[ad_1]
South Africa’s Minister for Communications and Digital Technologies, Stella Ndabeni-Abrahams, recently published a white paper proposing a complete overhaul of the regulations governing the country’s broadcasting industry.
Titled “A New Vision for South Africa 2020,” Ndabeni-Abrahams published a draft of the white paper in the Government Gazette on October 9.
He proposed regulatory reforms in several areas, including imposing licensing requirements on streaming services like Netflix, Amazon Prime Video, and Apple TV +.
The white paper proposed two different types of licenses: individual and class licenses.
On-demand services that had an annual turnover of between 50 and 99 million rand in the previous financial year will require a class license. Services that billed more than R100 million or more in the previous year must apply for an individual operating license.
The white paper includes the following table as an “illustrative example” of the proposed licensing framework.
While international services like Netflix will require licenses to operate in South Africa, video sharing platforms like YouTube will be exempt.
However, while YouTube will be license exempt, it will not be exempt from regulation.
In addition to proposing new regulations on advertising, the white paper also states that video-sharing platforms must comply with regulations around hate speech, incitement to violence, and public provocations to commit a terrorist crime and the protection of minors. .
The white paper added that the government believes platforms should take steps to protect the general public from such content.
Video sharing platforms will need to establish a self-regulating code of conduct or be subject to a legal code, according to the white paper.
| Type of service | Single license | Class license | License exempt |
|---|---|---|---|
| Broadcasting services | Broadcasting services with an annual turnover in the previous year of R100 million or more.
Public Broadcasters (SABC), Commercial Broadcasters (e.tv, OpenView), Subscription (MultiChoice), and community broadcasters using licensed terrestrial frequency spectrum through a competitive Invitation to Apply process. |
Broadcasting services that are on electronic communications networks that do not use radio frequency spectrum (e.g., IPTV, cable, Internet) or do not use licensed radio frequency spectrum through a competitive invitation-to-application process (eg. Eg, Satellite).
This category of license includes linear broadcast TV channels and retransmissions of TV channels over the air by third parties and the Internet. |
Audio streaming services available on the Internet |
| On-demand content services | On-demand audiovisual content services with a prior year annual turnover of R100 million or more. | On-demand audiovisual content services that have an annual turnover in the previous year of between 50 million and 99 million rand. | On-demand audio content services available on the Internet.
On-demand audiovisual content services with an annual turnover in the previous year of less than 50 million rand. |
| Video sharing platform services | Video sharing platform services for sharing user-generated content. |
SABC funding review
In addition to creating regulations that take into account services such as Netflix and YouTube, the white paper also proposed a comprehensive review of the SABC model to ensure that the public broadcaster is adequately funded.
This new financing model will be based on international best practices, according to the white paper.
He also proposed changes to the “must carry” obligations, which required broadcast service providers to broadcast SABC channels.
According to the White Paper, mandatory standards have achieved their intended purpose and may distort competition if they remain in their current form.
Rather than require that SABC channels be streamed for free on streaming platforms like DStv, the white paper proposed that the rules be changed to allow SABC to negotiate transport rates from these platforms for its channels.
The SABC may negotiate such commercial terms on the condition that the consent agreements to broadcast content on its free channels are not exclusive to a single subscription service.
South African content quotas
The white paper states that quotas for South African content must remain in effect for broadcasting services.
However, the current approach of specifying a minimum percentage of total streaming time does not work in a regulatory environment that aims to serve on-demand content services like Netflix, as well as traditional linear streaming.
When it comes to on-demand services, the white paper proposed that the Independent Communications Authority of South Africa (ICASA) should impose a requirement for South African content, up to a maximum of 30% of the video catalog available in South Africa.
“The review should consider applying rules in a gradual manner that distinguishes between linear and non-linear individual and class licensees and whether the service is public, commercial, or community / non-profit in nature,” the whitepaper stated.
Make major sporting events on DStv free to watch
The white paper also proposed changes to the form events and sports of national interest are determined.
While DStv is already required to broadcast certain major events for free, the whitepaper proposed that existing legislation be amended.
“It should remain the policy intention to continue to ensure that key national sporting events are broadcast free of charge, while recognizing that certain exclusive sporting events are critical to the viability of the subscription model,” the whitepaper states.
Under the proposal, an event would have to meet all of the following criteria to qualify as public interest:
- The event must involve the senior South African national team (i.e. the highest ranking official South African team) or an individual representing the Republic.
- The event must be in a major sport, taking into consideration the number of South Africans who play and / or watch it on site or on television, or listen to radio coverage.
- The event should be of great importance to South African society, and not just to those who habitually follow the sport.
- The event is appropriate for listing, given its structure and duration.
- The event takes place in South Africa. The only events taking place outside of South Africa that should be eligible for inclusion on the list are international confederation sporting events, such as a World Cup or an Olympic event, in which a South African team or individual represents the Republic.
Advertising
The white paper proposed that current legislation and regulations for advertising standards in South Africa should apply to platforms like Netflix and YouTube in the same way that it does to SABC, e.tv, and DStv.
“With regard to the protection of children, the draft white paper proposes that the regulator should, with respect to the scheduling of advertisements, make regulations for all AAVCS licensees on the advertising of alcoholic beverages and harmful foods that are high in salt, sugars, fats, saturated fats or trans fatty acids or that do not otherwise conform to national or international nutritional guidelines ”, indicates the white paper.
He also proposed a revision of the legislation to include provisions on political advertising online to ensure that it is done in a fair and non-discriminatory manner with appropriate disclosure.
The white paper also proposed that the industry regulator (ICASA) should conduct an investigation on whether the current share of advertising revenue from subscription services is appropriate and what the impact of online advertising will be on the television advertising market to short and long term.
“If it is detrimental to the survival and viability of free services, the regulator must establish regulations to protect the sustainability and viability of free services in South Africa.”
Foreign ownership
In order to promote foreign investment and grow the sector, the draft white paper proposed amending the legislation to empower the regulator to consider allowing foreign ownership of linear transmission services up to a maximum of 49% for stimulate investment.
In the case of foreigners from member countries of the African Union, the maximum of 49% can be waived as long as there is a reciprocal agreement between South Africa and the corresponding AU country.
Now Read: The New Plan to Make DStv’s Top Sports Free to Watch
[ad_2]
