$'000 | $'000 | |
Taxation Revenue | ||
Note 2.2A: Other Taxes1 | ||
Broadcasting licence charges | 37,026 | 104,595 |
Radio communications taxes | 149,562 | 231,146 |
Telecommunication numbering charges | 60,000 | 60,000 |
Industry contributions | 261,863 | 253,887 |
Total other taxes | 508,451 | 649,628 |
1 The reduction in other taxes is primarily driven by the timing of payments for multi-year licences, changes to | ||
demand, and COVID-19 industry relief measures. | ||
Non-Taxation Revenue | ||
Note 2.2B: Revenue from Contracts with Customers | ||
Sale of goods | 8,397 | 5,876 |
Total revenue from contract with customers | 8,397 | 5,876 |
Note 2.2C: Fees and Fines | ||
Licence fees | 31,142 | 31,259 |
Fines and penalties | 1,999 | 560 |
Total fees and fines | 33,141 | 31,819 |
Note 2.2D: Other Revenue | ||
Other | 5 | 4,118 |
Unwinding of discount | 2,492 | 13,489 |
Total other revenue | 2,497 | 17,607 |
2020 | 2019 | |
$'000 | $'000 | |
Gains | ||
Note 2.2E: Gains from Sale of Assets | ||
Proceeds from sale | - | 115 |
Total gains from sale of assets | - | 115 |
Note 2.2F: Resources Received Free of Charge1 | ||
Spectrum licences | 852,853 | - |
Total resources received free of charge | 852,853 | - |
1 The sale of 3.6GHz spectrum access licences is initially recognised as a resource received free of charge, with subsequent treatment as a finance lease under AASB 16 Leases. The funds were received in full on the commencement of the licences in 2019-20. | ||
Accounting Policy Revenue All Administered revenues relate to the ordinary activities performed by the ACMA on behalf of the Australian Government. Contributions from industries in the form of taxes, industry levies and fines are recognised as revenue when the economic activity giving rise to the Australian Government's right to the contribution has taken place and the liability to contribution can be reliably measured. The following is a description of principal activities from which the ACMA generates its Administered revenue:
Revenue from broadcasting licence charges is recognised over time, however all other taxes, fees and fines are recognised as at a point in time. Other revenue from contracts with customers are recognised in accordance with the relevant accounting standard after assessing the characteristics of the contract. Gains At the commencement of a Spectrum Access Charge licence, a resource received free of charge is recognised under AASB 138 Intangible Assets, paragraph Aus24.1. This reflects the fair value of the spectrum to the ACMA where the consideration for the asset is significantly less than fair value. At the commencement of the licence, the ACMA recognises a finance lease under AASB 16 Leases, with derecognition of the related spectrum asset and a receivable raised for the ‘net investment in the lease’. The 3.6Ghz licences that commenced in 2019-20 were paid in full prior to the commencement of the licence, which, as per AASB 16 Leases, results in a nil ‘net investment in the lease’. |
3. Financial Position
This section analyses the ACMA’s assets used to conduct is operations and the operating liabilities incurred as a result. Employee related information is disclosed in the People and Relationships section.
3.1 Financial Assets
Note 3.1A: Cash and Cash Equivalents | 2020 $'000 | 2019 $'000 |
Cash on hand or on deposit | 1,811 | 3,575 |
Cash held for external parties | 70 | 55 |
Total cash and cash equivalents | 1,881 | 3,630 |
Note 3.1B: Trade and Other Receivables | ||
Appropriations receivables | ||
For existing outputs | 34,325 | 22,483 |
Total appropriations receivable | 34,325 | 22,483 |
Other receivables | ||
GST receivable from the Australian Taxation Office | 477 | 708 |
Other | 314 | 716 |
Total other receivables | 791 | 1,424 |
Total trade and other receivables (gross) | 35,116 | 23,907 |
Less impairment loss allowance | 17 | 20 |
Total trade and other receivables (net) | 35,099 | 23,887 |
Accounting Policy
Financial assets
Trade receivables, loans and other receivables that are held for the purpose of collecting the contractual cash flows where the cash flows are solely payments of principal and interest, that are not provided at below-market interest rates, are subsequently measured at amortised cost using the effective interest method adjusted for any loss allowance.
