FOURTH QUARTERLY

REPORT ON AVMS AND AEC PERFORMANCE

JULY – SEPTEMBER 2017

FOURTH QUARTERLY REPORT ON AVMS AND AEC PERFORMANCE

JULY – SEPTEMBER 2017 . FOURTH QUARTERLY REPORT ON AVMS AND AEC PERFORMANCE

Publisher: Eurothink – Centre for European Strategies NGO Info-Centre Transparency Macedonia Helsinki Committee for Human Rights of the Republic of Macedonia

Translation and proofreading: Abakus

Graphic design: Brigada Design

This product is prepared within the programme “Moni- toring the performance, effectiveness, transparency and accountability of the media regulatory bodies – PRO- formance Watch” funded by the UK Government with the support of the British Embassy Skopje. The content of this publication does not necessarily reflect the position or the opinions of the British Embassy/UK Government.

2 FOURTH QUARTERLY REPORT ON TABLE OF CONTENTS AVMS AND AEC PERFORMANCE

1. INTRODUCTION 4

2. Agency for Audio and Audiovisual Media 5 Services (AVMS)

2.1 Transparency and Accountability 5 2.1.1 Website and YouTube Channel 5 2.1.2 Sessions of AVMS Council 5 2.1.3 Public Meeting 6 2.2 Independence and Effectiveness 6 2.2.1 Proposed Legislative Changes 6 2.3 Performance and Law Enforcement 7 2.3.1 Working Meeting with Reinhard Priebe 8 2.3.2 2017 Local Elections 8 2.3.3 Supervisions and Measures 8 2.3.4 2017 Financial Plan Adjustment 9 2.3.5 Research and Analyses 9 2.3.6 AVMS Regional Conference of Media Regulatory Bodies 9 2.3.7 Participation in International Events and Meetings 10 2.4 Public Interest 10 2.4.1 Media, Elections, Offensive Speech and Hate Speech 11 2.4.2 Threats to Journalists 11 2.4.3 Citizens’ Complaints 12 2.4.4 Media Literacy 12 3. Agency for Electronic Communications (AEC) 13 3.1 Transparency and Accountability 13 3.1.1 Websites and Social Networks 13 3.1.2 Meetings of AEC Commission 14 3.1.3 Public Consultations 15 3.1.4 Public Meetings 16 3.1.5 Press Releases and Events 16 3.1.6 Project Team’s Cooperation with AEC 16 3.2 ndependence and Effectiveness 17 3.2.1 AEC Donations 17 3.2.2 AEC 2016 Annual Operation Report 17 3.3 Performance and Law Enforcement 17 3.3.1 Introduction of Flexible Working Hours 17 3.3.2 International Meetings and Training for AEC Staff Members 18 3.3.3 Inspection Supervision on Labour Relations at AEC 18 3.3.4 Public Procurements 19 3.4 Public Interest 19 3.4.1 Care for End-Users 20 4. Analytic Report from Focus Group Discussions on AEC and 21 AVMS 4.1 Focus Group Methodology and Demographics 21 4.2 Analytic Report – Agency for Electronic Communications 22 4.3. Analytic Report – Agency for Audio and 27 Audiovisual Media Services 4.4 General Conclusions from Focus Group Discussions 30

3 1. INTRODUCTION

The project “Monitoring Efficiency, Effectiveness, Transparency and Accountability of Media Regulatory Authorities – PROformance Watch” is implemented by Eurothink - Centre for European Strategies in cooperation with NGO Info-Centre, Transparency Macedonia and Helsinki Committee for Human Rights of the Republic of Macedonia. This monitoring programme is implemented in the period September 2016 - March 2018, with the support from the British Embassy in the Republic of Macedonia.

More specifically, the project team monitors efficiency, effectiveness, transparency, accountability and protection of public interest demonstrated by two regulatory authorities, those being: the Agency for Audio and Audiovisual Media Services (AVMS) and the Agency for Electronic Communications (AEC).

This fourth quarterly report covers performance track records of AVMS and AEC in the period July - September 2017 and is developed pursuant to “AVMS and AEC Performance Monitoring Matrix”,1 designed in consultations with the two regulatory bodies and published in January 2017. The methodology developed for this monitoring programme accommodates specificities of both regulatory authorities and monitors their operation in terms of transparency and accountability, efficiency and independence, performance and protection of public interest.

1 AVMS and AEC Performance Monitoring Matrix, available at: http:// eurothink.mk/ documents/ sHGS5RQrpszZA2TfG

4 FOURTH QUARTERLY REPORT ON 2. AGENCY FOR AUDIO AND AVMS AND AEC PERFORMANCE AUDIOVISUAL MEDIA SERVICES (AVMS)

2.1 Тransparency and accountability In the third quarter of 2017, the Agency for Audio and Audiovisual Media Services (AVMS) improved its transparency and accountability, by redesigning the official website, upgrading website functionality and enriching website contents with additional materials pertaining to the public interest. In regard to website redesign, AVMS consulted the project team from this monitoring programme.

2.1.1 Website and youtube channel АVMS’s redesigned website allows streamlined and simplified browsing and use of contents related to its operation. Here, it should be stressed that AVMS invested special efforts in improving website functionality in terms of facilitating access to information for persons with full or partial visual 2 Decision on change of impairments and for persons with daltonism. More specifically, the specially ownership structure at TV Kanal 5, available developed software allows these categories of people to listen to overall at: http://avmu. website contents in three languages: Macedonian, English and Albanian, as mk/wp-content/ well as to “zoom” contents, i.e. persons with daltonism have options for black- uploads/2017/09/ kanal_5_-_Odluka_ and-white contrast and adequate colours. za_promena_na_ sopstvenicka_struktura. In addition to redesigned and improved functionality, AVMS’s website pdf 3 was enriched with additional contents, such as, for example, in the section Decision on change of ownership structure complaints. This means that, except for basic information and template for at TV Nasa, available submission of complaints, the website also hosts detailed information about at: http://avmu. mk/wp-content/ complaints lodged by citizens, including responses thereto and actions taken uploads/2017/09/ by AVMS upon complaints lodged. Nasa_TV_-_Odluka_ za_promena_na_ In terms of contents, AVMS’s website is regularly updated and enriched sopstvenicka_struktura. pdf with information and documents related to its operation. Moreover, AVMS’s 4 Decision on change of YouTube channel is operational and is used for live streaming sessions of ownership structure AVMS Council and public meetings organized by AVMS. at TV Sitel 3, available at: http://avmu. mk/wp-content/ uploads/2017/09/ Odluka-za-promena- 2.1.2 SESSIONS OF AVMS COUNCIL na-sopstvenicka- struktura-SITEL-3.pdf In this monitoring period, AVMS Council held a total of 10 sessions. 5 Decision on change of Documents from all individual sessions were uploaded on AVMS’s website in ownership structure at RA RFM, available regular and timely manner. at: http://avmu. mk/wp-content/ More specifically, AVMS Council adopted four decisions on changes to uploads/2017/09/ ownership structures of individual media outlets: TV Kanal 52 as national RFM_-_Odluka_ za_promena_na_ 3 4 terrestrial broadcaster, TV Nasa and TV Sitel as satellite broadcasters, and sopstvenicka_struktura. RA RFM5 as regional radio broadcaster. pdf

5 Moreover, AVMS Council issued one license, without announcement of an open call, concerning local television broadcasting of predominantly entertainment programme services in Macedonian language on the territory of the Municipalities of Prilep, Dolneni and Krivogastani.6

2.1.3 PUBLIC MEETING On 27th September, AVMS organized the third public meeting for 2017, which was streamed live on its YouTube channel.

