EC puts RTVE in limbo?

From David Del Valle in Madrid

The European Commission (EC) has urged Spain to put on hold the new RTVE’s new financial regime until its probe into the new Spanish legislation to determine whether it is compatible or not with the EU Treaty has concluded.

Until then, RTVE, which ceased broadcasting advertising from on January 1st in accordance with the new legislation, will not be able to be financed by taxes on free-to-air TV channels (3 per cent of their revenues), pay-TV channels (1.5 per cent of their revenues) or telco companies (0.9 per cent of their revenues).

The EC started an inquiry at the end of 2009 questioning whether the taxes amounted to financial aid and whether those taxes are compatible with the Treaty. The EC has summoned Spain to provide all requested information within a month.

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