Chapter 2

Portfolio-specific issues

2.1
This chapter provides an overview of some of the matters raised during the committee’s hearings on the budget estimates 2020-21. The discussion follows the outcome and agency structure.

Agriculture, Water and the Environment portfolio

2.2
The committee conducted its examination of the environmental outcomes and agencies of the Agriculture, Water and the Environment portfolio over two hearings: 19 and 20 October 2020.

Department of Agriculture, Water and the Environment

2.3
The committee commenced its examination of the Agriculture, Water and the Environment portfolio on 19 October 2020 with general questions of the Department of Agriculture, Water and the Environment (DAWE). In his opening statement, the Secretary, Mr Andrew Metcalfe, outlined the department’s role in responding to the challenges presented by the COVID-19 pandemic in Australia:
As the pandemic has impacted our lives and our work, my department has continued to deliver essential services to the communities that we serve and to our environment… We see our jobs in the department as critical to helping others keep or get back their own jobs and businesses… Our staff are making an important contribution to Australia's economic recovery from COVID-19 through their work on major project amendments under the EPBC Act.1
2.4
The following matters were discussed throughout general questions:
DAWE’s media monitoring services expenditure and processes for publishing ministers’ media releases and transcripts (pp. 6–8, 25–27);
Breakdown of the $1.8 billion funding allocation over four years announced in the 2020-21 Budget for the environment (pp. 8–10);
Plans for the allocation of $36.6 million to maintain the timeliness of environmental assessments and assist the department to meet the statutory time frame’s set for decision-making under the Environmental Protection and Biodiversity Conservation Act (EPBC Act) (pp. 10, 14, 34–35);
The allocation of $149.6 million over the period 2020-22 in the July Economic and Fiscal Update for the recovery of species and landscapes (pp. 10 –12, 16–18);
Breakdown of the allocation of the initial $50 million for bushfire recovery (p. 10);
Staffing numbers across the department (pp. 12–14); and
Australian National Audit Office Performance Audit: Referrals, Assessments and Approvals of Controlled Actions under the Environment Protection and Biodiversity Conservation Act 1999 (ANAO report) (pp. 14–16).
2.5
The committee examined DAWE and the Threatened Species Scientific Committee (TSSC) together at a spillover hearing held on 11 November 2020.
2.6
Emeritus Professor Helene Marsh, Chair of the TSSC, provided a brief opening statement and spoke to the TSSC’s focus on the aftermath of the bushfires:
The priority area of work for the TSSC at present is, understandably, the response to the 2019-20 bushfires. I say 'understandably' because many species and ecological communities which were not considered threatened prior to the fires now urgently require statutory protection, and many listed threatened species and ecological communities need reassessment because their conservation status has deteriorated. The exact numbers are a work in progress as more information becomes available. The work is ongoing and will dominate the work of the committee for several years.2
2.7
The committee discussed the following matters:
Role of the TSSC in relation to the development of recovery plans and alternative tools for recovery of threatened species (p. 3);
The TSSC’s understanding of the state of the koala population and the biggest threats to the koala: habitat loss, degradation and fragmentation
(pp. 3–4);
Australian Academy of Science’s briefing paper titled Environment reform must include a 'Biodiversity, BOM' (p. 5);
Adequacy of data, resources and monitoring arrangements in relation to threatened species (pp. 5–6);
DAWE’s funding and monitoring of recovery plans (pp. 6–7);
Outstanding recovery plans (p. 7);
Minister’s decision to approve the expansion of the Brandy Hill rock quarry in Central NSW and understanding of the impact on koalas (pp. 7–9);
Status of the NSW South Coast Manyana housing development project application (pp. 9–10); and
The 70 priority species and status of recovery plans (pp. 10–11).

Outcome 1: Conserve, protect and sustainably manage Australia’s biodiversity, ecosystems, environment and heritage through research, information management, supporting natural resource management, establishing and managing Commonwealth protected areas, and reducing and regulating the use of pollutants and hazardous substances, and coordination of climate change adaptation strategy and climate change science activities

