Regulatory Transparency and Efficiency in the Communications Industry in Australia Jennifer Bryant Office of Regulation Review Australia

Outline Regulatory Best Practices Overview of the Communications Sector E-commerce

Regulatory Best Practices Legislation Review Program Reviews regulation identified as restricting competition or imposing costs or conferring benefits on business; Regulation Impact Statements Prepared for new or amending regulation where direct or substantial indirect effect on business or restriction on competition. A Guide to Regulation

Transparency of Decisions Public consultation process documented in Regulation Impact Statement (RIS); RIS provided to decision maker; RIS made public: tabled in Parliament; Placed on website or otherwise made public.

Communications Sector Regulation Telecommunications Broadcasting Radiocommunications Information Economy

Regulation Review Telecommunications Market liberalisation: removed restrictions on the number of carriers; removed restrictions on installation of infrastructure. Regulation to promote competition and strengthen market: ensures access to network infrastructure on reasonable terms; provides for telephone number portability; protects the integrity of the telecommunications network.

Regulation Review (cont’d) Broadcasting Review of anti-competitive policy; Recommendations for reform; Review of digital TV and datacasting. Radiocommunications Review of legislation to take place; Spectrum management and access. .

E-commerce Conduct of commercial transactions through electronic means.

International Interest in E-commerce 1997 APEC summit - Vancouver: Identify ways to maximise social and economic benefits; Key issues: ensure and improve access; build user and consumer trust; minimise regulatory uncertainty.

Access to Information Infrastructure National Office of Information Economy established to advise on policies to enhance take-up of e-commerce; Strategic framework for Information Economy: educational and training programs; ongoing assessment of access issues.

User and Consumer Trust: Privacy Regulatory Framework Principle-based regulation allows business flexibility to pursue own code: default principles apply if code not developed. Addresses: consumer concern; international trade/EU directive; costs to business.

Impact on Small Business Small business exempt (if turnover below $3m) Small business caught if: provides a health service; provides information for gain; collects information for gain; provides a service under Government contract.

Electronic Transactions Regulatory Framework Removes uncertainty as to validity and enforceability of electronic transactions; Consistent with international rules; Allows business flexibility to determine electronic signature; Allows business and community to enter into electronic dealings with the Government.

Minimise Regulatory Uncertainty Government body oversights information economy issues; Telecommunications regulation underpins e-commerce and addresses access, capacity, integrity and security issues; Copyright and intellectual property rights addressed.

Conclusion Regulatory efficiency and transparency to be improved by: Greater compliance with requirement to prepare Regulation Impact Statements; Preparation of statements early in the policy development stage; Increased level of analysis in these statements; Review of regulation to continue on terms of reference based on cost-benefit analysis.