Gaelic Digital Service Public Value Test (PVT) Provisional
Total Page：16
File Type：pdf, Size：1020Kb
Gaelic Digital Service: Public Value Test provisional conclusions November 2007 1 Contents Contents 2 1. Introduction and key findings 4 2. Background – summary of the Executive’s application 6 3. Summary of the Public Value Assessment 7 4. Summary of the Market Impact Assessment 10 5. The Trust’s decision 11 6. Potential conditions of the Service Approval 14 7. Service licence 16 8. Next steps 16 Annex 1: Background to the Public Value Test 18 Annex 2: Draft service licence 19 Annex 3: Public consultation on our provisional conclusions 27 2 3 BBC Gaelic Digital Service: Public Value Test provisional conclusions 1. Introduction and key findings 1.1 This document sets out a provisional decision by the BBC Trust on a proposal from the BBC Executive to launch a Gaelic Digital Service (GDS). 1.2 The Trust is applying a Public Value Test (PVT) to the BBC Executive’s proposal and has reached provisional conclusions following consideration of two reviews of the proposal: a Public Value Assessment (PVA), conducted by the Trust, and a Market Impact Assessment (MIA), conducted by Ofcom. Background on the process of the PVT is contained in Annex 1 of this document. 1.3 The PVA and MIA were published on 12 November 2007. The PVA, together with the BBC Executive’s application and a joint BBC Trust/Ofcom description of the service proposal are available on the BBC Trust’s website (bbc.co.uk/bbctrust). The MIA is available on Ofcom’s website (ofcom.org.uk). 1.4 Before concluding that the proposed service should be approved, either with or without conditions, the BBC Trust “must be satisfied that any likely adverse impact on the market is justified by the likely public value of the proposed services” (Clause 26(6) of the Framework Agreement). The Trust must also be satisfied that approval would be consistent with the BBC Trust’s duties under Article 23 of the Charter and its other legal duties. 1.5 We have taken account of the conclusions reached in the PVA and the MIA which are summarised in sections 3 and 4 below. The PVA identifies public value in the GDS proposal; however, this requires the BBC Executive to provide further evidence in a number of areas, particularly concerning the strategies to reach beyond the current Gaelic speaking community to increase the reach of the GDS. We have asked for that evidence to be provided before the end of the consultation on these provisional conclusions. The MIA concludes that there are very significant positive market impacts of the GDS proposal, most notably in the net increase in scale it will bring to the Gaelic media sector, which should involve an increase in market opportunities for a number of players, as well as wider benefits. Ofcom also noted, however, that there were, in its view, significant concerns of potential suppliers to the GDS about the commissioning processes and protocols. We have taken these matters into account in proposing conditions aimed at enhancing the public value and addressing these points about the commissioning processes. 4 1.6 Our overall conclusion is that whilst the service proposal could deliver public value, the evidence presently before us is not sufficient for the Trust to conclude that the level of likely public value would be sufficient to justify the level of investment proposed. Accordingly, on this basis, we are not satisfied that we should approve the proposal without further evidence. 1.7 As we set out in section 3 below, we need to see greater evidence that the proposed service will create public value by supporting the future of the Gaelic language and offering wider value to the audience in Scotland. In particular: • The Trust is not convinced that the proposal for the service places enough emphasis on the role of the service in attracting new speakers to the Gaelic language. In particular, we have not seen sufficient evidence as to how the educational strategy will be delivered – which we regard as key to the public value of the service. • Although we can see that a few programmes could appeal more widely to an audience beyond Gaelic speakers, we have seen very little evidence of a convincing plan for appealing to a wider audience in Scotland – certainly not that would justify the projected reach of the service. 1.8 If the BBC Executive can provide the additional information required in these areas, it is our view that, based on the matters addressed in the PVA, the proposal would demonstrate a level of likely public value that would justify the level of investment required. 