RTVE faces more financing problems

Iñaki Ferreras | 21-12-2012

The Spanish Government is facing huge problems financing the national public broadcaster RTVE and things are likely to get worse since it decided that RTVE can't contain commercial advertising.

The Government won't give any additional money if the courts decide that the fee imposed on the telcos, commercial broadcasters and pay-TV operators two years ago in order to finance RTVE, violates European legislation.
The Government has made a provision in its budget of €1,300 million in case the decision of the EU Court of Justice favours the operators, reports Europa Press.
Redtel – the Spanish association for telcos – recently said that telcos will have paid about €750 million in 2012 to finance the public entity.
According to the employers, operators financed 37.6% of the total cost of RTVE in 2010, while the air channels pay "only" 5.2%, despite being the direct beneficiaries of this measure.
The new model approved by the previous Government suppresses RTVE advertising and establishes a compensatory tax on telcos to contribute to the financing of public television with 0.9% of their income, while the private television channels should contribute 3% and 1.5% as a surcharge.