The annual report on the information industry in Russia covers many aspects of the media. Among these, we have focussed our attention on the move to digital TV, FM band migration and the increase in numbers of transmitters, and digital radio coming to a stop.
Analogue TV is dead! (but still operating alongside digital)
The switchover to digital was completed in 2019. It was proudly announced that the transition took ten years, which was faster than the United States (11 years), Australia (12) and Great Britain (14). In addition, with 98.4% of the population being able to tune in, Russia beats France (97.3%), Austria (96.0%), Switzerland (*) (95.0%) and Portugal (92.7%). However analogue TV is not totally dead. The national channels have been switched off, but the regional channels are still operating. And there are quite a few of them. Our FMLIST correspondent in the Republic of Karelia (east of Finland) confirmed that there are a good five of them in the city where he lives.
(*) Switzerland has switched off terrestrial TV via DVB-T in summer 2019
Radio stations move to FM
The state radio network will be moving from broadcasting on the OIRT band (between 65.8 and 74 MHz) to the European FM band (87.5-108 MHz), where the commercial radio stations are already present. New licences will be granted to Radio Mayak and Vesti FM in order to allow them to broadcast in all cities with over 100,000 inhabitants. In order to manage the increase in number of channels, they are studying isofrequency networks used abroad in countries like Moldavia, where the radio station Inter-FM can be received with traffic information along the motorway. A solution based on a lot of low power transmitters would also not infringe health regulations that limit the use of high power transmitters.
‘The market is not ready’ for DAB
The development of digital radio in Europe is analysed in the report. But this ‘revolution’ will not be happening in Russia. Even though frequencies for DAB+ transmissions have been allocated, this does not mean that they will be activated. The Ministry of Communications believes that the advertising market is not mature enough yet to justify the increase in the numbers of radio stations that can use updated technology.
St. Petersburg is experimenting with DRM+
Therefore the aim is to develop broadcasting systems such as DRM+ that allow a radio station to also transmit digital channels on the same FM frequency, leaving listeners free to equip themselves to receive transmissions in high quality sound, but not being obliged to replace their radio with a new one (estimated cost of about $10 US). In July 2019 Comedy Radio carried out tests in St. Petersburgby digitally broadcasting three channels on 95.7 MHz FM. The first one was a repeat of their analogue channel with a bitrate of 33 kbps, the other two were Avtoradio (43 kbps) and Evropa Plus (20 kbps).
The ‘Relaunch Decree’, published late in the evening on May 19th, 2020, contained a wonderful surprise. The radio and TV stations, that have been broadcasting information on the pandemic, will be receiving € 50 million (in the first draft it was 20 million, which became 40 after protests made by the broadcasting associations). The allocation of the funds will be according to a points system, which is used by the fund that has the task to promote pluralism and innovation of the media. The only obligation for the broadcasters is to put government information campaigns on air during the Covid-19 health crisis. In addition, in order to relaunch advertising (that saw a fall of up to 80%) companies that buy radio and TV spots will be able to deduct 50% off their taxes (€ 20 million have been allocated, but considering that the deduction has been extended to national TV stations, the effectiveness of this measure will be largely diminished).
More advantages and simpler procedures
The decree includes other concessions for businesses which the broadcasting stations will be able to benefit from. For example, a tax credit of 60% on rents in March, April and May 2020 (for both studios and repeater stations) if revenues are not over € 5 million and there is a drop of 50% in turnover compared to the same period last year. There is also a postponement of tax deadlines from April 16th to May 16th, 2020, for companies with a fall in turnover of at least 33% in the months of March and April 2020 compared to the same period in 2019. Furthermore, companies will not be obliged to pay IRAP (Italian Regional Production Tax) in June 2020 (balance and advance payment for the following year) if turnover is not over € 250 million. The procedures for applying for furloughing of staff and for having a reduction in the electricity bills will be simplified. Some expenses (cost of energy transport, electricity meter management and general expenses) will be reduced for three months (May to July 2020), but this will not affect energy consumed, which would have been welcomed by the associations.
The image of a man, seen from behind with his arms outstretched in a gesture of resignation, currently on the website page where Hakom, the Croatian Regulatory Authority for Network Industries, informs citizens of having postponed the transition to DVB-T2, the new television standard. Instead of May 25th, 2020, the transition will not be completed before the end of November or early December in order to allow the population to receive television programmes on existing TV sets. The Regulator is taking his time and will be making a further announcement at a later date, with the justification that it is not yet clear exactly how long the emergency measures, due to the pandemic, will last.