1.9 On the basis that the Trust is provided with the additional information to reach this conclusion, then certain conditions are recommended in section 6 to safeguard the likely public value in the proposal put forward by the BBC Executive and to strive for even more public value. These would include a range of conditions to be satisfied before the service can launch as well as conditions for any service licence. 1.10 Therefore, provided the requirement for additional information is fully satisfied, applying the requirements of clause 26(6) of the Framework Agreement, we would conclude that the likely public value that would be created by the GDS would be sufficient to justify any adverse market impact. We would, therefore, be minded to approve the proposal, subject to the specific requirements set out in these provisional conclusions. 1.11 However, in the event that the additional information required is not provided, the Trust would reach the judgement that insufficient public value is created by the proposal. 1.12 Our provisional conclusions are open to consultation for a period of 28 days. 5 1.13 The PVT has been undertaken in accordance with the terms of the Public Value Test: Guidance on the conduct of the PVT published by the BBC Trust in August 2007 and available on the BBC Trust’s website. 2. Background – summary of the Executive’s application 2.1 Prior to the launch of the PVT process, the BBC Trust and Ofcom worked together to produce a service description, which was then published as part of the public consultation. This summary draws primarily from this description, as well as from the PVA. 2.2 The BBC Executive and the Gaelic Media Service (GMS) have concluded a collaboration agreement to provide the GDS – drawing on content from the BBC and a variety of other providers. 2.3 The proposal is to launch a dedicated digital TV channel in Gaelic – on-air for up to seven hours per day (concentrated in, but not confined to, late afternoons and evenings). This would comprise 1.5 hours per day of originated programming (including existing output from the BBC), narrative repeats and archive content. The service would also draw on BBC Radio nan Gàidheal as a sustaining service when the TV channel is off-air. There would also be significantly enhanced Gaelic content for users of bbc.co.uk. 2.4 The service would be mixed-genre – including the daily news and weather in Gaelic. 2.5 At least half of the programme fund contributed by GMS would be spent in the independent sector. The BBC Executive and GMS originally stated that, in due course, up to 50 per cent of non-news and current affairs programmes on the TV channel would come from independent producers, subject to a sufficiently developed independent Gaelic production base. They have subsequently clarified that this should in fact read “at least 50 per cent” rather than “up to”. The content supply strategy will be formulated after further negotiation with key stakeholders. 2.6 Subject to the completion of this PVT in early 2008, and BBC Trust approval, it is expected that the service would launch before the end of March 2008. 2.7 It would be available, in the first instance, on satellite and broadband1 and on digital cable later in 2008. Distribution on digital terrestrial television would be in Scotland only and would come with digital switchover. 2.8 Following completion of digital switchover, it is proposed that the existing regular 1 The channel would not be offered in whole via broadband. The broadband offer would be on-demand (via iPlayer) only on the BBC website as part of BBC Scotland’s 10 hours per week allocation, and possibly some complementary catch-up content on the GMS website. 6 Gaelic zones on BBC Two would be withdrawn. Although a change to the BBC Two Scotland Service Licence, we do not consider that removal of the Gaelic zones on BBC Two Scotland would be a significant change to the UK Public Services since the Gaelic programming objective provided in the BBC Two Scotland service licence will be covered by the objective of the GDS proposal. There should be little or no impact caused by the removal of the Gaelic zones on BBC Two Scotland as this provision will be replaced by Gaelic content being provided on the GDS. As such, and in the event that the Gaelic zones are removed from BBC Two, the Trust does not consider that such a change would require a separate PVT. 2.9 The BBC and GMS would continue to provide programming to the Gaelic digital channel TeleG for the duration of TeleG’s licence (which currently runs until 2010). 2.10 The service would be licensed and regulated by the BBC Trust, and would be subject also to Ofcom regulation to the same extent as any other BBC service. 2.11 The BBC proposes to manage the service jointly with GMS, although ultimate responsibility for editorial standards would rest with the Director-General of the BBC who is accountable to the BBC Trust.