Cross-media Rules

In April, the Press Council made a submission to the Senate Committee looking into proposed amendments to the Broadcasting Services Act regulating cross-media ownership rules.

The Australian Press Council has told the Senate Environment, Communications, Information Technology and the Arts Legislation Committee that it does not object in principle to changes in cross-media ownership legislation which would have the effect of freeing up the restrictions on cross-media ownership and foreign takeovers and acquisitions in the media.

However, it has also said that it foresees considerable and continuing problems if the Government's proposed Broadcasting Services Amendment (Media Ownership) Bill becomes law.

It has suggested that the proper ownership regulator should be the Australian Competition and Consumer Commission (ACCC) using existing legislation supplemented by a media-specific public interest test, developed in consultation with relevant stakeholders, and by changes that ensure the media is regarded as a single market for the purposes of mergers and acquisitions.

It is the Council's view that judgments on substantial lessening of competition should be made on the basis of impact, circulation and penetration, considering the media as a single market. If the ACCC is not required to do this, the application of its competition test (envisaged in the Bill) will not restrict cross media acquisitions.

In the Council's view, foreign takeovers and acquisitions in the media should be subject to the Foreign Acquisitions and Takeovers Act as all other such acquisitions are, with the proviso that those administering the Act have regard for Australian content in the media as an issue of key importance in any such takeover or acquisition.

In a detailed submission, the Council explored these themes in depth.

The Council has published the full submission elsewhere on this website.

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