European Commission launches consultation on PSB funding

by Tristan O'Carroll, mediaweek.co.uk 09-Apr-09, 10:35

LONDON - The European Commission has initiated a consultation on new rules regulating EU member states' funding of public service broadcasters.

Launching the consultation, the commission said Europe's public broadcasters receives more than €22bn annually from license fees or direct government aid, placing them in third place, after agriculture and transport companies, among recipients of state aid.

With even more funding expected in the coming years, as Europe's public service broadcasters' grapple with the switch to digital, the commission wants to clarify the rules regulating state aid.

Consequently, it wants to ensure commercial broadcasters are not disadvantaged from such aid.

The new proposals include requiring recipients of state aid to be technology neutral, or, offer their services across all distribution platforms, and ensure they retain their editorial independence.

Member states and the TV industry have been asked to submit their views on the proposed rules by 8 May. On the basis of the comments received, the commission intends to adopt a modernised Broadcasting Communication later this year.

Brussels' Competition Commissioner Neelie Kroes will lead the consultation.