2.8
In relation to Program 1.1: Sustainable management of natural resources and the environment (funding), the committee discussed matters including:
Threatened species and the management of feral animals on Kangaroo Island (pp. 65–67);
Funding for threatened species recovery plans (pp. 67–68);
Number and status of overdue recovery plans (pp. 68–69);
Status and funding of the new 10-year Threatened Species Strategy (p. 69);
Release date and detail of the final report on the outcomes of the five–year Threatened Species Strategy (p. 69–71);
The department’s response to the recommendations in the ANAO report relating to the management of threatened species (pp. 71–72);
Status and protection of the koala and timing of the implementation of a recovery plan (pp. 74–75);
Status of the recovery plan for the Leadbeater's possum (pp. 75–76);
Assessment of the impact of the bushfires on World Heritage listed areas such as the Blue Mountains and their protection and value (pp. 77–81);
Allocation and expenditure of funding for bushfire wildlife recovery programs (pp. 77–79);
The impact of COVID-19 on bushfire recovery efforts concerning wildlife (pp. 79–80);
Breakdown and expenditure of the $444 million grant for the Great Barrier Reef Foundation funding (pp. 81–83); and
Details of the Reef 2050 Plan (pp. 85–89).
2.9
In relation to Program 1.2: Environmental information and research, the committee discussed climate change performance metrics in the new corporate plan (pp. 116–117) and progress on addressing coastal erosion (pp. 117–118).
2.10
In relation to Program 1.4: Conservation of Australia’s heritage and environment (regulation), the following matters were discussed:
The department’s communications regarding Rio Tinto’s activities at Juukan Gorge (pp. 33–34; 108–111);
Progress on national engagement processes for modernising the protection of Indigenous cultural heritage (pp. 111–112);
Progress on the 2015 decision to review the effectiveness of the Aboriginal and Torres Strait Islander Heritage Protection Act (p. 112);
Processes around how the Aboriginal and Torres Strait Islander Heritage Protection Act works (pp. 113–114);
Processes and progress in relation to protection of Djab Wurrung
800-year-old birthing trees in western Victoria (pp. 114–115);
Assessment protocols in relation to regional forest agreements
(pp. 115–116); and
Regional forest agreements and major event reviews following the summer bushfires (p. 116).
2.11
In relation to Program 1.5: Environmental regulation, the following matters were discussed by the committee:
Additional funding and staffing to improve the department’s capacity to deliver environmental assessments within statutory time frames (pp. 19–20);
The department’s expenditure on advertising and market research
(pp. 20–21);
Processes around the drafting of the Environment Protection and Biodiversity Conservation Amendment (Streamlining Environmental Approvals) Bill 2020 (pp. 21–25, 30–32);
Professor Samuel’s independent review of the EPBC Act and interactions with the department (pp. 22–25, 27–29, 40–41);
Arrangements between state governments and the federal government around environmental approvals processes (pp. 35–40);
Status of the EPBC assessment of the Lake Malbena application (p. 42);
Processes for assessing the impacts on Tasmanian wedge-tail eagles relating to wind farm projects (pp. 42–43);
The investigation of New Acland Coal’s mining of West Pit (pp. 44–45, 51);
The environmental approvals division’s conflict of interest declaration policy (pp. 47–49);
Discussions around potential legislation in relation to a set of national environmental standards (pp. 53–54);
Funding in the Budget to “expedite the approval of 15 major infrastructure projects”3 and the environmental approval division’s assessment processes (pp. 54–56);
Implications of the EPBC Act changes on the Murray-Darling Basin and the Great Artesian Basin (pp. 59–61); and
Perth Airport EPBC assessment status (pp. 63–64).
2.12
In relation to Program 1.6: Management of hazardous wastes, substances and pollutants, the following matters were covered by the committee:
The breakdown of the allocation of $35 million for the National Waste Policy Action Plan (pp. 99–100);
Status of the $100 million Australian Recycling Investment Fund and the $20 million National Product Stewardship Investment Fund (p. 100–101);
Funding in relation to the waste export ban (pp. 101–102);
Job creation and the amount of waste diverted from landfill under the $190 million Recycling Modernisation Fund (pp. 102–103, 105); and
Plans and progress on product stewardship (pp. 103–105).

Outcome 2: Advance Australia’s strategic, scientific, environmental and economic interests in the Antarctic region by protecting, administering and researching the region

2.13
In relation to Program 2.1: Antarctica: Science, policy and presence, matters discussed by the committee included:
The status of the milestone schedule, delivery and operational commencement of the RSV Nuyina (pp. 21; 27–28);
Numbers of Australian expeditioners in the Antarctic and the impact of COVID-19 (pp. 21–22);
Overview of operational funding and staffing numbers for the Antarctic program over the last decade (p. 23);
Australia’s territorial claims under the Antarctic Treaty System and countries with stations in the claimed territory (pp. 23–25); and
The status of the EPBC assessment of the proposed runway at the Davis research station and the known environmental impacts of the proposal to date (pp. 25–26).

Great Barrier Reef Marine Park Authority

2.14
The committee called officers from the Great Barrier Reef Marine Park Authority (GBRMPA). In opening, Mr Joshua Thomas, Chief Executive Officer, paid his respects and acknowledged the contributions of board member and Wulgurukaba traditional owner, Gigari George, who recently passed:
Gigari was a valued board member of the Great Barrier Reef Marine Park Authority from August 2008 through to November 2018. As a board member, Gigari will be remembered as a passionate advocate who helped ensure that the interests and aspirations of the Great Barrier Reef's traditional owners were considered in all aspects of the management of the reef. Her place on the board significantly enhanced the authority's understanding of First Nations people and embedded a culture of mutual respect and acknowledgement that will continue into the future.4
2.15
Other matters discussed by the committee included the extent of coral bleaching on the Great Barrier Reef (pp. 90–93), staffing at Reef HQ
(pp. 91–92), and GBRMPA’s budget and funding (p. 93).

Director of National Parks

2.16
The committee called officers from the Director of National Parks and examined the following matters:
Expenditure and funding for marine park management (pp. 95–97);
Environmental targets for cleaning up ghost nets and plastic litter
(pp. 96–97); and
Breakdown of the $233.4 million of funding for national parks in the Budget and resulting job creation (pp. 97–99).

Bureau of Meteorology

2.17
The committee called officers from the Bureau of Meteorology (BoM) and examined the following matters:
Details of the recently issued severe weather outlook and declaration of La Nina (pp. 4–5);
BoM briefings to government (pp. 5–6);
Measurements from meteorological monitoring devices (pp. 6–7);
BoM’s delivery of services in Gippsland (pp. 8–9);
Service outages in weather stations on Rundle Island, Heron Island and Gannet Cay (pp. 9–10);
Explanation of dangerous fire weather conditions and duration of fire seasons (pp. 10–11);
Breakdown of funding in the Budget for BoM (pp. 11–12);
BoM’s figures on the rate of global warming under current emissions targets and briefings to government (pp. 12–13); and
Climate change impacts on irrigated agriculture and the Murray-Darling Basin (p. 13).

