PROPOSAL FOR A DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL ON THE USE OF STANDARDS FOR THE TRANSMISSION OF TELEVISION SIGNALS (INCLUDING REPEAL OF DIRECTIVE 92/38/EEC)
Date: 1993-11-15
Institutions: European Commission
Subjects: European audiovisual area, European standard, cable distribution, harmonisation of standards, high-definition television, satellite communications

COMVIISSION  OF  THE  EUROPEAN  COMMUNITIES 

C0M(93) 556  final  - COD 476 

Brussels,  15 November  1993 

PROPOSAL FOR A 
DIRECTIVE OF THE EUROPEAN PARLIAMENT AND OF THE COUNCIL 
ON THE USE OF STANDARDS FOR THE TRANSMISSION 
OF TELEVISION SIGNALS 

(INCLUDING  REPEAL  OF DIRECTIVE  92/38/EEC) 

(PRESENTED  BY THE  COMMISSION) 

| f j ^ ] F 4 i H F " ' ^ ? Vi 

EXPLANATORY  MEMORANDUM 

1. 

INTRODUCTION 

Council  Directive  92/38/EEC  of  11th  May  1992  had  the  objective  of  facilitating  Europe's 

transition  from  standard  definition  (as  delivered  by  today's  PAL  and  SECAM  television 

systems)* to high definition  television  (HDTV).  The compatible evolutionary  approach, using 

the  D2-MAC  and  HD-MAC  transmission  systems**,  developed  for  satellite  and  cable 

distribution,  was  the  chosen  way  forward. 

It  was  considered  at  the  time  that  a  window  of 

opportunity of some years existed for this strategy to be successfully  implemented. 

The Directive itself, however, foresaw the need to keep the strategy under constant assessment. 

It requires  the  Commission  to review,  report  on,  and  if  necessary,  adapt  the  Directive  in the 

light of current and probable market changes, evolution  in technology,  and use of Community 

funding.  The review is required before  1  January 1994. 

2.  CHANGES IN THE MARKET 

There  can  be  little  doubt  that  the  explosion  in  the  number  of  satellite  television  services  in 

Europe  is  now providing  a wider  range  of  diversity  and  choice  of  programming  for  viewers 

than was the case 5 years  ago.  Service concepts  have also developed  as experience  has been 

gained  of viewers'  likes and dislikes.  Increasingly  important to the financial  success  of many 

television service providers are subscription revenues, and the near prospect of on-demand pay-

per-view services, most notably exemplified  by the film channels. 

Economic and  other factors  (including technical - see Section 3) have contributed  to a general 

reluctance on the part  of many  broadcasters to  invest  in new technologies,  in new equipment, 

in refurbishing  studios, in programme making in HDTV.  In short the start-up costs for HDTV 

were perceived to be off-putting  particularly  in the critical area of production of programmes. 

* 

The characteristics  of the PAL and SECAM television systems are defined  in CCIR Report 624-4,  1990. 

**  ETSI standards  references  : D2MAC  - prETS 300 250  ; HDMAC  - prETS 300 352 

With the  continued  growth  of  satellite  television  services  in the  period  it transpired  that there 

was  a  greater  immediate  need  for  quantity  in  programmes  rather  than  an  emphasis  on 

improving  the  technical  quality  of  the  image.  This  need  for  programmes  and  establishing  a 

market  presence  in  standard  definition  was  a  more  commercially  necessary  activity  to  the 

satellite broadcasters than introducing visually better services than their terrestrial competition. 

However  in the consultations  that the Commission  has held with the satellite  broadcasters  over 

the past year or so a consensus emerged that wide-screen  (16:9 aspect ratio)*** TV was both an 

attractive  feature  for  viewers  and  also  commercially  attractive  to  the  broadcasters. 

Furthermore,  to  shift  the  emphasis  to  wide-screen  16:9  services  was  a useful  and  reasonably 

manageable step towards HDTV. 

