Spanish telcos against financing RTVE

Iñaki Ferreras

Spain’s Telecommunications Market Comission (CMT), the association responsible for telecoms companies' rights, says the sector is not willing to pay a new tax which will help fund public broadcaster RTVE.

The proposal follows the government reducing advertising on RTVE. To compensate the broadcaster, the proposal is to tax the telcos an extra 0.9% of revenues.

Should the telcos refuse to pay, however, the government has the power to annul their licences.

RTVE will see the government's budget for it to grow to a maximum of €165 million a year to compensate for the supression of advertising on the public broadcaster, which the government wants to start happening from September.

AETIC, the association which represents all the Spanish industrial companies, has warned that the telcos could add this tax on to their mobile phone and internet services so subscribers would end up paying the tax in their invoices. Among the mobile phone telcos Vodafone has ruled out this possibility, saying its prices are even with its clients' needs.