Media law gets edited but private firms still not happy

Deputy Culture Minister Aleksandra Jakubowska last week offered to soften a controversial draft law limiting cross-media acquisitions. But private broadcasters said she didn't go far enough. Still, most held back detailed criticism of the new draft, hoping for a compromise with the government. "The revisions in the legislation are not sufficient and in the case of the radio market, the regulations are now even more restrictive," said Monika Bednarek, the chief executive officer of Eurozet, which owns Radio Zet and Radiostacja. "But the talks with the government are still in progress, and broadcasters are presenting their opinion on the subject." Broadcasters maintained that the new law would bar them from expanding their operations and strengthening their market position before Poland enters the European Union. Stanisław Tyczyński, the owner of Poland's leading private radio station RMF FM, based in Kraków, was even more critical. "We got the invitation (for the meeting with Jakubowska) faxed to Kraków at 10:45 a.m., and the meeting was to start at 1 p.m.," said Anna Kozłowska, RMF FM's spokeswoman. "But (Tyczyński) wouldn't have accepted the invitation anyway. He didn't even go to the meeting with the prime minister on the same subject. He said he won't talk with this regime."

Market share decisive Under the revised draft law, the creation of cross-media groups with a national reach still would be almost impossible, although the way the restrictions are formulated has been changed. In the earlier version, it was the technical reach of a specific medium that decided whether it could acquire another media company with national coverage. Under the revision, market share is the decisive factor. Owners of national daily publications with a market share larger than 20% and publishers of regional daily press with more than 20% of the market would be banned from buying other entities with a national audience. The limit would still affect Agora. The owner of the daily Gazeta Wyborcza suspended investment talks with Polsat, Poland's largest private television, because of the proposed law. Polsat is looking for an investor. Agora was unavailable for comment at press time. Under the first version of the draft law, a company already holding a TV or radio broadcast license that covered more than 80% of the population couldn't acquire another TV or radio station with a national audience. The same rules were to apply to national daily newspapers and magazines, which wouldn't be able to acquire TV or radio networks covering the entire country. Other government changes in the draft law include a 36-minute daily ad limit for public television. The limit is to go down to 27 minutes if the collection rate of obligatory subscription fees paid to public TV and radio exceeds 75%. In addition, public television won't be able to place ads on its thematic channels after they are established. Also under the revision, the culture minister would regulate access to TV and radio archives, a bone of contention between private broadcasters and public media. Media concern ITI Group, which has always strongly criticized the privileged market position of public broadcaster TVP, declined to comment on the recent revisions last week, explaining that the talks are still in progress. TVP is financed from both subscription fees and ads.

Cabinet shuffle For a couple of days last week, the future of the bill was uncertain as Jakubowska, who on July 5 sent the revisions to the government, decided to resign when Waldemar Dąbrowski replaced the former culture minister in a cabinet reshuffle. She ultimately stayed on and met with broadcasters for consultations last Thursday to discuss the revision, which will be debated by the Council of Ministers this week. In an interview with Polish Radio, Jakubowska said that the current revision resulted from new EU directives that became effective and not only from her intention to make peace with private broadcasters. Private broadcasters have accused the government of an attempt to strengthen public media at their expense. Private firms feared the new regulations restricting their expansion would limit their competitiveness prior to EU accession. The government, which justified the restrictions with the necessity to strengthen local media, has also come under fire from Western media and some European parliamentarians.