Commonwealth Environmental Water Holder

2.18
The committee called officers from the Commonwealth Environmental Water Holder and primarily examined matters surrounding the Murray-Darling Basin Plan and the Wentworth Group of Concerned Scientists report titled ‘Assessment of river flows in the Murray-Darling Basin: Observed versus expected flows under the Basin Plan 2012-2019’ (pp. 14–18).

Sydney Harbour Federation Trust

2.19
The committee called officers from the Sydney Harbour Federation Trust (SHFT) and examined matters including the breakdown of the funding allocation to SHFT in the Budget (pp. 18–19) and the cost of conservation work at Cockatoo Island (pp. 19–20).

Industry, Science, Energy and Resources portfolio

2.20
The committee commenced its examination of the energy outcomes and agencies of the Industry, Science, Energy and Resources portfolio following its examination of the Agriculture, Water and the Environment portfolio on 20 October 2020.

Department of Industry, Science, Energy and Resources

2.21
The Department of Industry, Science, Energy and Resources (DISER) made the following changes to their outcome structure:
2.22
Outcome 2: Reduce Australia’s greenhouse gas emissions, contribute to effective global action on climate change, and support technological innovation in clean and renewable energy, through developing and implementing a national response to climate change
Removed ‘Program 2.2: Adapting to climate change’
Replaced ‘Program 2.3: Renewable energy technology development’ with ‘Program 2.2: Developing clean energy technology’
2.23
Outcome 3: Support the affordable, reliable secure and competitive operation of energy markets for the long term benefit of the Australian community through improving Australia’s energy supply, efficiency, quality, performance and productivity
Replaced ‘Program 3.1: Energy’ with ‘Program 3.1: Supporting reliable, secure and affordable energy’
2.24
The committee began examining the Industry, Science, Energy and Resources portfolio on 20 October 2020 by asking general questions of DISER. The following matters were discussed:
Report of the Liddell Taskforce (pp. 33–36, 40–43);
Potential locations for regional hydrogen export hubs (pp. 33–34);
Terms of reference and modelling for the National Gas Infrastructure Plan (pp. 37–39);
The government’s 1,000 megawatt target of dispatchable capacity that they are looking to fill (pp. 40–44); and
Process surrounding the provision of a grant for a coal plant feasibility study at Collinsville to Shine Energy (pp. 44–47).

Outcome 2: Reduce Australia’s greenhouse gas emissions, contribute to effective global action on climate change, and support technological innovation in clean and renewable energy, through developing and implementing a national response to climate change

2.25
In relation to Program 2.1: Reducing Australia’s greenhouse gas emissions, the following matters were discussed by the committee:
The government's 2030 emissions reduction target (pp. 47–49);
DISER’s knowledge of states, territories, countries, businesses and organisations signed up to net zero emissions by 2050 (p. 48);
Impact of emissions targets on investment certainty (p. 49);
The government’s Technology Investment Roadmap (pp. 49–50;
Status of the funding allocated to secure the delivery of a solar thermal power generation facility at Port Augusta in South Australia (p. 49);
Changes to the calculation of methane emissions and the implications for emissions targets (pp. 50–53);
Requirements for developed countries under the Paris Agreement (p. 54);
Reducing emissions through carbon capture and storage (pp. 54, 65); and
Plans for a national electric vehicle strategy and details of the Future Fuels Package (pp. 55–57).
2.26
In relation to Program 2.2: Developing clean energy technology, the committee covered the following topics:
The Technology Investment Roadmap funding, technologies and deployment pathway scenarios (pp. 58–62);
How the government defines 'clean' and 'low emissions’ (pp. 62–63); and
Plans to achieve the reduction of 250 million tonnes per annum by 2040
(pp. 63–68).

Outcome 3: Support the affordable, reliable secure and competitive operation of energy markets for the long term benefit of the Australian community through improving Australia’s energy supply, efficiency, quality, performance and productivity

2.27
In relation to Program 3.1: Supporting reliable, secure and affordable energy, the committee discussed matters including:
Economic modelling of the government’s gas-led recovery package and job creation (pp. 79–82);
The Underwriting New Generation Investments (UNGI) program grants (pp. 37, 82–84);
Snowy Hydro and the gas proposal for Kurri Kurri (pp. 84–85);
Organisations engaged with in developing the National Gas Infrastructure Plan (p. 86);
Decrease in the supply of Bass Strait gas field (p. 86);
Cost of transporting gas (pp. 86–87);
Shine Energy application process for the Collinsville coal feasibility study grant (pp. 89–92, 96–97);
Technologies classified as dispatchable and dispatchable capacity in NSW (p. 94);
Job creation in relation to Shine Energy (pp. 95–96);
The decision to commission Oakley Greenwood to conduct a study of energy consumer needs (pp. 97–98);
Funding for the grants under the Energy Efficient Communities Program to assist business and community organisations to improve energy efficiency (pp. 30–33, 98–99); and
Details regarding the Marinus Link project (pp. 101–103, 105–106).

Australian Renewable Energy Agency

2.28
In his opening statement the Chief Executive Officer of the Australian Renewable Energy Agency (ARENA), Mr Darren Miller, noted ARENA’s “valuable role in Australia's evolving energy sector and emissions reduction ambitions, and to contributing to the goals and opportunities outlined in the Low Emissions Technology Statement released by Minister Taylor in September [2020]”. Mr Miller also expressed his appreciation for the funding allocated beyond 2022 totalling $1.62 billion which has been since allocated to 566 projects. 5
2.29
Other matters discussed by the committee included:
ARENA’s existing funding up until 2023 (pp. 69–70);
Types of technology under consideration by ARENA (pp. 70–71);
Ability of ARENA to determine how funding is expended (p. 72);
Update on the $40 million in funding for South Australia's first pumped hydro project in August 2019 (pp. 72–73);
Funding for green hydrogen development through ARENA (p. 73);
Opportunities for regional areas regarding jobs, energy supply, reliability and affordability through projects (pp. 73–74); and
Large-scale solar projects and consideration of location in relation to arable land (p. 74).

