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Membership of the Legislation Committee

Report to the Senate

Introduction
Annual reporting requirements
Apparently satisfactory
Purpose of annual reports
Reports referred to the Committee
Departments and executive and prescribed agencies
Statutory authorities
Non-statutory body
Government business enterprises
Commonwealth companies
Reports on the operation of Acts
Timeliness
Remarks made in the Senate
Comments on certain annual reports
General comments
Summary

Appendix 1 – Annual reports referred to the Committee

Membership of the Legislation Committee

Members

• Senator Alan Eggleston, Chair (LP, WA)
• Senator Kate Lundy, Deputy Chair (ALP, TAS)
• Senator the Hon Kay Patterson (LP, VIC)
• Senator the Hon Michael Ronaldson (LP, VIC)
• Senate Rachel Siewert(AG, WA)
• Senator Dana Wortley (ALP, SA

Participating Members

• Senator the Hon Eric Abetz (LP, TAS)
• Senator Judith Adams (LP, WA)
• Senator Lyn Allison (AD, VIC)
• Senator Andrew Bartlett (AD, QLD)
• Senator the Hon Ron Boswell (NATS, QLD)
• Senator George Brandis (LP, QLD)
• Senator Bob Brown (AG, TAS)
• Senator George Campbell (ALP, NSW)
• Senator Kim Carr (ALP, VIC)
• Senator Grant Chapman (LP, SA)
• Senator the Hon Richard Colbeck (LP, TAS)
• Senator Stephen Conroy (ALP, VIC)
• Senator the Hon Helen Coonan (LP, NSW)
• Senator Trish Crossin (ALP, NT)
• Senator Christopher Evans (ALP, WA)
• Senator the Hon John Faulkner (ALP, NSW)
• Senator Alan Ferguson (LP, SA)
• Senator Jeannie Ferris (LP, SA)
• Senator Steve Fielding (FFP, VIC)
• Senator Michael Forshaw (ALP, NSW)
• Senator the Hon Bill Heffernan (LP, NSW)
• Senator John Hogg (ALP, QLD)
• Senator Gary Humphries (LP, ACT)
• Senator Barnaby Joyce (NATS, QLD)
• Senator Ross Lightfoot (LP, WA)
• Senator Joseph Ludwig (ALP, QLD)
• Senator the Hon Ian Macdonald (LP, QLD)
• Senator Gavin Marshall (ALP, VIC)
• Senator Brett Mason (LP, QLD)
• Senator Julian McGauran (NATS, VIC)
• Senator Jan McLucas (ALP, QLD)
• Senator Christine Milne (AG, QLD)
• Senator Claire Moore (ALP, QLD)
• Senator Kerry Nettle (AG, NSW)
• Senator Kerry O'Brien (ALP, TAS)
• Senator Robert Ray (ALP, VIC)
• Senator Rachel Siewert (AG, WA)
• Senator John Watson (LP, TAS)
• Senator Ruth Webber (ALP, WA)
• Senator Penny Wong (ALP, SA)

Committee Secretariat

• Dr Ian Holland, Secretary
• Ms Jacquie Hawkins, Research Officer

Committee Address

Environment, Communications, Information Technology and the Arts Legislation Committee
S1.57, Parliament House
Canberra ACT 2600

Tel: 02 6277 3526
Fax: 02 6277 5818
Email: ecita.sen@aph.gov.au
Internet: http://www.aph.gov.au/senate/committee/ecita_ctte/index.htm

Introduction

1.1       By virtue of the operations of standing order 25(21) and a Senate order of 17 November 2004, the Senate refers to this Committee for examination and report the annual reports of departments and agencies of the following two portfolios:

• Communications, Information Technology and the Arts; and

• Environment and Heritage.

1.2       Standing order 25(21) requires that the Committee shall:

1. examine each annual report referred to it and report to the Senate whether the report is apparently satisfactory;
2. consider in more detail, and report to the Senate on, each annual report which is not apparently satisfactory, and on the other annual reports which it selects for more detailed consideration;
3. investigate and report to the Senate on any lateness in the presentation of annual reports;
4. in considering an annual report, take into account any relevant remarks about the report made in debate in the Senate;
5. if the committee so determines, consider annual reports of departments and budget-related agencies in conjunction with examination of estimates;
6. report on annual reports tabled by 31 October each year by the tenth sitting day of the following year, and on annual reports tabled by 30 April each year by the tenth sitting day after 30 June of that year;
7. draw to the attention of the Senate any significant matters relating to the operations and performance of the bodies furnishing the annual reports;
8. report to the Senate each year whether there are any bodies which do not present annual reports to the Senate and which should present such reports.

