Senator the Hon Stephen Conroy

Minister for Broadband, Communications and the Digital Economy

DEPUTY LEADER OF THE GOVERNMENT IN THE SENATE

Address to the Australian Communications and Media Authority & Communications Alliance Consumer Dialogue 2008, Sydney

Tuesday, 22 July 2008

It is a pleasure to be here today at the second annual Communications Consumer Dialogue.

This really is a great opportunity for us to consider the effect technology is having—and will continue to have—on our society.

Ten years ago, in the days of 2G mobile phones and dial-up internet, who could have predicted the way we would embrace technology in this country?

The impact on individuals, communities and the nation has been profound.

The possibilities for technology to make a positive difference in our communities now seem almost endless.

Broadband, the internet, networked applications and ICT services are a vital driver for our future prosperity.

They fuel creativity, invention and innovation.

They encourage entrepreneurial activity and create opportunities for new business models.

And they help build connections between individuals and communities.

Technology is providing new ways for us to interact with others and is improving the quality of life for people right across society.

Many people with disabilities, for example, are now using the internet and other applications to engage more with their communities, with greater independence and safety.

The internet is also helping tackle global challenges such as improving energy efficiency and addressing climate change.

Technology is creating efficiencies and boosting productivity in almost every sector of the economy from agriculture, to finance, transport, education and health.

Australian farmers are now growing hydroponic tomatoes with the help of computers that ensure that the temperature, nutrients and amount of water, are all ideal.^[1]

We have exported traffic flow technology to the world to improve the way traffic control systems operate and help cut down on emissions.

Students in the most remote parts of Australia are using the internet to see their teachers for the first time and interact with them in ways they were never able to do with radio.

And our doctors are able to diagnose patients remotely with the help of online records access and high-resolution video-conferencing.

Aside from the economic gains, this technology is really making a difference to people’s lives and to our communities.

Looking more closely at ICT advances in education and health—the extent of the potential benefit becomes more clear.

When young people, who are often forced to relocate to cities to study at university, are now able to stay with their friends and families and do their university studies online then the community benefits.

When elderly patients can be treated remotely by a specialist and do not have to travel away from home, the community benefits.

The Australian Government is ensuring these kinds of outcomes are spread throughout Australia.

The Clever Networks program, for example, is delivering innovative broadband services to communities in regional, rural and remote Australia.

Forty eight projects are receiving funding, and their total value exceeds $270 million, with the Australian Government contributing $105 million.

Many of these projects apply forward-thinking ideas to help provide essential services and ultimately benefit the wider community.

One example is the Clever Health project in the Grampians, which links emergency care and maternity patients with healthcare expertise through broadband video-conferencing technology.

Projects like this are bridging the gap between metropolitan and non-metropolitan areas in the delivery of key services and are helping boost the effectiveness of service delivery.

And of course, the $4.7 billion National Broadband Network and the $1 billion Digital Education Revolution are fundamental to ensuring all Australians can take part in a digital world.

It is clear that productivity is now intimately related to connectivity.

More connected consumers contribute to the economic and social wellbeing of our nation, and to our international competitiveness.

The future looks bright, but realising our full potential will require a sustained effort by the industry that produces the technology, the consumers and businesses that purchase it, and government.

In balancing the needs of industry and consumers, the Australian Government has put a range of activities and policies in place that empower consumers in this rapidly changing environment.

We support self-regulation, which has delivered consumer benefits in the form of innovation and competition and the development of industry codes of practice.

It has also led to a successful independent alternative dispute resolution mechanism in the form of the Telecommunications Industry Ombudsman.

This self-regulation is underpinned by strong consumer safeguards put in place by Government and our willingness to act when required to ensure the continued protection of consumers.

In playing its part, industry must remain responsive to consumer concerns and work with consumer organisations and regulators to come up with solutions as problems emerge.

I welcome the current development by industry of a revised code of practice relating to mobile premium services and look forward to this being in place later this year.

But I think that industry needs to do more.

Industry members need to take greater responsibility for ensuring compliance with self-regulatory codes and deal with consumer complaints promptly.

Otherwise, they risk undermining confidence in self-regulation.

The Government would then have little choice but to consider a more interventionist approach.

Just like any other business, a sustainable telecommunications industry relies on maintaining a healthy relationship with consumers.

It is in the industry’s interests to ensure people are well-informed and that their needs and preferences are taken into account in market developments.

I recently attended the OECD Ministerial Meeting on the Future of the Internet Economy in Seoul.

This meeting recognised the critical role of consumers in stimulating innovation, service quality and price competition in the market place.

Consumers benefit from competition, but they also initiate it and sustain it.

Australia adopted the Seoul Declaration For the Future of the Internet Economy on 18 June 2008.

Among other things, it declared that, in order to contribute to the development of the Internet Economy, we will ensure that convergence benefits consumers and businesses.

This entails providing consumers and businesses choices with respect to:

• connectivity
• access and use of internet applications
• terminal devices and content, and
• clear and accurate information about the quality and costs of services.

The Seoul Declaration also aims to ensure that consumers benefit from effective consumer protection regimes and from meaningful access to fair, easy-to-use, and effective dispute resolution mechanisms.

It is important to understand, however, that improving the interaction between service providers and consumers is not just a matter for industry—consumers must also contribute solutions.

A strong consumer voice is essential in a self-regulatory environment, particularly in the development of industry codes.

This is where I believe there is great room for improvement.

Last month, I announced funding to help establish a new telecommunications peak body to provide telecommunications consumers with a stronger unified voice.

This peak body will expand current consumer representation and build on the capacity and expertise that already exists.

A working group of consumer representatives has been set up to develop a model for the new peak body, and I look forward to its report later in the month.

I expect that industry will work effectively with the new peak body, and this will result in consumers being better empowered and protected.

It will also provide benefits to industry through a clearer understanding of the consumer issues that drive market innovation and development.

This will lead to better services and products and, hopefully, fewer consumer complaints.

Keith Besgrove from my Department will be talking more about this in a few moments.

I also see that future models for empowering and protecting consumers and the power of partnerships in building communities are on today’s agenda.

I certainly welcome the contribution that today’s discussions will make to our understanding of consumer needs and policy development.

This is a timely discussion because change is occurring quickly and we need to share our understanding and consider how best to harness the benefits of technology for our communities.

Endnotes

www.abc.net.au/landline/content/2006/s2247329.htm