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NEWS: OFCOM LAUNCHES
CONSULTATIONS ON THE
REGULATION OF COMMERCIAL
RADIO FORMATS AND USE OF
SPECTRUM FOR DAB RADIO
by
GRANT GODDARD
www.grantgoddard.co.uk
October 2005
UK media regulator Ofcom issued two important radio policy documents last
week and launched two related consultation exercises.
The first policy document, entitled 'Licensing Policy for VHF Band III Sub-band
3', concerns the four blocks of spectrum that will become available for DAB
use. Ofcom proposes that three of these blocks be allocated to new local
multiplexes that would ensure that all existing and planned local AM/FM
stations, both commercial and BBC, can move to DAB. The fourth block would
be used to establish a new national multiplex, on which new services would
“appeal to tastes and interests that are distinct from those met by the existing
commercial multiplex” owned by GCap. Ofcom argues that “listeners’ interests
will be best served by making more services available nationally” and cites the
competing Sky satellite system on which “listeners have a wider range of radio
stations than is currently available on DAB.” Ofcom’s objective is to ensure that
“more opportunities for existing and new services to be carried on DAB” will
increase the attractiveness of DAB to consumers, so “helping to secure the
digital future [that] radio needs”.
The second policy document, 'Radio – Preparing For The Future', proposes
that the “bedrock” of future radio regulation be determined by a station’s
outputs, which Ofcom describes as “the feel of a station and listeners’
experiences”. Ofcom acknowledges that the change will result in “placing
greater self-responsibility on station owners and their audiences”, rather than
the regulator telling stations how they should structure their inputs. Proposals
include:
 The publication of a final set of Localness Guidelines following industry
consultations.
 A local journalist required to be present at a local station during all hours
that local news broadcasts are made.
 Compliance with Ofcom regulations through a mix of responding to
complaints, sampling of station outputs and a Public File to be maintained
by each station.
 A new process for local commercial stations requesting changes to their
Format.
 Analogue commercial radio stations will no longer be licensed on Medium
Wave, as this waveband will be used for community radio stations and for
small commercial and community stations using the new Digital Radio
Mondiale [DRM] standard as a route to being carried on DAB multiplexes.
In the long run, Ofcom expects that:
 The need for regulator-issued Formats for local stations specifying the
type of music to be played will diminish.
 The Government must consider what statutory provisions will be required
to ensure that former analogue stations that have switched to digital
remain committed to 'localness' once simulcasting with FM or AM ends.
 The Government should consider the case for a publicly funded radio
broadcaster, as part of Ofcom’s proposal for a multimedia Public Service
Broadcaster.
 The new L-Band will provide opportunities for new radio services and
networks to be developed.
News: Ofcom Launches Consultations On The Regulation Of Commercial Radio Formats And Use Of Spectrum For
DAB Radio Page 2
©2005 Grant Goddard
News: Ofcom Launches Consultations On The Regulation Of Commercial Radio Formats And Use Of Spectrum For
DAB Radio Page 3
©2005 Grant Goddard
The first consultation exercise is on Ofcom’s proposal to allow three blocks of
VHF Band III spectrum to fill in the gaps on local multiplex coverage, as well as
one block for a new national multiplex. The closing date for submissions is 16
November 2005. The second consultation exercise concerns Ofcom’s
proposals for the regulation of Formats for analogue commercial radio stations
and closes on 11 January 2006.
Reaction from radio groups was mixed. Ralph Bernard, chief executive of
GCap Media said: "As the commercial radio catalysts for DAB digital radio, we
have made considerable investment in its growth in the UK. We are reviewing
the contents of today's consultation documents from Ofcom and are carefully
considering our position. While we note Ofcom's commitment to ensuring a
broad range of services which will be separate and distinct from those on
Digital One, we are not at this stage ruling out the possibility of a judicial
review”.
Dee Ford, managing director of EMAP Radio, said: "EMAP has been
consistent from the start in saying that it wants a national multiplex to sit under
the Broadcasting Act. Ofcom has offered GCap the differentiation [from its
multiplex services]. Of course it should be different – we're about pleasing
audiences. An extension of consumer choice is great, with the multiplex under
the Broadcasting Act, is superb. Big swaths of white space will be filled up and
digital radio will finally be considered a viable option."
Daniel Owen, Chrysalis Radio director of regulatory affairs, said: "[The report]
is positive from our point of view. We are very pleased Ofcom is keen to create
more national digital radio choice. It is absolutely the best outcome for the
listeners and the industry. [A new national multiplex] is a big opportunity for all
kinds of people to offer something new and different. There will be a lot of
conversations over the next few weeks about how to approach that."
