1. 1 Reshaping Public Broadcasting: the New Zealand experience 1988-2003 IPPR Seminar 2004 Paul Norris Head, NZ Broadcasting School, CPIT norrisp@cpit.ac.nz

2. 2 Outline Overview of deregulation Overview of deregulation NZoA – the contestable funding model NZoA – the contestable funding model Strengths and weaknesses Strengths and weaknesses Any lessons for UK? Any lessons for UK?

3. 3 2 non-commercial networks Deregulation 1988 Deregulation 1988 BCNZ TVNZ LtdRNZ Ltd TV OneTV2 41 commercial Stations TV3

4. 4 BCNZ/TVNZ Funding Source: BCNZ & TVNZ Annual Reports

5. 5 Deregulation / competition Frequencies auctioned to highest bidder Frequencies auctioned to highest bidder No programming requirements No programming requirements Ownership controls relaxed, then abolished Ownership controls relaxed, then abolished Broadcasting Standards Authority to maintain programme standards Broadcasting Standards Authority to maintain programme standards

6. 6 Broadcasting Act 1989 NZ On Air required to: Reflect & develop NZ identity & culture Reflect & develop NZ identity & culture Promote programmes about NZ interests Promote programmes about NZ interests Promote Maori language & culture Promote Maori language & culture Ensure a range of broadcasts is available Ensure a range of broadcasts is available for women, children, the disabled and minorities, including ethnic minorities

7. 7 Broadcasting Act 1989 Re TV, NZ On Air required to: Ensure reasonable provision is made for the funding of television drama and documentaries Ensure reasonable provision is made for the funding of television drama and documentaries Re funding, have regard to: The level of contribution from the applicant The level of contribution from the applicant The potential size of the audience The potential size of the audience

8. 8 NZ On Air 1989 - 2004 Mission is local content (NZ programmes) Mission is local content (NZ programmes) Populist programmes in prime time eg Shortland St – medical soap Populist programmes in prime time eg Shortland St – medical soap Minority programmes – off peak Minority programmes – off peak

9. 9 Documentaries Children's Drama/Comedy Special Interest/Others 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% 19901991199219931994199519961997199819992000200120022003 NZoAir Funding Television Funding by Genre 1990-2003 Source: NZoA Annual Reports

10. 10 Documentaries funded by NZoA Source: NZoA Annual Reports

11. 11 Documentaries Outputs: Range too narrow – commercial focus Impact: Ratings adequate for prime time 10-15% Value: Valued for finding out how others face and overcome problems and challenges, also for the opportunity to learn something new and to be challenged intellectually

12. 12 Children’s progs funded by NZoA Source: NZoA Annual Reports

13. 13 Children’s programmes Outputs: Stand-alone programmes or kiwi links within global cartoons? Stand-alone programmes or kiwi links within global cartoons?Impact: Cartoons win the ratings Cartoons win the ratingsValue: Valued for giving children a sense of NZ Valued for giving children a sense of NZ identity identity Also for not being hyped Also for not being hyped

14. 14 Qualitative research by genre Source: Attitudes to NZoA Funded TV Programming 2002

15. 15 NZ model - strengths Contestability and competition Contestability and competition Diversity of programming Diversity of programming Growth of independent sector Growth of independent sector Significant impact for $60m Significant impact for $60m

16. 16 NZ model -weaknesses Broadcasters are gatekeepers Broadcasters are gatekeepers Range of programmes inadequate Range of programmes inadequate Emphasis on local content, not quality Emphasis on local content, not quality Subsidises private commercial interests Subsidises private commercial interests Dilutes concept of public broadcasting Dilutes concept of public broadcasting Public broadcaster seen as cash cow by government Public broadcaster seen as cash cow by government

17. 17 TVNZ as SOE Source: TVNZ Annual Reports

18. 18 Reforms of 2000-2003 TVNZ – from SOE to CrOC TVNZ – from SOE to CrOC TVNZ Charter from March 2003 TVNZ Charter from March 2003 TVNZ – direct govt. funding $11-15m TVNZ – direct govt. funding $11-15m NZoA – additional funding NZoA – additional funding Voluntary quotas for local content Voluntary quotas for local content

19. 19 Lessons from New Zealand? Caveats: Ecology of broadcasting in NZ very different to that in UK Ecology of broadcasting in NZ very different to that in UK NZoA has been public broadcasting NZoA has been public broadcasting Quantum of public funding Quantum of public funding

20. 20 Public funding as % of GDP Source: Standing Committee on Canadian Heritage Report Jun 03

21. 21 Lessons from New Zealand? Use multiple mechanisms Use multiple mechanisms Funding agency must be proactive Funding agency must be proactive Contestability + competition Contestability + competition Efficiency – competitive tendering keeps costs transparent and under control Efficiency – competitive tendering keeps costs transparent and under control