Seanad debates

Wednesday, 18 June 2008

Broadcasting Bill 2008: Committee Stage (Resumed)

 

2:00 am

Photo of Jim WalshJim Walsh (Fianna Fail)

I do not wish to prolong the debate. As I indicated on Second Stage I am broadly supportive of Senator O'Reilly's amendments. There is a need to ensure the timespan of the licence is sufficient to give security and confidence in investing in radio stations into the future. The proposed seven-year term of any contract is an issue. On Second Stage I would have said that the ten-year licence should be restricted to seven years, although that probably would not have had the support of the industry. While there is no amendment to that effect, there are issues pertaining to that aspect.

There is provision in the Bill to restrict monopoly of ownership in this area, which is essential. A colleague of mine mentioned to me today a concern he had in his area where two neighbouring local radio stations would have the one proprietor. There is mention also of common programmes and so on which could get away from the local benefit of these radio stations. That is regrettable. That licences would be sold on does not apply to broadcasting licences but to licences in other areas. The most notable one relates to the mobile phone industry where the State got a paltry return in comparison with the hundreds of millions of euro received by those who got the licence and ran the businesses for a short period and made a great deal of money out of it. I have no difficulty with people making money but from the State's perspective the asset in general will be the licence. We should ensure that is safeguarded. I am supportive of the amendment and ask the Minister of State to look at it. I accept that an increase in the five-year term to a seven-year term would be a step in the right direction.

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