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to put on sale in colonial markets wireless receivers of suitable design for about £5, or less than half the prices now ruling. This development should bring broadcasting within the reach of a greater number of people in the Colonies, and although I appreciate that even a price of £5 is beyond the means of the majority, the possibilities of securing revenue by supplying such receivers to listeners on a rental basis are clearly worth consideration. The establishment of a broadcasting service will no doubt often call for expenditure by Colonial Governments on communal listening facilities. These, however, though they will not be revenue-producing, will have other advantages from the govern- ment point of view which may make the expenditure worth while.
5. As regards the provision of the necessary finance, I note that few Colonial Governments have been able to include provision for broadcasting in their development plans. Nor does it seem possible to provide assistance, on the scale that would be necessary, from the central reserve under the Colonial Development and Welfare Act. The Colonial Development Corporation would, I understand, be prepared to consider giving initial assistance to projects which have a definite prospect of paying their way, but they could not subsidize any project except on the basis of its being ultimately self- supporting.
6. Clearly, therefore, a careful survey will be required in each case, showing in the first place the extent of the public demand for broadcasting and the scope for the effective use of a broadcasting service in local conditions; secondly the capital and recurrent expenditure required to establish a service over a given area; and finally the prospects of obtaining revenue to cover these costs. The possibility of starting on a modest scale, and expanding only as a wider demand is created, should not be overlooked; and I should not rule out the acceptance of commercial advertising by government broadcasting services, subject to suitable safeguards, if a full investigation leads to the conclusion that a service cannot be made self-supporting in any other way. The precise character and extent of such commercial broadcasting as might in that event be admitted would require careful consideration in the light of local circumstances. In particular, the relative advantages of accepting "sponsored programmes or of merely broadcasting straightforward advertisements in return for a fee would have to be studied.
7. In conclusion, I would add that I am assured that the British Broadcasting Corporation will continue to render all the assistance which can be given within the terms of its Charter towards the development of broadcasting as a public service in the Colonies. The Corporation has already given valuable technical advice on a number of colonial broadcasting projects and has assisted with the provision and training of staff and with programme material. If, therefore, the financial difficulties can be overcome, there would seem to be no reason why colonial broadcasting should not be developed on sound lines as a public service.
I have the honour to be,
Sir,
Your most obedient, humble servant,
A peccafiones
The Officer Administering
the Government of
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