At this meeting, AVMS presented the redesigned website, as well as findings from the market analysis of audio and audiovisual media services in 2016, developed by its expert service (see below: Studies, Analyses and Research), and in the context of the local elections, it issued reminder of the Rules on Election Media Coverage and Representation, which are applicable during the election campaign and during the election silence and which govern obligations of the media concerning fair, balanced and unbiased election reporting and coverage, and reminder of the Rules on Publication of Public Survey Results on Election Participants and the Rules on Paid Political Advertising.

2.2 INDEPENDENCE AND EFFECTIVENESS AVMS’s strengthened independence and capacity as media regulatory body is defined as the government’s reform priority.7 In compliance with this commitment, in the third quarter of 2017, the Ministry of Information Society and Administration initiated public consultations on proposed amendments to 6 Decision on awarding 8 licence for television the Law on Audio and Audiovisual Media Services. broadcasting of programme services, In the meantime, i.e. 19th September, under fast-tracked procedure, the available at: http:// avmu.mk/wp-content/ Parliament revoked the broadcasting fee, whereby funding for MRT (public uploads/2017/09/Odluka_ service broadcaster) and AVMS is transferred on the burden of the state za_dodeluvanje_dozvola_ budget.9 AVMS believes that revoked collection of the broadcasting fee za_televizisko_emituvanje_ preku_JEKM_-_TRD_ does not lead to greater independence of this regulatory body and therefore Kanal_Vizija.pdf expressed its disagreement with large portion of proposed legislative changes. 7 Plan on Urgent Reform Priorities “3-6-9” of In July, AVMS’s 2016 annual operation report was put on the agenda for the Government of RM, available at: http://vlada. the sixth plenary session of the Parliament, but by the cut-off date for this mk/plan-3-6-9 document, the annual report is still not discussed and adopted by MPs. 8 Proposed Law on Amending the Law on Audio and Audiovisual Media Services, available at: https://ener.gov.mk/ 2.2.1 PROPOSED LEGISLATIVE CHANGES default.aspx?item=pub_ regulation&subitem=view_ In its rationale for proposed legislative changes, the government states that ann_detail&itemid=KNDpc “the Agency for Audio and Audiovisual Media Services and the public service XvO3NdR8vnXIc7Xxw== broadcaster are not independent and professional institutions, as regulated 9 Broadcasting Fee is Revoked, TV Telma, 19th by the law” and therefore anticipates changes in regard to appointment and September 2017, available term of office for AVMS Council Members, manner of selection and selection at: http://telma.com.mk/ vesti/sobranieto-ja-ukina- criteria for AVMS Director, and changes to competences of AVMS Council and radiodifuznata-taksa AVMS Director.

6 FOURTH QUARTERLY REPORT ON Aimed at enhanced independence, role and competences of AVMS Council, AVMS AND AEC PERFORMANCE the executive branch of government proposed AVMS Council’s 7-year term of office to be replaced with professional engagement in duration of 5 years. At the same time, proposed legislative changes imply strengthened appointment criteria for AVMS Council Members and selection process for AVMS Director, as well as change in terms of entities authorized to nominate Council Members.

Moreover, proposed legislative changes include transfer of competences from AVMS Director to AVMS Council. In the future, instead of AVMS Director, decisions on imposing measures in cases of violation of the law will be taken by AVMS Council. According to the proposing entity, the primary goal of these changes is to avoid pressures and influences on the media, and to avoid “possible abuse of the director’s discretionary rights”.

As regards reforms proposed in the media sphere, on 28th July, AVMS submitted its opinion10 wherein it has underlined that revoking the broadcasting fee is a poor legal solution because it endangers financial independence of this agency and of the public service broadcaster, which means that allocation of state budget funds for these two entities could be used for political influence.

As regards proposed legislative changes concerning professional engagement of AVMS Council Members, as well as replacement of current Council Members and AVMS Director, AVMS is of the opinion that they are not good solutions and are aimed at discrediting the agency’s previous performance. According to AVMS, professional engagement under full-time contract for Council Members will reduce efficiency and effectives of this agency, and will increase its costs. At the same time, AVMS believes that the term of office of current Council Members and AVMS Director should not be terminated and that the existing law provides mechanisms for these people to be held responsible in cases of harmful decisions.

Public consultations around the Proposed Law on Amending the Law on Audio and Audiovisual Media Services, which involve all stakeholders (institutions, the media, journalists, professional organizations, CSOs working in the field of media and human rights, etc.), will continue in the last quarter of 2017.

2.3 PERFORMANCE AND LAW ENFORCEMENT As regards performance and law enforcement, it should be noted that, in 10 AVMS’s views and addition to law-stipulated obligations on regular supervision and control of positions on media broadcasting entities, development of analyses and research studies, in this reforms, 28th July reporting period, AVMS initiated activities related to media monitoring and 2017, available at: http://avmu.mk/ media reporting on 2017 local elections. wp-content/ uploads/2017/08/ AVMS held a meeting with Reinhard Priebe, adopted the adjustment of its Stavovi_i_mislenja_ na_Agencijata_ financial plan, organized one regional conference, and participated in series of za_predlozenite_ events and meetings organized by regulatory authorities from the region and Europe. mediumski_reformi.pdf

7 2.3.1 WORKING MEETING WITH REINHARD PRIEBE In this quarter, AVMS Director and Council Members held a meeting with Reinhard Priebe’s expert team. According to AVMS, this working meeting was focused on discussing the agency’s method of operation, political and financial independence, transparency, as well as weaknesses in the media sphere and the need to address them, especially in terms of sanctioning hate speech, ensuring respect for professional journalist standards and enabling conditions for uninterrupted performance of journalist work.11

2.3.2 2017 LOCAL ELECTIONS In August, AVMS started implementation of activities related to monitoring media coverage and representation during the local elections scheduled for 15th October 2017.

AVMS sent communication letters and held a working meeting with broadcasters to discuss the rules on election media coverage, with special 11 AVMS’s meeting focus on the period prior to the start of election campaign. In parallel with these with Reinhard Priebe, available at: activities, AVMS continued monitoring of media coverage by local and national http://avmu.mk/ radio and television stations, including the public service broadcaster. By the %d1%80 %d0%b0 end of this quarter, AVMS started monitoring of media coverage and reporting %d1%98% d0 %bd%d1% 85%d0 related to the election campaign. %b0 %d1%80%d0 %b4-%d0 %bf%d1 Media monitoring was initiated and pursued without delays and in timely %80 %d0%b8%d0 %b1%d0%b5-%d0 manner, although AVMS has faced delayed payment of funds intended for %b8-%d0 %bd%d0 election media monitoring by the Ministry of Finance. This problem was %b5%d0%b3%d0 discussed at the session of AVMS Council,12 after which AVMS sent an %be%d0%b2%d0 %b8%d0%be%d1% official letter to the Ministry of Finance, demanding compliance with its legal 82-%d0%b5%d0 obligation and transfer of funds to the agency’s bank account dedicated to %ba%d1%81%d0 election media monitoring.13 %bf%d0%b5% d1%80%d1%82%d1% 81%d0%ba%d0%b8/ AVMS’ website features special section exclusively dedicated to the 12 Minutes from 30th elections, where visitors can find all relevant documents on the election session of AVMS Council, available process (including in Albanian and English language). at: http://avmu. mk/wp-content/ uploads/2017/09/ Zapisnik-od- 2.3.3 SUPERVISIONS AND MEASURES 30ta-sednica- od-04.09.2017.pdf In this reporting period, AVMS conducted regular activities on programme 13 Letter to the and administrative supervision of broadcasters and operators of public Ministry of Finance, available at: http:// electronic communications networks. Moreover, AVMS performed several avmu.mk/wp-content/ control supervisions of printed media publishers. uploads/2017/05/ Dopis_do_Ministerstvo_ za_finansii.pdf AVMS’s regular administrative supervision of all 130 broadcasters airing 14 http://avmu.mk/wp- television or radio programmes showed that all radio and television outlets content/uploads/ have complied with their legal obligations related to publication of data about 2017/07/19.07.2017- _Opsht_administra their respective ownership structures, chief editor/editors and financing tiven_nadzor.pdf sources in the previous year.14

8 FOURTH QUARTERLY REPORT ON Moreover, AVMS performed 4 extraordinary supervisions: at TV Alfa and AVMS AND AEC PERFORMANCE TV Sitel in relation to rules on protection of minors, at radio RFM in relation to use of the identification sign, and at TV Nova in relation to the principles on performance of the broadcasting activity.

