30. 11. 2012

ANEM Recommendations for further implementation of the process of switchover from analogue to digital broadcasting

Starting from identified shortcoming and problems in the realization of the process of switchover from analogue to digital broadcasting thus far, and taking into consideration opinions and conclusions of the discussion led on ANEM round table "Cooperation between different actors in resolving the challenges of the digitalization process", held on November 21, 2012 in Belgrade, ANEM suggested the following to all other actors in this process:

1. It is necessary to carry out the further process of switchover to digital broadcasting in cooperation with broadcasters;

2. It is necessary to urgently develop the distribution network project, in consultation with the broadcasters;

3. It is necessary to consider options for additional analogue coverage until switchover;

4. It is necessary to legally regulate media service providing on other distribution platforms (cable, satellite broadcasting, etc.) by the set of media laws, whose drafting is currently underway;

5. It is necessary to create conditions for commercial multiplexes and market liberalization in the field of digital terrestrial broadcasting, as it is the case of other technologies;

6. Competent regulatory bodies to consider possibility of extending the licenses, in line with Article 59 Paragraph 3 of the Broadcasting Law, and to establish clear criteria for the extension of licenses; the broadcasters, being directly interested party, must be involved in that process;

7.  Ministry of Culture and Media to complete the media regulation in the shortest possible time and to propose to the Government the Law on Electronic Media, which should include solutions for giving legal authorization for the conversion of licenses and establishing the platform-neutral system of issuing licenses;

8. To respect the following principles when determining the costs of digital signal broadcasting:

- prices charged by ETV must be based on costs, not on the market model;

- media service providers should be informed, as soon as possible, on the position of regional head-ends, as well as on the manner and the form of the signal delivery, to be able to foresee their costs;

- media service providers should be, as soon as possible, provided with the information on coverage zones and when they are to be expanded, to ensure that media service providers would not be obliged to pay higher fees, since it is an outcome of the digitalization and not their own request;

- in determining service price list, ETV would need to carry out public consultations with all stakeholders and media service providers in particular.

9. RATEL should conduct new market analysis of the distribution of media content soon after the switchover to digital broadcasting, and if it determines the existence of ineffective competition in this market, to pronounce ETV as operator with significant market strength and prescribe appropriate regulatory obligations under the Law on Electronic Communications;

10. Authorities should consider the possibility of using the revenue from the sale of digital dividend for the purpose of covering the costs of forming the network for multiplexing and distribution, namely, for establishment of the Fund that would contribute to fair allocation of costs of digitalization, in order to prevent the situation in which only media service providers (currently, broadcasters) would bear the costs of the switchover.

ANEM submitted the Recommendations on November 30, 2012 to all stakeholders in this process - the Ministry of Foreign and Internal Trade and Telecommunications, the Ministry of Culture and Media, RATEL, RBA, ETV, RTS. ANEM will organize a meeting(s) with all stakeholders in this process, in order to discuss the possibilities and ways of implementation of these Recommendations.

ANEM Recommendations are available here (only in Serbian).