Terrestrial  broadcasters  also  shared  this  view  (seeing  wide-screen  16:9  TV  either  as  an 

opportunity  for  improving the appeal of their  own services  or as a threat to their market share 

from the  prospect  of  wide-screen  16:9  satellite  services)  but  felt  largely  excluded  from  the 

European policy since D2-MAC and HD-MAC are only suitable for satellite and cable systems. 

3.  CHANGES  IN TECHNOLOGY 

Given the exclusivity  of  D2MAC/HDMAC  applicability  to the  satellite  and cable  environment 

it  was  not  surprising  that  the  terrestrial  broadcasters  should  undertake  research  into  how  to 

improve  the  standard  definition  (with  4:3  aspect  ratio)  television  systems  to  which  they  were 

wedded,  PAL  and  SECAM.  That  effort  has  been  accelerated  and  wide-screen  16:9  variants 

should be available in 1994/95. 

The  period  has  also  seen  a  rapid  rate  of  development  in  digital  technologies  and  systems. 

Already,  thanks  to  advanced  digital  compression  techniques,  the  multi-channel  capability  (4-5 

standard definition  TV channels  in the same bandwidth as a single  analogue channel)  is  a very 

commercially  attractive  proposition.  This  is  especially  so  for  pay-per-view  channels.  Rapid 

***The aspect  ratio is the width to height  ratio of the displayed  image. Standard  defimtion  systems  such as  PAL  and 

SECAM have a 4:3 aspect ratio whilst advanced TV systems will have a  16:9 aspect ratio. 

advances  in  digital  coding  and  multiplexing,  as  well  as  compression,  are  now  showing 

promising results in the goal of achieving fully digital HDTV systems. 

Another significant  factor  has been the growing credibility  attaching to the work being done in 

the USA on digital  HDTV  systems  designed  for  the US terrestrial broadcasting  environment. 

It is now widely believed that the FCC process for  selecting a digital terrestrial HDTV system 

will lead to the introduction of such services by the end of the decade. 

From all  of these technical  developments  we can conclude  that  Europe's  D2-MAC/HD-MAC 

strategy for the introduction of HDTV is not the only possible one. It is important to recognise, 

however,  that  despite  the  promise  of  digital  technologies,  D2-MAC  and  HD-MAC  are  still 

judged  by  experts  to  have  excellent  performance  and  they  are  available  today  for  those 

broadcasters requiring wide-screen  16:9 and HDTV service capability. 

4.  THE EUROPEAN RESPONSE 

In the  light  of  these  market  and  technical  developments  the  debate  in  Europe  has  focussed 

increasingly on wide-screen  16:9 TV and digital TV. 

In  order  to  accelerate  the  introduction  of  wide-screen  16:9 TV  services  the  Community  has 

recently adopted the Action Plan for the introduction of advanced television services in Europe. 

The Action  Plan provides  for  228MECU  of Community  funding  (of  an estimated  total budget 

requirement  of 405MECU) to be distributed  over the period upto  30 June  1997.  The Action 

Plan is neutral from  the technology  viewpoint requiring only that advanced TV services adopt 

the  16:9 wide-screen format  (625 or  1250 lines) irrespective of the European TV standard used 

and irrespective of the broadcasting mode (cable, satellite, terrestrial). 

The aim is to help cushion the start-up  costs for  broadcasters  and programme makers  and the 

target  is  for  tens  of  thousands  of  hours  of  wide-screen  16:9 broadcasting  by  the  end  of  the 

Action  Plan  period.  The  intention  is  to  lay  down  a  broad  infrastructure  of  wide-screen 

reception capability  and to facilitate programme makers in moving to wide-screen production in 

order to pave the way for  HDTV in the longer term . 

- 5-

At  the  same  time  as  the  adoption  of  the  Action  Plan,  the  Council  invited  the  Commission  to 

bring  forward  the  review  of  Directive  92/38/EEC  by  some  months  in  order  to  ensure  the 

coherence  of  Community  policy.  In addition the  Commission  offered  to  bring  forward  in the 

immediate future a Communication to the Council on Digital Television. 

