Commonwealth Consolidated Acts

BROADCASTING SERVICES ACT 1992 - SECT 38C

             (1)  The following table has effect:

Joint-venture company

             (2)  Two or more of the eligible joint venturers for a licence area specified in column 1 of the table in subsection (1) may, during whichever of the following periods is applicable:

                     (a)  in the case of the South Eastern Australia TV3 licence area--the 28-day period beginning at the commencement of this section;

                     (b)  otherwise--the period:

                              (i)  beginning at the commencement of this section; and

                             (ii)  ending 6 months before the start of the earliest applicable terrestrial digital television switch-over date for the licence area;

give the ACMA a joint written notice stating that:

                     (c)  a company specified in the notice (the joint-venture company ) will apply under subsection (3) for a commercial television broadcasting licence for the licence area; and

                     (d)  the joint-venture company is registered as a company under Part 2A.2 of the Corporations Act 2001 and has a share capital.

Application by joint-venture company

             (3)  If a notice is given under subsection (2) in relation to a licence area specified in column 1 of the table in subsection (1), the joint-venture company must:

                     (a)  apply in writing to the ACMA for a commercial television broadcasting licence for the licence area; and

                     (b)  do so within 28 days after the notice is given.

Allocation of licence to joint-venture company

             (4)  If the ACMA receives an application under subsection (3) that relates to a licence area, the ACMA must:

                     (a)  allocate a commercial television broadcasting licence to the joint-venture company for the licence area; and

                     (b)  do so within 28 days after the application is received.

             (5)  Subsection (4) has effect subject to section 37.

Special purpose company

             (6)  If no notice is given under subsection (2) in relation to a licence area specified in column 1 of the table in subsection (1), an eligible joint venturer for the licence area may, within 28 days after the end of whichever of the periods mentioned in paragraphs (2)(a) and (b) is applicable, give the ACMA a written notice stating that:

                     (a)  a company specified in the notice (the special purpose company ) will apply under subsection (7) for a commercial television broadcasting licence for the licence area; and

                     (b)  the special purpose company is a wholly-owned subsidiary of the eligible joint venturer; and

                     (c)  the special purpose company is registered as a company under Part 2A.2 of the Corporations Act 2001 and has a share capital.

Application by special purpose company

             (7)  If a notice is given under subsection (6), the special purpose company must:

                     (a)  apply in writing to the ACMA for a commercial television broadcasting licence for the licence area specified in the notice; and

                     (b)  do so within 28 days after the notice is given.

Allocation of licence to special purpose company

             (8)  If only one special purpose company makes an application under subsection (7) in relation to a licence area specified in column 1 of the table in subsection (1), the ACMA must:

                     (a)  allocate a commercial television broadcasting licence to the special purpose company for the licence area; and

                     (b)  do so within 28 days after the application is received.

             (9)  If the ACMA receives applications from 2 or more special purpose companies under subsection (7) in relation to a licence area specified in column 1 of the table in subsection (1), the ACMA must allocate a commercial television broadcasting licence to one of those companies for the licence area in accordance with a price-based system determined under subsection (11).

           (10)  Subsections (8) and (9) have effect subject to section 37.

Price-based system for allocating licences where 2 or more applications have been received.

           (11)  The ACMA may, by written instrument, determine a price-based system for allocating commercial television broadcasting licences under subsection (9).

           (12)  A instrument made under subsection (11) is not a legislative instrument.

           (13)  The Minister may, by legislative instrument, give specific directions to the ACMA in relation to the power conferred by subsection (11). Directions may be to include in a determination specified reserve prices for licences, and those reserve prices may be different for licences in different licence areas.

           (14)  If a commercial television broadcasting licence is allocated under subsection (9), the ACMA must, unless the price-based allocation system adopted was public, publish in the Gazette :

                     (a)  the name of the successful applicant; and

                     (b)  the amount that the applicant agreed to pay to the Commonwealth for the allocation of the licence.

