Australian Parliament Passes TV License-Fee Cut

SYDNEY: The Australian Parliament has passed a previously proposed 25-percent reduction in license fees for commercial television licensees.

Earlier in the year, the government indicated that it will consider further reductions in broadcasting license fees later in 2016 as part of a broader package of reforms that will include consideration of the pricing of broadcasting spectrum.

Free TV CEO Brett Savill welcomed the move, “The federal government’s decision to reduce television broadcasting license fees from up to 4.5 percent of gross revenue to up to 3.375 percent is a welcome step towards improving our international competitiveness. The industry looks forward to continuing to work with the Communications Minister on further cuts in 2016 that were foreshadowed in his budget statement.”

“The pace of change is unrelenting and license fees must be reduced to international best practice levels. The commercial free to air television industry is thriving in markets such as the U.K., where the government has proactively reduced license fees by 97 percent between 1995 and 2011.

“We will continue to work with the government and the Parliament to ensure the public interest in a strong and healthy free-to-air broadcasting sector,” Savill said.