Clean Energy Regulator

2.30
The committee called officers from the Clean Energy Regulator (CER) and examined the following matters:
The CER’s Rooftop Solar Sector Review and its impact on the industry
(pp. 74–77);
How the issue of phoenixing within the solar retail sector is being dealt with (pp. 77–78); and
State of investment in renewables (pp. 78–79).

Climate Change Authority

2.31
The committee called officers from the Clean Change Authority (CCA) and examined the following matters:
Details surrounding the CCA’s ‘Economic recovery, resilience and prosperity after the coronavirus’ report (pp. 106–109);
Types of projects that would support climate change adaption (p. 108);
Barriers to Australia becoming a world leader in renewable energy production and exports, as well as a manufacturing and export base for energy-intensive, sustainable products (pp. 108–109);
CCA’s perspective on a gas (pp. 109–110); and
Solutions that benefit the both the environment and agricultural regions and farmers (p. 111).

Clean Energy Finance Corporation

2.32
The Clean Energy Finance Corporation’s (CEFC) Chief Executive Officer, Mr Ian Learmonth, provided the committee with an opening statement which spoke to a number of achievements made in the last year:
…new investment commitments of just over $1 billion supporting 23 clean energy investments with a combined value of $4.2 billion - this despite the economic disruption of COVID-19.
…a significant uplift in CEFC capital repaid which reflects our maturing portfolio and the commercial rigour of our investment approach.
…delivering Australia’s first dedicated green bond fund, the CEFC’s first green home loan, and a material uplift in the capacity of Australia’s largest battery in South Australia.
We also provided more than $187 million to support ~6,700 smaller–scale investments in clean energy projects, including in agribusiness, property and transport.
Together, these new investment commitments are targeting more than one million tonnes of carbon abatement annually.6
2.33
The committee then examined the following matters:
Definitions of ‘low-emissions electricity generation technology’, ‘generation activity’, and ‘low-emissions energy system’ (pp. 112–113);
Update on funds loaned through the Australian Recycling Investment Fund (pp. 113–114);
Role of the CEFC in the UNGI projects (pp. 114–115);
Ability of the CEFC to invest in energy storage, transmission and grid stabilisation (p. 115);
CEFC’s submission to the inquiry into the Clean Energy Finance Corporation Amendment (Grid Reliability Fund) Bill 2020 (pp. 115–116);
Ability of the CEFC to invest in low-emissions technologies outside of wind and solar (pp. 116–117); and
CEFC staff seconded to the department and their involvement in UNGI projects (pp. 118–119).

Snowy Hydro Limited

2.34
Mr Paul Broad, Chief Executive Officer of Snowy Hydro Limited (Snowy Hydro) updated the committee on the Snowy 2.0 project:
On 2.0: we achieved the goals we set ourselves, having got the EIS determined. We raised $3½ billion in debt and got the notice to proceed. The tunnel-boring machines have arrived and the first one is being put together down at Lob's Hole as we speak. So, despite adversity, the company has done exceptionally well and I cannot speak highly enough of the people in the company, who go beyond the pale to deliver those results. I couldn't be more proud.7
2.35
The committee called officers from the Snowy Hydro and examined the following matters:
Update on transmission requirements for Snowy 2.0 (pp. 120–121);
Environmental impacts of the Snowy project on the Kosciuszko National Park (pp. 120–121);
Costs of Snowy 2.0 components (p. 122);
Modelling and work done by Snowy Hydro in relation to the feasibility of a gas-fired power station in the Hunter (pp. 122–126);
How Snowy Hydro has dealt with impacts from the Black Summer bushfires (p. 125);
Value of the Snowy 2.0 contract, joint venture arrangements, and milestones (pp. 126–127); and
Use of Australian steel in the Snowy 2.0 project (p. 128).

National Wind Farm Commissioner

2.36
On 20 October 2020, following receipt of a detailed written opening statement8 from Mr Andrew Dyer, National Wind Farm Commissioner, the committee determined that the National Wind Farm Commissioner was not required to appear.
2.37
In his written opening statement, Mr Dyer provided the committee with complaint statistics received about proposed projects, industry and government best practice and recommendations, efforts and achievements working towards transparency, stakeholder engagement, and a case study.9

Infrastructure, Transport, Regional Development and Communications portfolio

2.38
The committee examined the communications and the arts outcomes and agencies of the Infrastructure, Transport, Regional Development and Communications portfolio across two days: 21 and 22 October 2020.

