Telecommunications Council (Hansard, 13 January 1992)

§ Mr. Redwood

The principal item for discussion was the European Commission's proposal for a directive on technical standards for satellite broadcasting. After a lengthy debate, member states were able to reach political agreement on a draft directive. A formal common position on the directive should be adopted shortly, after which it will go for a second reading in the European Parliament. The outcome demonstrated considerable European support for the Government's negotiating position which has consistently sought to protect the interests of European service providers and consumers. I believe we have achieved an excellent deal in this respect. We have resisted any damaging obligations on existing satellite broadcasters to adopt the D2-MAC standard, a move which could have threatened their commercial viability. We have also successfully prevented the compulsory inclusion of multiplexed analogue components—MAC—decoders in ordinary television sets and satellite receiving equipment, thereby sparing consumers an excessive cost premium on these products. I think that the greater emphasis the agreement now places on promoting the wide-screen capabilities of MAC is a very positive step for the European satellite broadcasting industry. Yet to be resolved is the separate financial measure which the Commission intends to propose to provide funding for the promotion of the MAC standard. The Government will consider a case for subsidy on its merits when a proper justification for the spend is put forward but we are opposed to the expenditure of the very large sums which have been talked about by the Commission.

Formal common positions were adopted without discussion on the Council decision on the harmonisation in due course of the international telephony access code to 00, the Council directive on the application of open network provision to leased lines and the Council resolution on the further liberalisation of satellite communications.