Seanad debates

Wednesday, 6 March 2019

Nithe i dtosach suíonna - Commencement Matters

Radio Broadcasting

10:30 am

Photo of Colm BurkeColm Burke (Fine Gael)
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Community and local radio stations play an important role in this country by providing information, giving local news and dealing with issues as they arise in the community. They give opportunities to people to express views and while Members may not agree with them, there is freedom of expression in this country. It is important that there should be a fair and balanced approach to how local radio stations are funded and to the levies imposed on them. There is a need to ensure they continue to provide a service and that radio stations are not on such tight budgets that they do not have the opportunity to do research on issues in their own areas or come forward with positive ways of progressing the issues that arise.

A report of the Joint Committee on Communications, Climate Action and Environment in November 2017, concerning the future funding of public service broadcasting, was debated in the Dáil on 29 March 2018. I need some clarification as to how the Government sees this matter progressing and how it proposes to deal with the issue independent broadcasters have raised.

Photo of Helen McEnteeHelen McEntee (Meath East, Fine Gael)
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I was asked by the Minister for Communications, Climate Action and Environment, Deputy Richard Bruton, to address the House to clarify the current position regarding the proposed amendments to the broadcasting levy.

I thank the Senator for raising this matter. It is understood throughout this House that local and national radio contribute an enormous amount to our society, not only by creating jobs and supporting businesses but by being an invaluable cog in the wheel of our democracy. My own local radio station, Louth Meath Radio or LMFM, is listened to and enjoyed by thousands of people every day, provides an invaluable service and holds us accountable. We have all had lively debates on our local radio stations and they are part of the democratic system.

The Government recognises that independent journalism, pursuing truth in the public interest, is an essential component of democratic accountability and any threat to the viability of the independent radio sector, where many prominent journalists are located or began their careers, has the potential to cause serious damage to our democratic processes. Commercial radio revenues have significantly declined in recent years and the Government notes that the ability of independent radio broadcasters to invest in uniquely Irish content is dependent on their ability to generate sustainable revenue in an environment where online social media and search engine platforms are taking a larger percentage of such revenue.

Regarding the broadcasting levy, it is the Government’s intention to allocate funding to the Broadcasting Authority of Ireland, BAI, from television licence receipts. The current proposal is that this would provide up to a maximum of 50% of the annual cost of the BAI levy, in turn reducing the levy burden on broadcasters by up to 50%. It also proposes to give the BAI greater flexibility to grant exemptions, deferrals or reductions in the levy for individual broadcasters or classes of broadcaster. This cannot, however, take place until the broadcasting (amendment) Bill containing these amendments is enacted. While I appreciate that this Bill is highly anticipated by the independent broadcasting sector, as well as many in this House and elsewhere, due to the complex nature of matters contained in this Bill, it is also of the utmost importance that proper due diligence is done and that it is robust. It is for this reason that it is currently still in the advanced drafting stage with the Parliamentary Counsel. I would also like to take this opportunity to caution that the BAI will still be required to make a revised levy order after the enactment of this Bill and, as such, any reduction will not be immediate.

It is expected that the Bill will be finalised and published in quarter 2 of this year, at which point it will then be brought through the legislative process in these Houses. In addition, to support local and community radio the Bill contains proposed amendments to the provisions of section 154 to allow for the creation of a new funding scheme that provides for the granting of bursaries to journalists in local or community radio stations. Independent radio stations have benefitted from the BAI sound and vision scheme. Funded from the licence fee, the scheme provided more than €494,000 to 77 different radio projects for broadcast on independent commercial stations in 2018.

I thank the Senators for the opportunity to discuss this issue. It is in the best interests of the State and our democracy that independent national and local radio is facilitated to invest and to continue to represent the interests of communities. That is why the Government has committed to the reduction of the current levy on independent broadcasters. The reduction in the levy will allow the independent broadcasting sector to continue its work informing the citizens of our nation, holding the institutions of State to account and creating a forum for healthy debate. Local radio, in particular, ensures that individuals and communities in isolated areas are catered for with tailored public service content. The onset of Storm Emma last year was an obvious example of when these stations came to the fore in providing local weather updates and keeping communities informed of road closures and service provision. The Department is engaging with the Parliamentary Counsel to ensure that the changes being made to the legislation are progressed and that the necessary assistance is provided to this vitally important sector.

Photo of Colm BurkeColm Burke (Fine Gael)
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I thank the Minister of State for a comprehensive reply. I hope this matter will be dealt with at an early date and that the issues which local and community radio stations have raised will be dealt with as soon as possible.

Photo of Helen McEnteeHelen McEntee (Meath East, Fine Gael)
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The Minister is very much aware of the urgency of this and we hope the legislation will be moved through the Houses and enacted as soon as possible.