The Nationals Senate team welcomes the report of the Senate Environment and Communications Legislation Committee into the Broadcasting Legislation Amendment (2021 Measures No.1) Bill 2021.
The Nationals senators support all the recommendations of the committee and encourage the Government to explore options to promote further investment in, and production of, Australian dramas and other content by developing local content criteria across all platforms including free-to-air and subscription television, as well as streaming video on demand services.
Australian scripted drama provides a unique opportunity for our nation to tell our stories, to entertain through our own voices and to share our culture with the rest of the world.
The value-add from producing new Australian drama is not limited to the arts industry, with the economic stimulus boosting the location economy and the economy more broadly. While acknowledging that creative industries remain predominantly based around metropolitan areas, the Regional Australia Institute reported that employment in creative industries had been growing in regional areas, up 21 per cent from 2011 to 2016. For example, Hacksaw Ridge while filmed predominantly in and around studios in Sydney saw almost half of its $40 million dollar budget spent in the regions for the location specific filming.
The Committee also heard from witnesses who explained the tourism benefits that are gained through Australian drama. By showcasing the Australian landscape, domestic and international visitors seek to experience for themselves the regions they have seen in their favourite movies and series. Places like Broken Hill, a star location of Pricilla Queen of the Desert have grasped the notoriety they have gained through Australian drama and built ongoing economic opportunities as a result.
Screen Australia’s submission to the Inquiry into Australia’s Creative and Cultural Industries and Institutions noted the significant economic impacts that local and foreign production has on stimulating spend, jobs and tourism in regional areas. The submission highlighted the importance of production to Indigenous Australian creators and communities, providing an example of the $1 million generated spend in the Northern Territory by the feature film, Sweet Country. The submission also referenced the growth in creative industry employment in regional areas and the economic value screen brings to non-metropolitan areas being recognised by state and territory governments. Investment in film studio facilities in the Northern Rivers area of New South Wales further evidences the economic benefits that screen production can generate in rural areas, highlighting the importance of drama creation being encouraged and supported by Government.
The New Eligible Drama Expenditure Scheme (NEDE) has been valuable in attracting expenditure to create Australian scripted, local dramas. It allows Australian audiences to access Australian stories and voices, while creating economic benefits and jobs in the production sector.
NEDE currently only applies to subscription television services, like Foxtel, while streaming services such as Netflix or Amazon have no such Australian content obligations. The Nationals Senators acknowledge the service provided in regional areas by Foxtel, which gives viewers access to a choice through subscription satellite services. They also acknowledge the commitment to Australian content by Foxtel as evidenced by the many quality drama series that have been purchased by Foxtel or commissioned in conjunction with the Foxtel business. Foxtel also provides an avenue to international audiences for this Australian produced content.
Other opportunities to strengthen the creation of Australian drama should be explored. The committee heard suggestions including the expansion of the NEDE to include all streaming services. The Nationals senators note that the Government is in the process of consultation through the Media Reform Green Paper investigating options to regulate Australian content across all platforms.
Evidence was given in the inquiry by the Australian Cinematographers Society that the European Union set a requirement for Netflix to have a 30 per cent quota and this did not affect Netflix’s business. The Department of Infrastructure, Transport, Regional Development and Communications (the department) gave evidence that obligations on streaming services have been introduced in Europe as a provision requirement, rather than a spend requirement and that prominence arrangements have also been imposed on European works. The department also submitted that Canada is considering a power for its regulator to impose obligations or requirements on subscription services. The Nationals note the late correspondence by the Australian New Zealand Screen Association refuting a blanket quota in Europe, however its correspondence also identifies proposed quotas in European countries ranging from 0–20 percent, therefore supporting the assertion that other countries are implementing local content quotas.
In responding to questions taken on notice during the hearing the department outlined further examples of measures that have been implemented by several jurisdictions to support the production and provision of local content by providers of audio-visual media services.
Therefore, the Nationals senators support exploration of options that would further increase the production of Australian content, particularly dramas, through NEDE or similar schemes applied to all services including streaming, subscription and free-to-air. This would potentially expand the creation of Australian drama content and provide more opportunity for Australian stories to be heard across a broader array of broadcasting services.
Senator Perin Davey
Participating Member