5.  REVIEW OF DIRECTIVE 92/38/EEC - RESULTS 

Following  all  the  consultations  with  the  involved  economic  actors  over  the  last  two  years  -

including a formal consultation on  13 July  1993 - it is clear that: 

i) 

it is  necessary  to  repeal  Directive  92/38/EEC  and to  issue  a new  Directive  to respond  to 

the changed circumstances; 

ii) 

the new Directive should be such as to support the evolving Community policy  and should 

on the  one  hand  provide  for  an orderly  regulatory  environment  while  on  the  other hand 

avoiding unnecessary restrictions on operators and costs on consumers; 

iii) 

the  immediate  scope  of  application  of  the  new  Directive  should  be  limited,  particularly 

since the range and potential of digital technology  is still unclear; 

iv) 

it should however be capable of responding to digital developments as required. 

The provisions of the new Directive therefore address the following  issues: 

5.1  Transmission Standards 

All  television  services  in wide-screen  format  will  have the  16:9  aspect  ratio.  This 

will  apply  no  matter  how  the  services  are  transmitted  to  the  viewer  -  whether  by 

cable, by satellite or by terrestrial means. 

6-

Service providers will be able to choose which European television system standard 

suits  them  best,  whether  this  is  analogue  ,  fully  digital  or  indeed  hybrid.  This 

means for  standard definition  services  : the current  D2MAC;  or any new  analogue 

system  fully  compatible  with  PAL  or  SECAM;  or  any  new  fully  digital  system 

standardised  by  a recognised  European  standardisation  body.  For  high  definition 

services  : either  HDMAC  can be  used;  or  a fully  digital  system  standardised  by a 

recognised European standardisation body. 

5.2 

Standard connector in television sets 

This  is  a  minimum  requirement  on  consumer  products  manufacturers.  It  should 

ensure flexibility  by allowing  the range of decoders  now  likely  to be on the market 

to  connect  into  the  television  set.  This  should  reassure  customers  that  their 

decision  to  purchase  a  new  advanced  TV  set  will  be  easier  knowing  that  it  will 

have  the  necessary  means  to  accommodate  a  range  of  television  signals.  The 

inclusion  of  an  open  interface  socket  (as  standardised  by  a  recognised  European 

standardisation  body)  in TV  sets  over  a certain  screen  size  should  guarantee this, 

without  unduly  penalising  either  the  manufacturers  or  the  customers  of  smaller, 

simpler models. 

- 7 -

5.3  Cable TV Networks 

The intention  here is to ensure that there  is an obligation on  cable TV networks' 

operators  throughout  the  Community,  when  they  decide  to  redistribute  television 

services, to re-transmit received wide-screen television services in wide-screen  16:9 

format regardless of the European television standard selected by the broadcaster. 

5.4  Review 

This provides that the Community's TV strategy is kept current with developments 

both  in  terms  of  the  market  and  in  terms  of  technological  evolution  and  in 

particular those in the digital domain.  The review period is every 2 years. 

6. 

SUBSIDIARITY 

a) 

What are the aims of the envisaged action with respect to the Community's obligations? 

The  aim  of the  action  is  to ensure  an  internal  market  for  wide-screen  16:9 format  television 

production,  transmission  and  receiving  equipment,  and  broadcast  services  throughout  the 

Community by harmonising the format for transmission (articles 57(2), 66 and 100a). 

b) 

Is the  envisaged  action  within  the exclusive  competetence  of the  Community,  or  is it 

also within the member-States' competence? 

The  envisaged  action  falls  exclusively  within  the  competence  of  the  Community  (internal 

market). 

c) 

What  means  of  action  are  available  to  the  Community  (recommendation,  financial 

support, regulation, mutual recognition...)? 

In order  to achieve the internal market for  broadcasting  in wide-screen  16:9 format  a Council 

Directive is the most appropriate instrument. 

d) 

Is uniform regulation necessary or would a Directive stating the general objectives, and 

leaving the implementation to the member-States, be  sufficient? 

-8 

In  order  to  exclude  the  possibility  of  diverging  formats  in  wide-screen  television  services 

developing  in the member-States  a Directive harmonising the  16:9 format is required. 

