Senate Should Demand Cost-Clarity From Government Before Passing Data Retention Laws

March 23, 2015-

Sydney, 23 March 2015 – Senators considering the Government’s data retention legislation this week should stand up for Australian telecommunications consumers and demand that the Government clarify what it will contribute to the cost of the scheme, Australian Telecommunications Alliance urged today.

Australian Telecommunications Alliance CEO, John Stanton, said it was unreasonable for the Government to push for the legislation to be passed into law before providing detail on its commitment to contribute to up-front capital costs that consultants estimate could cost more than $319 million.

“We are not asking Senators to block the Bill, but simply to delay its passage until Government provides some detail about the contribution it has promised to make – given that telecommunication users will inevitably shoulder much of the burden of any Government shortfall,” Mr Stanton said.

Last week a broad coalition of the CEOs and senior executives of sixteen service providers wrote to Ministers to request that the Government clarify its promise – a request that so far appears to have elicited no response.

“Once the Bill passes the Senate any pressure on Government to make its promised “reasonable” or “substantial” contribution to the cost impost disappears – and Australian consumers are at the mercy of the Expenditure Review Committee,” Mr Stanton said.

The Government reported in its Autumn Repeal Day documentation, released last week, that the data retention regime was estimated to cost industry an additional $73.8 million per annum in increased compliance costs.

Mr Stanton said the Government should spell out the dollar value of its contribution, or at the very least the percentage of the total cost that it will contribute.

“The Government must also spell out how it proposes to apportion the funds among the hundreds of service providers that will have to invest in new systems to be able to comply with the data retention requirements.

“Genuine concerns have been expressed by smaller service providers that the costs being imposed by Government could limit their ability to compete in the market or drive them out of business.”

ABOUT COMMUNICATIONS ALLIANCE

Australian Telecommunications Alliance is the primary communications industry body in Australia. Its membership is drawn from a wide cross-section of the communications industry, including carriers, carriage and internet service providers, content providers, platform providers, equipment vendors, IT companies, consultants and business groups.

Its vision is to be the most influential association in Australian communications, co-operatively initiating programs that promote sustainable industry development, innovation and growth, while generating positive outcomes for customers and society.

The prime mission of Australian Telecommunications Alliance is to create a co-operative stakeholder environment that allows the industry to take the lead on initiatives which grow the Australian communications industry, enhance the connectivity of all Australians and foster the highest standards of business behaviour.

Media information contact:
info@austelco.org.au

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