2.3.4 2017 FINANCIAL PLAN ADJUSTMENT In this quarter, AVMS Council approved adjustment of its 2017 financial plan.15 In this manner, AVMS secured funds for maintenance of the module on archive operations, as well as maintenance of the integrated software on legal, financial and economic operations. 15 Adjustment to AVMS 2017 Financial Plan, available at: http:// 2.3.5 RESEARCH AND ANALYSES avmu.mk/wp-content/ uploads/2017/09/ In the period July – September 2017, AVMS published three research Odluka_za_rebalans_ studies and analyses, as follows: na_Finansiski_plan_na_ Agencijata_za_2017.pdf 16 http://avmu.mk/ - research on ratings of radio stations and shares in total viewership of wp-content/ individual television stations with national, regional and local concessions, in uploads/2017/05/ the period May - June 2017; Analinaliza_na_ pazarot_ns_sudio_i_ 16 audiovizuelni_ - market analysis of audio and audiovisual media services in 2016; mediumski_uslugi_ za_2016_godina.-min. - structure of employees in the audio and audiovisual media industry in 2016.17 pdf. 17 http://avmu.mk/ Research on listenership, i.e. viewership ratings of radio and television wp-content/ uploads/2017/09/ stations shows that high 62.7% of audiences viewing televisions with national Struktura_na_vraboteni_ concession carried by satellite or public electronic communications networks vi_audiovizuelnata_ mediumska_industrija_ are most interested in news and current affairs programmes, while 62.9% of vo_2016g.pdf respondents listen to radio stations only because of their music programmes. 18 This trend is particularly prominent in the 2016 market analysis provided an overview of economic performances and case of TV Alfa, where significant decrease viewership or listenership ratings of individual broadcasters. According to this in revenue from analysis, some media outlets are marked by dramatic decrease in revenue from advertising was advertising compared to 2015 which, based on insights gained by means of in- observed from 188.19 million MKD in 2015 depth interviews conducted by AVMS with industry representatives, are mainly to 68.33 million MKD due to the discontinued practice on government advertising.18 in 2016, as well as in the case of TV Kanal 5 (from 267.1 million Analysis of the structure of employees in the audio and audiovisual media MKD in 2015 to 195.93 industry for 2016 showed certain increase in terms of number of employees million MKD 2016) and at several broadcasters. Among the total of 3,196 media workers, almost 62% TV Sitel (from 533.5 million MKD in 2015 to have been engaged as journalists and programme realization staff, while 466.15 million MKD in majority of media employees are male. 2016).

9 2.3.6 AVMS’S REGIONAL CONFERENCE OF MEDIA REGULATORY BODIES On the occasion of the 20th anniversary from establishment of this media regulatory body in the Republic of Macedonia, AVMS organized the Regional Conference of Media Regulatory Bodies. This international event was attended by representatives of regulatory authorities from Slovenia, Croatia, Montenegro, Serbia, Kosovo and Bulgaria, as well as representatives of civil society organizations profiled in media work, institutions and media workers.

Agenda topics discussed at this conference included professional journalist standards in media programmes, role of the regulatory bodies, political pluralism beyond the election process, and influence of media policies on development of media literacy.

As regards professional standards, it was concluded that self-regulation mechanisms should be enhanced, in parallel with strengthened cooperation between regulatory and self-regulatory bodies. At this conference, among others, it was indicated that practices and experiences related to media literacy are different across the region. However, having in mind the important role of media literacy in exercise and protection of the public interest, most regulatory bodies are actively engaged in promotion thereof.

2.3.7 PARTICIPATION IN INTERNATIONAL EVENTS AND MEETINGS In this quarter, AVMS participated in several international events and meetings, as follows: yy Regional Conference of Media Regulatory Bodies, organized by the Council of Europe and held in Durres, Republic of Albania; yy Workshop “Media Reforms in Macedonia”, organized by the Berghof Foundation and the Southeast Europe Association from Germany and held in Ljubljana, Republic of Slovenia; yy Working meeting of ERGA’s (European Regulators Group for Audiovisual Media Regulators) subgroup on self-regulation and co-regulation, held in Brussels, Kingdom of Belgium; yy Launch event for the project “Support to Elections in the Western Balkans”, organized by the Office for Democratic Institutions and Human Rights (ODIHR) and held in Warsaw, Republic of Poland, and yy Bilateral meetings with representatives from the electronic media regulatory body of the Republic of Bulgaria. :

10 FOURTH QUARTERLY REPORT ON 2.4 PUBLIC INTEREST AVMS AND AEC PERFORMANCE In this reporting period, AVMS demonstrated increased pro-activeness in terms of topics and issues of public interest, especially in regard to the principle of equality of rights and freedoms, threats to journalists, and complaints lodged by citizens.

19 Monitoring report 2.4.1 MEDIA, ELECTIONS, OFFENSIVE SPEECH AND HATE SPEECH on media coverage and reporting in the AVMS’s media monitoring in the first ten days after announcement of first 10 days from announcement the elections showed that, in general, television and radio broadcasters have of the elections, complied with professional journalist standards and demonstrated noticeable available at: http:// effort to secure diverse views and opinions.19 avmu.mk/wp-content/ uploads/2017/08/ Izvestaj_od_ However, with the approaching start of the election campaign, AVMS monitoring_7-16_ established that some media outlets are demonstrating divergence from avgust_2017.pdf professional journalist standards and from the rules governing election media 20 Monitoring report on media coverage and coverage. For example, the public service broadcaster (MRT) was remarked for reporting, 6th – 17th having focused exclusively on two political parties: SDSM and VMRO-DPMNE. September 2017, TV Alfa and TV Nova have violated the principle of objective and unbiased available at: http:// avmu.mk/wp-content/ presentation of events, with equal treatment of different views and opinions. uploads/2017/09/ Izvestaj_od_monitoring_ As regards radio stations, AVMS established that Radio Slobodna za_period_od_6-15_ Makedonija has carried information exclusively related to VMRO-DPMNE, septemvri_2017_godina. pdf while portion of its programme contained vulgar and offensive vocabulary, 21 Report from AVMS’s which is contrary to the professional principle on fostering humane and ethical extraordinary values and on protection of privacy and dignity of individual persons.20 supervision at TV Nova, available at: http:// avmu.mk/wp-content/ Despite indications made to media outlets concerning their duty to comply uploads/2017/09/ with respect for the principles governing performance of the broadcasting Vonreden_nadzor_ activity and prohibited use of hate speech, some media outlets acted contrary vrz_TV_Nova_ period_opfaten_vo_ to these recommendations. In that regard, the extraordinary supervision (ex nadzorot_-_10.08.2017. officio) performed by AVMS at TV Nova21 has shown that this television outlet pdf acted contrary to the principles of equality of human rights and freedoms on all 22 Disapproval of verbal grounds and contrary to the principles on objective and unbiased presentation threats to TV Senja, available at: http://avmu. of events when airing the debate show “Open Studio” discussing “For or Against mk/ %d0%be%d1% Gay Marriages” on 10th August 2017. 81%d1%83% d0%b4%d0 %b0-%d0%b7%d0% b0-%d0% b2%d0% b5%d1%80%d0%b1% d0%b0%d0%bb%d0% 2.4.2 THREATS TO JOURNALISTS bd%d0%b8%d1% 82%d0%b5-%d0% In several cases, AVMS reacted by issuing public disapproval of attempts b7%d0%b0%d0 to prevent journalist work on informing the public. %ba%d0%b0%d0% bd%d0%b8-%d0% ba%d0%be%d0% bd- In the first incident, which took place in the Municipality of Cair, journalist %d1%82%d0%b2-%d1% team from TV Shenja was exposed to threats by people claiming to be 88%d0% b5%d1%9a supporters of one political party.22 %d0%b0/