7.  CONCLUSIONS 

The  Commission  has  reviewed  Council  Directive  92/38/EEC  and  concluded  that  change  is 

essential  to  reflect  the  changed  market  and  technology  realities  of  today.  The  Commission 

urges  the  Council,  the  European  Parliament  and the  Economic  and Social  Committee  to adopt 

the proposed new Directive repealing Directive 92/38/EEC within the shortest time possible. 

The  Commission  is  confident  that  with  the  twin  instruments  of  the  new  Directive  and  the 

Community's  Action  Plan  funding  programme  for  advanced  television  services  in  place  that 

broadcasters,  satellite  service  providers,  consumer  products  manufacturers,  cable  network 

operators, TV production and facilities  houses can all build on a steady base to offer  new wide-

screen services to viewers and customers more assured of that market stability. 

- 9-

Proposalfora 

Directive of the European Parliament and of The Council 

on the use of standards for the transmission 

of television signals 

THE  EUROPEAN  PARLIAMENT  AND  THE  COUNCIL  OF  THE  EUROPEAN 

COMMUNITIES, 

Having  regard  to  the  Treaty  establishing  the  European  Community,  and  in  particular 

Articles 57(2), 66 and 100a thereof, 

Having regard to the proposal from the Commission1, 

Having regard to the opinion of the Economic and Social Committee2, 

Whereas  the  Community,  through  Council  Decisions  89/337/EEC3  and  89/630/EEC4, 

recognised  the  strategic  importance  of  High  Definition  Television  (HDTV)  for  the 

European  consumer  electronics  industry  and  for  the  European  television  and  film 

industries and established the strategy framework for the introduction of European HDTV; 

Whereas the  objectives  of  the  strategy  for  the  introduction  of  HDTV  in  Europe  are an 

integral  part  of  the  Community  audio-visual  policy,  and  whereas  they  must  take  into 

account  other  objectives  of  this  policy  within  the  perspective  of  the  development  of 

3  O J. No L142,25.05.1989, p. 1 

4  O J. No L 363,13.12.1989, p. 30 

-10-

Europe's  audio-visual  capacity,  which  comprise  structural  objectives  such  as  the 

development of production in countries or regions with more limited audio-visual capacity; 

Whereas Council Directive 92/38/EEC on the adoption of standards for the transmission 

of  television  signals5  set  a  regulatory  framework  of  standards  for  advanced  television 

broadcasting  services  for  television  programmes  based  on  HD-MAC6  as  the  European 

satellite  and cable  transmission  standard  for  non-fully  digital  HDTV  and  the D2-MAC7 

standard for other not completely digital satellite and cable transmission in the wide-screen 

16:9 aspect ratio format; 

Whereas  Council  Decision  93/424/EEC  on  an  Action  Plan  for  the  introduction  of 

advanced television services in Europe8aims at promoting the wide-screen  16:9 format (625 

or 1250 lines), irrespective of the European television standard used and irrespective of the 

broadcasting mode (terrestrial, satellite or cable); 

Whereas Article 7 of  Council Directive 92/38/EEC  on the adoption  of  standards for the 

transmission of  television  signals calls on the Commission  to report  on the  effects  of the 

application  of  that  Directive,  on  the  evolution  of  the  market,  in  particular  on  market 

penetration measured by objective criteria, the use of the Community funding,  and make 

proposals to the Council to adapt that Directive to these developments if necessary; 

Whereas, in order to reach Community goals as set out in the above-mentioned  Decisions 

and to contribute to the achievement of an internal market, as provided for in Article 8(a) 

of the Treaty, in the broadcasting of television signals, it is necessary to take steps to adopt 

a common format for wide-screen transmissions; 

5  O J. No L137,20.05.1992, p. 17 

6  ETSI standard reference : prETS 300 352 

7  ETSI standard reference : prETS 300 250 

8  O J. No L196,5.08.1993, p.48 

- 1 1-

Whereas  the  wide-screen  16:9  aspect  ratio  has  been  adopted  at  world  level  by  the 

International Telecommunication Union (ITU)9 for HDTV and it is desirable and possible 

to develop the market for advanced television services and products having the same wide-

screen 16:9 aspect ratio; 

