The Tribune

By NEIL HARTNELL

Tribune Business Editor

THE Utilities Regulation and Competition Authority (URCA) last night pledged to address Cable Bahamas' concerns it was being placed at "a competitive disadvantage" by assessing whether it should also licence - and regulate - Bahamas-based satellite TV providers.

Responding to the BISX-listed communications provider's fears that it was being discriminated against, given that it would be subject to URCA's Code of Practice regulating TV content, while its main competitors - satellite TV providers - would be exempt from regulation, the regulator said it would conduct a public consultation on whether its remit should be extended to cover those operators.

"URCA considers that the fair, transparent and non-discriminatory approach to resolving the issues raised by Cable Bahamas in its response is to conduct a public consultation on URCA's Licensing Guidelines to determine whether other licensees (whether individual or class licensees), and non- licensees who are currently providing - or might in the future - provide carriage services, content services and on-demand audiovisual media services through satellite and other services should also be required to be licensed by URCA, and thereby subject to the Content Code," the regulator said.

"A decision on this issue would also fulfill one of URCA's statutory objective to further the electronic communications interest of consumers in the Bahamas, and would eliminate any potential discrimination between providers of the same content (carriage services, content services and on-demand audiovisual media services) not all being subject to the same regulatory policies, thereby ensuring fairness, transparency and a level playing field for all such service providers."

Bahamas-based satellite TV providers are likely to be unhappy at the prospect of URCA regulation, although the move is likely to make Cable Bahamas happier.

In its previous response to URCA's Code of Practice consultation, it had warned: "An individual Licensee should not be at a disadvantage vis-a-vis a class licensee, or at a competitive disadvantage to non-licensees operating in the Bahamas.

"In Cable Bahamas' view it seems illogical for URCA to be in a quandary whether the code should apply to satellite services being provided in the Bahamas. The legislation and/or principle should be technology neutral."

And the BISX-listed communications provider added: "It seem incongruous that URCA is deliberating whether entities selling satellite television services in the Bahamas constitutes a 'carriage service' or a 'content service' as defined in section 2 of the Act, in light of the its own statement that the Code will apply to content delivered by Licensees via the Internet if the Licensee targets it at persons, and promotes or advertises that content, within the Bahamas.

"URCA's statutory objective is to further the electronic communications interest of consumers in the (entire) Bahamas. It is therefore highly discriminatory for providers of the same content to be subject to different regulatory policies. This will be an unfair regulatory practice which, in the day-to-day lives of consumers, will see different content being provided by different providers for the supposedly same programming.

"The Codes are intended to provide definitive benefits to the broadcasting industry: A clear set of regulations that are applicable to all relevant broadcasters in the Bahamas helps to ensure a level playing field. This can lead to the promotion of competition and innovation of services."

Cable Bahamas had also expressed concerns that the level of regulation being proposed by URCA seemed "overly censorious", and had not been imposed on cable programmers such as itself anywhere else in the world.

It pointed out that US programmers/content providers, and the cable industry in general, all subscribed to a ratings guidelines (Parental Guidelines) system that informed parents as to the suitability and content of upcoming broadcasts.

Cable Bahamas had told URCA: "The majority of Cable Bahamas' content services programming originate in the US. The same ratings ascribed to programming in the US is provided by Cable Bahamas, and is accessible to every Cable Bahamas' subscriber 24 hours per day, 365 days per year, on Cable Bahamas' channel 5 channel Guide.

"Though Cable Bahamas has no editorial responsibility over its content services, it is confident that the use of the ratings system in conjunction with filtering technology (as is the case in the US) provides consumers with information to help them make more informed choices about the television programmes they watch."

Here, URCA was not so generous, arguing that Cable Bahamas "retains varying degrees of editorial responsibility and control" over its programming content. The regulator said it chose the channels it offered to Bahamian consumers, plus their bundling and packaging, knew the content they carried, and could 'black out' certain programming.

"URCA believes that limits remain necessary regarding the type of content that is appropriate for the Bahamas, and licensees must ensure that regardless of their sources of content, they do not exceed that which is appropriate having regard to the social environment, the Constitution and laws of the Bahamas and the Electronic Communications Sector Policy," the regulator said.

"URCA considers that Cable Bahamas is already almost fully compliant with the provisions of the Content Code as regards the provision of filtering technology and programme classification systems for its non-Bahamian channels."