CELEX: 51991PC0530
Language: en
Date: 1991-12-05
Title: Amended proposal for a COUNCIL DIRECTIVE on the adoption of standards for satellite broadcasting of television signals

COMMISSION OF THE EUROPEAN COMMUNITIES
                                                        COM(91)530      final - SYN 350
                                                        Brussels, 5      December 1991
                                    Amended proposal for a
                                       COUNCIL DIRECTIVE
                        on the adoption of standards for satellite broadcasting
                                        of television signals
•il -Li.*, r
                  (presented by the Commission pursuant to Article 149(3)
                                       of the EEC-Treaty)
   tflMJuBSo
 ---pagebreak---                                       r
                            EXPLANATORY MEMORANDUM
On 9 July 1991 the commission presented its initial proposal for a
 council Directive on the adûptloa of standards for the satellite
.broadcasting of television signals (C0H(91)242 final-S3N 350).
«rh«» European Parliament expressed its Opinion, at first reading on 20
 Jtovember 1991, In the Light Of that Opinion the Cdmmiccien hereby
 ^*xr,*<: i±j£ init? nl proposal.
 This ^TTW*ndprt proposal follows the ling announced by the Commission at
 the plenary session, of Parliament and incorporates all the amendments
which the Commission had accepted, including those accented subject to
 revision of the taxfc-
 The resulting- —•—»*+* proposal represents a broadly consistent solution
 to the text, takes account of toe point of view of the suropoan
 Parliament as regards certain spécifie aspects (such as the duration of
 the Directive, financial support from, the Cmamttnlty and the relaxation
 of a number of obligations} and solves certain specific problems raised
 by the Members in their amendments. The Commission consider?* that this
 new proposal takes better account of the foreseeable development of the
 market and its needs while at the same time ensuring- genuine
 convergence towards ED-K&G via the intermediate standard M.—K&e>16rS.
 only amendments 15 and 18 were not accepted by the Commission - the
 former because the Commission cannot accept subordination of the entry
 Into farce of the Directive to an act of private law such as the HOU<.
 and the latter because it provides for excessively broad derogations
 for certain cable operators.
 ---pagebreak---                                                -4-
                                    Amended p r o p o s a l for a
                                      COUNCIL DIRECTIVE
                    on the adoption of standards for satellite broadcasting
                                       of television signals
THE COUNCIL OF THE EUROPEAN COMMUNITIES,
Having regard to the Treaty establishing the European Economic Community, and in
particular Article 100a thereof,
Having regard to the proposal from the Commission,
In cooperation with the European Parliament,
Having regard to the opinion of the Economic and Social Committee,
Whereas Council Directive 86/529/EEC1 made provision for review;
Whereas the Community, through Council Decision 89/337/EEC2 and Council Decision
89/630/EEC3, recognized 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 Council Directive 86/529/EEC, in particular in Article 2, established a dual
regime by a limitation of the application of the Directive to only one type of satellite, and
as a consequence a dual market appeared with the use of MAC standards in Broadcasting
Satellite Service (BSS) and mainly PAL and Secam in Fixed Satellite Service (FSS);and
whereas this should be avoided in the future in order to prevent.a split in the satellite
market.
1
    OJ NoL311, 6.11.1986, p. 28.
2
    OJ No L 142, 25.5.1989, p. I.
3
    OJ No L 363, 13.12.1989, p. 30.