Department of Infrastructure, Transport, Regional Development and Communications

2.39
The committee commenced its examination of the Infrastructure, Transport, Regional Development and Communications portfolio on 21 October 2020 by asking general questions of the Department of Infrastructure, Transport, Regional Development and Communications (DITRDC).
2.40
Mr Simon Atkinson, Secretary of DITRDC referred the committee to his opening statement provided earlier in the week to the Rural and Regional Affairs and Transport Committee.10
2.41
The following matters were examined:
The $10 million grant to Fox Sports for women’s, niche and
under–represented sports (pp. 5–9, 12–18, 21–25);
Recommendations in the Australian Competition and Consumer Commission’s (ACCC) report on the Digital Platforms Inquiry (pp. 5–6, 45);
Departmental staff numbers working on arts, culture and entertainment matters (p. 10);
Expenditure from the $250 million package announced for the arts industry (pp. 11, 29–30);
Breakdown of the Public Interest News Gathering Fund (PING Fund)
(pp. 18–21, 25–26, 46); and
ABC funding (pp. 26–31).
2.42
Officers from DITRDC were called to appear again before the committee at a spillover hearing held on 9 November 2020 to discuss general questions in relation to communications. Matters raised by the committee included:
Details of the Shareholder Departments investigation into Australia Post (p. 3);
Process undertaken to appoint the new SBS board member (pp. 3–6);
Staffing in the regional communications and media industry sections of DITRDC (pp. 7–8); and
Regional print media and the 21 local government areas without that coverage (pp. 8–9).

Outcome 5: Promote an innovative and competitive communications sector, through policy development, advice and program delivery, so all Australians can realise the full potential of digital technologies and communications services

2.43
In relation to Program 5.1: Digital technologies and communications services, the following matters were discussed:
NBN funding and upgrades to the network (pp. 31–35, 38–40);
Advertising rules in relation to gambling and the Australian Institute of Family Studies report on gambling in Australia during COVID-19
(pp. 35–37);
Review of classifications of video games containing loot boxes (pp. 37–38);
ABC staffing numbers (pp. 40–41);
ABC’s role in keeping the public informed during the bushfires and resourcing during this period (pp. 41–42);
Update on the ACCC’s News Media Bargaining Code (pp. 43–44, 48–49);
Previous funding in the Regional and Small Publishers Jobs and Innovation Package and how much was coming from the PING Fund to support regional news (pp. 46–50);
Grant criteria and funding allocation formula for the PING Fund (p. 47);
Update on the National Broadcasters Efficiency Review (p. 51);
Expansion of the Mobile Black Spot Program (pp. 51–52);
Broadcasting licences for community TV stations (pp. 54–56);
Details of the Queensland University of Technology’s independent review of the media sector (pp. 57–58);
The National Relay Service (pp. 59–60); and
Details of the CapTel Transition Program (pp. 60–62);
Figures around the NBN multitechnology mix (pp. 83–89);
Expected delivery times for letters in Australia (pp. 89–91) and
Australia Post board appointment process (pp. 91–93).

Outcome 6: Participation in, and access to, Australia’s arts and culture through developing and supporting cultural expression

2.44
In relation to Program 6.1: Arts and cultural development, the committee covered the following matters:
JobMaker package, Temporary Interruption Fund and other funding for the arts during COVID-19 (pp. 41–44);
Applications for the Restart Investment to Sustain and Expand Fund
(RISE Fund) and the allocation of funds (pp. 45–48);
Modelling on the $75 million RISE Fund (p. 47);
JobKeeper and the arts sector (p. 49);
National institutions funding, including the National Gallery, Museum and Library (pp. 50–52); and
Impact of the new Australian television content quotas (pp. 54–57).

Australian Communications and Media Authority

2.45
The committee called officers from the Australian Communications and Media Authority (ACMA) and examined the following matters:
Changes to the quota system for free-to-air broadcasters (pp. 63–63, 69–70);
Potential for amendments to the Australian Content Standard or the Children's Television Standards (pp. 65–66);
ACMA’s announcements regarding temporary relief and forbearance
(pp. 66–69, 71–72);
Minister’s direction on developing standards (p. 70);
Issues with captioning during the pandemic (p. 73);
Status of the development of the National Self-Exclusion Register
(pp. 74–75); and
Complaints received about online gambling websites (p. 76).

Australian Broadcasting Corporation

2.46
Mr David Anderson, Managing Director of the Australian Broadcasting Corporation (ABC) spoke to the release of the five-year plan and funding situation in his opening statement:
The last time I addressed the committee I updated you on the progress of the ABC's five-year plan and our strategy for the period 2020 to 2025. We released the plan in June, mapping our transition to a broad public broadcaster of the future: relevant, reliable, valuable and accessible to all Australians in this ever-changing technological landscape…
We have noted in our response that the forward years show a declining budget beyond 2021-22 due to the expiry of the enhanced news initiative. This initiative has been part of our budget since 2013 and has been renewed twice. By the end of the triennium it will have been in place for nine years. The funding has enabled us to deliver more tailored and local news to communities and to bring news from across the country to our national audience. It has meant more jobs in our local and regional
news-gathering capacity and provides vital services valued by the community, including specialist work done by the national reporting team. Prior to the expiry of the initiative, we will continue to make the case for this funding to be permanently incorporated into the ABC's operating base.11
2.47
The committee examined the following matters:
ABC’s funding and staff numbers (pp. 78–82, 84–88, 106–107, 109–110);
Use of the ABC logo (pp. 78–79);
Inclusion of the ABC on the media bargaining code (p. 83);
Costs and resources associated with the ABC’s services throughout the bushfires and pandemic, including Coronacast (pp. 83–84).
ABC’s coverage of the bombing in Ganja, Azerbaijan (p. 88);
Plans to deal with broadcasting black spots (pp. 88–89, 97–99);
ABC's coverage of women's sport and the Foxtel grant (p. 90, 100, 103);
Impact of the changes to quotas and requirements for children’s content on the ABC (pp. 90–91);
ABC’s code of conduct (pp. 91–93);
Efficiency benchmarking at the ABC (p. 93);
Public perception of the ABC and complaints received (pp. 94–96);
Gender transition leave (pp. 96–97);
Fight for Planet A: Our Climate Challenge program (pp. 100–101);
Different languages used in the ABC’s programming (p. 103); and
Reviews into the ABC’s arts output (pp. 107–106).
2.48
Officers from the ABC were called to appear again before the committee at a spillover hearing held on 9 November 2020 where the following matters were discussed:
Impartiality and conflict of interest policies (pp. 9–10);
Four Corners episode Inside the Canberra Bubble (pp. 10–22, 24–25, 27–28);
ABC funding (pp. 22–23);
Process for reviewing complaints (pp. 23–24);
ABC’s news-gathering services (p. 24); and
Staffing numbers and classification (pp. 25–27).