3.2 Non-Financial Assets
Note 3.2A: Reconciliation of the Opening and Closing Balances of Property, Plant and Equipment and Intangibles for 2020
Land | Buildings | Leasehold improvements | Plant and equipment | Computer software internally developed | Computer software purchased | Total | |
$'000 | $'000 | $'000 | $'000 | $'000 | $'000 | $'000 | |
As at 1 July 2019 | |||||||
Gross book value | - | - | - | - | 57,508 | 13,105 | 70,613 |
Fair value | 5,480 | 194 | 15,528 | 10,500 | - | - | 31,702 |
Work in progress (WIP) | - | - | - | 1,607 | 3,020 | - | 4,627 |
Accumulated depreciation and amortisation | - | (34) | (3,419) | (4,127) | (51,266) | (11,193) | (70,039) |
Total as at 1 July 2019 | 5,480 | 160 | 12,109 | 7,980 | 9,262 | 1,912 | 36,903 |
Recognition of right of use asset on initial application of | |||||||
AASB 16 | - | - | 59,600 | - | - | - | 59,600 |
Adjusted total as at 1 July 2019 | 5,480 | 160 | 71,709 | 7,980 | 9,262 | 1,912 | 96,503 |
Additions | |||||||
By purchase | - | - | 518 | 519 | 3,481 | 140 | 4,658 |
Movement in WIP | - | - | (415) | (21) | (1,613) | 171 | (1,878) |
Right-of-use assets | - - - | - | - | - | - | ||
Revaluations and impairments recognised in other | |||||||
comprehensive income | - | - | - | 604 | - | - | 604 |
Revaluations and impairments recognised in other | |||||||
comprehensive income for right-of-use assets | - | - | - | - | - | - | - |
Assets held for sale1 | (4,100) | - | - | - | - | - | (4,100) |
Depreciation and amortisation | - | (16) | (3,411) | (1,769) | (3,137) | (1,056) | (9,389) |
Depreciation on right-of-use assets | - | - | (7,446) | - | - | - | (7,446) |
Reclassification | - | - | 518 | (1,500) | 982 | - | - |
Impairments recognised in net cost of services | - | - | - | (213) | - | - | (213) |
Other movements | - | - | - | - | - | - | - |
Total as at 30 June 2020 | 1,380 | 144 | 61,473 | 5,600 | 8,975 | 1,167 | 78,739 |
Land | Buildings | Leasehold improvements | Plant and equipment | Computer software internally developed | Computer software purchased | Total | |
$'000 | $'000 | $'000 | $'000 | $'000 | $'000 | $'000 | |
Total as at 30 June 2020 represented by: | |||||||
Gross book value | - | - | - | - | 37,800 | 7,103 | 44,903 |
Fair value | 1,380 | 194 | 75,646 | 5,613 | - | - | 82,833 |
Work in progress | - | - | 103 | 86 | 2,389 | 171 | 2,749 |
Accumulated depreciation and amortisation | - | (50) | (14,276) | (99) | (31,214) | (6,107) | (51,746) |
Total as at 30 June 2020 | 1,380 | 144 | 61,473 | 5,600 | 8,975 | 1,167 | 78,739 |
Carrying amount of right-of-use assets | - | - | 52,154 | - | - | - | 52,154 |
1 Land at Capalaba was sold in 2019-20 for $4.100m.
Revaluation of non-financial assets
All revaluations were conducted in accordance with the revaluation policy stated at Note 7.4.
Contractual commitments for the acquisition of property, plant and equipment and intangible assets
The ACMA has no commitments for the acquisition of non-financial assets.
Accounting Policy
Acquisition of Assets
Assets are recorded at cost on acquisition except as stated below. The cost of acquisition includes the fair value of assets transferred in exchange and liabilities undertaken. Financial assets are initially measured at their fair value plus transaction costs where appropriate. Assets acquired at no cost, or for nominal consideration, are initially recognised as assets and income at their fair value at the date of acquisition, unless acquired as a consequence of restructuring of administrative arrangements. In the latter case, assets are initially recognised as contributions by owners at the amounts at which they were recognised in the transferor's accounts immediately prior to the restructuring.
Asset Recognition Threshold
Purchases of property, plant and equipment are recognised initially at cost in the Statement of Financial Position, except for purchases costing less than $5,000, which are expensed in the year of acquisition (other than where they form part of a group of similar items which are significant in total). The asset thresholds have not been changed during the current financial year. The initial cost of an asset includes an estimate of the cost of dismantling and removing the item and restoring the site on which it is located. This is particularly relevant to ‘make good’ provisions in property leases taken up by the ACMA where there exists an obligation to restore the property to its original condition. These costs are included in the value of the ACMA’s leasehold improvements with a corresponding provision for the ‘make good’ recognised.
