Commonwealth Numbered Regulations

1991 No. 79 TELEVISION LICENCE FEES REGULATIONS (AMENDMENT) - REG 8

  8.1   After regulation 4, insert:
Rebate Scheme B-commercial television licence rebates

"5. (1) This regulation applies to a licensee who holds a commercial
television licence:

   (a)  in an approved market; and

   (b)  for which a fee is payable.

"(2) If:

   (a)  a licensee notifies the Tribunal in writing that the licensee claims a
        rebate of fees payable by the licensee for a commercial television
        licence in an approved market; and

   (b)  the Minister has directed the Tribunal under section 94S of the
        Broadcasting Act 1942 to extend the service area of that licence: and

   (c)  in a case where there is no unused credit amount in relation to the
        licensee-the licence has not been in force for more than 6 years since
        the direction was given; and

   (d)  the licensee has taken reasonable steps to comply with the
        implementation plan applicable to that licensee in respect of that
        licence; the licensee is entitled to a rebate of those fees.

"(3) If a licensee is entitled to a rebate of fees, the amount of rebate to
which the licensee is entitled for a year is:

   (a)  if the fee payable by the licensee is the fee payable on an
        anniversary of the date of commencement of the licence that occurs
        before the seventh anniversary of that date:

        (i)    while the licence is in force, or during the 24 months
               immediately following the expiration of the licence; and

        (ii)   after the Minister has directed the Tribunal under section 94S
               of the Broadcasting Act 1942 to extend the service area of the
               licence; and

        (iii)  if there is no unused credit amount in relation to the
               licensee; an amount equal to the amount of that fee, or
               $1,600,000, whichever is the lesser; and

   (b)  if the fee payable by the licensee is the fee payable on or after the
        seventh anniversary of that date-nil, unless there is an unused credit
        amount in relation to the licensee.

"(4) If a licensee is entitled to a rebate of fees and there is an unused
credit amount in relation to that licensee, the amount of rebate to which the
licensee is entitled for a year is:

   (a)  if the fee payable by the licensee is the fee payable on an
        anniversary of the date of commencement of the licence that occurs
        before the seventh anniversary of that date:

        (i)    while the licence is in force, or during the 24 months
               immediately following the expiration of the licence; and

        (ii)   after the Minister has directed the Tribunal under section 94S
               of the Broadcasting Act 1942 to extend the service area of the
               licence; an amount equal to the amount of that fee, or the sum
               of $1,600,000 and the unused credit amount, whichever is the
               lesser, and the unused credit amount is reduced by the amount
               (if any) by which the amount of rebate exceeds $1,600,000; and

   (b)  if the fee payable by the licensee is the fee payable on or after the
        seventh anniversary of that date-an amount not exceeding the amount of
        that fee, or the unused credit amount, whichever is the lesser, and
        the unused credit amount is reduced by the amount of rebate.

"(5) In spite of subregulations (3) and (4), if the Minister has directed the
Tribunal under section 94S of the Broadcasting Act 1942 to extend the service
area of a commercial television licence held by a licensee to a part of an
approved market, the amount of $1,600,000 referred to in subregulations (3)
and (4) is to be read as the amount worked out using the formula:
Service Area Population
    $1,600,000 x       --------------------------

Approved Market Population where: 'Service Area Population' means the number
specified, in a notice in force under section 91AAD of the Broadcasting Act
1942, as the population of the service area of the licence; 'Approved Market
Population' means the population of the approved market in which the licensee
holds the licence, as determined by reference to sections 91AAD and 94C of
that Act. Rebate Scheme B-consolidated licence rebates

"6. (1) If:

   (a)  one or more of the former licensees in relation to a consolidated
        licence would have been entitled to a rebate under regulation 5 for
        the former licence on the relevant anniversary in relation to that
        former licence; and

   (b)  the new licensee notifies the Tribunal in writing that the licensee
        claims a rebate of fees payable for the consolidated licence; and

   (c)  the new licensee has taken reasonable steps to comply with the
        implementation plan applicable to that licensee in respect of that
        licence; the new licensee is entitled to a rebate of those fees.

"(2) If more than one former licensee in relation to a consolidated licence
would have been entitled to a rebate under regulation 5 for a former licence
on its relevant anniversary, the rebate to which the holder of the
consolidated licence is entitled is to be worked out as if the relevant
anniversary referred to in subregulation (1) is the anniversary of the former
licence in relation to which the direction day first occurs.

"(3) If a licensee is entitled to a rebate of fees, the amount of rebate to
which the new licensee is entitled for a year is:

   (a)  if the fee payable by the new licensee is the fee payable on an
        anniversary of the date of commencement of the consolidated licence
        that occurs:

        (i)    before the seventh anniversary of that date; and

        (ii)   while the licence is in force or during the 24 months
               immediately following the expiration of the licence; and

        (iii)  if there is no unused credit amount in relation to one or more
               of the former licensees or the new licensee; an amount equal to
               the amount of that fee, or $1,600,000, whichever is the lesser;
               and

   (b)  if the fee payable by the new licensee is the fee payable on or after
        the seventh such anniversary-nil, unless there is an unused credit
        amount in relation to one or more of the former licensees or the new
        licensee.