1.3       This report deals with annual reports tabled in the Senate during the period 1 May to 31 October 2005 as required by standing order 25(21)(f).

Annual reporting requirements

1.4       On 29 June 2005 the Joint Committee of Public Accounts and Audit (JCPAA) agreed to revised Requirements for Departmental Annual Reports put forward by the Department of Prime Minister and Cabinet. The Requirements are prepared pursuant to subsections 63(2) and 70(2) of the Public Service Act 1999.

1.5       Under the Requirements, annual reports of departments and executive and prescribed agencies must be tabled by 31 October. If a department is unable to meet this deadline, an extension of time to report can be sought under the provisions of subsections 34C (4)-(7) of the Acts Interpretation Act 1901.[1] These provisions provide for the secretary to advise the responsible minister of the reasons for the slippage. The responsible minister is to table this explanation in the Parliament on the next available sitting day.

1.6       Under section 48 of the Commonwealth Authorities and Companies Act 1997 (CAC Act), the Minister for Finance outlines the annual reporting requirements for Commonwealth authorities and companies in the Commonwealth Authorities and Companies (Report of Operations) Orders 2002. Section 9 of the CAC Act applies to Commonwealth authorities and specifies the deadline for the presentation of an annual report to the responsible Minister. Section 36 of the CAC Act outlines the reporting obligations of Commonwealth companies.

1.7       Some statutory authorities are required to follow the departmental guidelines if their head has the powers of a secretary as defined under the Public Service Act 1999.

1.8       Requirements for the annual reports of non-statutory bodies are set out in the Government Response to recommendations of the then Senate Standing Committee on Finance and Government Operations in its report entitled, Reporting Requirements for the Annual Reports of Non-Statutory Bodies. The response was incorporated into the Senate Hansard of 8 December 1987.[2]

Apparently satisfactory

1.9       The terms of standing order 25(21)(a) require the Committee to report to the Senate on whether annual reports are apparently satisfactory. In making this assessment, the Committee considers such aspects as timeliness of presentation and compliance with relevant reporting requirements.

Purpose of annual reports

1.10      As stated in the Requirements[3], the primary purpose of annual reports of departments, and of agencies, is accountability, in particular to the Parliament. They inform the Parliament, other stakeholders, education and research institutions, the media and the general public about departments' performance in providing services. They are a key reference as well as an internal management document and form part of the historical record.

Reports referred to the Committee

1.11      This report reviews thirty annual reports of agencies within the Communications, Information Technology and the Arts portfolio, and seven annual reports of agencies within the Environment and Heritage portfolio, which were tabled in the Senate or presented to the President between 1 May and 31 October 2005.

1.12      The following reports have been referred to the Committee:

Departments and executive and prescribed agencies

Department of Communications, Information Technology and the Arts – Annual Report 2004-05

Department of the Environment and Heritage – Annual Report 2004-05 and Legislation Annual Reports 2004-05 including reports on the operation of:

• the Environment Protection and Biodiversity Conservation Act 1999;
• the Fuel Quality Standards Act 2000;
• the Hazardous Waste (Regulation of Exports and Imports) Act 1989;
• the Ozone Protection and Synthetic Greenhouse Gas Management Act 1989;
• the Product Stewardship (Oil) Act 2000;
• the Protection of Moveable Cultural Heritage Act 1986; and
• the Water Efficiency Labelling and Standards Act 2005.
• National Archives of Australia and National Archives of Australia Advisory Council – Annual Report 2004-05
• Office of the Renewable Energy Regulator –Annual Report 2004

Statutory authorities

• Australia Council – Annual Report 2004-05
• Australian Broadcasting Authority – Annual Report 2004-05
• Australian Broadcasting Corporation – Annual Report 2004-05
• Australian Communications Authority – Annual Report 2004-05
• Australian Film Commission – Annual Report 2004-05
• Australian Film Television and Radio School – Annual Report 2004-05
• Australian National Maritime Museum – Annual Report 2004-05
• Australian Sports Drug Agency – Annual Report 2004-05
• Director of National Parks – Annual Report 2004-05
• Great Barrier Reef Marine Park Authority – Annual Report 2004-05
• National Gallery of Australia – Annual Report 2004-05
• National Library of Australia – Annual Report 2004-05
• National Museum of Australia – Annual Report 2004-05
• Special Broadcasting Service– Annual Report 2004-05

Non-statutory body

• Public Lending Right Committee – Annual Report 2004-05

Government business enterprises

• Australia Postal Corporation (Australia Post) – Annual Report 2004-05
• Australia Postal Corporation (Australia Post) – Equal Employment Opportunity Report 2004-05
• Australian Postal Corporation (Australia Post) – Statement of corporate intent 2005-06 to 2007-08
• Telstra Corporation – Annual Report 2005

