Egta

ADVOCACY&REGULATORY ASSISTANCE

 

Advertising space regulation

 

 

The new “Audiovisual Media Services” directive

 

In December 2005, the European Commission unveiled its legislative proposal for a directive on “Audiovisual Media Services”. This proposal aimed at amending the “television without frontiers” directive to give Europe a new regulatory framework better adapted to fundamental economic and technological evolutions of the audiovisual industry. To that end, the proposed directive would cover all audiovisual media services regardless of their delivery platform and establish a distinction between “linear services” (scheduled, such as traditional television broadcasting) and “non-linear“ ones, e.g. on-demand services.

 

What's at stake for advertising sales houses?

 

egta was largely involved in the discussions on this piece of legislation all along the legislative process, since some provisions directly impact sales houses' core business. One chapter of the proposal is entirely devoted to television advertising with limitations on the amount of advertising, rules on the insertion of breaks, provisions on sponsorship, etc.

 

In 2006 and early 2007, the legislative proposal made its way through the European Parliament and the Council of the EU. These steps were essential for egta and sales houses to make sure that a modernized and flexible framework on advertising could be established. It was notably very important that a clear European legal basis for newly existing forms of audiovisual commercial communications, such as product placement, be put in place. At a time when broadcasters face the immense challenges of convergence and digital switchover, the future of traditional free-to-air television services is largely dependent from a new and liberalized regulatory framework.

 

A simplification of television advertising rules:

 

In May 2007 a compromise text was agreed between all EU institutions. Fundamentally, the core approach of the European Commission has been secured: preservation of the country of origin principle, extended scope via a technology-neutral approach, etc. Most importantly for sales houses, both the European Parliament and the Council of the EU called for further liberalization of advertising rules. egta is particularly pleased that many of its policy suggestions form part now of the future legislation:

  • enhanced flexibility for insertion and quantitative rules on advertising

  • a genuine and workable legal basis for product placement

  • the prominence of the identification principle which does not hinder the development of creative advertising formats

  • the recognition of the added-value of advertising self-regulation

Following the officially adoption on 29 November 2007, the Audiovisual Media Service directive was published in the Official Journal of the European Communities on 18 December 2007. Member States had 2 years in which to transpose it into national laws.

 

For more information please see

The future of the European Convention on Transfrontier Television

 

Council of Europe

 

On 5 September 2008, the Council of Europe issued its draft review of the Convention on Transfrontier Television. The review of the Council’s Convention is encouraged by the technological, market and legal developments of the audiovisual sector and follows the enforcement of the Audiovisual Media Services Directive at EU level. The draft text achieved a high degree of compliance with AVMS and kept the same level of regulation. Nevertheless, it missed the opportunity of clarifying on the grey areas of the directive and to offer more flexibility. Following the first and second provisional agreements reached respectively in December 2008 and February 2009, the Convention is waiting for a final adoption.

 

Draft opinion on the revision of the European Convention on Transfrontier Television

 

egta involvement in wider associations and initiatives

 

As active member in the following associations, egta contributes and subscribes to their positions and works.