Seanad debates

Wednesday, 18 June 2008

Broadcasting Bill 2008: Committee Stage (Resumed)

 

2:00 am

Photo of Seán PowerSeán Power (Kildare South, Fianna Fail)

As Senators have said, section 67 provides for a fast-track procedure in respect of radio licences where the incumbent is the only group interested in broadcasting to the chosen franchise area. This section derives from the radio licensing review in 2004. It tries to address the complaints of incumbent radio stations that they have to go to the significant expense of putting together an application for a new contract even when there is no other applicant.

It provides that if within 28 days of the publication of a public notice by the contract awards committee of its intention to use the fast-track procedure for the awarding of a sound broadcasting contract no other submission is received, the committee may invite the incumbent to make proposals to amend the terms of its existing contract. The fast-track system proposed under section 67(9) allows for a contract extension of up to five years. A member of this or the other House would be delighted to get an extension of five years. We realise we are speaking about a different situation here.

The term of five years was selected on the basis that it gave the broadcasting authority of Ireland sufficient time to review the question why there were no other applicants for the contract and to make adjustments to its licensing strategy to encourage future applications. A balance must be struck between ensuring existing radio contractors are not required to incur unnecessary expenses while at the same time encouraging competition in the sector. In view of the points made by both sides, I will discuss the matter with my colleague, the Minister, Deputy Eamon Ryan, and I hope we will be in a position to table a suitable amendment on Report Stage.

With regard to amendment No.108 on the term of any contract extension under a simulcasting contract, section 134 provides that the BAI may extend by up to four years the term of an FM sound broadcasting contract provided that the sound broadcasting contractor concerned is willing to provide its sound broadcasting service on a digital sound broadcasting multiplex. It should be noted that there is currently no proposal to switch-off FM radio and under the generous terms of section 134, broadcasters do not have to establish a multiplex platform but merely place their content on one to avail of the contract extension. Senator O'Reilly has made a very good case for that and there is much merit in his amendment. Again, I will be pleased to discuss the matter with my colleague, the Minister, Deputy Eamon Ryan, with a view to bringing forward a suitable amendment on Report Stage.

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