Commonwealth companies

• Bundanon Trust – Annual Report 2004-05
• Film Australia – Annual Report 2004-05
• Film Finance Corporation Australia – Annual Report 2004-05
• NetAlert – Annual Report 2004-05

Reports on the operation of Acts

• ACCC Telecommunications reports 2003-04
• Telstra’s compliance with the price control arrangements
• Telecommunications competitive safeguards for 2003-04;
  Changes in the prices paid for telecommunications services in Australia 1997-98 to 2003-04
• Competition in the corporate customer segment of the telecommunications industry: January 2004-December 2004
• Australian Greenhouse Office
• Energy use in the Australian Government's operations – Report for 2003-04
• Department of Communications, Information Technology and the Arts
• Report on the Online Content Co-Regulatory Scheme –
• Reporting period 10: July to December 2004
  Reporting period 11: January to June 2004
• Operation of the Prohibition on Interactive Gambling Advertisements
  Reporting periods: January-December 2003, January-December 2004
• Supervising Scientist – Annual Report 2004-05

1.13      Appendix 1 provides an alphabetical record, by portfolio, of:

• the basis under which the organisation operates, eg department or statutory authority;

• dates indicating the progressive stages in presentation of the annual reports, where available; and

• the date each report was tabled in, or deemed to be presented to, the Senate.

1.14      The Committee notes that it formerly examined the annual reports of the Australian Greenhouse Office and the National Oceans Office. In October 2004, these organisations were subsumed into the Department of the Environment and Heritage. Accordingly, matters relating to these two agencies will be reported on in the department's Annual Report.

Timeliness

1.15      All 2004-05 annual reports examined in this report were timely in their presentation to the Parliament.

1.16      Four reports covering earlier reporting periods were tabled in the reporting cycle period:

• ACCC telecommunications reports 2002-03:
  Report 1. Telecommunications competitive safeguards;
  Report 2. Changes in the prices paid for telecommunications services in Australia;
  Report 3. Telstra’s compliance with the price control arrangements
  (tabled 22 June 2005)

• Department of Communications, Information Technology and the Arts-
  Report on the Online Content Co-Regulatory Scheme –
  Reporting period 5: January to June 2002
  Reporting period 6: July to December 2002
  Reporting period 7: January to June 2003
  (tabled 15 June 2005)[4]

• Natural Heritage Trust – Report for 2003-2004
  (tabled 15 June 2005)
  Errata to Report for 2003-2004
  (tabled 10 August 2005)

• Office of the Renewable Energy Regulator – Annual Report 2004
  (tabled 10 August 2005)

1.17      In his letter of transmittal to the Minister forwarding the ACCC telecommunications reports, the Chairman noted that:

These reports have been provided to you later than anticipated due to a delay in the finalisation of the report into Telstra's compliance with the price control arrangements. This was due to delays in obtaining all the necessary information from Telstra. In order to ensure that future telecommunications reports are provided as soon as practicable, the Commission intends to provide you with the report on Telstra's compliance with the price control arrangements separately as of new year if the processes around this report cannot be streamlined. The Commission is currently working with Telstra to improve these processes.[5]

1.18      In relation to the annual report of the Office of the Renewable Energy Regulator (ORER), the Committee notes that it reports on the working of the Act on a calendar year basis under section 105 of the Renewable Energy (Electricity) Act 2000.

Remarks made in the Senate

1.19      Under the terms of Senate standing order 25(21)(d), the Committee notes that several senators made comment in the Senate on annual reports as set out below:

• Senator Andrew Bartlett commented on the annual reports of the Natural Heritage Trust[6] and the National Oceans Office;[7]
• Senator Crossin commented on the annual report of the Director of National Parks for 2004-05;[8] and
• Senator Lundy commented upon the annual reports of Net Alert Limited and the Australian Broadcasting Authority.[9]

Comment on certain annual reports

1.20      The Committee makes comment on the annual reports of the two portfolio departments referred to it for examination.

Department of Communications, Information Technology and the Arts (DCITA)

1.21      The annual report notes that the department has been involved both nationally and internationally in developing policies and strategies across all areas of its responsibility, covering matters such as:

• security, broadband development, compliance and enforcement, and electronic authentication;
• measures to enhance the innovation infrastructure that supports the development of information and communications technology capabilities;
• developing methods to address the problem of unsolicited electronic messaging, spam, at an international level which will complement current domestic enforcement spam legislation;
• the global fight against doping in sport, including a key role in developing the UNESCO International Convention Against Doping in Sport and in the development and monitoring of international anti-doping standards.[10]

1.22      The report states that 'perhaps the most challenging initiative' for the department has been the integration of programs of the former Aboriginal and Torres Strait Islander Services agency into the department. The department has assumed specific responsibility for a range of Indigenous programs in the areas of broadcasting, sport and recreation, arts and culture, and Indigenous languages. A revised regional network structure providing a regional presence should facilitate the delivery of programs and services to communities across the country.