Asset Class | Threshold |
Buildings | $50,000 |
Leasehold improvements | $10,000 |
Plant and equipment | $5,000 |
Motor vehicles | $10,000 |
Software – purchased | $10,000 |
Software – internally developed | $10,000 |
Leased Right of Use (ROU) Assets
Leased ROU assets are capitalised at the commencement date of the lease and comprise of the initial lease liability amount, initial direct costs incurred when entering into the lease less any lease incentives received. These assets are accounted for by Commonwealth lessees as separate asset classes to corresponding assets owned outright, but included in the same column as where the corresponding underlying assets would be presented if they were owned.
On initial adoption of AASB 16 the ACMA has adjusted the ROU assets at the date of initial application by the amount of any provision for onerous leases recognised immediately before the date of initial application. Following initial application, an impairment review is undertaken for any right of use lease asset that shows indicators of impairment and an impairment loss is recognised against any right of use lease asset that is impaired. Leased ROU assets continue to be measured at cost after initial recognition in Commonwealth agency, GGS and Whole of Government financial statements.
Revaluations
Fair values for each class of asset are determined:
Asset class | Revaluation cycle | Fair Value Measured at |
Land | Tri-annually | Market approach |
Building | Tri-annually | Depreciated replacement cost |
Leasehold improvements | Tri-annually | Depreciated replacement cost |
Plant and equipment | Tri-annually | Market approach |
Motor vehicles | Tri-annually | Market approach |
Following initial recognition at cost, property plant and equipment is carried at fair value (or an amount not materially different from fair value) less subsequent accumulated depreciation and accumulated impairment losses. Valuations are conducted with sufficient frequency to ensure that the carrying amounts of assets do not differ materially from the assets’ fair values as at the reporting date.
Revaluation adjustments are made on a class basis. Any revaluation increment is credited to equity under the heading of asset revaluation reserve, except to the extent that it reverses a previous revaluation decrement of the same asset class that was previously recognised in the surplus/(deficit). Revaluation decrements for a class of assets are recognised directly in the surplus/(deficit) except to the extent that they reverse a previous revaluation increment for that class. Any accumulated depreciation as at the revaluation date is eliminated against the gross carrying amount of the asset and the asset restated to the revalued amount.
Depreciation
Depreciable property, plant and equipment assets are written-off to their estimated residual values over their estimated useful lives to the ACMA using, in all cases, the straight-line method of depreciation. Depreciation rates (useful lives), residual values and methods are reviewed at each reporting date and necessary adjustments are recognised in the current, or current and future reporting periods, as appropriate. Asset under construction are not subject to depreciation.
Asset Class | Useful Life |
Buildings | 5 to 40 years |
Leasehold improvements | Lease term |
Plant and equipment | 3 to 15 years |
The depreciation rates for ROU assets are based on the commencement date to the earlier of the end of the useful life of the ROU asset or the end of the lease term.
Impairment
All assets were assessed for impairment at 30 June 2020. Where indications of impairment exist, the asset’s recoverable amount is estimated and an impairment adjustment made if the asset’s recoverable amount is less than its carrying amount. The recoverable amount of an asset is the higher of its fair value less costs of disposal and its value in use. Value in use is the present value of the future cash flows expected to be derived from the asset. Where the future economic benefit of an asset is not primarily dependent on the asset’s ability to generate future cash flows, and the asset would be replaced if the ACMA were deprived of the asset, its value in use is taken to be its depreciated replacement cost.
Intangibles
The ACMA’s intangibles comprise of internally developed and purchased software for internal use. These assets are carried at cost less accumulated amortisation and accumulated impairment losses. Software is amortised on a straight-line basis over its anticipated useful life. The useful lives of the ACMA’s software are 3 to 10 years and have not changed from the prior year.
Derecognition
An item of property, plant and equipment is derecognised upon disposal or when no further future economic benefits are expected from its use or disposal.
3.3 Payables
Note 3.3A: Suppliers | 2020 $'000 | 2019 $'000 |
Trade creditors and accruals | 2,174 | 2,774 |
Operating lease rentals | - | 2,082 |
Total supplier payables | 2,174 | 4,856 |
The majority of suppliers engaged had 20 day payment terms. | ||
Note 3.3B: Other Payables | ||
Unearned revenue | 1,074 | 634 |
Salaries and wages | 756 | 365 |
Superannuation | 132 | 64 |
Other | 11 | 11 |
Total other payables | 1,973 | 1,074 |
3.4 Leases
Note 3.4A: Leases | 2020 $'000 | 2019 $'000 |
Lease Liabilities | ||
Leasehold improvements | 53,415 | - |
Total leases | 53,415 | - |
1 The ACMA has applied AASB 16 using the modified retrospective approach and therefore the comparative information has not been restated and continues to be reported under AASB 117.
