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Chapter 3 Sustaining the Development of the Broadcasting Industry

The Development of Digital Terrestrial Television Services

Extending the DTT Coverage

Since the launch of DTT services in late 2007, the two domestic free television programme service licensees, namely ATV and TVB, have constructed in phases a total of 29 transmitting stations, bringing the overall DTT coverage to around 98% of the population by the end of 2012. More people can now enjoy better quality pictures and enhanced audio-visual features, including high-definition television (HDTV) and surround sound, with more programming choices available from additional television channels3 and value-added services (such as closed captioning, electronic programme guide, interactive services, among others).

The CA decided in June 2012 to grant approval to the applications from ATV and TVB for exemption from territory-wide coverage of DTT services up to 31 December 2013 subject to the conditions, among others, that their DTT services should be extended to cover at least 98% of the population by end 2012, and then at least 99% of the population, that is, with penetration on a par with that of analogue television, by September 2013.

3. ATV and TVB are currently broadcasting 11 DTT programme channels, including both HDTV and standard definition television channels.

Change of Coding Standard for Digital Television Programme Channels

In response to a joint application by ATV and TVB, we assisted the CA in reviewing and revising the Generic Code of Practice on Television Technical Standards to allow for a change in the coding standard for four digital simulcast television programme channels from MPEG-2 to H.264. The use of H.264 coding enhances picture quality and opens up the possibility of providing more programme channels and introducing enhanced services such as HDTV and three-dimensional television. The CA approved the change to the coding standard, and this took effect in October 2012.

Roll-out of Digital Audio Broadcasting Services

The three DAB licensees, namely Digital Broadcasting Corporation Hong Kong Limited (DBC), Metro Broadcast Corporation Limited (Metro) and Phoenix U Radio Limited (Phoenix U Radio), formally launched DAB services in 2012 in accordance with the licence requirements. As of the end of September 2013, the licensees and RTHK provided a total of 16 DAB channels (7 by DBC, 2 by Metro, 2 by Phoenix U Radio and 5 by RTHK). The number of DAB channels will gradually increase to 18.

The DAB transmission network, comprising seven principal transmitting stations located at Beacon Hill, Castle Peak, Cloudy Hill, Golden Hill, Kowloon Peak, Lamma Island and Mount Gough, was officially launched in June 2012.

Between October 2012 and January 2013, DBC suspended its DAB service arising from a dispute among shareholders. We assisted the CA in taking regulatory action against DBC and imposed on it financial penalties totalling $280,000 for breaches of licence conditions. Following the settlement of the dispute, DBC resumed its full-fledged broadcasting service on 28 January 2013.

Handling of Broadcast Complaints

The CA does not pre-censor broadcast content, but adopts a complaint-driven approach to ensure that broadcast content is in compliance with the legislation, the licence conditions and the codes of practice issued by the CA. As the executive arm of the CA, we assist the CA in handling complaints about broadcast materials in accordance with the provisions stipulated in the B(MP)O and the CA broadcast complaint handling procedures.

In 2012/13, we dealt with 1 625 cases (49 184 complaints)4. Among them, 41 cases (45 752 complaints) were referred to the BCC of the CA and then to the CA for consideration and determination. Details of the complaint cases considered by the CA have been published on the CA website. The Director-General of Communications handled the remaining 1 584 cases (3 432 complaints) under the power delegated by the CA. These complaints were related to breaches of a minor nature, or allegations which did not constitute any breach or were outside the remit of section 11(1) of the B(MP)O, that is, the substance of the complaints did not involve a contravention of the legislation, licence conditions or codes of practice.

4. To ensure operational efficiency, complaints with similar or related allegations against the same broadcast material are handled together and counted as a single case.

Licence Administration

Based on the then BA's recommendation on the application for the renewal of the domestic pay television programme service licence of TVB Network Vision, the Chief Executive in Council approved the licence renewal application in August 2012. The validity period of the renewed licence is 12 years, from 23 February 2013 to 22 February 2025.

We also processed two applications for non-domestic television programme service licences from Health TV Company Limited and One TV Media Global Limited, and one application for the renewal of other licensable television programme service licence from Showers of Blessing Evangelistic Ministry (Hong Kong) Limited for the provision of television programme services in hotel rooms in Hong Kong.

Review of Codes of Practice

We assist the CA in conducting regular reviews of the codes of practice to provide guidance to broadcasters on programme, advertising and technical standards. During the year under review, in addition to the change to the Generic Code of Practice on Television Technical Standards mentioned above, the CA also amended the codes of practice for television and radio in order to relax the requirement governing commercial references within programmes for channels acquired for direct re-transmission on domestic free television programme services; to require clear identification of television advertisements presented in a programme style; and to make clear the applicability of the advertising time-limit to promos for television and radio advertisements.

Public Engagement Exercise on Domestic Free Television Programme
Services

In the context of the mid-term review of the domestic free television programme service licences in 2010, the Chief Executive in Council approved, among other things, the recommendations by the then BA to engage the public, on a regular basis, to collect their views on the quality and variety of the television programmes provided by the licensees. The first public engagement exercise was conducted in late 2010/early 2011. We assisted the CA in conducting the 2013 public engagement exercise between February and May 2013. The exercise adopted a two-stage format: an invitation for submission of written views from members of the public at stage one, and the conduct of focus group meetings at stage two. In August 2013, the CA published a report on the views collected during the two stages and the licensees' responses and follow-up actions to the views collected.