Special Broadcasting Service Corporation

2.49
Mr James Taylor, Managing Director of the Special Broadcasting Service Corporation (SBS) provided the committee with an opening statement which spoke to the role that SBS has played during the pandemic:
SBS has played a vital role in responding to these needs and in keeping our communities safe. We've done this [in] a range of ways; I'd like to emphasise but one: the SBS multilingual coronavirus portal, launched in March [2020], which is unparalleled in its capacity to deliver critical updates and health information in 63 languages to keep Australians informed and safe. Since then, more than five million Australian unique visitors have accessed our COVID-19 digital in-language content.
SBS promoted the stay-at-home and other health messaging, dispelled myths and deepened community understanding of key issues. We continue to provide audiences direct access to health experts via talkback in their first language and share tips on matters like mental health and domestic violence. SBS also worked closely with the federal Department of Health to create 'coronavirus explained' videos in 59 languages.12
2.50
The committee examined the following matters:
Breakdown of funding in the Budget for SBS (p. 112);
SBS’s relationship with other streaming services (pp. 112–113);
Impact of the COVID-19 pandemic on SBS (p. 113);
SBS’s involvement in the ACCC’s news media code (pp. 114–115);
SBS’s support to Australians during the bushfires, floods and pandemic
(p. 116);
Work with the Regional Broadcasters Australia Holdings (p. 116);
Use of languages in SBS’s broadcasting (p. 117); and
Save Our SBS campaign (pp. 117–118).

Office of the eSafety Commissioner

2.51
Ms Julie Inman Grant, eSafety Commissioner, provided an opening statement to the committee which discussed the impact COVID-19 has had on the online environment:
Typically, 70 per cent of Australians have told us they have experienced a negative online experience since COVID hit, in March [2020]. This was certainly reflected in reports that have come into our office. From between March to September, when compared to the monthly average for 2019, we have seen a doubling of adult cyber-abuse reports, for which we do not have a formal legislative scheme, a 32 per cent increase in youth-based cyberbullying, a 123 per cent increase in illegal and harmful content, mostly child sexual abuse material, and more than a 172 per cent increase in image-based abuse. This also drove huge amounts of traffic to our website—from 300,000 monthly views prior to March to more than 650,000 on an average monthly basis.
Of course, all of this put great strain, particularly on our investigative branch, but the government did answer the call and in June gave us $10 million in emergency surge funding. I'm pleased to say that we have hired some tremendous people and we now have a new cadre of cyber-abuse and image-based abuse investigators who started with us just last week.13
2.52
The committee called officers from the Office of the eSafety Commissioner (eSafety) and examined the following matters:
Status of the new Online Safety Act (p. 121);
Emerging forms of online harm (pp. 122–123);
Breakdown of funding allocated to eSafety in the Budget (p. 123);
Update on the Online Safety Grants Program (pp. 123–124);
The issues of suicide videos on social media and of the safety of dating applications (pp. 124–125);
Causes of the increases in cyberbullying and image based complaints
(p. 126);
The new civil penalty scheme under the Enhancing Online Safety Act
(pp. 126–127);
Issues surrounding vulnerable groups like children and teenagers on social media (pp. 127–128); and
Anonymity as a contributor to cyberbullying (pp. 128–129).