Whereas television services are currently delivered to the home by terrestrial systems, by 

satellite systems and by cable systems and it is essential that advanced wide-screen services 

should be made available to the largest possible number of viewers; 

Whereas  there  is  a  need  to  establish  common  digital  standards  for  the  transmission  of 

television  signals whether by cable, or by satellite,  or by terrestrial  means as an enabling 

element  for  effective  free-market  competition  and  this  is  best  achieved  through  the 

activities of a recognised European standardisation body; 

Whereas  it  is  appropriate  to  repeal  Council  Directive  92/38/EEC  and  to  issue  a new 

Directive in the light of these developments in the market and technology; 

Whereas  technologies  for  advanced  television  services  are  developing  rapidly  and  a 

common  approach  to  their  development  is  necessary;  whereas  separate  and  multiple 

actions by the Member States could lead to undesirable fragmentation  of the market for 

products and services and to duplication of efforts; and whereas consequently such actions 

could be better achieved at Community level; 

9  COR  Recommendation 709 defines "picture characteristics" including the wide-screen 16:9 aspect ratio 

-12-

HAVE ADOPTED THIS DIRECTIVE: 

Article 1 

Member States shall take all appropriate measures to promote and support the accelerated 

development of televisions services in the wide-screen  16:9 format  and using 625 or 1250 

lines; 

Article 2 

All television services transmitted to viewers in the Community whether by cable, satellite 

or terrestrial means shall: 

i) 

if they are in wide-screen format, only use a transmission system having the 

16:9 aspect ratio; 

if) 

if they are in wide-screen format and 625 lines, and are not fully digital, use 

the  D2MAC  tiansmisaion  system,  ni  n Inihsmlwluii  «y«lem  which to hilly 

compatible with PAL or SECAM; 

iii) 

if  they  are  in  high  definition,  and  are  not  fully  digital,  use  the  11 DM AC 

transmission system. 

Article 3 

Completely  digital  television  systems  must  use  a  transmission  system  which  has  been 

standardised  by a European  standardisation  body  but  are  otherwise  not  covered  by this 

Directive. 

Article 4 

Any television set with an integral viewing screen of visible diagonal greater than 42 cms, 

which is put on the market for sale or rent in the Community shall be fitted with at least 

13-

one standardised  (by a recognised European standardisation body) open interface  socket 

permitting simple connection of additional decoders or peripherals. 

Article 5 

Any wide-screen  16:9 television  service which  is received  by and  re-distributed  on cable 

television systems shall be re-distributed on such systems in the wide-screen 16:9 format. 

Article 6 

Before  1 January  1996  and  every  2  years  thereafter  the  Commission  shall  review  this 

Directive  and  submit  a  report  to  the  European  Parliament,  to  the  Council  and  to  the 

Economic and Social Committee on market and technological developments, in particular 

relating to  developments  in digital technology.  If necessary,  the Commission  shall make 

proposals to the Council to adapt this Directive to these developments. 

Article 7 

Directive 92/38/EEC is hereby repealed with effect from the date six months after the date 

of notification of this new Directive. 

Article 8 

1. 

Member States shall bring into force  no later  than 6 months after  the  date  of its 

notification  the laws, regulations  and administrative  provisions  necessary  to  comply with 

this Directive. They shall forthwith inform the Commission thereof. 

2. 

When Member States adopt these provisions, these shall contain a reference to this 

Directive or shall be accompanied by such reference at the time of their official publication. 

The procedure for such reference shall be adopted by Member States. 

3. 

Member States shall communicate to the Commission the texts of the provisions of 

national law which they adopt in the field governed by this Directive 

-14-

Article 9 

This Directive is addressed to the Member States. 

Done at Brussels, (date) 

For the European Parliament 

For the Council 

The President 

The President 

-AS 

-

ISSN 0254-1475 

COM (93) 556 final 

DOCUMENTS 

EN 

15 

$fôlu.. 

Catalogue number : CB-CO-93-594-EN-C 

ISBN 92-77-60783-1 

Office for Officiai Publications of the European Communities 
L-2985 Luxembourg