11 In the second incident, journalist team from TV Kanal Vis in Strumica had not been only prevented to perform its professional duties, but was exposed to verbal attacks while covering the session of the Municipal Council in Novo Selo.23

In the third incident, cameraman working for news portal Kurir was evicted during the public session of the State Election Commission,24 and the last 23 Journalist reporting case concerned an attack on journalist team from news portal NovaTV in should not be prevented, the Municipality of Aerodrom while covering the event organized by the civic available at: http://avmu. 25 mk/%d0%b4%d0%b0 initiative for collection of signatures against construction of refugee camps. -%d0%bd%d0%b5- %d1%81%d0%b5-%d0 In all cases, AVMS underlined that violence against journalists is unaccept- %bf%d0%be%d0%bf% d1%80%d0%b5%d1% able and reminded that conditions need to be secured for unhindered opera- 87%d1%83%d0%b2% tion of the media, demanding respect for dignity of the journalist profession d0%b0-%d0%bd%d0 and for personal dignity of media workers. %be%d0%b2%d0 %b8%d0%bd%d0%b0 %d1%80%d1%81%d0 %ba%d0%be%d1%82 %d0%be-%d0%b8%d0 2.4.3 CITIZENS’ COMPLAINTS %b7%d0%b2%d0 %b5%d1%81/ As indicated earlier, in parallel to website redesign, AVMS improved 24 Disapproval of the incident functionality of the section dedicated to submission of complaints and, involving the journalist team from news portal Kurir. starting from August, published complaints lodged by citizens, as well as mk, available at:http://avmu. responses thereto and actions taken by this agency upon complaints lodged. mk/%d0%be%d1%81%d1 This represents the first step toward greater transparency, but also toward %83%d0%b4%d0%b0 -%d0%b7%d0%b0- greater promotion and protection of the public interest. %d0%b8%d0%bd%d1 %86%d0%b8%d0%b4%d0 According to information published on its official website, AVMS was %b5%d0%bd%d1%82 presented with two complaints, one of which concerned the broadcasting fee %d0%be%d1%82-%d0 %b2%d1%80%d0%b7-%d0 and the other concerned re-airing of television programme. %bd%d0%be%d0%b2%d0 %b8%d0%bd%d0%b0%d1 2.4.4 MEDIA LITERACY %80%d1%81%d0%ba%d0 %b0%d1%82%d0%b0/ In this quarter, the Bureau for Development of Education approved educa- 25 Disapproval of the tional materials on media literacy submitted by AVMS and the Media Literacy attack on journalist team from news portal NovaTV, Network. It is a matter of DVD that should be distributed to all primary schools available at: http://avmu. in the Republic of Macedonia. Among other materials, this DVD includes the mk/%d0%be%d1%81 animated feature titled “AVMS Watch: What does AVMS work?”, which was pro- %d1%83%d0%b4%d0 26 %b0-%d0%b7%d0%b0 duced as part of this project. -%d0%bd%d0%b0%d0 %bf%d0%b0%d0 According to information from AVMS, design of separate website dedicat- %b4%d0%be%d1%82-%d0 ed to media literacy (www.mediumskapismenost.mk) is in final stage of devel- %bd%d0%b0-%d0%bd%d0 %be%d0%b2%d0%b8%d0 opment. It is planned for this website to host activities of the Media Literacy %bd%d0%b0%d1%80 Network, AVMS, as well as all important information and novelties related to %d1%81%d0%ba%d0 %b0%d1%82%d0 this issue. %b0-%d0%b5%d0 %ba%d0%b8%d0%bf/ 26 Animated feature “AVMS Watch: What does AVMS work?”, available at: https://www.facebook. com/pg/eurothinkMK/ videos/?ref=page_internal

12 FOURTH QUARTERLY REPORT ON 3. AGENCY FOR ELECTRONIC AVMS AND AEC PERFORMANCE COMMUNICATIONS (aec)

3.1 TRANSPARENCY AND ACCOUNTABILITY In the third quarter of 2017, monitoring activities did not identify significant changes in terms of AEC’s transparency and accountability. Information hosted on all three websites was regularly updated, but certain standstill was observed in terms of publishing information related to AEC’s work on the social networks.

3.1.1 WEBSITES AND SOCIAL NETWORKS AEC’s official websites are used as basic indicator to this agency’s transparency and accountability. Documents are other contents related to AEC’s works are timely published on the main website.27 In spite of the fact that all reports produced under this monitoring programme established that in order to improve transparency, it is important for this website to also host biographies of AEC Commission Members and AEC Director, but they are still not published.

In this quarter, monitoring activities did not identify significant changes in regard to the other two websites (e-agencija.mk28 and komuniciraj.mk29), except for standard contents which is regularly updated.

27 AEC website: Chart no. 1: Number of visits to AEC’s three websites, in the period 1.7.2017 - 30.9.2017 http://www.aek.mk/ 28 AEC website: In the period July - September 2017, AEC demonstrated inactivity on the https://e-agencija.aek.mk/ social media and did not post any announcements on its two YouTube channels, 29 AEC website: Facebook and Twitter profiles. komuniciraj.mk

13

Chart no. 2: Number of followers on AEC’s social media profiles

3.1.2 MEETINGS OF AEC COMMISSION In this reporting period, AEC Commission demonstrated lower activity compared to the previous two quarters and held only two meetings. According to information from AEC, low activity on the part of AEC Commission is due to the summer hiatus. Given that meetings of this commission are closed to the public, the only way for the public to obtain information about their work includes press releases and meeting minutes that should be published on AEC’s website within a deadline of seven days after the meeting.30 Minutes from the two meetings were published within the law-stipulated deadline, but in continuation, except for general information on meeting agenda and decisions taken, they do not include more detailed information about the course and the content of discussions that have taken place at these meetings.

30 Minutes, AEC Commission, available at: http://aek.mk/index. php?option=com_k2&v iew=itemlist&layout=ca tegory&task=category &id=138&Itemid=486& lang=mk Chart no. 3: Number of meetings held by AEC Commission, in the last four quarters

14 FOURTH QUARTERLY REPORT ON 3.1.3 PUBLIC CONSULTATIONS AVMS AND AEC PERFORMANCE In the third quarter of 2017, AEC initiated public consultations on three different issues, those being: proposed change to the approval for use of radiofrequencies in land mobile service, proposed amendments to AEC’s 2017 annual operation program, and amendments to the Rulebook on Types and Contents of Data and Information on General Conditions for Access to and Use of Public Communication Services Published by the Operators and on Types and Contents of Data Published by AEC.

