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Media Expert Ion Terguta: Solutions Are Not Easy, Given an Atypical and Chaotic Broadcasting Market

24 February 2016
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After Law no. 28 on modifying and supplementing the Broadcasting Code of Moldova entered into force on November 1, 2015, obliging media owners to submit declarations on their own responsibility regarding their properties in the sector, a minimum picture of the situation in the media took shape. Regarding market monopolization, we can offer several recommendations:
  • To modify the principles of creation of the Broadcasting Coordinating Council (BCC) and to remove this institution from under political influences.
  • To form multiplexes with national coverage based only on companies with original content. This mandatory condition would force companies with national coverage to invest more into their own program services.
  • To prohibit one and the same person from owning more than one TV company with national coverage. Currently, some high-ranked politicians own several TV channels, including channels with national coverage. The implementation of this law will limit the capacity of these persons to influence competition.
  • To air advertising exclusively in the Romanian language. This provision will create an additional barrier for access to the Moldovan television market. At the same time, it will stimulate growth of the amount of original advertising production and of marketing services.
  • To impose a 50% tax on the income from advertising for the companies that retransmit foreign content for free or for low prices. This recommendation is part of an eventual list of discouraging actions towards companies that do retransmissions. This money can be transferred into a special fund and directed for the development of the Moldovan television industry or for other purposes necessary for this sector.
  • To impose a 90% tax on the income of companies that receive income without conducting distinct activities on the TV market of Moldova. Currently, at least 2 foreign companies receive income on the Moldovan market without a minimal production activity in Moldova.
  • To establish the audience measurement company via public contest, under the control of the BCC and of the National Council for Protection of Competition. The involvement of these institutions will provide the guarantee of correct measurement and interpretation of data.
  • The State to participate in the funding of audience measurements for a minimum period of 4 years. The market’s fragility, the high degree of unfair competition and the strategic nature of this market oblige the state to engage into stabilization of the market.
  • To create an Agency for Public Communication. It should have the role of producing a concept of broadcasting development in addition to its purpose of creating a general concept of public communication in Moldova.