TNAG-0351-FCO40-387-Future-of-broadcasting-in-Hong-Kong-1972 — Page 30

For discussion

CONFIDENTIAL

on 11th April 1972

ANNEX

C TO XCC(72) 19

XCC(72)28 Copy No.....

MEMORANDUM FOR EXECUTIVE COUNCIL

INTERIM EXTENSION OF REDIFFUSIONS WIRED TELEVISION

LICENCE

At the meeting on 28th March 1972, after consideration of memorandum XCC(72) 24 the Council advised and the Governor ordered inter alia "that a further memorandum dealing with the immediate future of Rediffusion's wired television service should be submitted to Council for consideration in two weeks' time so that a public announce- ment concerning Government's policy with regard to the future of wire- less television and the immediate future of Rediffusion's wired television service can be made as quickly as possible thereafter.

2

If

There will be a period between the expiry of Rediffusion's licence on 30th April 1973 and the time when the successful tenderers commence broadcasting. Annexed to this memorandum is a tentative time-table of the procedures that need to be completed before the new licensees start operations. This time-table indicates that the interim period might amount to 15 months if Rediffusion were to be successful in obtaining a wireless television licence or from 24 to 30 months if another tenderer were to obtain the licence.

3

It is considered that during this period it would be very much in the public interest for competitive television to continue and for TVB not to be permitted to have a monopoly over all television. It would be desirable to consider an extension of Rediffusion's licence in the context of the future of wired television as a whole but the issues involved are controversial and it has not yet been possible to resolve them. It is proposed, therefore, that these issues should be examined in a further memorandum which will be submitted shortly for the con- sideration of Honourable Members. However, in order that a public statement on the future of television may be made as soon as possible, it is re- commended for the consideration of Honourable Members that it should be decided in principle at this stage that Rediffusion's existing wired television licence should be extended for the period between its expiry on 30th April 1973 and the date when the second wireless television licensee commences broadcasting.

4

For the purposes of an immediate public statement on the future of television it is proposed that the announcement should include a statement that, should Rediffusion so wish, Government would be prepared to negotiate a continuation of their existing wired television service for a period until the second wireless television station is in operation with certain modifications (though this would not form part of the public announcement) designed to ensure that TVB's broadcasts cannot be relayed by Rediffusion.

CONFIDENTIAL

Page 30Page 31