Timely publication of information on AEC’s main website included comments made by participants in public consultations concerning the use of radiofrequency spectrum in the range of 1800 MHz in land mobile service and AEC’s response thereto,31 and its decision32 on rejecting the application submitted by mobile operator One.Vip with the rationale that AEC issues 31 Responses and com- approvals on use of radiofrequencies only by means of public calls and tender ments, AEC, available procedures with public bidding, in compliance with the Law on Electronic at: http://aek.mk/index. php?option= Communications (LEC). As part of its public consultations, AEC organized com_k2&view= one public meeting focusing on the application submitted by One.Vip and item&task=down- comments made by interested parties, including its response thereto, which load&id=1401_9449e 713c49f33667034 were timely uploaded on the website. 77f04c5566d- f&Itemid=469&lang=mk No additional information was published about the course of public 32 РAEC Decision, available 33 at: file:///C:/Users/User/ consultations concerning changes to the annual operation plan and changes Downloads/20171010_ 34 to the Rulebook on Access to and Use of Public Communication Services , up1_br.0802_858_Rese- which means there is no information whether and what type of comments have nie_za_odbivanje_na_ba- ranjeto.pdf been presented, who presented them and what is AEC’s response thereto. 33 Public Consultations, AEC, available at: According to AEC representatives, additional information about public consul- http://aek.mk/index. tations concerning draft amendments to AEC’s 2017 financial plan was not up- php?option=com_ k2&view=item&id=2112:- loaded on its official website because Macedonia has entered another cycle of javna-rasprava-po-pred- elections and during the election period AEC is not allowed to adopt this type log-izmenite-i-dopol- nuvanjata-na-godish- of changes. nata-programa-za-rab- ota-na-agencija- ta-za-elektronski-komu- nikacii-za-2017-godi- na&Itemid=469&lang=mk 34 Public Consulta- tions, AEC, available at: http://aek.mk/ index.php?option=com_ k2&view=item&id=2126:- javna-rasprava-za- izmenite-na-pravilnikot- za-vidot-i-sodrzhinata- na-podatocite-i-infor- maciite-za-opshtite- uslovi-vo-odnos-na-pri- stapot-i-koristenje- to-na-javnite-komunika- ciski-uslugi-koi-gi-obja- vuvaat-operatorite-i-aek Chart no. 4: Public consultations organized in the last four quarters &Itemid=469&lang=mk

15 3.1.4 PUBLIC MEETINGS In this quarter, AEC held one public meeting dedicated to the National Cen- tre for Computer Incident Response (MKD-CIRT)35 and the public awareness campaign on importance of Internet security and online threats. Invitation, meeting agenda, template for participation and presentations delivered at this public meeting were published on AEC’s website.36

3.1.5 PRESS RELEASES AND EVENTS In this period, total of five press releases37 were published on AEC’s web- site and concerned the amateur radio exam (notification on the date when this exam will take place), guidelines on prohibited use of movable and immovable property in state ownership and the method of action on the part of ministries and state institutions during the election process.

35 MKD-CIRT is an organizational unit Chart no.5: Number of AEC’s press releases published in the last four quarters within AEC: https:// mkd-cirt.mk/ On the occasion of the 5th European Cyber Security Month, AEC announced kontakt/ that in October it will organize three events for promotion of cyber security in 36 Public Meeting, AEC, available at: Macedonia. http://aek.mk/index.php? option=com_k2&view= . item&id=2111: javen-sostanok-na- 3.1.6 COOPERATION WITH AEC aek&Itemid= 465&lang=mk For the purpose of this monitoring project, in this quarter as well the project 37 http://aek.mk/index. php?option=com_ team maintained continuous communication with AEC representatives k2&view= and organized several joint meetings. In that regard, it should be noted that itemlist&layout openness of AEC representatives toward the project team was on high level in =category&task =category&id= this reporting period. They regularly responded to our requests for meetings at 92&Itemid=466&lang=mk which all ongoing issues were openly discussed.

16 FOURTH QUARTERLY REPORT ON 3.2 INDEPENDENCE AND EFFECTIVENESS AVMS AND AEC PERFORMANCE

3.2.1 AEC DONATIONS In July, AEC published the proposed changes to its 2017 financial plan. As already indicated in the previous quarterly report, based on proposed changes to its annual financial plan, AEC plans to reduce funds under the budget item on donations by more than 75 million MKD and under the budget item on promotional campaigns by 4 million MKD, and to increase the budget item on construction of the Vodno tower by more than 90 million MKD. In this quarter, AEC did not take any decisions on donations.

3.2.2 AEC’S 2016 ANNUAL OPERATION REPORT In July, AEC’s 2016 annual operation report was put on the agenda for the sixth plenary session of the Parliament. By the cut-off date for this document, the Parliament has still not reconsidered and adopted AEC’s annual report.

3.3 PERFORMANCE AND LAW ENFORCEMENT

3.3.1 INTRODUCTION OF FLEXIBLE WORKING HOURS At its eleventh meeting, AEC Commission approved amendments to the Rulebook on Internal Organization of the Agency for Electronic Communications, which imply change to the working hours, i.e. introduction of flexible working hours for staff members, in compliance with recommendations made by the government.

3.3.2 INTERNATIONAL MEETINGS AND TRAINING FOR AEC STAFF MEMBERS In this monitoring period, AEC staff members participated in several international events and meetings, as follows:

- legal norms from the Law on Labour Relations and the Law on Safety, in Bratislava;

- seminar on public procurements, in Belgrade;

- study visit on CSIRT/CERT regulations and operational environment.

At the same time, in this quarter, two agency staff members attended training on

17 3.3.3 INSPECTION SUPERVISION ON LABOUR RELATIONS AT AEC In the period 17th – 21st August, upon oral complaint submitted to the Ministry of Labour and Social Policy (MLSP), the State Labour Inspectorate performed inspection supervision38 concerning labour relations at AEC, which resulted in establishment of irregularities in regard to three staff members.

In the case of one staff member, employed under full-term contract to the position junior associate, insight in electronic records on working hours established that, in the course of 2016 (1st February – 30th December), the person in question has failed to record his work attendance. In 2017, the same staff member duly recorded work attendance only for the months of January, February and 15 days in March, whereas in the period from 29th March until the inspection supervision performed, he has again failed to record work attendance. During the inspection supervision, AEC - in the capacity of employer - failed to provide any evidence that would demonstrate that this person appeared at work, i.e. evidence that the staff member has notified and justified his absence from work to his employer.

In the case of another staff member, also deployed to the position junior associate, it was established that in the period from 28th March 2017 until the inspection supervision performed, he has failed to record work attendance. This person, present during the supervision, stated that he was on annual leave during the months of July and August, but failed to provide any decisions on annual leave.

Based on insight in documents on salary calculations and payments, it was established that hours when said staff members were absent from work had been enlisted as hours of effective work by the employer and they were paid salaries based on hours worked, whereby the employer has paid salaries contrary to the legal provisions in effect and has violated the Law on Labour Relations.

The third staff member for whom labour irregularities were established holds the position head of sector and in his case the inspection established justified absence from work, effective from 2nd January 2017. Based on insight in documents on salary calculations and payments for the months of May, June and July 2017, it was established that the employer has failed to pay salaries in compliance with the legal regulations in effect.