1.23      The department reports that

Officers from across the Department, including regional network staff, are working with the Office of Indigenous Policy Coordination and other Commonwealth, state and territory agencies on the development of community, regional and state agreements with a view to increasing the effectiveness of the delivery of services to Indigenous communities around Australia.[11]

1.24      The arts area has continued to work with other agencies and with state and territory governments and the report notes it role in the redevelopment of the Collections Australia Network, an online resource providing a gateway to over 1500 museums, galleries, archives and libraries throughout the country. While the sports area has coordinated Commonwealth Government support for the Commonwealth Games in Melbourne.

1.25      The report foreshadows that these programs will continue, noting in particular the department's role in implementing changes to the telecommunications regime associated with the sale of Telstra. It also foreshadows the finalisation of an external review of the department's Client Service Charter.[12]

1.26      The Committee notes that the annual reports of the Australian Broadcasting Authority and the Australian Communications Authority are the final reports of these two bodies which have been amalgamated to form the Australian Communications and Media Authority.

Department of the Environment and Heritage

1.27      A range of programs enables the department to undertake activities such as the management of major river basins and natural resources, and oversee a wide range of environmental issues, including ozone depletion, wildlife protection and marine planning. New programs have been established under the Climate Change Strategy to address climate change and to reduce Australia's greenhouse gas emissions. However, as the report points out, these activities:

...typically make only incremental improvements to the overall condition of the environment in an given year...It will take many years of sustained effort over the entire catchment-to-sea continuum before the department can report major environmental outcomes from these activities.[13]

1.28      The report advises that the department is preparing its latest State of the Environment report which is due to be released in 2006. A five yearly report, it assesses the Australian environment under eight themes—atmosphere, coasts and oceans, inland waters, biodiversity, human settlements, natural and cultural heritage, land and the Australian Antarctic Territory.[14]

1.29      The department is also responsible for identifying, protecting and conserving natural and cultural heritage, including Indigenous and historic heritage. The annual report notes that this year the Royal Exhibition Building and Carlton Gardens in Victoria have been inscribed on the World Heritage List, the first time Australian built heritage has been listed as world heritage. These two sites have also been included on the National Heritage List which now contains 11 listed national heritage places, while there are 337 listed Commonwealth heritage places on the Commonwealth Heritage List at the end of the reporting period.[15]

1.30      The report acknowledges the contribution of the department and portfolio agencies to Australia's response to the Boxing Day tsunami, with the Great Barrier Reef Marine Park Authority providing assistance in assessing the impacts on coral reefs and the Bureau of Meteorology helping to establish an early warning system for future tsunamis in the Indian Ocean.

1.31      The Committee notes this is the first year that the department has reported on the two former agencies—the Australian Greenhouse Office and the National oceans Office—which were merged with the Department in October 2004.

General comments

1.32      The Auditor-General has not qualified any of the financial statements contained in the annual reports under review.

1.33      The Committee does note the tabling and publication of three reports of the Australian National Audit Office which examined particular aspects of reporting requirements for Government departments and agencies. [16]

1.34      The Committee again commends those agencies that have continued to include both a general index and a compliance index in their annual reports this year, although the inclusion of a compliance index is no longer a requirement. It considers the inclusion of a compliance index to be a useful tool for accountability purposes.

Summary

1.35      The Committee finds that the annual reports referred to it have provided an appropriately comprehensive description of the activities of the reporting bodies and were of a commendably high standard of presentation. They generally met the requirements of the various guidelines that apply to them and were timely in their presentation to the Parliament, except where noted.

1.36      Accordingly, the Committee is pleased to report its finding that the annual reports referred to it for examination and tabled in the period under examination were apparently satisfactory.

Senator Alan Eggleston
Chairman

APPENDIX 1

Annual reports referred to the Environment, Communications, Information Technology and the Arts Legislation Committee
between 1 May 2005 and 31 October 2005

Communications, Information Technology and the Arts portfolio

For further information, contact:

Committee Secretary
Senate Standing Committee on Environment, Communications and the Arts
PO Box 6100
Parliament House
Canberra ACT 2600
Australia

Phone:	+61 2 6277 3526
Fax:	+61 2 6277 5818
Email:	ecita.sen@aph.gov.au

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