background briefing 2-2 ...............4

The Telstra deal

The Senate inquiry into the ABC/Telstra deal to sell and produce content for the telecommunications giant published an interim report in April. Darce Cassidy, the FABC president in South Australia, wrote our submission and gave evidence at the inquiry.

One of our concerns is the secrecy surrounding the negotiations - the deal came to public notice thanks only to a leak to the press. Darce had this to say:

'The process has not been transparent. I do not know how we could make it more transparent. Even if we are to do that, even if you do have a more transparent process and more oversight, as long as the ABC is receiving a significant percentage of its funding from a commercial source, there is a danger.'

The leaked confidential submission of staff representative on the board Kirsten Garrett maintains that the plan would usher 'a very large commercial organisation deep into the heart of the ABC, with a potential to be a Trojan horse, bringing pressures, advertising and dependency on the drip-feed of Telstra revenue.'

The DEMOCRATS recommended an alternative agreement be pursued 'solely for the sale and repurposing of ABC online content, subject to the strict application of ABC editorial policies and guidelines and a contractual undertaking by Telstra that ABC content is not to be materially altered'

It advised also 'that reference to future advertising revenues be removed.

That the ABC seeks to improve its monitoring of purchasers of ABC online content to ensure their fidelity to ABC editorial policies and guidelines, and that the ABC, in close consultation with its staff, introduce new measures to protect staff who wish to raise concerns about the ABC's editorial integrity and independence in the evolving online environment.'

More ground lost in Indonesia

'Back in the '60s, when I was the ABC's correspondent in Jakarta, the words Radio Australia were an Open Sesame. Quite literally, millions of Indonesians listened to RA's short wave broadcasts for an impartial news service and the Western pop music banned in the Sukarno era.

'Radio Australia was a tremendous diplomatic and cultural asset for our country, unmatched in the region.

'Not any more. In an act of spiteful, penny-pinching payback for the ABC, the confused Senator Alston gutted and filleted RA broadcasts to our north in 1996 and now we are barely noticed there.

'This week, audience research by the BBC World Service showed they had snatched our former pre-eminence, followed by the Voice of Malaysia. Radio Australia, where it can be heard, comes in a faint and distant third. How utterly stupid.'

Mike Carlton, SMH, 6/5/2000

From the LABOR senators:

'Provisions in the terms being negotiated give Telstra consultative rights in respect of meetings regarding content. Labor senators believe while consultation is important, this provision suggests Telstra will have the capacity to influence ABC decisions about content mix and genres for a commercial purpose. It may be more reasonable to renegotiate contractual arrangements in their entirety ... to avoid the perception of undue influence on ABC editorial decisions.'

All quotes above from Senate interim report

And on the COALITION senators' report, Errol Simper in The Australian, 20/4/2000, has this to say:

'With respect, the minority - dissenting - Government report (by Senators Ross Lightfoot and John Tierney) isn't deeply impressive. Indeed you could argue it is characterised by naivety and public broadcasting neglect. It describes the inquiry itself as 'interference' in board deliberations and goes on:

'In entering into this new commercial relationship we have every confidence the ABC will be able to carefully and expertly manage this transition.'

'It might perhaps be news to many ABC stakeholders that the corporation has been accorded legislative leeway to embark on a 'transition' of any kind into commercial relationships!'

The final report will be published later in the year.