The Portuguese Government intends to abolish advertising on the remaining TV channel of public broadcaster RTP, after selling one of its two terrestrial channels, which is expected to occur by the end of 2012.
The news was announced by the Minister for Parliamentary Affairs, Miguel Relvas, during a seminar organised by the Portuguese Association of Advertisers (APAN).
According to initial estimates, RTP is set to lose €30 million in advertising revenues, which could, in turn, lead to the loss of 30 jobs.
A working group has also proposed the closure of the news channel RTP Informação and the merger of international services RTP África and RTP Internacional.
Relvas has also anticipated that RTP might not renew its partnership contract with pan-European news channel Euronews, which expires on 31 January 2012, saving E2 million per year in translating costs.
For its part, Euronews claims that Portugal pays the “cheapest price” for the service and that the future of the 17 Portuguese journalists at Euronews may be at risk, adding that a new Portuguese-language partner will have to be found, possibly even in Brazil.