Total cash outflow for leases for the year ended 30 June 2020 was $6.254m.
Accounting Policy
Refer Overview section for accounting policy on leases.
3.5 Other Provisions
Reconciliation of the Other Provisions Account: | Provision for restoration $’000 | Total $’000 |
As at 1 July 2019 | 2,617 | 2,617 |
Amounts reversed | - | - |
Amounts used | - | - |
Other movements | 69 | 69 |
Total as at 30 June 2020 | 2,686 | 2,686 |
The ACMA currently has four major agreements for the leasing of premises which have provisions requiring the ACMA to restore the premises to their original condition at the conclusion of the lease (2019: four).
4. Assets and Liabilities Administered on Behalf of Government
This section analyses assets used to conduct operations and the operating liabilities incurred as a result the ACMA does not control but administers on behalf of the Government. Unless otherwise noted, the accounting policies adopted are consistent with those applied for departmental reporting.
4.1 Administered – Financial Assets
2020 | 2019 | |
$'000 | $'000 | |
Note 4.1A: Cash and Cash Equivalents | ||
Cash in special accounts | 75 | 86 |
Cash on hand or on deposit | 361 | 365 |
Total cash and cash equivalents | 436 | 451 |
Note 4.1B: Taxation Receivables | ||
Other taxes1 | 27,144 | 113,125 |
Total taxation receivables (gross) | 27,144 | 113,125 |
Less: impairment loss allowance | ||
Other taxes | 1,213 | 10,081 |
Total receivables (net) | 25,931 | 103,044 |
Note 4.1C: Trade and Other Receivables | ||
Other receivables | ||
Annual Carrier Licence Charge | 31,064 | 31,184 |
Statutory receivables | 111 | 92 |
Total other receivables | 31,175 | 31,276 |
Total trade and other receivables (gross) | 31,175 | 31,276 |
Less: impairment loss allowance | ||
Other receivables | 38 | 1,077 |
Total trade and other receivables (net) | 31,137 | 30,199 |
Note 4.1D: Other Financial Assets | ||
Prepayments | - | 8 |
Accrued revenue2 | 429,837 | |
Total other financial assets | 429,845 |
1 The reduction from the prior year is mainly attributable to the timing of the payment of Broadcasting Licence Fees and the Annual Numbering Charge.
2 Accrued revenue in 2018-19 represents the remaining instalment relating to the sale of 700MHz spectrum in 2017-18. This instalment was paid in 2019-20.
4.2 Administered – Payables
2020 | 2019 | |
$'000 | $'000 | |
Note 4.2A: Other Payables | ||
Unearned revenue1 | 129,816 | 108,008 |
Other | 1,344 | 896 |
Total other payables | 131,160 | 108,904 |
1 Unearned revenue represents radiocommunication licences paid in advance where the benefit has not yet been realised by the holder.
5. Funding
This section identifies the ACMA’s funding structure.
5.1 Appropriations
Note 5.1A: Departmental annual and unspent appropriations ('Recoverable GST exclusive') | ||
2020 | 2019 | |
$'000 | $'000 | |
Ordinary annual services | ||
Annual Appropriation | ||
Operating | 96,039 | 90,157 |
Capital budget | 7,350 | 6,913 |
Section 74 receipts | 4,434 | 1,535 |
Total available appropriation | 107,823 | 98,605 |
Appropriation applied (current and prior years) | (97,729) | (98,601) |
Variance | 10,094 | 4 |
Opening unspent appropriation balance | 26,112 | 26,392 |
Repeal of Appropriation Act (No. 1) 2015-16 | - | (284) |
Closing unspent appropriation balance | 36,206 | 26,112 |
Balance comprises appropriations as follows1: | ||
Appropriation Act (No. 1) 2017-18 Capital Budget (DCB) | - | 933 |
Appropriation Act (No. 1) 2018-19 Capital Budget (DCB) | 5,116 | 6,813 |
Appropriation Act (No. 1) 2018-19 | - | 13,981 |
Appropriation Act (No. 3) 2018-19 | - | 755 |
Appropriation Act (No. 1) 2018-19 cash held by the department | - | 3,630 |
Supply Act (No. 1) 2019-20 Capital Budget (DCB) | 2,673 | - |
Appropriation Act (No. 1) 2019-20 Capital Budget (DCB) | 4,577 | - |
Appropriation Act (No. 1) 2019-20 | 21,959 | - |
Appropriation Act (No. 1) 2019-20 cash held by the department | 1,881 | - |
Total unspent appropriation - ordinary annual services | 36,206 | 26,112 |
Other services | ||
Annual Appropriation | ||
Equity injections | - | 535 |
Total available appropriation | - | 535 |
Appropriation applied (current and prior years) | - | (535) |
Variance Opening unspent appropriation balance | - - | - - |
Closing unspent appropriation balance | - | - |
Total unspent appropriation | 36,206 | 26,112 |
1 Departmental Capital Budgets are appropriated through Supply and Appropriation Acts (No.1, 3). They form part of ordinary annual services and are not separately identified in the Supply and Appropriation Acts.
