NATIONAL BROADBAND NETWORK COMPANIES ACT 2011 (NO. 22, 2011) - SECT 49 Productivity Commission inquiry

NATIONAL BROADBAND NETWORK COMPANIES ACT 2011 (NO. 22, 2011) - SECT 49

Scope

             (1)  This section applies if the Communications Minister has made a declaration under paragraph 48(1)(c) or (2)(a) that, in the Communications Minister's opinion, the national broadband network should be treated as built and fully operational.

Inquiry by Productivity Commission

             (2)  The Productivity Minister may, under paragraph 6(1)(a) of the Productivity Commission Act 1998 , refer the following matters to the Productivity Commission for inquiry:

                     (a)  the matter of the regulatory framework for the national broadband network;

                     (b)  the matter of the impact on future annual Commonwealth budgets of a sale of the Commonwealth's equity in NBN Co;

                     (c)  the matter of the impact on:

                              (i)  the supply of affordable broadband carriage services; and

                             (ii)  the supply of affordable carriage services (other than broadband carriage services); and

                            (iii)  equity and social inclusion;

                            of a sale of the Commonwealth's equity in NBN Co;

                     (d)  the matter of the impact on competition in telecommunications markets of a sale of the Commonwealth's equity in NBN Co.

             (3)  In referring the matters to the Productivity Commission for inquiry, the Productivity Minister must, under paragraph 11(1)(c) of the Productivity Commission Act 1998 , specify the period of 12 months beginning when the reference is made as the period within which the Productivity Commission must submit its report on the inquiry to the Productivity Minister.

Note 1:       Under section 12 of the Productivity Commission Act 1998 , the Productivity Minister must cause a copy of the Productivity Commission's report to be tabled in each House of the Parliament.

Note 2:       Under clause 3 of Schedule 2, the Parliamentary Joint Committee on the Ownership of NBN Co must:

(a)    examine the Productivity Commission's report; and

(b)    report to both Houses of the Parliament on that examination.

Matters to which Productivity Commission must have regard

             (4)  In holding the inquiry, and in preparing its report on the inquiry, the Productivity Commission must have regard to the following matters:

                     (a)  equity of access to broadband carriage services in:

                              (i)  metropolitan areas; and

                             (ii)  regional areas; and

                            (iii)  rural areas; and

                            (iv)  remote areas;

                     (b)  competition in telecommunications markets;

                     (c)  structural features of telecommunications markets;

                     (d)  power in telecommunications markets, including whether an NBN corporation has a substantial degree of power in any telecommunications market;

                     (e)  ownership and control of NBN corporations;

                      (f)  ownership and control of carriers or service providers by NBN corporations;

                     (g)  structural organisation of NBN corporations;

                     (h)  bundling of services supplied, or proposed to be supplied, by NBN corporations;

                      (i)  retail prices of services supplied using the national broadband network;

                      (j)  restriction of the investment activities of NBN corporations;

                     (k)  geographical coverage of the national broadband network;

                      (l)  technology used in connection with the national broadband network;

                    (m)  the need for maintenance, replacement and upgrading of technology used in connection with the national broadband network;

                     (n)  any other matters specified in a written determination made by the Productivity Minister;

                     (o)  such other matters (if any) as the Productivity Commission considers relevant.

             (5)  Subsection (4) of this section has effect in addition to section 8 of the Productivity Commission Act 1998 .

             (6)  Before making a determination under paragraph (4)(n), the Productivity Minister must consult:

                     (a)  the Communications Minister; and

                     (b)  the Finance Minister.

             (7)  A determination under paragraph (4)(n) is a legislative instrument, but section 42 (disallowance) of the Legislative Instruments Act 2003 does not apply to the determination.

Assumptions in report

             (8)  If, in arriving at a conclusion set out in its report on the inquiry, the Productivity Commission made, or had regard to, a particular assumption:

                     (a)  the report must set out that assumption; and

                     (b)  if making, or having regard to, an alternative plausible assumption would have had a particular effect on that conclusion--the report must set out that effect.

Substantial degree of power in telecommunications market

             (9)  For the purposes of this section, the question of whether an NBN corporation has a substantial degree of power in a telecommunications market is to be determined under Part XIB of the Competition and Consumer Act 2010 .

Matters relating to industry, industry development and productivity

           (10)  For the purposes of paragraph 6(1)(a) of the Productivity Commission Act 1998 , each matter mentioned in subsection (2) of this section is taken to be a matter relating to industry, industry development and productivity.