WRITTEN QUESTION E-1944/03 by Bart Staes (Verts/ALE) to the Commission. Internal market in television advertising in conjunction with programmes for minors.
Date: 2003-06-13
Institutions: European Parliament, Provisional data
Subjects: advertising, application of EU law, broadcasting, child protection, competition law, single market, television

C 70 E/68

Official Journal of the European Union

EN

20.3.2004

Answer given by Mr Nielson on behalf of the Commission

(17 July 2003)

The Union has always been concerned with the situation of Internally Displaced Persons (IDPs) from the
different areas of the civil conflict, but in particular from those areas in which oil is extracted. This issue
was raised in the Union/Sudan Political Dialogue that took place in December 2002 in Khartoum.

The signature by the parties in the context of the Intergovernmental Authority on Development (IGAD)
Peace Negotiations of the two Memoranda of Understanding, which concern the cessation of hostilities and
protection of civilians, constitute a major step forward. According to Commission’s information IDPs are
returning to their areas of origin.

The Commission has no competence as regards the behaviour of oil companies, in particular those that
are active in Southern Sudan, since their countries of origin are not within the Union (China, Malaysia,
India, etc.). The only European company present there, Lundin, suspended its operations for the last
18 months.

As regards the trade in arms the Union fully applies and complies with the United Nations resolution that
forbids the sale of arms to Sudan. However, the Commission is aware that both parties are buying arms
from countries outside the Union.

(2004/C 70 E/071)

WRITTEN QUESTION E-1944/03

by Bart Staes (Verts/ALE) to the Commission

(13 June 2003)

Subject: Internal market in television advertising in conjunction with programmes for minors

Since 1 April 2003, the Dutch music channel TMF has been broadcasting Nickleodeon programmes aimed
at children. Nickleodeon forms part of Viacom, the same group which also includes MTV and TMF.
Worldwide, Nickleodeon programmes are distributed in no fewer than 150 countries. TMF is also
distributed on cable in Flanders, where it transmits programmes and content specifically aimed at viewers
in Flanders.

As this Flemish version of TMF has a licence issued in the Netherlands, it need not comply, inter alia, with
Flemish rules on blocks of advertising in conjunction with children’s programmes. Flemish legislation is
more stringent than Article 11(5) of Directive 97/36/EC (1). Article 82(6) of the relevant Flemish decree
reads:
‘No advertising or teleshopping programmes may be transmitted in immediate conjunction with
children’s programmes’. For this purpose, in immediate conjunction ‘means within five minutes before or
after a children’s programme.’

This means that commercial stations with a Flemish licence which, like TMF, address the whole Flemish
market are on the contrary required to comply with these stricter rules.

The Flemish Media Minister has already stated on several occasions that this matter can only be regulated
at European level.

Does the Commission consider that stations with Flemish broadcasting licences are being subjected to
unfair competition from other stations which nonetheless are likewise specifically targeting the Flemish
market?

If not, why not?

If so, can the Flemish authorities independently take measures to put an end to this manifestly unfair
competition, and what can and will the Commission do in the near future to put an end to this form of
unfair competition?

(1) OJ L 202, 30.7.1997, p. 60.

20.3.2004

EN

Official Journal of the European Union

C 70 E/69

Answer given by Mrs Reding on behalf of the Commission

(17 July 2003)

Under Council Directive 89/552/EEC of 3 October 1989 (1), as amended by Directive 97/36/EC of the
European Parliament and of the Council of 30 June 1997 (Television Without Frontiers Directive), each
Member State must ensure that broadcasts from television broadcasters under its jurisdiction comply with
the law applicable to broadcasts intended for the public in that Member State, and must ensure freedom of
reception on its territory of television broadcasts from other Member States.

In order to avoid distortions, the Television Without Frontiers Directive contains rules which coordinate
national laws with a view to ensuring that a number of values and objectives of general public interest are
fulfilled in all Member States, such as consumer protection, protection of public health and of the integrity
of works.

The protection of minors is one of the areas coordinated by the Directive, Article 11(5) of which provides
that children’s programmes with a scheduled duration of less than 30 minutes must not be interrupted by
advertisements or teleshopping spots. While these provisions ensure an adequate level of protection at
Community level, stricter provisions may be adopted at national level, such as the rules adopted by the
government of the Flemish Region. However, these rules may not be extended to programmes from
broadcasters under the jurisdiction of another Member State. Accordingly, the government of the Flemish
Region cannot take measures to block the reception or retransmission of the broadcasts in question on the
grounds that they do not comply with the provisions of its law.

(1) Council Directive 89/552/EEC of 3 October 1989 on the coordination of certain provisions laid down by law,
regulation or administrative action in Member States concerning the pursuit of television broadcasting activities,
OJ L 298, 17.10.1989.

(2004/C 70 E/072)

WRITTEN QUESTION P-1962/03

by Georges Berthu (NI) to the Commission

(5 June 2003)

Subject: Future accounting standards in the insurance sector

For several months, banking and insurance professionals have been exposing the dangers of across-the-
board application of the future IAS accounting standards to their professions. While financing practices
involve the pooling of risks, the use of standard IAS 39 may very well produce an untrue picture of the
actual position of firms on the date of closure of accounts because it takes market value as the basis for
valuing assets and liabilities.

My Written Question P-2507/02 (1) drew the Commission’s attention to the risks posed by this method.
In a detailed reply dated 15 October 2002, Commissioner Bolkestein stated that the Commission was
expecting fresh proposals from the IAS Board in this connection and that at all events, in its view, ‘any
apparent reduction in the degree of prudence in the financial statements should not lead to less prudence
in the prudential regulation of relevant entities’.

IAS is reported to have rejected, after all, the proposals submitted to it on amending IAS 39. What action
does the Commission intend to take to avoid what are ever more worrying risks?

(1) OJ C 222 E, 18.9.2003, p. 9.

Answer given by Mr Bolkestein on behalf of the Commission

(2 July 2003)

International Accounting Standard (IAS) 39 is being revised. Bilateral technical meetings are taking place
between the International Accounting Standards Board (IASB) and the European banking industry on how
this standard should be applied to operations relating to rate risk cover. This dialogue is on track.