Pat Rabbitte (Dublin South West, Labour) | Oireachtas source

The programme for Government commits to examining the role and collection of the television licence fee in the light of the existing and projected convergence of technologies and the transforming of the television licence into a household based public broadcasting charge to be applied to all eligible households and applicable businesses, regardless of the device used to access content or services. In line with this commitment, my Department is involved in the ongoing analysis and policy development work that is necessary in advance of implementation of any change that may be required.

Whatever the system of funding, the rationale for providing funding will continue to apply and any change that may be implemented must continue to provide a secure funding base for public service broadcasting and content. It is also important that any change to the system of funding should take account of the reality of new mechanisms to access such content and services and the pervasiveness of such content in today's society. Publicly funded public service broadcasting and content are now available to everyone on an ever-increasing range of platforms and devices and, in fact, access is not dependent on the ownership of a device. In short, everyone benefits from the availability of these services, regardless of how content is accessed or relayed to the public and, therefore, it is my view that the cost should be borne by society as a whole.

The replacement of the existing funding system based on the collection of television licence fees with a system based on the imposition of a device-independent charge on eligible households and businesses is a complex process and the logistics involved require thorough attention. Issues such as identifying the most appropriate collection method, exemptions and enforcement mechanics require detailed consideration and all have a bearing on the timeframe for implementation.

As I have previously indicated to the House, the Department is carrying out a value for money policy review, conducted by an independently chaired group, on the proposed policy. I expect to receive a copy of the group's recommendations and report for my consideration at the end of March.

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As the Deputy will be aware, revenue derived from the current model of funding is allocated to RTE, TG4 and also to independent broadcasters through the Sound and Vision fund that is operated by the Broadcasting Authority of Ireland, BAI. I am willing to consider proposals from other broadcasting organisations with regard to the future distribution of funding. However, I have yet to be convinced that the distribution of public funds to independent commercial broadcasters represents a sound proposition in terms of policy for the sector. In line with its legislative obligations, the BAI is undertaking a review of the adequacy or otherwise of the public funding provided to public service broadcasters. As part of this review, I have asked the BAI to consider the potential impact on these broadcasters if television licence receipts were further distributed to the independent broadcasting sector.

In terms of any changes, it needs to be understood that many specific rules surrounding the distribution of public broadcasting funding sourced from the TV licence fee have been put in place as a result of the state aid clearance from the European Commission. Any changes would require similar approval. In respect of the specific proposal from independent broadcasters for access to a share of TV licence fee funding, there are several considerations arising. There would be a direct impact on commercial local radio stations in terms of the content they are obliged to produce, and on the finances of individual broadcasters. There would be a potentially significant impact on public service broadcasters that receive public funding. Significantly, this would also apply to other media service providers which are not currently in receipt of public funds. Furthermore, such a proposal raises a potential scenario in which licences that had been advertised as protected national franchises would be changed during the franchise term.

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