"(4) If a licensee is entitled to a rebate of fees and there is an unused
credit amount in relation to one or more of the former licensees or the new
licensee, the amount of rebate to which the new licensee is entitled for a
year is:

   (a)  if the fee payable by the new licensee is the fee payable on an
        anniversary of the date of commencement of the consolidated licence
        that occurs before the seventh anniversary of that date:

        (i)    while the licence is in force; or

        (ii)   during the 24 months immediately following the expiration of
               the licence; an amount equal to the amount of that fee, or the
               sum of $1,600,000 and the unused credit amount, whichever is
               the lesser, and the unused credit amount is reduced by the
               amount (if any) by which the amount of rebate exceeds
               $1,600,000; and

   (b)  if the fee payable by the new licensee is the fee payable on or after
        the seventh anniversary of that date-an amount not exceeding the
        amount of that fee, or the unused credit amount, whichever is the
        lesser, and the unused credit amount is reduced by the amount of
        rebate.

"(5) In spite of subregulations (3) and (4), if the Minister has directed the
Tribunal under section 94S of the Broadcasting Act 1942 to extend the service
area of a commercial television licence held by a new licensee to a part of an
approved market, the amount of $1,600,000 referred to in subregulations (3) an
(4) is to be read as the amount worked out using the formula:
Service Area Population
    $1,600,000 x       -------------------------

Approved Market Population where: 'Service Area Population' means the number
specified, in a notice in force under section 91AAD of the Broadcasting Act
1942, as the population of the service area of the licence; 'Approved Market
Population' means the population of the approved market in which the new
licensee holds the licence, as determined by reference to sections 91AAD and
94C of that Act.". Note: Under subsection 94C(1) of the Act, each area that is
an approved market consists of the combined service areas of 2 or more
regional licences.
        Year 1     Year 2     Year 3     Year 4     Year 5     Year 6

          $ m        $ m        $ m        $ m        $ m        $ m
EXAMPLE 1
Fee       1.90       2.38       2.70       3.00       3.50       3.60

Rebate    1.90       1.78       1.60       1.60       1.60       1.60
In years 1 and 2, the amount of rebate to which the licensee would be entitled
under Rebate Scheme A would be greater than the amount to which the licensee
would be entitled under Rebate Scheme B. Consequently, in those years, Rebate
Scheme A would apply to the licensee who would be entitled to a 100% rebate in
year 1 and a 75% rebate in year 2. In subsequent years, the amount of rebate
to which the licensee would be entitled under Rebate Scheme B would be greater
than that applying under Rebate Scheme A. Consequently, in those years, Rebate
Scheme B would apply to the licensee who would be entitled to a rebate of
$1.60 million
EXAMPLE 2
         Year 1   Year 2   Year 3   Year 4   Year 5   Year 6   Year 7

           $ m      $ m      $ m      $ m      $ m      $ m      $ m
in each year. In cases where there is no unused credit amount brought forward
from previous years, $1.60 million is the maximum annual rebate under that
Scheme.
Note:   For a definition of "unused credit amount" see regulation 2.

Fee        0.95     1.80     2.00     2.25     2.50     2.60     2.70

Rebate     0.95     1.80     2.00     1.65     1.60     1.60      nil
Unused credit
amount     0.65     0.45     0.05      nil      nil      nil      nil
In year 1, the amount of rebate to which the licensee would be entitled would
be the same under either Scheme. Consequently, in year 1, Rebate Scheme B
would apply to the licencee who would be entitled to a rebate equalling the
amount of the fee payable ($0.95 million). The difference between that amount
and the standard maximum annual rebate under that Scheme ($1.60 million),
would be carried forward as an unused credit amount ($0.65 million). In year 2
and subsequent years, Rebate Scheme B would continue to apply to the licensee.
Rebates in years 2, 3 and 4 could not exceed the amount of the fee payable by
the licensee for each of those years and would be made up of the sum of the
standard maximum annual rebate ($1.60 million) and an amount deducted from the
unused credit amount brought forward from year 1. After year 4, there would no
unused credit amount left in relation to the
licensee.   Consequently, in years 5 and 6, the licensee would be

EXAMPLE 3
Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8
         $ m     $ m     $ m     $ m     $ m     $ m     $ m     $ m
entitled to a rebate of $1.60 million only, namely the standard maximum annual
rebate. In year 7, the licensee would not be entitled to a rebate because
where there is no unused credit amount brought forward from previous years
Rebate Scheme B operates for 6 years only.
Note:   For a definition of "unused credit amount" see regulation 2.

Fee      1.52    1.10    1.16    1.16    1.25    1.40    1.58    1.70

Rebate   1.52    1.10    1.16    1.16    1.25    1.40    1.58    0.43
Unused credit
amount   0.08    0.58    1.02    1.46    1.81    2.01    0.43     nil
As in Example 2 above, Rebate Scheme B would apply to the licensee. In years 1
to 6, the licensee would be entitled to rebates equalling the amounts of the
fees payable and, each year, the difference between those amounts and the
standard maximum annual rebate under Rebate Scheme B ($1.60 million) would be
carried forward as an unused credit amount. Where there is no
unused credit amount brought forward from previous years, Rebate Scheme B
operates for 6 years only. In this Example, however, at the end of year 6 the
licensee has an unused credit amount of $ 2.01 million. Consequently, in year
7, the licensee would be entitled to a rebate equalling the amount of the fee
payable ($1.58 million) and that amount would be deducted from the
unused credit amount. In year 8, the licensee would be entitled to a final
rebate of $0.43 million representing the remaining balance of the
unused credit amount.
Note:   For a definition of "unused credit amount" see regulation 2.