NATIONAL ASSOCIATION OF BROADCASTERS ORAL SUBMISSIONS TO ICASA ON THE DISCUSSION PAPER ON LOW POWER SOUND BROADCASTING

1. NATIONAL ASSOCIATION OF BROADCASTERS ORAL SUBMISSIONS TO ICASA ON THE DISCUSSION PAPER ON LOW POWER SOUND BROADCASTING 19 June 2003

2. MEMBERS OF THE NAB PANEL • Mr Humphrey Birkenstock – Deputy Chairman – NAB • Mr Johann Koster – Chief Executive Officer – NAB • Ms Pheladi Gwangwa – Primedia Broadcasting - NAB • Mr Peter Bretherick – Telemedia - NAB

3. PRESENTATION OUTLINE • THE NATURE/ROLE OF NAB • BACKGROUND • INTRODUCTION TO PROPOSALS • NAB PROPOSALS • COVERAGE AND INTERFERENCE PHENOMENA • CONCLUSION

4. THE NATURE / ROLE OF NAB • NAB leading representative of SA broadcasting industry: • the three television and the twenty radio stations of the SABC • all licensed commercial broadcasters in both radio and television • both the common carrier and the selective and preferential carrier licensed signal distributors • over forty community television and radio broadcasters • Aims to further the interests of the broadcasting industry by contributing to its development

5. BACKGROUND • NAB’S VISION FOR THE INDUSTRY • Flexible, vibrant and growing broadcasting industry • Consistent regulatory environment • Socio-economic development • Job creation • Increasing participation of black people and women in the industry

6. BACKGROUND • ICASA’s objects include: • Promoting the provision of a diverse range of sound and television broadcasting services on a national, regional and local level • Ownership and control of broadcasting service by persons from historically disadvantaged groups • Promoting the empowerment and advancement of women • Ensuring that broadcasting services are not controlled by foreign persons • Promoting the most efficient use of the broadcasting services frequency bands • Encouraging investment in the broadcasting industry • Promoting stability of the broadcasting industry

7. BACKGROUND • Purpose of the Discussion Paper is to stimulate debate on: – • ICASA’s statutory mandate and its approach to the regulation and licensing of low power sound broadcasting; • The meaning and effect of legal concepts such as public low power, commercial low power and community low power, the specific context of the Broadcasting Act and the IBA Act; • The viability (both in funding and expertise) of issuing low power sound broadcasting licences.

8. INTRODUCTION TO PROPOSALS • Introduction: • Existing regulatory framework for low power sound broadcasting found in s5(2) of the Broadcasting Act. • Broadcasting Act defines low power sound broadcasting as a community, private or public sound broadcasting service which radiates power not exceeding one watt. • Discussion Paper impliedly deals with terrestrial analogue low power sound broadcasting in isolation instead of holistic approach • ICASA developing position paper on secondary town/market licences • Finalising 4-year licensing process • SABC rollout in under serviced areas • Introduction of digital broadcasting and dual illumination

9. INTRODUCTION TO PROPOSALS • Regulatory environment must form a coherent whole • Low power sound broadcasting policies should be technology neutral and anticipate the introduction of digital broadcasting • The introduction of low power sound broadcasting should not hamstring existing broadcasters • Low power sound broadcasting should not further complicate efficient use of the broadcasting services frequency bands

10. PROPOSALS • Two types of low power sound broadcasting services found currently: • Illegal community/commercial services providing programming to localised audience (Category A) • With knowledge or permission of ICASA, providing audio delivery/diffusion service (Category B) • Current definition in legislation does not provide for Category B-type services • NAB proposes the expansion of low power sound broadcasting definition to include Category B services

11. PROPOSALS • Category B services: • Directional transmissions • Found in specific venue • Limited in duration • A less expensive alternative to leaky-feeder cable • NAB has no objection to the licensing of Category B low power sound broadcasting services.

12. PROPOSALS • Category B: • Clearly defined Category B licenses allows for efficient licensing procedure: • Application can be approved if satisfied that service falls within category • No need for public comment or public hearing • Licenses will contain specific broadcasting hours and specifics of audio delivery service • Programming and other regulatory requirements need not apply • Should not be allowed to generate revenue from advertising and sponsorship • Licenses should be renewable annually on payment of prescribed fees

13. PROPOSALS • Category A: • More problematic to ICASA and industry • 4-year community broadcasters very vulnerable and susceptible to changes in environment at this stage • Erosion of sources of income and listenership base of existing services • Intention and objective of licensing low power services not clear

14. PROPOSALS Category A: • ICASA should not licence low power sound broadcasting services until: • 4-year community sound services have been licensed • position of secondary town/markets have been finalised • Delay in licensing low power sound will allow for: • 4-year community radio to establish in market • thorough study of impact on other services • impact on revenue streams of other services • removing current illegal services and cleaning frequency spectrum

15. PROPOSALS Category A: • Should ICASA choose to licence Category A-type services: • Procedure for licensing should be similar to community/private/public sound broadcasting services • Licensing process should be transparent and allow for public comment • Licence fees for use of spectrum • Should meet the same regulatory requirements as other broadcasters • Advertising and sponsorship should be sourced within broadcasting area • No entity be allowed to own attributable interest in two or more Category A services within 10 kilometer radius • Licence term should not exceed 2 years

16. PROPOSALS General: • Single or small number of frequencies for use nationally • FM frequency band more suitable • identified frequency must enjoy full protection in line with legislative provisions • No foreign ownership be allowed

17. COVERAGE AND INTERFERENCE PHENOMENA • Section 5 of discussion paper not fully cognisant of technical issues related to coverage and interference phenomena. • ERP of 1 watt refers to radiated power and not to coverage radius • Interference is bi-directional phenomenon and ICASA should ensure that service does not cause interference and is protected from interference • Discussion paper not clear on what legislation or regulation limits antenna height to 10 meters • In light of above the limit of 1 watt ERP should remain • Effective antenna height should not exceed 37.5 meters

18. CONCLUSION • NAB proposals constitute a clear framework for regulating low power sound broadcasting services • ICASA must regulate in manner that promotes the growth of the industry and the empowerment of persons from historically disadvantaged groups • In opening up additional markets, ICASA must not threaten viability of existing licenses

19. Thank You