Federal Register of Legislation - Australian Government

Primary content

Determinations/Communications as made
This instrument determines the amount of annual charge to be imposed on a carrier licence.
Administered by: Communications
Registered 13 Jun 2006
Tabling HistoryDate
Tabled HR15-Jun-2006
Tabled Senate19-Jun-2006
Date of repeal 20 Mar 2014
Repealed by Telecommunications (Carrier Licence Charges) Revocation Determination 2014

EXPLANATORY STATEMENT

 

Telecommunications (Annual Carrier Licence Charge) Determination 2006

 

Telecommunications (Carrier Licence Charges) Act 1997

 

This instrument is issued by the authority of the Australian Communications and Media Authority (‘ACMA’). It sets out the method for calculating the annual carrier licence charge on a carrier licence.

 

Legislative Provisions

 

Section 12 of the Telecommunications (Carrier Licence Charges) Act 1997 (the Act) provides that a charge is imposed on a carrier licence that is in force at the beginning of a financial year. 

 

Subsection 14(1) of the Act provides that the amount of charge to be imposed on a carrier licence is the amount ascertained in accordance with a written determination made by the ACMA. 

 

Section 15 (1) of the Act enforces a limit on the total of the charges that are imposed on carrier licences.

 

For the purposes of the Legislative Instruments Act 2003, a Determination is considered as a legislative instrument. The accompanying Determination must therefore be registered on the Federal Register of Legislative Instruments (FRLI).

 

Consultation

 

On application for a licence, carriers are advised that this instrument imposes a carrier licence charge, to recover costs for a financial year if they hold a licence on the first day of the financial year.

 

The Office of Regulation Review advised that a Regulation Impact Statement was not required for the changes to the ACLC determinations, as the changes were minor and machinery in nature, and did not substantially alter existing arrangements.

 

The Department of Communications, Information Technology and the Arts confirmed the registration of the 2006 determinations under subparagraphs 15(1)(d) and (e) of the Act and provided the figures for the Commonwealth’s 2005 contribution to the budget of the International Telecommunication Union.

 

The Australian Competition and Consumer Commission confirmed the registration of the 2006 determination under subparagraph 15(1)(b) of the Act.

 


Attachment 1

Notes on the Instrument

 

Section 1 - Name of Determination

 

This is the Determination title.

 

Section 2 - Commencement

 

This section provides the commencement date of the Determination; which is the day after it is registered on the FRLI.

 

Section 3 - Definitions

 

This section sets out the definitions of key terms used in the Determination.

 

Section 4 – Method of ascertaining charge

 

This section specifies how the annual charge is calculated.

 

It states the annual charge payable by a carrier mentioned in Schedule 1, which was a carrier on 1 July 2005, is calculated using the formula described.

 

The amount of the charge imposed on each carrier licence is made up of a fixed component and a variable component.  The fixed component (MFC: Minimum Fixed Charge) is a cost recovery based administration charge for the calculation, review and approval of the charge. For the 2005-2006 financial year, the fixed component is $45,000 which is $341 per carrier.

 

The total variable component is calculated by first extracting the fixed component from the maximum charge amount (MCA) that excludes the other telecommunication charges (OTC). Then the total variable component is allocated to the individual carrier in the same proportion of their reported eligible revenue as set out in the Schedule 1.

 

Schedule 1

 

Column 2 sets out the persons who were holders of carrier licences as at 1 July 2005.

 

Column 3 sets out the assessment of each carrier's eligible revenue for the 2004-05 financial year.