Other conclusions from the inspection supervision are as follows:

yy The employer has failed to align electronic records on staff working hours with the Rulebook on Method and Keeping of Electronic Records on Working Hours and Overtime Work, which means there are no individual schedules on working hours, breaks during working hours, absences (exit/entry) for private purposes and absences (exit/entry) for official purposes, and has failed to appoint an officer with special authorizations (administrator) that will have 38 State Labour Inspectorate for access to the electronic system data on working hours and overtime work. the area of Skopje, Decision no. 0201 yy According to the decision taken by the inspectorate, within a period of 10 days 2416/2 AEC is tasked to align its electronic records on working hours and overtime

18 FOURTH QUARTERLY REPORT ON work with the Rulebook on Method and Keeping of Electronic Records on AVMS AND AEC PERFORMANCE Working Hours and Overtime Work, and to appoint an officer with special authorizations. Through the instrument on free access to information, AEC was addressed with information request and responded that above indicated irregularities have been immediately corrected.

3.3.4 PUBLIC PROCUREMENTS In the third quarter of 2017, AEC organized and completed five public procurement procedures, including procurement of vehicle tyres, reservation and delivery of airplane ticket, consultation services for development of model tests on economic replicability of wholesale services, carwash services, servicing of heating and cooling systems, and servicing of heating boilers.

3.4 PUBLIC INTEREST Total funds anticipated as “expenses for advertising, propaganda and representation” under AEC’s 2017 financial plan amount to 6,000,000 MKD, accounting for only 1.1% of its total budget for 2017.

AEC’s competences also include resolution of disputes between end-users and operators of electronic communications networks and services providers, where citizens are directly involved.

In the course of 2017 (by 30.9.2017), citizens have lodged a total of 745 com- plains to AEC. Among them, 708 complaints were submitted in written, ac- counting for 95% of the total number of complaints, while 37 complaints were submitted electronically using the template hosted on AEC’s website e-agencija.mk,39 accounting for only 5% of the total number of complaints sub- mitted to this date, for the entire 2017.

39 Complaints lodged by end-users, available at: https://e-agencija.aek. Chart no. 6: Number of complaints submitted by end users in the first three quarters of 2017 mk/?page_id=774

19 Analysis of focus group discussions (see below) shows that citizens are insuffi- ciently informed about AEC’s competences and that high share of citizens are un- aware of the possibility to lodge complaints in cases when they are not satisfied with performance of their respective operators. Moreover, majority of citizens that are aware of this possibility, in spite of believing that they have been damaged by the operators, do not use this possibility due to their mistrust that they would be able to change anything. Hence, the project team believes that AEC should spend more funds on education of citizens about its competences, especially those that directly involve the citi- zens, such as submission of complaints, Internet security, information on cheap- est service packages, etc.

3.4.1 CARE FOR END-USERS In this quarter, the project team again tested the website option on posting questions in the section Q&A. As was the case in the previous reporting period, all responses to question posted were received within a period of 24 hours.

Through the instrument on free access to information, AEC was presented with information request and responded that, by 30th September 2017, it has answered a total of 247 questions posted by the citizens.

Chart no. 7: Number of complaints submitted by end users in the first three quarters of 2017

20 FOURTH QUARTERLY REPORT ON AVMS AND AEC PERFORMANCE 4. ANALYTIC REPORT FROM FOCUS GROUP DISCUSSIONS ON AVMS AND AEC

In the period 6th – 8th November 2017, the project team organized three focus groups in order to inquire about citizens’ views and opinions on topics related to media and electronic communications in the Republic of Macedonia.

The overall purpose of these focus groups was to obtain an image about citizens’ perception in regard to four questions, as follows:

1. How much do citizens know about work of AVMS and AEC? 2. How satisfied are citizens with their performance? 3. Are citizens satisfied with services regulated by these two agencies? 4. How can citizens help in improving performance of AVMS and AEC?

4.1 FOCUS GROUP METHODOLOGY AND DEMOGRAPHICS All three focus groups were conducted according to structured topic guides, i.e. the principle “from general to specific”, designed for discussions to be opened with general questions and slowly move toward specific answers concerning citizens’ views and opinions about the work of above cited agencies. Each focus group discussion was projected in duration of 120 minutes and was organized into seven interrelated sections: 1. Introduction, rules of play and presentation of participants (10 minutes); 2. Life concerns and priorities (10 minutes); 3. Services, prices and competition on the market of electronic communica- tions (15 minutes); 4. Citizens’ awareness of AEC’s competences (20 minutes); 5. Citizens’ experience with AEC (20 minutes); 6. Satisfaction with work of the media in Macedonia (15 minutes); 7. Citizens’ awareness of AVMS’s competences (20 minutes); 8. Citizens’ experience with AVMS (20 minutes); Throughout focus group discussions the project team used projective techniques, such as finishing sentence, adding missing words and inquiring about citizens’ perception about particular images/photographs.

All three focus groups implied participation of 29 citizens from 12 towns.40 Participants were divided into five categories, according to their gender, age, ethnic background, education background and professional occupation.41

21 4.2 ANALYTIC REPORT – AGENCY FOR ELECTRONIC COMMUNICATIONS SERVICE PRICES ARE EUROPEAN, BUT QUALITY IS WAY BELOW THE EUROPEAN STANDARD

40 Focus group Based on answers to initial questions inquiring about citizens’ satisfaction participants came for with prices and services provided by mobile operators, there is a visible division different towns across the country: Skopje, of opinion in relation to the quality of services offered by mobile, landline and Ohrid, Bitola, Prilep, internet operators. Some citizens believe that services are marked by quality, Gostivar, Kocani, while other participants are of the opinion that quality of service is not equal Kumanovo, Sveti Nikole, Pehcevo, Veles across all regions. This position was particularly expressed among citizens and Stip. . living outside Skopje. They believe that services provided in Skopje and other 41 As regards gender, major towns are of better quality, especially in terms of Internet reliability and 13 participants speed. are women and 16 participants are men. As regards age, “There is difference in the quality of networks. In Ohrid, where I live, we use the participants were service of Telecom and often do not have Internet or landline services, but divided into five categories: 18 to 25 that has never happened whenever I am in Skopje. Moreover, there are no years – 4 participants; possibilities for optic cables to be brought to each and every house in rural 26 to 40 years – 6 areas.” – Marjan (52), Ohrid participants; 41 to 50 years – 7 participants; 51 to 65 years – 6 As regards prices, the general image implies they are too expensive for the participants; and 65+ living standard in the country, especially having in mind the quality offered years – 6 participants. on the market. Dominant is the perception that in Macedonia these services According to their ethnicity, 22 are more expensive compared to other Balkan countries, while some citizens participants were believe that prices are at the same level as those charged in Western European Macedonians, 4 participants were countries. Albanians, and one representative from “On the account of my work, I regularly travel across the Balkan (Serbia, Croatia) and the Roma, Serb and can guarantee that prices in our country are more expensive. I pay up to 12 thousand Vlach communities each. According MKD per month for five [mobile telephone] numbers.” – Stojce (60), Stip to their education background, focus “[Prices] in our country are certainly more expensive. My son works abroad. In groups included Italy he paid 10 EUR per month, in France – 15 to 20 EUR, and now he is Thailand 10 participants with completed where mobile services are almost free-of-charge.” – Gjurgja (65), Veles secondary education, 16 participants with completed higher education and 3 WHAT IS THE IDEAL PRICE FOR THESE SERVICES? participants with master degrees. The Using the projective technique for adding missing words, the project team last demographic feature of participants attempted to learn about the family budget share citizens are prepared to concerned their spend on mobile and internet services. professional occupation and According to focus group participants, the ideal budget for a four-member their breakdown is the following: family ranges from 75,000 MKD to 86,660 MKD, i.e. an average of 79,286 MKD. 9 participants were employed, 12 unemployed, 2 university students and 6 pensioners.

