Broadcast reform bill gets the nod

The government hopes the broadcasting industry can pave the way to social and political change following the introduction of new legislation. The Cabinet endorsed the bill yesterday.

"We expect the law to be passed within this government's term; reform will facilitate political and social development," Prime Minister's Office Minister Thirapat Serirangsan said.

The law is part of government efforts to reform the broadcasting industry, governed until now by the 1955 Broadcasting Act - outdated and out of touch with present and future development of technology, Thirapat said.

"The current law cannot facilitate the operation of community radio and cable and satellite television. If the new law is passed, cable television operators such as ASTV, PTV and community radio can seek licences. This will solve their problems amid the absence of a National Broadcasting Commis-sion," he said.

Sukhothai Thammathirat Open University journalism lecturer and adviser to Thirapat, Vithayathorn Thorkaew, said a rush to implement the law was needed. He predicted that under an elected government the statute would be held up because of vested interests.

Nation Channel editor Adisak Limprungpatanakit said the legislation was a big move. All broadcasters - terrestrial, cable or satellite - would come under the same regulations.

"[Through greater transparency] there could be more cable operators and this will create new choices to benefit audiences as well as content providers," he said.

Though the law could be passed before the formation of a broadcasting commission and enforced by a provisional committee, he said it was better than having the Public Relations Department in sole charge of licensing.

Highlights of the bill's 92 articles include a clause to form a temporary committee chaired by the permanent secretary of the Prime Minister's Office. The director-general of the department or representatives of the National Police Bureau and the secretary-general of the National Telecommunications Commission will assist him. The Cabinet will nominate no more than five experts to the board.

It will be in charge of programming ratios, income generation and inventory of aired programmes. It is authorised to issue requirements on airtime allocation to outside content providers, as well as fees operators pay to content providers.

Once a broadcasting commission is formed, the committee will be abolished. However, the commission would not be empowered to revoke any action or decision made by the committee.

It was reported the Cabinet spent a long time debating the draft bill. Most questions were centred on the temporary board and the unit to govern the board. Defence, Information and Communications Technology, Interior and Transport and Communicat-ions ministers are concerned the law could have an impact on national security. They say the licensing process is too easy and operators could disseminate distorted information.

Some ministers are concerned the law will unequally benefit cable television.

The law classifies broadcasters into two: those operating on terrestrial frequencies and others by other means. Frequency-based operators are divided again into three: public, community and commercial. While the first two cannot make money from advertisements, the third can.

Meanwhile, Article 20 allows cable television operators to generate revenue from advertising. The clause demands commercial and cable licensees to contribute a portion of their "direct and indirect" advertising fees to a broadcasting fund that will allocate money for public and community purposes.

Radio licences issued under the new law will last seven years and television licences 15 years, with rights of renewal.

To avoid monopolies, the law brings all operators under the Competition Act and demands they not provide subsidies or own companies in related business.

It paves the way for cable television to seek revenue from advertisements. While saying commercial channels must pay annual contributions to the fund of no more than 5 per cent of all direct and indirect advertising income, cable television must contribute to the fund, too. However, the contribution from subscription-based broadcasting is calculated from the number of subscribers and income from direct and indirect advertisements and other service fees.

True Visions, which operates under an MCOT concession, will be issued a new licence. And, it is commanded to share revenue with the fund. Thirapat said the new contribution would be higher than the concession fee.

Free-to-air television stations will operate under existing concessions until they need to be renewed, then new licences will be required.

An ethics committee will be established, too.