SCOPE OF CHAPTER 3
TELSTRA AND ITS MANAGEMENT
Terms of Reference
Clauses (f) and (g) of the Committee's terms of reference relate to public
sector savings and accountability. The details of these references as
set out below, are:
(f) whether the proposed accountability regime in the Telstra (Dilution
of Public Ownership) Bill 1996 is adequate to protect the public interest.
(g) whether joint ventures by Telstra are "de facto" privatisation
and whether they confer unfair competitive advantages on Telstra's partners.
The Bill
The Bill proposes to amend the Telstra Corporation Act 1991 to:
- require Telstra to keep the Minister and the Minister for Finance
informed of its operations, to notify the Minister of significant proposals
and to provide to the Minister a Corporate Plan;
- ensure Telstra's head office, base of operations and incorporation
remain in Australia and that its chairperson and majority of directors
are Australian citizens.