Australian Postal Corporation

2.53
Ms Christine Holgate, Group Chief Executive Officer and Managing Director of Australian Postal Corporation (AusPost) provided the committee with an opening statement speaking to the challenges and successes of 2020:
This has been one of the most challenging years in our recent history, from bushfires to floods and then a global pandemic, but the importance of Australia Post supporting communities has again proved critical. Last week our 2020 annual report was tabled in parliament. We're very proud of the results the business delivered, achieving a record revenue of $7.5 billion, up $500 million, or seven per cent, as our business continues to transform. Our results were underpinned by very strong performance in our parcel credits, delivering strong operational efficiencies and tight cost control. Although our operational costs did rise as we supported significantly increased deliveries, which accelerated when COVID-19 hit, swift action on discretionary costs has enabled us to redirect investment to the front line in order to keep our people safe and provide a lifeline to thousands of businesses and homes across the country who have become increasingly dependent on us.14
2.54
The committee called officers from the AusPost and examined the following matters:
AusPost’s response to the Future of Australia Post’s service delivery inquiry report recommendations (pp. 6–7);
Modelling for alternative delivery models (pp. 8–9, 11–12, 37–38);
Price rates for delivery in metro and regional areas (pp. 9–10);
Interactions with the Victorian postal union, consultation and survey feedback (pp. 12–14);
Review of the relief measures provided to AusPost (pp. 13–14);
Staffing numbers, sick leave and workers compensation (pp. 15–16);
Processes and issues surrounding the unaddressed mail service (pp. 16–18);
Suspension of the priority mail service (pp. 18–20);
Delivery and communications around Senator Hanson’s stubby holders
(pp. 20–23);
Update on the Bank@Post service (pp. 24–25);
Watches purchased to recognise the achievements of senior staff (pp. 25–26);
Policies and processes relating to the board and their attendance at estimates (pp. 28–30);
AusPost’s engagement with Domestique (pp. 30–31, 39);
Incentives, remuneration and bonuses (pp. 33–35); and
Impact of COVID-19 and the temporary regulatory relief (pp. 36–37).
2.55
Officers from AusPost were called to appear again before the committee at a spillover hearing held on 9 November 2020 where the Chair of AusPost, Mr Lucio Di Bartolomeo provided an opening statement in which he explained his position on the purchase of the watches:
As a government business enterprise, Australia Post is owned by the taxpayer—indeed, by the people of Australia. That ownership is exercised in practice by two shareholder ministers within the framework of relevant legislation for Australia Post. I understand well that our ownership structure places a unique responsibility to manage the resources of this business prudently and ultimately in the best interest of all Australians, as underlying shareholders as well as customers. If I had been chair in 2018 and had been made aware of the proposal to purchase Cartier watches, I would have vetoed that purchase. Whilst highly appreciative of the excellent work of the staff concerned, none of whom sought a watch or other presentation, I acknowledge that the purchase of the watches may not have met the expectations of the public or my own.15
2.56
The following matters were then discussed:
Arrangements for the 2020 Christmas period (pp. 30–31);
Process for appointing a new CEO (p. 31);
Survey of postal workers in Victoria (pp. 32–33);
Service delivery standards (p. 33);
Boston Consulting Group’s review and report into AusPost (pp. 34–35);
Impact on licensed post offices following Ms Holgate's resignation
(pp. 36–38);
Modelling and discussions in board meetings in relation to delivery arrangements (pp. 39–40);
Figures on letter and parcel deliveries (pp. 40–41);
Overdue questions on notice (pp. 41–42);
Senior executive bonuses and temporary 20 per cent cut in executive salaries (pp. 42–47);
Investigation into AusPost and the decision for Ms Holgate to stand aside (pp. 47–49); and
Fringe benefits tax paid on the purchase of the watches (p. 51).

Australia Council

2.57
Mr Adrian Collette, Chief Executive Officer of the Australia Council provided the committee with an opening statement and spoke to the importance of arts and culture and the recently released report on the National Arts Participation Survey:
Australians see arts and culture as the key to their happiness, for prompting joy and wonder certainly, but also as helping to counter anxiety and depression, and as a vital way to connect to other peoples and cultures. They also recognise how arts and culture drive other parts of our economy and bring customers to local businesses. Almost three-quarters of Australians see arts as a crucial part of education. One in two now believe the arts build the creative skills that will be necessary to the future workforce.
Arts and creativity are not luxuries for better times—rather, they are central to our capacity to create better futures for ourselves and our children. At a time when our tourism and travel industries are suffering, our research from earlier this year reveals cultural tourism as a huge opportunity for our recovery.16
2.58
The committee examined the following matters:
Australia Council’s involvement with the $250 million JobMaker arts package (pp. 59–60);
Mr Collett’s involvement with the Creative Economy Taskforce (p. 60);
Breakdown of funding across financial years (p. 61);
Impact of COVID-19 on the Australia Council (pp. 61–62);
Future of the arts and the need for funding (p. 62);
Australia Council’s involvement in the RISE Program (pp. 62–65); and
Memorandum of understanding with Regional Arts Australia (p. 66).

Classification Board

2.59
The committee called officers from the Classification Board and examined the following matters:
Update on the review of the Australian classification regulations and the associated report (p. 68);
Performance of the Netflix Classification Tool (pp. 68–71, 73–74);
Number of reviews conducted by the Classification Review Board (p. 71);
Children’s content on streaming services and classification concerns
(pp. 71–72); and
Classification of manga publications (pp. 72–73).

Screen Australia

2.60
Mr Graeme Mason, Chief Executive Officer of Screen Australia provided the committee with an opening statement which spoke to the impact of the pandemic on the Australian screen sector and what they have done in response:
In response, in partnership with the Office of the Arts, we formed a
sector-wide task force to share information, encourage collaboration and find ways to get the sector working. We created an online resource directory for industry—again in collaboration with the Office of the Arts—to collate relevant information on the range of Australian government assistance provided in response to COVID-19. We worked with the Australian Film Television and Radio School, state screen agencies, industry bodies and others in the sector to develop COVID safe production guidelines. We allocated $1 million in emergency assistance to fund productions forced to shut down. Because most production had halted, we pivoted $2 million into funding of development to get titles ready to shoot when they could. We have provided an additional $5.7 million to date to projects that could work remotely or have needed help to start again and be COVID safe. We have worked with the government and industry to develop the Temporary Interruption Fund, which is filling a vital gap in getting things moving. The assurance provided by the TIF, which we administer on behalf of the government, has already been approved for 20 projects and they will bring thousands of people back to work. It has also now been replicated in many countries.17
2.61
The committee then examined the following matters:
The co–authored Supporting Australian stories on our screens options paper (p. 75);
Impact of the new quota system on Australian content and First Nations programming (pp. 76; 81–82);
Support by Screen Australia for Torres Strait Islander productions and companies (pp. 76–77);
The proposal to reduce the producer offset from 40 to 30 per cent for feature films (pp. 77–78);
Impact of the Gallipoli clause18 removal (p. 79);
Support Screen Australia provided to the Fight For Planet A: Our Climate Challenge program (pp. 79–81); and
Details on the Temporary Interruption Fund (p. 82).

