NBTC backs USO fund rule

NBTC backs USO fund rule

The National Broadcasting and Telecommunications Commission (NBTC) yesterday approved the draft of the new universal service obligation (USO) fund rule, which will charge TV operators a progressive rate based on actual revenue.

Secretary-general Takorn Tantasith said the new rule would make a big change from the current fixed rate of 2% of operators' annual revenue.

Digital terrestrial, satellite and cable TV operators have to inform the NBTC of their revenue every year to calculate the USO fund payment.

Under the progressive system, operators will be charged 0.5% on revenue of less than 5 million baht, 0.75% on revenue of 5-50 million, 1% on 50-500 million, 1.75% on 500 million to 1 billion, and 2% for more than 1 billion.

The new rule is expected to promote fairness and transparency and benefit digital TV operators whose performance remains poor.

"If the progressive rate is applied, several digital TV operators with weak financial performance will pay less to the USO fund," Mr Takorn said.

The NBTC board will hold a public hearing to gather comments from related parties soon. The new USO fund rule is expected to be effective this year.

The USO fund is used to improve the broadcasting industry by collecting money from TV operators. Its objective is in line with Section 52 of the Frequency Allocation Act.

First, the USO fund must support the broadcasting and telecommunications industries, particularly by promoting community service.

Second, it must help to develop communications resources and provide facilities for the disabled, elderly and those otherwise disadvantaged.

Third, it must develop human resources in the industries.

Fourth, it must protect consumers, and lastly it must set up a development fund for creative media.

Meanwhile, the NBTC board has agreed to hire Obtainment Co to help promote public awareness of digital TV during the transition period. The regulator has a duty to facilitate a smooth digital TV transition.

Obtainment Co won the bidding by offering the lowest price of 53.56 million baht for one year's service.

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