Dáil debates

Thursday, 8 May 2014

Topical Issue Debate

Broadcast Advertising Standards Regulation

2:00 pm

Photo of Timmy DooleyTimmy Dooley (Clare, Fianna Fail) | Oireachtas source

RTE's refusal to broadcast Newstalk's advertising asking listeners to move the dial is an abuse of the State broadcaster's dominant position in the broadcasting sector. This restrictive approach to advertising is a direct attack on competition within the broadcasting market. Action must be taken to ensure RTE cannot hinder competition from independent broadcasters and it should accept the offer of revenue from Newstalk and run the advertisement.

I express my belief in the principle of public sector broadcasting and my recognition of the good work RTE has done through generations. I believe in the important role of a public service broadcaster to ensure its content is accurate and impartial and without external influence. That is the bedrock of what public service broadcasting should be about. I support this fervently and will continue to do so.

Having said that, when I see something I consider to be an abuse of a dominant position, I have a duty to raise the issue. There is no doubt that RTE enjoys a very privileged position, receiving approximately €180 million in licence fees from citizens and playing a central role in the nation's artistic, cultural and political life. At a recent meeting of the Joint Committee on Transport and Communications I supported delegates from RTE in their condemnation of the broadcaster's inability to deal with its budgeting position because of the Government's decision to withdraw upwards of €5 million in licence fee revenue which would normally come from the budget of the Department of Social Protection. I did so on the basis that reducing its funding in this way would make the operation of the public service broadcaster all the more difficult in the light of the significant competition it faced. However, with RTE's special responsibility and special position come serious responsibilities, one of which must be to avoid abusing its substantial power. By refusing advertising revenue from a legitimate business operation and blocking a rival broadcaster from advertising on its stations, RTE has abused that position. It looks like a simple and petty attempt to frustrate a commercial rival. The nonsensical reason given for blocking the advertisement serves only to reinforce that impression. Station bosses say they blocked it because it contained a call to action. My simple understanding of advertising in general is that the entire point of it is to function as a call to action, that is, a call to consumers to act in a certain manner, whether it is purchasing a product or availing of a service.

The Minister for Communications, Energy and Natural Resources, Deputy Pat Rabbitte, has hinted publicly that he shares my analysis. I call him to action by way of asking RTE management to reconsider its position. The broadcaster has worked hard in recent times to rebuild public trust after a series of high profile problems. I have complimented it on the efforts made in that regard and the changes in its management structure which will facilitate the rebuilding of confidence. Unfortunately, however, unforced errors like this clumsy attempt to damage a rival serve only to distract from the station's important work.

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