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The regulatory framework

2011 was characterized by legislative intervention concerning the regulation of the broadcasting industry, as detailed below.

Switchover to DTT

Art. 4 of Law Decree no. 34 of 31 March 2011, as amended by art. 25, paragraph 2, Law Decree no. 98 of 6 July 2011, converted with amendments by Law no. 111 of 15 July 2011, established that the term for outlining the schedule for the switchover to DTT has been extended to 30 September 2011. The law states that the Ministry of Economic Development will assign the rights to use the broadcasting frequencies by 30 June 2012.

The same Ministry, with Decree of 11 May 2011, amended, due to further technical considerations, the national schedule for the switchover to DTT, rearranging the second half of 2011 (switchover in Liguria, Tuscany and Umbria, Marche, Abruzzo and Molise) and the first half of 2012 (switchover in Basilicata and Apulia, Sicily and Calabria).
Subsequently, with Ministerial Decree 15 September 2011, the switchover in Abruzzo and Molise was postponed to the first half of 2012.

With further decrees, the Minister established the switchover to DTT in Liguria from 10 October 2011 and by the final deadline of 2 November 2011 (Ministerial Decree 24 June 2011), in Tuscany, Umbria and in the provinces of La Spezia and Viterbo from 3 November 2011 and by the final deadline of 2 December 2011 (Ministerial Decree 24 June 2011), in Marche from 5 December 2011 and by the final deadline of 21 December 2011 (Ministerial Decree 24 June 2011), in Abruzzo and Molise, including the province of Foggia, from 7 May 2012 and by the final deadline of 23 May 2012 (Ministerial Decree 14 December 2011), in Apulia and Basilicata, including the provinces of Cosenza and Crotone, from 24 May 2012 and by the final deadline of 8 June 2012 (Ministerial Decree 14 December 2011) and in Sicily and Calabria from 11 June 2012 and by the final deadline of 30 June 2012 (Ministerial Decree 14 December 2011).

Assignment of frequencies – Beauty Contest

In April 2009, the Authority implemented resolution no. 181/09/CONS containing the criteria for the complete digitalization of the terrestrial television networks, which indicated that a bid procedure would be held for the assignment of frequencies for the exercise of five DTT networks, as well as a possible network for terrestrial television broadcasts to mobile terminals using Dvb-H technology.

Following the issue of AGCOM resolution no. 497/10/CONS of 23 September 2010 and publication of the bid procedure and pertinent regulations by the Ministry of Economic Development (8 July 2011), on 6 September 2011, Rai presented the application to participate in the procedure.

With directorial decree of 20 January 2012, the Ministry of Economic Development suspended the bid procedure for the assignment of the rights to use television frequencies for DTT broadcasting (so-called Beauty Contest) for 90 days.

Broadcasting content to the end users

In resolution no. 24/11/CONS of 20 January 2011, the Authority established the extension until 31 December 2012 (or until the completion of the switch-off) of the obligations of Rai and RTI envisaged in the previous resolution no. 159/08/CONS, on the matter of: access, use of determined network resources, transparency, nondiscrimination and separate accounting, in order to simplify the creation of the DTT networks by new operators and to make the development of these networks effective in reasonable times, regulating the offering of broadcasting services at prices oriented towards costs by existing operators that already have networks with extensive national coverage.

Special licence fee

Monitoring of licence fee payment

Art. 17 of Law Decree no. 201 of 6 December 2011, containing urgent instructions for the growth, equity and consolidation of the public accounts, published in Official Gazette no. 284 dated 6 December 2011, S.O. and converted into law with amendments by art. 1, paragraph 1, Law no. 214 of 22 December 2011, envisaged that companies indicate their special licence number and category on their tax returns for the application of the special licence rate, as well as the other elements that might be indicated in the provision for approval of the tax return form, to check payment of the licence fee.

Television voting

With resolution no. 38/11/CONS of 3 February 2011, the Authority that guarantees communications approved the regulation of the transparency and effectiveness of the television voting system. The main aim of the new regulations is to assure users more transparency in the overall operation of the service and, more importantly, its reliability. The new rules particularly include: the possibility for users to know the essential characteristics of the television voting system at least seven days before the start of the broadcast, including addresses for reports or complaints; the exclusion of votes from call centre switchboards by repetition systems which alter the recording of the preferences expressed; the new daily and weekly voting limits; the regulation of service costs; the splitting of responsibility between the telephone operator, the manager of the technological platform and the television network.

Independent producers

European works

With resolution no. 66/09/CONS of 13 February 2009, the AGCOM approved the Regulation of the matter of programming and investment obligations in favour of European works and works by independent producers, establishing that, on all networks and distribution platforms, and regardless of the coding of the broadcasts, Rai reserve for European works made in the last five years a minimum share of 20% of broadcasting time, including films of original Italian expression, wherever they might be produced. The public service general broadcasting concession holder is also required to devote at least 15% of overall annual revenues from licence fees relating to the broadcasting offering and of the pertinent advertising revenues, net of income relating to agreements with the Public Administration and from the sale of goods and services, to European works.

Secondary rights

With resolution no. 30/11/CSP of 3 February 2011, the AGCOM regulated the criteria for the limitation in time of use of secondary rights acquired by the suppliers of audiovisual media services, establishing that Rai, like the other suppliers of media services, is required to adopt a self-regulation procedure for the regulation of relations with television producers, guaranteeing that these relations are pursued according to principles of equity and nondiscrimination and that the negotiation of the single rights takes place autonomously, in order to allow enhancement of the value of each right.