[Sybmitted to 'The Radio Magazine', unpublished]
Grant Goddard is a media analyst / radio specialist / radio consultant with thirty years of
experience in the broadcasting industry, having held senior management and consultancy
roles within the commercial media sector in the United Kingdom, Europe and Asia. Details at
http://www.grantgoddard.co.uk

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'News: Ofcom Launches Consultations On The Regulation Of Commercial Radio Formats And Use Of Spectrum For DAB Radio' by Grant Goddard

  • 1. NEWS: OFCOM LAUNCHES CONSULTATIONS ON THE REGULATION OF COMMERCIAL RADIO FORMATS AND USE OF SPECTRUM FOR DAB RADIO by GRANT GODDARD www.grantgoddard.co.uk October 2005
  • 2. UK media regulator Ofcom issued two important radio policy documents last week and launched two related consultation exercises. The first policy document, entitled 'Licensing Policy for VHF Band III Sub-band 3', concerns the four blocks of spectrum that will become available for DAB use. Ofcom proposes that three of these blocks be allocated to new local multiplexes that would ensure that all existing and planned local AM/FM stations, both commercial and BBC, can move to DAB. The fourth block would be used to establish a new national multiplex, on which new services would “appeal to tastes and interests that are distinct from those met by the existing commercial multiplex” owned by GCap. Ofcom argues that “listeners’ interests will be best served by making more services available nationally” and cites the competing Sky satellite system on which “listeners have a wider range of radio stations than is currently available on DAB.” Ofcom’s objective is to ensure that “more opportunities for existing and new services to be carried on DAB” will increase the attractiveness of DAB to consumers, so “helping to secure the digital future [that] radio needs”. The second policy document, 'Radio – Preparing For The Future', proposes that the “bedrock” of future radio regulation be determined by a station’s outputs, which Ofcom describes as “the feel of a station and listeners’ experiences”. Ofcom acknowledges that the change will result in “placing greater self-responsibility on station owners and their audiences”, rather than the regulator telling stations how they should structure their inputs. Proposals include:  The publication of a final set of Localness Guidelines following industry consultations.  A local journalist required to be present at a local station during all hours that local news broadcasts are made.  Compliance with Ofcom regulations through a mix of responding to complaints, sampling of station outputs and a Public File to be maintained by each station.  A new process for local commercial stations requesting changes to their Format.  Analogue commercial radio stations will no longer be licensed on Medium Wave, as this waveband will be used for community radio stations and for small commercial and community stations using the new Digital Radio Mondiale [DRM] standard as a route to being carried on DAB multiplexes. In the long run, Ofcom expects that:  The need for regulator-issued Formats for local stations specifying the type of music to be played will diminish.  The Government must consider what statutory provisions will be required to ensure that former analogue stations that have switched to digital remain committed to 'localness' once simulcasting with FM or AM ends.  The Government should consider the case for a publicly funded radio broadcaster, as part of Ofcom’s proposal for a multimedia Public Service Broadcaster.  The new L-Band will provide opportunities for new radio services and networks to be developed. News: Ofcom Launches Consultations On The Regulation Of Commercial Radio Formats And Use Of Spectrum For DAB Radio Page 2 ©2005 Grant Goddard
  • 3. News: Ofcom Launches Consultations On The Regulation Of Commercial Radio Formats And Use Of Spectrum For DAB Radio Page 3 ©2005 Grant Goddard The first consultation exercise is on Ofcom’s proposal to allow three blocks of VHF Band III spectrum to fill in the gaps on local multiplex coverage, as well as one block for a new national multiplex. The closing date for submissions is 16 November 2005. The second consultation exercise concerns Ofcom’s proposals for the regulation of Formats for analogue commercial radio stations and closes on 11 January 2006. Reaction from radio groups was mixed. Ralph Bernard, chief executive of GCap Media said: "As the commercial radio catalysts for DAB digital radio, we have made considerable investment in its growth in the UK. We are reviewing the contents of today's consultation documents from Ofcom and are carefully considering our position. While we note Ofcom's commitment to ensuring a broad range of services which will be separate and distinct from those on Digital One, we are not at this stage ruling out the possibility of a judicial review”. Dee Ford, managing director of EMAP Radio, said: "EMAP has been consistent from the start in saying that it wants a national multiplex to sit under the Broadcasting Act. Ofcom has offered GCap the differentiation [from its multiplex services]. Of course it should be different – we're about pleasing audiences. An extension of consumer choice is great, with the multiplex under the Broadcasting Act, is superb. Big swaths of white space will be filled up and digital radio will finally be considered a viable option." Daniel Owen, Chrysalis Radio director of regulatory affairs, said: "[The report] is positive from our point of view. We are very pleased Ofcom is keen to create more national digital radio choice. It is absolutely the best outcome for the listeners and the industry. [A new national multiplex] is a big opportunity for all kinds of people to offer something new and different. There will be a lot of conversations over the next few weeks about how to approach that." [Sybmitted to 'The Radio Magazine', unpublished] Grant Goddard is a media analyst / radio specialist / radio consultant with thirty years of experience in the broadcasting industry, having held senior management and consultancy roles within the commercial media sector in the United Kingdom, Europe and Asia. Details at http://www.grantgoddard.co.uk