Ireland: Irish Legislative Proposals for the Introduction of Digital Terrestrial Television

In Ireland, the recently published Broadcasting Bill provides for the eventual replacement of the current analogue transmission system, by Digital Terrestrial Television (DTT). The Director of Telecommunications Regulation has also produced a consultation paper outlining her plans for licensing DTT transmission.

The Broadcasting Bill, 1999 envisages the transfer of the benefits of certain broadcasting and related licences granted to RTE (the national broadcasting authority) under the Broadcasting Authority Acts and the Wireless Telegraphy Acts to a company to be designated by the Minister for Arts, Heritage, Gaeltacht and the Islands. The Bill also facilitates the transfer by RTE of its existing transmission infrastructure to the designated company in exchange for a shareholding in that company.

The Bill further provides that the designated company will be licensed by the Director to establish, operate and maintain the DTT infrastructure in Ireland, which will comprise of six digital multiplexes, which essentially are electronic systems that enable the transmission of broadcasting services by digital terrestrial means.

The Director proposes to provide for two separate licences to be issued under the Wireless Telegraphy Act, 1926, which will be solely and specifically referable to DTT transmission activities:

(1) a Programme Services Multiplex Licence, which will allow a multiplex provider to combine broadcasters’ digital signals into a programme service multiplex; and

(2) a Digital Terrestrial Transmission Licence, which will allow a DTT transmission service provider to modulate the programme service multiplex and to transmit it in the television broadcasting bands.

Under the terms of the Broadcasting Bill, the licence to be issued by the Director will authorise the operation of six digital multiplexes. The Director intends that among the activities which will be authorised under this licence will be the encoding of audio and video signals, the combining of these with programme associated data, the operation of a statistical multiplexer and the operation of a conditional access system. The Director also intends that this licence will provide the framework for any future licensing of regional or local multiplexes.

The purpose of the multiplex licence will primarily be to provide for the preparation of television programme services for transmission.

In order to ensure that programme services are made widely available, it is intended that the terms of the licence will prohibit the licensee from refusing to supply services to a member of the public if, in the opinion of the Director, the refusal is unreasonable.

Prior approval and relevant licences will need to be obtained from the Director (subject to any applicable EU and national law) in respect of any additional services (i.e. other than those included in the licence) that are included within a programme service multiplex. An example of this would be indirect broadcast services. The Director has pointed out in particular that the licence will not extend to telecommunications services.

At present, it is proposed that the licence will be issued for a period of 15 years, and that the licensee will be required to pay fees calculated on the basis of 3.5% of gross revenue arising from the provision of licensed services, payable on a quarterly basis. This reflects the current fee payment structure referable to digital cable and digital Multipoint Microwave Distribution System (MMDS) programme service distribution. (Earlier this year, regulations for digital cable and digital MMDS licences were published and licences were issued to four operators.)

The Director intends to attach a set of technical conditions to the licence. These can be summarised as follows:

(1) The minimum encoding standard for video is specified to allow for the introduction of

High Definition television ("HDTV");

(2) The minimum picture quality for original source programming has been set at a standard above that normally available in Ireland to date (so as to ensure a higher standard of service than currently provided);

(3) The Director will re-examine the encoding standards as technology advances;

(4) The minimum audio quality has been set to provide at least as good a service as is available by the current NICAM service (but the licensee may specify the use of surround sound, if desired); and

(5) A minimum set of Programme Specific Information has been specified to ensure that services, such as electronic programme guides, function correctly.

The Director proposes a requirement that a common price for DTT programme services will apply, irrespective of location, but does not propose to require prior written approval for prices. The Director, will retain the power of investigation and will issue binding directions in relation to prices, if necessary.

The digital terrestrial transmission licence will authorise the designated company to modulate the programme services multiplex and to transmit it in the TV broadcasting bands. The Director intends that the programme services multiplex licence and the digital terrestrial transmission licence will be coterminous.

As with the multiplex licensee, the DTT transmission licensee will be required to maintain separate accounts for its activities under the licence in order to ensure transparency in its operations and to inhibit cross-subsidisation between its licensed operations and other operations.

The Director has outlined the following policy goals relating to the introduction of DTT.

(1) the universal availability of national television services;

(2) the provision, as far as possible, of universal access to re-transmission of UK television services;

(3) the competitive development of communications infrastructure and multi-media services; and

(4) the minimisation of disruption to the public as a result of any changes in transmission technologies or spectrum use.

Following the introduction of DTT, the Director intends that programme services will be broadcast for a transitional period in both digital and analogue modes. The Director has set out a non-exhaustive list of factors which she believes will influence the decision as to when to terminate the provision of analogue television services. They are:

(1) the speed at which digital services are made available by suppliers, i.e. the proportion of the population who are able to receive digital signals;

(2) the extent to which digital services are subscribed for by customers, i.e. the proportionof the population who have digital equipment in their home;

(3) the cost of digital equipment relative to consumers’ ability to pay;

(4) international level agreements and requirements; and

(5) spectrum needs for other uses.

The Broadcasting Bill is currently moving through parliament, it will come into force early in the new Year.

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