Accounting Policy
Revenue from Government - Departmental
Amounts appropriated for departmental appropriations for the year (adjusted for any formal additions and reductions) are recognised as Revenue from Government when the ACMA gains control of the appropriation, except for certain amounts that relate to activities that are reciprocal in nature, in which case revenue is recognised only when it has been earned. Appropriations receivable are recognised at their nominal amounts.
Funding received or receivable from non-corporate Commonwealth entities (appropriated to the non-corporate Commonwealth entity as a corporate Commonwealth entity payment item for payment to this entity) is recognised as Revenue from Government by the non-corporate Commonwealth entity unless the funding is in the nature of an equity injection or a loan.
Note 5.1B: Administered annual and unspent appropriations ('Recoverable GST exclusive') | ||
2020 | 2019 | |
$'000 | $'000 | |
Ordinary annual services | ||
Annual appropriation | ||
Operating | 23,749 | 22,921 |
Total available appropriation | 23,749 | 22,921 |
Appropriation applied (current and prior years) | (10,024) | (8,983) |
Variance | 13,725 | 13,938 |
Opening unspent appropriation balance | 16,338 | 2,400 |
Repeal of Appropriation Act (No. 3) 2016-17 | (1,011) | - |
Closing unspent appropriation balance | 29,052 | 16,338 |
Balance comprises appropriations as follows1: | ||
Appropriation Act (No. 3) 2016-17 | - | 1,011 |
Appropriation Act (No. 3) 2017-18 | 921 | 921 |
Appropriation Act (No. 1) 2018-19 | 13,938 | 14,406 |
Supply Act (No. 1) 2019-20 | 2,009 | - |
Appropriation Act (No. 1) 2019-20 | 12,184 | - |
Total unspent appropriation - ordinary annual services | 29,052 | 16,338 |
Total unspent appropriation | 29,052 | 16,338 |
1 The total unspent appropriation is shown inclusive of Section 51 permanent quarantines against Appropriation Act (No. 3) 2017-18 of $0.921m and Appropriation Act (No. 1) 2018-19 of $0.204m.
Appropriation applied | |||
2020 | 2019 | ||
Authority | Type | $'000 | $'000 |
Public Governance, Performance and Accountability Act 2013 s77 Repayments2 | Refund | 7,623 | 6,977 |
Special Appropriation - Telecommunications Act 1997 - ss136C(4) | 165 | - | |
Total special appropriations applied | 7,788 | 6,977 |
2 Relates to the refund of radiocommunications licences surrendered before the expiration date.
5.2 Special Accounts
Note 5.2A: Special Accounts ('Recoverable GST exclusive')
Note 5.2A: Special Accounts ('Recoverable GST exclusive') | ||||
The Online Safety Special Account1 | Services for Other Entities and Trusts Moneys2 | |||
2020 $'000 | 2019 $'000 | 2020 $'000 | 2019 $'000 | |
Balance brought forward from previous period | 2,126 | 2,009 | 86 | 40 |
Increases | 18,348 | 15,841 | 255 | 77 |
Total increases | 20,474 | 17,850 | 341 | 117 |
Available for payments | 20,474 | 17,850 | 341 | 117 |
Decreases | ||||
Departmental | (18,678) | (15,724) | - | - |
Total Departmental | (18,678) | (15,724) | - | - |
Administered | - | - | (266) | (31) |
Total Administered | - | - | (266) | (31) |
Total decreases | (18,678) | (15,724) | (266) | (31) |
Total balance carried to the next period | 1,796 | 2,126 | 75 | 86 |
Balance represented by: | ||||
Cash held in entity bank accounts | 346 | 51 | - | - |
Cash held in the Official Public Account | 1,450 | 2,075 | 75 | 86 |
Total balance carried to the next period | 1,796 | 2,126 | 75 | 86 |
1 Appropriation: Public Governance, Performance and Accountability Act 2013; section 80. Establishing Instrument: Enhancing Online Safety Act 2015; section 72. Purpose: To enhance online safety for Australians.
