TNAG-2763-FCO40-3980-Hong-Kong-licensing-framework-for-satellite-television-broad-1993 — Page 16

For decision on

- 9 November 1993

CONFIDENTIAL

HUB 190/2

1~ NOV 1993

Boud

16

XCC(93)148

"/" Copy No. 33

1/1

MEMORANDUM FOR EXECUTIVE COUNCIL

1. Mr Ricke

4

2. Mr Mon 127′′ 3. Mr Whitneyslu The changes HITG are

Framework for

LICENSING FRAMEWORK FOR proposing to its licensing SATELLITE TELEVISION BROADCASTING satellite TV

THE PROBLEM

FROM HONG KONG

"

broadcasting are designed to promote

Fiks image as an international telecommunications centre There is some evidence that investors were choosing "Uplift" from Singapore becaus

to

but the Chinese

Hit's licencing framework was overly restrictive. The proposals Hong Kong's existing licensing framework for satellite television are sound broadcasting is perceived as being overly restrictive. Failure to improve are likely to the framework may affect Hong Kong's overseas image and may deter view them. overseas investors in the broadcasting field from setting up operation in with Hong Kong.

RECOMMENDATION AND ADVICE SOUGHT

2

T

Suspicion paras, 17 & 18.

It is recommended that the licensing framework for satellite television broadcasting from Hong Kong approved by this Council on 30 October 1990 should be amended in the following respects -

DOB

11/11

See

(a)

Satellite television licensees should no longer be required to -

(i)

be subject to the maximum 49% foreign shareholdings restriction nor the restriction that the majority of their directors be ordinarily resident in Hong Kong (paragraphs 12 and 13); (ii) be a company not being a subsidiary of any other

company (paragraph 14);

(iii) pay both a licence fee and a service origination

charge to Government, which should be replaced by a licence fee to recover administrative expenses incurred in regulating and monitoring the services (paragraph 15); and

Executive Council