2015 Annual Report

Radio and Television Commission of Lithuania 2015 Annual Report March 2016 Radio and Television Commission of Lithuania 2015 Annual Report TABLE OF CONTENT CHAIRMAN’S MESSAGE ................................................................................................................ 3 RTCL MEMBERSHIP AND ADMINISTRATION ........................................................................... 8 RTCL OBJECTIVES .......................................................................................................................... 8 RTCL FUNCTIONS ........................................................................................................................... 8 MEASURES TO REDUCE THE ADMINISTRATIVE BURDEN ON BUSINESSES .................... 9 MEASURES TO ENHANCE INTERNAL ADMINISTRATION ................................................... 10 CHANGES TO THE REGULATORY FRAMEWORK .................................................................. 10 STRENGTHENING THE PROTECTION OF NATIONAL SECURITY INTERESTS IN THE INFORMATION AREA ....................................................................................................................11 LIBERALISATION OF RE-BROADCASTING ACTIVITIES AND REGULATION OF NEW SERVICES .........................................................................................................................................12 PARTICIPATION IN THE LEGISLATIVE PROCESS ...................................................................14 LICENSING OF BROADCASTING ACTIVITIES AND RE-BROADCAST CONTENT AND REGULATION OF UNLICENSED ACTIVITIES .......................................................................... 15 COMPETITIONS TO AWARD LICENCES ....................................................................................17 DECISIONS REVISING LICENCE CONDITIONS OR CANCELLING LICENCES ...................19 Radio ...................................................................................................................................................21 Television ...........................................................................................................................................25 UNLICENSED ACTIVITIES OF RADIO AND TELEVISION BROADCASTING AND RE- BROADCASTING .............................................................................................................................31 ANNUAL FEES SET BY ORDERS OF THE MINISTER OF CULTURE OF THE REPUBLIC OF LITHUANIA ON PROPOSAL BY THE RTCL ...............................................................................31 SALE OR OTHER TRANSFER OF SHARES (INTERESTS) IN BROADCASTING AND/OR RE-BROADCAST CONTENT LICENCE HOLDERS.....................................................................33 VšĮ LIETUVOS NACIONALINIS RADIJAS IR TELEVIZIJA.......................................................33 RADIO AND TELEVISION CONTENT MONITORING .............................................................. 34 ROUTINE INSPECTIONS OF ECONOMIC OPERATORS IN 2015 .............................................34 INFRINGEMENTS IN RADIO AND TELEVISION CONTENT IN 2015 .....................................35 SANCTIONS APPLIED IN 2015 ......................................................................................................37 COMPLAINTS HANDLED IN 2015 ................................................................................................39 MONITORING THE IMPLEMENTATION OF QUOTAS FOR EUROPEAN WORKS AND INDEPENDENT PRODUCTIONS ...................................................................................................40 INFRINGEMENTS IN TELEVISION CHANNELS RE-BROADCAST IN LITHUANIA ............40 PREVENTION OF ILLEGAL ACTIVITIES ....................................................................................43 1 Radio and Television Commission of Lithuania 2015 Annual Report RTCL COOPERATION .................................................................................................................... 43 COOPERATION WITH THE AUDIOVISUAL MEDIA SERVICES MARKET PLAYERS ........43 INTERNATIONAL COOPERATION ..............................................................................................44 COMPETITION OF THE BEST IN RADIO AND TELEVISION Pragiedruliai ........................... 48 PUBLICITY WORK BY THE RTCL .............................................................................................. 49 PROFESSIONAL DEVELOPMENT OF RTCL ADMINISTRATION STAFF ............................. 50 PRIORITIES FOR 2016 .................................................................................................................... 50 INCOME AND EXPENDITURE RESULTS IN 2015 ..................................................................... 52 2015 ANNUAL FINANCIAL STATEMENTS AND INDEPENDENT AUDITOR’S OPINION . 53 2 Radio and Television Commission of Lithuania 2015 Annual Report CHAIRMAN’S MESSAGE As is the case every year, let me present you with the annual report of the Radio and Television Commission of Lithuania (the “RTCL” or “Commission”) for the year ended. The reporting year, 2015, was a special year for the Commission, as it was actively involved in the drafting of new laws and accompanying by-laws with the aim of amending the regulation of activities and functions of the Commission and those of the economic operators it oversees. In the context of the changed regulatory framework, the Commission consistently pursued its goals, and was looking for new ways and means to address the pressing issues it faced. The RTCL is a national regulatory authority overseeing the activities of radio and television broadcasters subject to Lithuanian jurisdiction, providers of on-demand audiovisual media services and re-broadcasters operating in Lithuania, as well as other entities engaged in the distribution of television channels or selected channels (programmes) to the Lithuanian population over the Internet. At the end of 2015, the RTCL was overseeing 113,000 economic operators engaged in various activities, both licensed and unlicensed. During the reporting year, the Commission, acting in the capacity of an expert in audiovisual media services, was actively involved in the national policy making of this area and represented Lithuania in different international organisations, institutions and their working groups. In summary, aside from other important work accomplished in 2015, I would like to highlight several efforts of particular importance to both the domestic and international levels, i.e. the adoption of changes to the regulatory framework of television re-broadcasting activities which will enable fair competition in the re-broadcasting services market, the adoption of legal measures to stop the dissemination of information not to be published, such as war propaganda and incitement to discord, the strengthening of relations with Lithuanian and foreign regulatory authorities and market players, efforts to improve media literacy in Lithuanian regions, and the introduction of information systems facilitating work organisation at the RTCL and reducing the administrative burden on economic operators, etc. Over the reporting period, the RTCL held 34 meetings, 36 consultation meetings, 15 meetings of working groups, passed 233 decisions, handled around 100 complaints, requests and inquiries, sent 652 and received 825 official letters. In 2015, the main areas of activities of the Commission were: Participation in the legislative process Because of its extensive experience and the fact that it is often the one to directly face gaps in the regulatory framework for audiovisual media services, the RTCL was, in part, the organisation that initiated the review of the Law on Provision of Information to the Public (the “LPIP”), and was actively involved in the work of the working group tasked with the drafting of amendments to this law. The main objectives of this working group were to create a regulatory framework that ensures the protection of national security interests in the face of information warfare and the regulation of re-broadcasting activities that is proportionate, compliant with Union law and encompasses the provision of technologically advanced services. The amendments, which were passed on 21 May 2015 by the Seimas of the Republic of Lithuania (the “Seimas”) and came into force on 1 October 2015, have further strengthened the administrative powers of the RTCL and expanded the circle of economic operators regulated by it. 3 Radio and Television Commission of Lithuania 2015 Annual Report Prior to 1 October 2015, the RTCL’s oversight function was limited to broadcasters, re-broadcasters and providers of on-demand audiovisual media services in Lithuania. After the amendments, the RTCL has been tasked with the oversight of service providers offering television channels or selected channels (programmes) to the Lithuanian public on the Internet and television broadcasting using information society media (online portals, websites). These changes to the regulatory framework had significant impact on the activities of the RTCL and its work organisation, creating more duties and responsibilities for the Commission. As the RTCL is responsible for the security of the Lithuanian information area, it is particularly important to ensure that the Commission is independent from the influences of the market players it oversees, as well as policy makers, is adequately funded given the significance of its functions and that such funding is free from political influence or decisions. This position was

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