Oireachtas Joint and Select Committees

Thursday, 20 May 2021

Joint Committee on Media, Tourism, Arts, Culture, Sport and the Gaeltacht

General Scheme of the Online Safety and Media Regulation Bill 2020: Discussion (Resumed)

Mr. Rory Coveney:

I thank Senator Cassells. I think he asked three separate questions: one about a digital tax, a second about our view on political ads and what should happen to them and a third about flexibility and minutage.

As for the digital tax, what we have been party to, as has Mr. Esslemont in TG4 and a broader sectoral group, is looking at how content levies have been introduced across Europe and how they might be applied in Ireland. I know the committee will deal with that substantive issue next week in the context of the submission we made. That is somewhat different from a digital tax. A digital tax is an equally valid issue which is largely to do with the exchange of value between publishers, largely news publishers, and social media platforms. The two are therefore somewhat different things. The content levy envisaged under the AVMS directive and set out in head 77 of the Bill as an option to be introduced is specifically about premium feature content - long-form content, drama, animation, etc. - and how it can be sustained and grown in Ireland. Our unambiguous view is that, ultimately, there are people making an awful lot of money from subscription services, advertising services and a range of other services from Irish households, and we do not believe the corresponding investment in Irish programming is happening. The whole purpose of the proposal we have put forward, in conjunction with a range of innovative producers and with TG4, is to see how this could be remedied over time. It is a proposal. The Bill sets out that the media commission, once established, would have to consider this and a range of issues and the impact of all them. We think it is certainly a valid area of inquiry and potentially a valuable source of investment for Irish IP.

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