2 Appropriation: Financial Management and Accountability Act 1997; section 20. Establishing Instrument: FMA Act (Establishment of SOETM Special Account – ACMA) Determination 2012/03. Purpose: This account was created to disburse amounts held on trust or otherwise for the benefit of a person other than the Commonwealth.
5.3 Regulatory Charging Summary
2020 $'000 | 2019 $'000 | |
Amounts applied Departmental | ||
Annual appropriations | 21,011 | 19,467 |
Own source revenue | 231 | 432 |
Administered | ||
Special appropriations (including special accounts) | 165 | - |
Total amounts applied | 21,407 | 19,899 |
Expenses Departmental | 21,323 | 19,986 |
Administered | - | - |
Total expenses | 21,323 | 19,986 |
External revenue | ||
Departmental | 231 | 432 |
Administered | 38,309 | 38,351 |
Total external revenue | 38,540 | 38,783 |
Cost Recovered Activities:
The Administered revenue includes the Annual Carrier Licence Charge (2020 - $31.064m; 2019 - $31.184m) which is based on the cost of services provided by the ACMA, ACCC and the Department of Infrastructure, Transport, Regional Development and Communications. The ACMA is responsible for invoicing and collecting the charges from the telecommunications carriers on behalf of other participating Government organisations.
The Administered revenue also included the money received on behalf of the Postal Industry Ombudsman (PIO) for investigation of complaints (2020 - $0.083m; 2019 - $1.080m). The ACMA is only responsible for invoicing and collecting the charges on behalf of the PIO.
5.4 Net Cash Appropriation Arrangement
2020 $'000 | 2019 $'000 | |
Total comprehensive income less depreciation/amortisation expenses previously funded through revenue appropriations | 9 | (792) |
Plus: depreciation/amortisation expenses previously funded through revenue appropriation | (9,389) | (11,539) |
Plus: depreciation on right-of-use assets | (7,446) | - |
Less: principal repayments - leased assets | 6,254 | - |
Total comprehensive income - as per the Statement of Comprehensive Income | (10,572) | (12,331) |
From 2010-11, the Government introduced net cash appropriation arrangements where revenue appropriations for depreciation/amortisation expenses ceased. Entities now receive a separate capital budget provided through equity appropriations. Capital budgets are to be appropriated in the period when cash payment for capital expenditure is required.
The inclusion of depreciation/amortisation expenses related to ROU leased assets and the lease liability principle repayment amount reflects the cash impact on implementation of AASB 16 Leases, it does not directly reflect a change in appropriation arrangements.
6. People and Relationships
This section describes a range of employment and post-employment benefits provided to our people and our relationships with other key people.
6.1 Employee Provisions
Note 6.1A: Employee Provisions | 2020 $'000 | 2019 $'000 |
Leave | 21,803 | 20,030 |
Total employee provisions | 21,803 | 20,030 |
Liabilities for ‘short-term employee benefits’ and termination benefits due within twelve months of the end of reporting period are measured at their nominal amounts.
The nominal amount is calculated with regard to the rates expected to be paid on settlement of the liability.
Other long-term employee benefits are measured as the net total of the present value of the defined benefit obligation at the end of the reporting period minus the fair value at the end of the reporting period of plan assets (if any) out of which the obligations are to be settled directly.
Leave
The liability for employee benefits includes a provision for annual leave and long service leave. No provision has been made for sick leave as all sick leave is non-vesting and the average sick leave taken in future years by employees of the ACMA is estimated to be less than the annual entitlement for sick leave.
The leave liabilities are calculated on the basis of employees’ remuneration at the estimated salary rates that will be applied at the time the leave is taken, including the ACMA’s employer superannuation contribution rates to the extent that the leave is likely to be taken during service rather than paid out on termination.
The liability for long service leave has been determined by reference to the short hand method prescribed under section 24 of the Financial Reporting Rule. The estimate of the present value of the liability takes into account attrition rates and pay increases through promotion and inflation.
Separation and Redundancy
Provision is made for separation and redundancy benefit payments. The ACMA recognises a provision for termination when it has developed a detailed formal plan for the terminations and has informed those employees affected that it will carry out the termination.
