TV stations object to paying SABC
MULTICHOICE says it is already paying millions to carry SABC channels on its DStv platform, after the public broadcaster’s “must carry, must pay” submission to the Independent Communications Authority of SA (Icasa).
Under the Electronic Communications Act, Icasa has to prescribe regulations regarding the extent to which broadcasters must carry, “subject to commercially negotiable terms”, programmes provided by the SABC.
However, the cost of carrying extra satellite signal adds up to about R1,8m a channel already — without any content fee. If any new broadcaster were forced to carry all the SABC’s free-to-air channels, this would add at least an extra R7,2m in annual fees, MultiChoice CE Nolo Letele said yesterday.
“While the principle of carrying the public broadcaster’s channels is fair, if you then have to pay (the SABC) for the content too, this leads to an increase in fees for subscribers.”
The SABC was increasing its viewership by broadcasting on platforms such as DStv, he said, from which it should be able to increase its advertising revenue.
The SABC this week repeated its intention to enter pay-television through “must carry” and the sale of content.
SABC CEO Dali Mpofu said the broadcaster would enter the space “one way or another”.
In a discussion document, the SABC said Icasa should make pay-television broadcasters pay for SABC content as it was being used by a commercial platform.
This caused ripples among newly licensed players, namely Telkom Media, ODM, e.sat and the Christian channel Walking on Water TV (Wow-TV).
Wow-TV told the Sunday Times it would not carry SABC channels as it “has a totally contrasting view to what we stand for”. The others largely agreed that they should not be forced to pay extra for SABC content unless it was commercially viable.
While MultiChoice carries the four SABC channels free of charge, it does charge the SABC for carrying its Africa channel.