NBN Co Limited

2.62
Mr Stephen Rue, Chief Executive Officer of NBN Co Limited (NBN Co) provided the committee with an opening statement where he outlined the challenges faced by NBN Co caused by the pandemic and the subsequent increased demand on the network. He also spoke to the planned network upgrades, explaining:
…what is proposed in this corporate plan is that instead of starting an upgrade in 2023 we're starting now. We're taking advantage of historically low interest rates to borrow against future revenue in an investment that has a positive return and strengthens the overall business case. Importantly, we're not moving everyone off [fibre-to-the-node (FTTN)] to [fibre-to-the-premises]. The FTTN network will continue to provide a very good service well into the future. We're simply starting construction now to provide options for higher speeds in eligible FTTN areas, should people want them.19
2.63
The committee then examined the following matters:
Breakdown of NBN Co’s spending on entertainment (pp. 96–98);
Government contribution in equity and debt into the NBN (p. 100);
The costing scenarios relating to a revised multitechnology mix and the revised outlook (pp. 100–101);
Perspective on the recently announced $3.5 billion network upgrade investment (p. 102);
Details about the attendance and position of the Chief Financial Officer,
Mr Philip Knox (pp. 102–103);
NBN’s marketing plans (p. 104);
Breakdown of NBN funding and revenue in the corporate plan
(pp. 105–108, 110–112);
Investments in business fibre zones (pp. 108–110);
Updates on the FTTN network and number of FTTN activations
(pp. 113–115, 118–119, 122);
Average revenue per user (p. 116);
Plan options and speeds (pp. 117–118);
NBN traffic during COVID–19 (p. 119); and
Details on Sky Muster Plus (pp. 120–121).
2.64
Officers from NBN Co were called to appear again before the committee at a spillover hearing held on 9 November 2020 where the committee discussed the breakdown of financial figures in the corporate plan (pp. 53–56) and the internal processes to deal with Freedom of Information requests (pp. 56–57).
Senator the Hon David Fawcett
Chair

  • 1
    Mr Andrew Metcalfe, Secretary, Department of Agriculture, Water and the Environment, Proof Committee Hansard, 19 October 2020, p. 5.
  • 2
    Emeritus Professor Helene Marsh, Chair, Threatened Species Scientific Committee, Proof Committee Hansard, 11 November 2020, pp. 2–5.
  • 3
    Ms Michelle Croker, Acting First Assistant Secretary, Environment Approvals Division, Department of Agriculture, Water and the Environment, Proof Committee Hansard, 19 October 2020, p. 55.
  • 4
    Mr Joshua Thomas, Chief Executive Officer, Great Barrier Reef Marine Park Authority, Proof Committee Hansard, 19 October 2020, p. 55.
  • 5
    Mr Darren Miller, Chief Executive Officer, Australian Renewable Energy Agency, Proof Committee Hansard, 20 October 2020, p. 69.
  • 6
    Mr Ian Learmonth, Chief Executive Officer, Clean Energy Finance Corporation, Clean Energy Finance Corporation opening statement, 20 October 2020, www.aph.gov.au/-/media/Estimates/ec/bud2021/addinfo/Estimates_Opening_Statement_-_National_Wind_Farm_Commissioner.PDF?la=en&hash=3DD8691476AE97F8FB6325E654AB3605438120FB
    (accessed 2 December 2020).
  • 7
    Mr Paul Broad, Chief Executive Officer, Snowy Hydro Limited, Proof Committee Hansard, 20 October 2020, p. 120.
  • 8
  • 9
    Mr Andrew Dyer, National Wind Farm Commissioner, National Wind Farm Commissioner Opening Statement, 20 October 2020, www.aph.gov.au/-/media/Estimates/ec/bud2021/addinfo/Estimates_Opening_Statement_-_National_Wind_Farm_Commissioner.PDF?la=en&hash=3DD8691476AE97F8FB6325E654AB3605438120FB

    (accessed 2 December 2020).
  • 10
    Mr Simon Atkinson, Secretary, Department of Infrastructure, Transport, Regional Development and Communications, Proof Committee Hansard, Rural and Regional Affairs and Transport Legislation Committee, 19 October 2020, pp. 5–6.
  • 11
    Mr David Anderson, Managing Director, Australian Broadcasting Corporation, Proof Committee Hansard, 21 October 2020, p. 77.
  • 12
    Mr James Taylor, Managing Director, Special Broadcasting Service Corporation, Proof Committee Hansard, 21 October 2020, p. 111.
  • 13
    Ms Julie Inman Grant, Commissioner, Office of the eSafety Commissioner, Proof Committee Hansard, 21 October 2020, p. 120.
  • 14
    Ms Christine Holgate, Group Chief Executive Officer and Managing Director, Proof Committee Hansard, 22 October 2020, p. 4.
  • 15
    Mr Lucio Di Bartolomeo, Chair, Australia Post, Proof Committee Hansard, 9 November 2020, p. 30.
  • 16
    Mr Adrian Collette, Chief Executive Officer, Australia Council, Proof Committee Hansard, 22 October 2020, p. 59.
  • 17
    Mr Graeme Mason, Chief Executive Officer, Screen Australia, Proof Committee Hansard, 22 October 2020, p. 57.
  • 18
    A ‘Gallipoli clause’ is a provision in the Producer Offset legislation which provides that in certain limited circumstances, some expenditure incurred outside Australia is ‘qualifying Australian production expenditure’.
  • 19
    Mr Stephen Rue, Chief Executive Officer, NBN Co Limited, Proof Committee Hansard, 22 October 2020, p. 95.

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