Superannuation
ACMA staff are members of the Commonwealth Superannuation Scheme (CSS), the Public Sector Superannuation Scheme (PSS) or the PSS accumulation plan (PSSap) or other superannuation funds held outside the Australian Government.
The CSS and PSS are defined benefit schemes for the Australian Government. The PSSap is a defined contribution scheme.
The liability for defined benefits is recognised in the financial statements of the Australian Government and is settled by the Australian Government in due course. This liability is reported in the Department of Finance’s Administered schedules and notes.
The ACMA makes employer contributions to the employees' superannuation scheme at rates determined by an actuary to be sufficient to meet the current cost to the Australian Government. The ACMA accounts for the contributions as if they were contributions to defined contribution plans. The liability for superannuation recognised as at 30 June represents outstanding contributions.
6.2 Key Management Personnel Remuneration
Key Management Personnel are those persons having authority and responsibility for planning, directing and controlling the activities of the entity, directly or indirectly. The ACMA has determined the Key Management Personnel to be the Chair, Deputy Chair, General Managers and the eSafety Commissioner.
Key Management Personnel remuneration is reported in the table below:
2020 $ | 2019 $ | |
Short-term employee benefits | 2,470,486 | 2,360,890 |
Post-employment benefits | 340,202 | 331,312 |
Other long-term employee benefits | 58,898 | 63,566 |
Termination benefits | - | - |
Total key management personnel remuneration expenses1 | 2,869,586 | 2,755,768 |
The total number of Key Management Personnel that are included in the above table is 9 (2019: 10).
Other than annual leave accrued and long-service leave, all expenses reflect cash payments made during the year.
1 The above Key Management Personnel remuneration excludes the remuneration and other benefits of the Portfolio Minister. The Portfolio Minister's remuneration and other benefits are set by the Remuneration Tribunal and are not paid by the ACMA.
6.3 Related Party Disclosures
Related party relationships:
The ACMA is an Australian Government controlled entity. Related parties to the ACMA are Key Management Personnel including the Portfolio Minister, the Chair, the Deputy Chair, General Managers, the eSafety Commissioner and other Australian Government entities.
Transactions with related parties:
Given the breadth of Australian Government activities, related parties may transact with the Government sector in the same capacity as ordinary citizens. Such transactions include the payment or refund of taxes, receipt of a Medicare rebate or higher education loans. These transactions have not been separately disclosed in this note.
Significant transactions with related parties can include:
- the payments of grants or loans;
- purchases of goods and services;
- asset purchases, sales transfers or leases;
- debts forgiven; and
- guarantees.
Giving consideration to relationships with related entities, and transactions entered into during the reporting period by the ACMA, it has been determined that there are no related party transactions to be separately disclosed (2018: nil).
7. Managing Uncertainties
This section analyses how the ACMA manages financial risks within its operating environment.
7.1 Contingent Assets and Liabilities
Departmental
The ACMA is not aware of any material Departmental quantifiable, unquantifiable or significant remote contingent assets or liabilities (2019: nil).
Administered
The ACMA is not aware of any material Administered quantifiable, unquantifiable or significant remote contingent assets or liabilities (2019: nil).
Accounting Policy
Contingent Liabilities and Contingent Assets
Contingent liabilities and contingent assets are not recognised in the Statement of Financial Position but are reported in the relevant notes. They may arise from uncertainty as to the existence of a liability or asset or represent an asset or liability in respect of which the amount cannot be reliably measured. Contingent assets are disclosed when settlement is probable but not virtually certain and contingent liabilities are disclosed when settlement is greater than remote.
7.2 Financial Instruments
Note 7.2A: Categories of Financial Instruments | 2020 $'000 | 2019 $'000 |
Financial assets at amortised cost | ||
Cash and cash equivalents | 1,881 | 3,630 |
Trade and other receivables | 314 | 716 |
Total financial assets at amortised cost | 2,195 | 4,346 |
Total financial assets | 2,195 | 4,346 |
Financial liabilities at amortised cost | ||
Trade creditors and accruals | 2,174 | 2,774 |
Total financial liabilities at amortised cost | 2,174 | 2,774 |
Carrying amount of financial liabilities | 2,174 | 2,774 |
The carrying value of financial assets and liabilities is a reasonable approximation of fair value.