22 FOURTH QUARTERLY REPORT ON AVMS AND AEC PERFORMANCE

Chart no. 8: Ideal budget for a four-member family After establishing the ideal budget for a four-member family, participants were asked to indicate the family budget share they would ideally spend on mobile and internet services.

Chart no. 9: Ideal share of the family budget (four-member family) to be spent on mobile and internet services The average share of family budget which citizens are prepared to spend on these services is 4.5%. This share is the highest among participants from the Skopje region – 5.1%, and the lowest among participants from the Western region – 4.1%.

23 Chart no. 10: Amount of ideal costs for mobile and internet services of a four-member family The average sum for a four-member family which citizens are prepared to spend (provided they have an ideal family budget) amounts to 3,568 MKD. In that, citizens from the Skopje region are prepared to allocate the highest amount (4,420 MKD), while citizens of the Eastern and Western regions are prepared to pay 3,300 MKD, i.e. 3,116 MKD respectively.

WHAT IS THE COMPETITION ON THE MARKET OF ELECTRONIC COMMUNICATIONS? This question triggered the biggest dicsussion among participants in all three focus groups, especially in regard to market competition among mobile operators. Dominant is the opinion that competition in mobile communications is very low and that more operators need to enter this market. Large share of citziens living outside Skopje are not aware of the existence of the virtual mobile operator Lycamobile, which entered the Macedonian market in 2016, and still believe there are only two mobile operators in the country. Citizens indicated the centres of power (government/authorities), i.e. absence of political will, as the biggest culprit for the low market competition, while small share of them indicated AEC or lack of interest among mobile operators to enter the Macedonian market.

“Operators and those in power are in agreement about who should be present on the market, and in spite of the law on competition, they always manage to make certain arrangements. According to the law, operators are not allowed to have monopoly position, but they still operate as monopoly.” - Mirka (35), Skopje

WHO SETS PRICES OF THESE SERVICES? Majority of focus group participants indicated that AEC is responsible for price-setting, but expressed low confidence that AEC makes these decisions autonomously. Some participants believe that prices are set in agreement with operators and centres of power. Another fact indicated by several participants implies that mobile service prices have increased after the merger of two operators: VIP and ONE.

24 FOURTH QUARTERLY REPORT ON “Prices were lower few years ago, when there was greater competition before AVMS AND AEC PERFORMANCE the merger of VIP and ONE, and the new operator Lycamobile is more focused on international calls. That is why prices for in-country calls are not dropping.” – Ivan (21), Kocani

CITIZENS ARE AWARE, BUT VERY FEW OF THEM LODGE COMPLAINTS In order to obtain information about citizens’ awreness of AEC’s work, the project team used the projective technique on finishing sentence: “If I am not satisfied with my telephone or internet bill or the operator fails to fulful contract conditions, I can lodge a complaint to ______?”.

Chart no. 11: Citizens’ awareness of AEC’s work, according to the projective technique High 65% of focus group participants are informed about the possibility to lodge complaints to AEC when they are dissatisfied with particular service provided by the operators. Major differences were observed in terms of regional distribution of answers. While 89% of participants from the Skopje region identified AEC as the responsible authority, this share is significantly lower among participants from the Eastern and Western regions, accounting for 67% and 40%, respectively.

In spite of the fact that high share of participants have suffered damages by their respective mobile or internet operator, majority of them have lodged complaints only with the operator, and not to AEC. Reasons thereof included mistrust in the institutions which they should address with complaints, as well as the general impression that it is a matter of complex process.

“There is certain apathy toward the system. Once, when I was damaged, I considered lodging a complaint, but knew in advance that I would spend too much time and energy and that it would all be to no avail. I would not get any satisfaction, meaning that my debt would not be covered and justice will not be delivered.” – Martina (41), Skopje

Nevertheless, experiences shared by several participants who have lodged complaints to AEC are solid, and some of them indicated that their problem had been immediately resolved. In spite of complaining that the process is slow, other participants reported that, in the end, they have failed to obtain what they complained about.

25 “We had a family package and were informed that calls between us would be free-of-charge, but instead of that we received enormous bills. We first lodged a complaint with the operator, and after this complaint was rejected, we addressed AEC which immediately resolved the problem, so we paid only the portion of calls as regulated under the contract.” – Silvana (45), Sveti Nikole

AEC – “Governmental body financed by the budget!”

In the next section, the project team inquired about citizens’ knowledge of AEC, its status and its competences.

On the question whether AEC is integral part of line ministry, body within the government, private company or independent legal entity with public authorizations, focus group participants dominantly indicated that AEC is governmental body, i.e. part of the government, and that its decisions are taken in agreement with the government.

On the question inquiring about the manner in which AEC is financed, the general perception implies that AEC is financed by the state budget, while small share of participants, especially those from the Western region, indicated that AEC is financed by the operators and from the broadcasting fee.

“It is most certainly part of the government, as the latter appoints members of management boards and AEC Director, which means that it also influences their work. In no way can we consider them to be independent.” – Milan (35), Pehcevo POOR VISIBILITY OF AEC’S ACTIVITIES In the last portion of discussions related to AEC, the project team inquired whether and to what extent citizens have noticed activities of this agency. Only few participants, mainly those from the focus group organized in the Skopje region, confirmed that they have seen several AEC billboards, but do not remember what they were about. Participants linked AEC to certain construction projects, like the Ferris Wheel, and the fact that agency staff benefits from high salaries. Only one participants from all three focus groups confirmed he has visited AEC’s website, indicating that its layout is very confusing, especially the section on lodging complaints.

“I know they dispose with an enormous budget and did not know what to do with the money, so they reallocated them toward activities that do not fall within their scope of operation, like the Ferris Wheel.” – Arben (38), Gostivar

26 FOURTH QUARTERLY REPORT ON 4.3 ANALYTIC REPORT – AGENCY FOR AUDIO AND AUDIOVISUAL AVMS AND AEC PERFORMANCE MEDIA SERVICES Second part of focus group discussions inquired about citizens’ perceptions about services regulated by AVMS, and their general perception about this agency.

CITIZENS WANT OBJECTIVE AND INDEPENDENT MEDIA In order to ease participants into this topic, the project team solicited citizens’ views about what is the most important thing for them to believe a particular television outlet. Hence, these discussions were initiated with the projective technique on finishing sen- tence: “In order to believe particular television outlet, it must ______.”

Analysis of answers clearly shows that dominant position among citizens from all regions is that for a media outlet to earn their trust, it must be objective and independent in its reporting.

On the question inquiring whether at this moment there are objective and independent media in the Republic of Macedonia, majority of participants indicated that there are no such media, and only few of them enlisted one or two media outlets which, in their opinion, are independent and objective when reporting on current affairs.

As was the case on the previous question, when asked whether the media in Macedonia perform the three functions any media outlet should fulfil, i.e. to inform, to educate and to entertain, majority of focus group participants responded that for long period now the media are failing to fulfil any of these functions, and few

27 of them indicated the public service broadcaster (Macedonian Radio Television) as exceptionally negative example in this regard.

As regards the question whether there is pluralism in the media, again citizens believe that pluralism in the media is non-existing for long period of time. In this regard, the public service broadcaster (MRT) was again identified as exceptionally negative example.

