Published Impact Analyses

On 23 May 2011, the Australian Prudential Regulation Authority announced [] enhancements to the Basel II regulatory framework. The measures are designed to increase transparency and risk management for banks through their minimum capital requirements, risk management practices and public disclosures. The measures include:

• higher capital requirements to capture the credit risk of complex trading activities;
• higher risk-weightings for particular exposures;
• changes to valuation practices; and
• increased transparency requirements.

The Regulation Impact Statement was prepared by the Australian Prudential Regulation Authority and was assessed as adequate by the Office of Best Practice Regulation.

In November 2010, State, Territory and Commonwealth Health Ministers agreed to conduct a national consultation on options for strengthening the regulation of those health practitioners where statutory registration is not a prerequisite for practice (those known as 'unregistered health practitioners'). The national consultation is to consider whether there is a need for strengthened regulatory protections for consumers who use the services of unregistered health practitioners, and if so, what these should be and how they should be structured and administered. A consultation paper was released by the Australian Health Ministers’ Advisory Council (AHMAC) in February 2011 outlining options for strengthened regulation. The paper was assessed as adequate by the Office of Best Practice Regulation as a consultation Regulation Impact Statement

On 26 May 2011 the Government introduced a bill into Parliament that, if passed, will impose financial reporting requirements on large operators of long day care centres. The intention is to enable closer scrutiny of the financial viability of operators that run more than 25 centres. The changes will also allow the Department to conduct an independent audit in cases where the financial monitoring raised viability concerns. The Regulation Impact Statement was prepared by the Department of Education, Employment and Workplace Relations and was assessed as adequate by the Office of Best Practice Regulation.

On 26 May 2011, ACMA announced planning principles for restacking digital television channels. Radio spectrum in Australia is managed by the Commonwealth Government through ACMA. Spectrum can be used for many activities including television and mobile internet. The decision to switch off analog television services has freed up significant amounts of spectrum which could be used to provide new services – the ‘digital dividend’. There are three key areas of work related to yielding the digital dividend. The first is completion of the switchover to digital television, which results in the cessation of analog television services. The second is the process of clearing digital television services from the identified digital dividend band. The third is the configuration and allocation of the cleared spectrum to new users.

On 27 May 2011, the members of the Select Council of Gambling Reform (consisting of Commonwealth, State and Territory Gambling Ministers) announced that all new gaming machines will be required to have pre-commitment functionality from a date to be agreed. Pre-commitment functionality allows gaming machine players to set a maximum expenditure limit over a selected period of time. The Council of Australian Governments (COAG) best practice regulation requirements apply to decisions by ministerial councils or other bodies where there is a reasonable expectation of widespread compliance. Under the COAG requirements a Regulation Impact Statement (RIS) is prepared for the consultation stage, and for the decision stage.

On 25 May 2011, the Minister for Resources and Energy released the Australian Government’s final response to the Report of the Montara Commission of Inquiry.

On 12 November 2010, the Australian Health Ministers’ Conference endorsed a set of National Safety and Quality Health Service Standards and a Model National Accreditation Scheme and decided to apply them. Both the Standards and Accreditation Scheme were developed by the Australian Commission on Safety and Quality in Health Care. The Standards are an explicit statement of the level of care consumers should be able to expect from health services. The Model National Accreditation Scheme provides the process for accreditation of health services organisations and reporting of performance against the Standards.  The Australian Commission on Safety and Quality in Health Care prepared a decision making RIS that was provided to the Australian Health Ministers’ Conference for their decision.  The RIS was assessed as adequate by the Office of Best Practice Regulation.

On 27 May 2011, the ACMA announced that it intends to sell new spectrum licences in the 2.5 GHz band. The reallocation of this spectrum will help to address increasing demand for mobile broadband.   This is the first step in the implementation of the outcomes of the review of the 2.5 GHz band and is intended to ensure that the band is deployed for its highest value use. The ACMA also announced its intention to convert apparatus licences currently held by the free-to-air commercial television broadcasters and the ABC for electronic news gathering operations into spectrum licences in the mid-band gap of the 2.5 GHz band.

On 10 May 2011, the Treasurer announced changes to improve compliance with taxation obligations by contractors and sub-contractors in the building and construction industry.  The introduction of a reporting regime provides a framework for improving contractor compliance. Under the proposal, businesses in the building and construction industry will be required to report payments made to contractors in that industry to the Australian Taxation Office.

On 10 May 2011, the Government announced the implementation of the election commitment to strengthen the tax law to counter fraudulent phoenix activity.  Phoenix activity involves a company intentionally accumulating debts to improve cash flow or wealth and then liquidating to avoid paying the debt.  The business is then continued as another corporate entity, controlled by the same person or group and free of their previous debts and liabilities. With effect from 1 July 2011, the director penalty regime will be extended and the Australian Taxation Office will be given greater powers.  The Regulation Impact Statement was prepared by the Treasury and has been assessed as adequate by the Office of Best Practice Regulation.