7.3 Administered Financial Instruments
2020 | 2019 | |
$'000 | $'000 | |
Note 7.3A: Categories of Financial Instruments | ||
Financial assets at amortised cost | ||
Cash and cash equivalents | 436 | 451 |
Fees, charges and other revenue receivables | 31,026 | 30,107 |
Accrued revenue | - | 429,845 |
Total financial assets at amortised cost | 31,462 | 460,403 |
Carrying amount of financial assets | 31,462 | 460,403 |
Accounting Policy
Financial Assets
With the implementation of AASB 9 Financial Instruments for the first time in 2019, the ACMA classifies its financial assets in the following categories:
- financial assets at fair value through profit or loss;
- financial assets at fair value through other comprehensive income; and
- financial assets measured at amortised cost.
The classification depends on both the ACMA's business model for managing the financial assets and contractual cash flow characteristics at the time of initial recognition. Financial assets are recognised when the ACMA becomes a party to the contract and, as a consequence, has a legal right to receive or a legal obligation to pay cash and derecognised when the contractual rights to the cash flows from the financial asset expire or are transferred upon trade date. Comparatives have not been restated on initial application.
Financial Assets at Amortised Cost
Financial assets included in this category need to meet two criteria:
- the financial asset is held in order to collect the contractual cash flows; and
- the cash flows are solely payments of principal and interest (SPPI) on the principal outstanding amount.
Amortised cost is determined using the effective interest method.
Effective Interest Method
Income is recognised on an effective interest rate basis for Financial Assets that are recognised at amortised cost.
Impairment of Financial Assets
Financial Assets are assessed for impairment at the end of each reporting period based on Expected Credit Losses, using the general approach which measures the loss allowance based on an amount equal to lifetime expected credit losses where risk has significantly increased, or an amount equal to 12‐month expected credit losses if risk has not increased.
The simplified approach for trade, contract and lease receivables is used. This approach always measures the loss allowance as the amount equal to the lifetime expected credit losses.
A write-off constitutes a derecognition event where the write-off directly reduces the gross carrying amount of the financial asset.
Financial Liabilities
Financial liabilities are classified as either financial liabilities ‘at fair value through profit or loss’ or other financial liabilities. Financial liabilities are recognised and derecognised upon ‘trade date’.
Financial Liabilities at Fair Value Through Profit or Loss
Financial liabilities at fair value through profit or loss are initially measured at fair value. Subsequent fair value adjustments are recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any interest paid on the financial liability.
Financial Liabilities at Amortised Cost
Financial liabilities, including borrowings, are initially measured at fair value, net of transaction costs. These liabilities are subsequently measured at amortised cost using the Effective Interest Method, with interest expense recognised on an effective interest basis.
Supplier and Other Payables are recognised at amortised cost. Liabilities are recognised to the extent that the goods or services have been received (and irrespective of having been invoiced).
7.4 Fair Value Measurement
All Non-Financial Assets with the exception of Intangibles are measured at fair value. Other than Assets Held for Sale, these are all recurring fair value measurements.
Key judgements and estimates
Valuation of Land and Buildings
Independent valuations are obtained tri-annually as at 30 June for Land and Buildings. These valuations include calculations of estimated market cash flows which are adjusted to take into account physical, economic and external factors relevant to the asset under consideration. All valuations conducted are in compliance with AASB 13.
Valuation of Leasehold Improvements, Plant and Equipment
The estimated cost to replace the asset has been calculated and then adjusted to take into account obsolescence and physical deterioration (accumulated depreciation). The obsolescence has been determined based on professional judgement regarding physical, economic and external factors relevant to the asset under consideration.
8. Other Items
8.1 Aggregate Assets and Liabilities
8. Other Items | ||
Note 8.1A: Aggregate Assets and Liabilities | 2020 $'000 | 2019 $'000 |
Assets expected to be recovered in: | ||
No more than 12 months | 39,534 | 33,484 |
More than 12 months | 348 | - |
Total assets | 39,882 | 33,484 |
Liabilities expected to be settled in: | ||
No more than 12 months | 13,731 | 9,595 |
More than 12 months | 68,320 | 18,982 |
Total liabilities | 82,051 | 28,577 |
Note 8.1B: Administered - Aggregate Assets and Liabilities | ||
Assets expected to be recovered in: | ||
No more than 12 months | 57,504 | 563,539 |
More than 12 months | - | - |
Total assets | 57,504 | 563,539 |
Liabilities expected to be settled in: | ||
No more than 12 months | 124,006 | 100,381 |
More than 12 months | 7,154 | 8,523 |
Total liabilities | 131,160 | 108,904 |
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