”For 10 years, the public service broadcaster had not invited a single person from the opposition. No need to say anything more.” – Stojce (60), Stip

POOR AND SUPERFICIAL knowledge OF AVMS AND ITS WORK In order to learn whether citizens are aware of the possibility to report particular contents which they believe is offensive to particular group of citizens, the project team used the projective technique on finishing sentence: “When watching television, if I encounter programme contents that are offending to particular category of citizens, I can lodge a complaint to ______?”

Chart no. 12: Citizens’ awareness of AVMS’s work, according to the projective technique Contrary to the situation observed in regard to AEC, smaller number of citizens is aware of AVMS and its work (only 24%). AVMS was mainly known to participants from the Western region (40%) and, surprisingly, participants from the Skopje region demonstrated lowest knowledge about this agency (11%).

HATE SPEECH IS REGULAR OCCURRENCE IN THE MACEDONIAN MEDIA AVMS’s competences include issuance of public reactions and actions in cases of hate speech in the media. According to high share of participants, hate speech is regularly featured in the Macedonian media. What could be easily noticed in all focus groups is citizens’ insufficient knowledge of this topic, as well as their failure to distinguish between hate speech and fake news. Participants in all three focus groups most often indicated TV Sitel as exceptionally negative example in this regard.

„

28 FOURTH QUARTERLY REPORT ON “TV Sitel is a factory of hate speech. I do not know what kind of projects they are AVMS AND AEC PERFORMANCE engaged in nowadays, I do not know whether what TV Sitel has done in terms of destroying interethnic relations could be repaired at all.” – Lidija (42), Skopje

“Some time ago, I heard on one television outlet that terrorists are ready to enter Macedonia due to the court verdict in the case ‘Monster’, but nothing happened. This is a classic example of hate speech featured on television.” – Jeta (51), Skopje

In spite of the fact that majority of participants have recognized hate speech in the media, none of them has lodged a complaint to any institution.

In addition to lack of knowledge about existence of an agency they could address with complaints, other reasons indicated behind their failure to lodge complaints included citizens’ mistrust that the institutions would change anything and fear from possible retribution in case they lodge complaints.

“If such body did exit, most certainly it would not have been able to take a breath from so much work.” – Milena (25), Ohrid “It all comes down to trust. They need to convince me in order to earn my trust to report hate speech. They need to restore people’s trust in their work. Otherwise, I feel that anything that we might do would be to no avail.” – Artan (52), Skopje

ELECTION MONITORING – MAIN POINT OF REFERENCE FOR AVMS After gaining insight about citizens’ satisfaction with services regulated by AVMS, the project team attempted to establish whether and to what extent citizens are aware of AVMS as legal entity and its competences. As regards competences, it is interesting to note that majority of participants linked AVMS only to the elections, meaning that AVMS regulates representation of individual political parties on television outlets during the election campaign. As was the case with AEC, on the question inquiring their opinion whether AVMS is part of line ministry, body within the government, private company or independent legal entity with public authorizations, participants predominantly believe that AVMS is governmental body, i.e. part of the government. Only few participants indicated that it is a matter of independent body with public authorizations. Same is applicable in terms of AVMS’s funding. Majority of participants believe that AVMS is financed with public funds, i.e. from the budget. Among others, it was indicated that AVMS is financed from television concessions and from the broadcasting fee.

“It is certainly financed by the budget. Otherwise, how would they be able to construct such high building in the city downtown area?” – Martin (22), Skopje

29 MIXED FEELINGS ABOUT AVMS’S INDEPENDENCE AND TRANSPARENCY The project team also inquired about citizens’ perceptions whether AVMS works transparently and independently. The general image here is similar to the one obtained in regard to AEC. Majority of them do not believe in AVMS’s independence and believe that management staff at this agency is appointed by the centres of power, i.e. they have been appointed according to their “political” affiliation. However, several focus group participants expressed different opinions, indicating that they perceive this agency as independent. As evidence in support of these claims, participants referred to the several public reactions and sanctions imposed on the media and journalists close to the previous government. “Nobody is appointed to work there [AVMS] because of their qualities; they are all appointed to take decisions dictated by the political party to which they are affiliated.” – Silvana (45), Sveti Nikole

“I think they are an independent authority. I remember they sanctioned Milenko even when the previous government was in power. We all know to whom was Milenko allied, and since he was sanctioned, [the agency] should be independent.” – Miroslav (23), Tetovo

POOR INFORMATION ABOUT AVMS’S ACTIVITIES Finally, focus group discussions inquired whether citizens are aware of any campaigns related to AVMS’s activities. Only one participant reported he had viewed certain advertisement, but does not remember exactly what it was about. Not a single participant has visited AVMS’s official website. The general perception is that competences of this agency need to be promoted more broadly, in particular competences where citizens can be of help. “In both cases, i.e. AVMS and AEC, citizens simply lack information about the existence of regulatory body or agency which they can address when encountering broadcasting programme of offensive character. We lack sufficient information. People find it easier to share their problems on the social media, where they are sure that everybody will see them. Nobody knows about the existence of an agency where they could report [such programme].” – Marija (48), Skopje

30 FOURTH QUARTERLY REPORT ON 4.4 GENERAL CONCLUSIONS FROM THE FOCUS GROUPS AVMS AND AEC PERFORMANCE DISCUSSIONS yy Majority of focus group participants are unware of and do not distinguish between competences of these two regulatory agencies. Certain competences of one regulatory agency are often attributed to the other regulatory agency. yy The general perception about the two agencies implies that they are governmental bodies and are financed from the Budget of the Republic of Macedonia. yy Trust in these agencies’ independence is very low. However, in this regard, due consideration should be made of the public’s high mistrust in most institutions in the Republic of Macedonia, which sometimes leads to situation in which citizens that lack personal experience with particular institution in advance hold negative opinion about the institution in question and its performance. yy Visibility of activities performed by these two agencies is poor. This is something that both agencies must improve in the future.

Conclusions about AEC yy Prices of mobile and internet services are too expensive for the living standard in the country, especially when taking into account the quality of these services. yy Quality of services is not equal across all regions. Bigger towns are marked by better conditions, unlike smaller towns. yy Amount which citizens are prepared to spend on these services for a four- member family (provided they dispose with ideal family budget in the amount of 79,285 MKD) accounts for 3.568 MKD, i.e. 4.5% of the family budget. yy Dominant is the opinion that competition in mobile communications is very low and more operators need to enter the market. yy Majority of citizens are unaware of the existence of the virtual mobile operator Lycamobile. yy There is insufficient information about the entity responsible for setting retail prices for these services. yy There is solid level of knowledge of AEC, especially in regard to submission of complaints. However, in spite of the fact that almost all participants have been somewhat damaged by the operators, only few of them lodged complaints to AEC. Efforts are needed to increase the public trust, so that citizens will more frequently lodge complaints to AEC. yy Personal experiences of several participants who have lodged complaints to AEC are solid, i.e. their problems have been immediately resolved.

31 Conclusions about AVMS yy Citizens from all regions share the dominant position that in order to believe a particular media outlet, it must be objective and independent in its reporting. Majority of them do not recognize such media outlets in Macedonia. yy Dominant is the opinion that Macedonian media lack pluralism, with the public service broadcaster (MRT) indicated as exceptionally negative example in that regard. yy Citizens have poor and superficial knowledge of AVMS’s work. yy Focus group participants linked AVMS’s work only to the elections, meaning that this agency regulates representation of individual political parties on all television outlets during the election campaign. yy Citizens lack sufficient information about hate speech and how they can fight against it. It was observed that they frequently fail to distinguish between hate speech and fake news. yy The public has mixed perceptions about AVMS’s independence and transparency. In spite of the fact that majority of participants expressed mistrust in AVMS’s independence, some of them indicated that this agency is independent.

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