Cancellation of licence--services not provided

           (15)  If:

                     (a)  the licensee of a licence allocated under this section is contravening a licence condition set out in:

                              (i)  clause 7B of Schedule 2; or

                             (ii)  clause 7C of Schedule 2; and

                     (b)  the ACMA is satisfied that the contravention is not due to:

                              (i)  technical circumstances that are beyond the licensee's control; or

                             (ii)  unforeseen circumstances that are beyond the licensee's control; or

                            (iii)  circumstances specified in the regulations; and

                     (c)  the ACMA gives the licensee a written notice warning the licensee that, if the contravention continues for 30 days, the licence may be cancelled; and

                     (d)  30 days pass after the notice is given, and the contravention continues;

the ACMA must, by written notice given to the licensee, cancel the licence.

           (16)  The cancellation takes effect:

                     (a)  when the notice of cancellation is given to the licensee; or

                     (b)  if a later time is specified in the notice of cancellation--at that later time.

Allocation of licence after cancellation etc.

           (17)  If:

                     (a)  the ACMA gives a notice under subsection (15) to a licensee, cancelling the licence for a licence area; or

                     (b)  both:

                              (i)  no notice is given under subsection (2) in relation to a licence area; and

                             (ii)  no notice is given under subsection (6) in relation to a licence area; or

                     (c)  a joint-venture company for a licence area contravenes subsection (3); or

                     (d)  both:

                              (i)  there is only one special purpose company for a licence area; and

                             (ii)  the special purpose company contravenes subsection (7); or

                     (e)  both:

                              (i)  there are 2 or more special purpose companies for a licence area; and

                             (ii)  each of those special purpose companies contravene subsection (7);

the ACMA must, within 45 days after:

                      (f)  if paragraph (a) applies--the giving of the notice; or

                     (g)  if paragraph (b) applies--the the last day on which a notice could have been given under subsection (6) in relation to the licence area; or

                     (h)  if paragraph (c), (d) or (e) applies--the contravention;

advertise, in a manner determined by the ACMA, for applications for a licence to be allocated under subsection (23) for the licence area.

           (18)  Before commencing to advertise under subsection (17), the ACMA must, by legislative instrument, determine the eligibility requirements that must be met by persons applying for a licence in response to such an advertisement.

           (19)  The eligibility requirements determined under subsection (18) must include that the applicant has the capacity to provide the services that the licensee will be required to provide under clauses 7B, 7C and 7D of Schedule 2. This subsection does not limit other eligibility requirements that may be determined under subsection (18).

           (20)  The Minister may, by legislative instrument, direct the ACMA about the exercise of its powers under subsection (18).

           (21)  The ACMA must include in an advertisement under subsection (17):

                     (a)  a description of the matter mentioned in the applicable paragraph of subsection (17); and

                     (b)  the date on or before which applications must be received by the ACMA (the applications closing date ); and

                     (c)  a statement specifying how details of:

                              (i)  the licence area for the licence; and

                             (ii)  the eligibility requirements; and

                            (iii)  the conditions that will apply to the licence;

                            may be obtained.

           (22)  The applications closing date must be the 90th day after the day of publication of the first advertisement under subsection (17) that describes the contravention or cancellation concerned.

           (23)  If:

                     (a)  in response to an advertisement under subsection (17), the ACMA receives one or more applications for a licence; and

                     (b)  the applications were received on or before the applications closing date specified in the advertisement; and

                     (c)  the ACMA is satisfied that one or more of the applicants meets the eligibility requirements;

the ACMA must:

                     (d)  allocate the licence to one of the applicants referred to in paragraph (c); and

                     (e)  do so within 90 days after the applications closing date.

           (24)  Subsection (23) has effect subject to section 37.

Restrictions on transfer of licences

           (25)  During the period of 2 years after the date of allocation of a licence under this section, any attempt by any person to transfer the licence is of no effect.

Definitions

           (26)  In this section:

"applicable terrestrial digital television switch-over date" has the same meaning as in clause 7H of Schedule 2.

"wholly-owned subsidiary" has the same meaning as in the Corporations Act 2001 .