 ---pagebreak--- Whereas in order to reach Community goals as set out in the Council Decisions mentioned
above and in order to contribute to the achievement of a single market in satellite
broadcasting of television signals as provided for in Article 8(a) of the Treaty, it is
necessary to undertake steps to create a convergence of standards, using in parallel a
regulatory instrument, and an agreement between major actors in the market;
Whereas it is in the best interest of European consumers to follow a path towards HDTV
based on the criteria of compatibility and evolution, in order to avoid discontinuities and
duplication of investments;
Whereas HD-MAC has been developed as the European transmission standard for HDTV
services based on those criteria of compatibility and evolution and D2-MAC offers the best
available path towards the development of HDTV with wide-screen 16 : 9 D2-MAC as the
main step in that direction;
Whereas there is a need to establish common standards for satellite transmission as an
enabling element for effective free market competition taking into account that standards
promote competitiveness by lowering costs for producers, shaping customer preferences for
products by their familiarity, and enabling the emergence of new markets, particularly for
developing technologies, where they are becoming a pre-condition for industrial production
or marketing;
Whereas services for satellite television broadcasting using 4:3 aspect ratio format should
not be forced to a compulsory stop or change so as not to jeopardize the present market or
inconvenience users; however, incentives may be provided, through a parallel legal
instrument, in order to support, in addition, the use of the D2-MAC standard, in particular
in 16:9 format, inter alia through simultaneous transmissions ("simulcast");
Whereas it is vital to ensure that audiovisual programmes adapted to the new 16:9 format
are available in sufficient quantity and quality and that it therefore is appropriate to
provide, through a parallel legal instrument, for Community financial incentives;
Whereas in the medium term the capacity of satellite systems is limited and as a result the
scope for the simulcast transmissions of programmes in different standards is also limited,
it will be necessary to make a selection of programmes for such transmissions;
Whereas in the interests of the consumer it is necessary to establish a common conditional
access system compatible with D2-MAC and HD-MAC, without hampering the
technological development of these systems; whereas, therefore, the best solution is a
system consisting of a common access unit to which one or more smart cards can be added;
Whereas cable TV networks are a relevant feature in the television infrastructure of many
Member States and will be very important to the future of HDTV services;
Whereas Decision 89/337/EEC called for an action plan for the introduction of HDTV to
be prepared in close coordination at Community level between the Commission, the
Member States and the European Industry;
Whereas it is essential that there should be complete agreement between broadcasters,
satellite operators, manufacturers and cable operators about the introduction, as soon as
possible, of 16:9 D2-MAC services in conformity with the objectives set out in Decision
89/337/EEC and whereas such agreement might be reached by means of a Memorandum
of Understanding;
Whereas the Memorandum of Understanding will set out the obligations of the respective
parties for the development and promotion of 16 : 9 D2-MAC services in Europe in
accordance with the terms and provisions of this Directive and will constitute an integral
part of the overall strategy for the introduction of HDTV;
 ---pagebreak--- Whereas European research efforts must stay in the forefront of all new significant
developments such as a trend towards digital television broadcasting emissions and Europe
has to consolidate its research efforts through collaboration and in the framework of EC
research programmes;
Whereas a strategy for the introduction of High Definition Television has been laid down
at Community level and European undertakings have made significant investments
involving many jobs;
Whereas in view of the foreseeable technical progress in this sector, account should now be
taken of any subsequent developments of the existing systems and provision made for an
eventual review of this Directive;
Whereas it is in the general interest as well as in the interest of the major actors in the
market that this Directive should be implemented at the earliest possible date;
 ---pagebreak---                              HAS ADOPTED THIS DIRECTIVE:
                                           ARTICLE 1
Member States shall take all measures to promote and support the introduction and
development of advanced sateUite broadcasting services for television programmes, using
the HD-MAC standard for not completely digital High Definition Television transmission
and the D2-MAC standard for other not completely digital transmission in the 16 :9 aspect
ratio format.
                                           ARTICLE 2
1.   For any transmission of a television service in the high definition television format
     that is not completely digital only the HD-MAC standard may be used.
2.   For any transmission of a 625 line satellite television service receivable by viewers
     using domestic satellite receiving equipment, even if such transmissions are intended
     to be redistributed by cable networks;
            in respect of any service in the 16 : 9 aspect ratio format only the D2-MAC
            standard may be used. Financial support will be provided by the Community;
            in respect of any other service starting after 1 January 1995, the D2-MAC
            standard must be used. Financial support will be provided by the Community.
            These services may also be transmitted simultaneously in PAL, SECAM or ID-
            MAC;
            in respect of services in existence prior to 1 January 1995, PAL, SECAM or D-
            MAC may continue to be used as long as the service provider wishes. From 1
            January 1995 , these services must also be transmitted using the D2-MAC
            standard. Financial support will be provided by the Community.
 ---pagebreak---                                                 5-
                                           ARTICLE3
                                            DELETED
                                           ARTICLE 4
Member States shall take all measures to ensure that as from 1 January 1994, all new
television sets and all new domestic satellite receivers for sale or rent in the Community:
- in respect to all television sets with 16:9 format possess a D2 MAC decoder;
- in respect of all other such equipment, possess at least a standardized socket by means of
   which a D2-MAC decoder may be connected to the equipment permitting an open
   interface standard.
                                           ARTICLE 5
Member States shall take all measures to ensure that
   any new terrestrial redistribution system, or any existing terrestrial redistribution system
   having the necessary technical capability, shall be configured in such a way that HD-
   MAC signals can be transmitted through the network from head-end to individual
   homes;
   if cable operators decide the redistribution by cable of programmes received by them in
   the 16 : 9 aspect ratio format and the D2-MAC or HD-MAC standard, operators shall
   distribute these programmes also in the 16 : 9 aspect ratio format and the D2-MAC or
   HD-MAC standard.
 ---pagebreak---                                              -6
                                          ARTICLE 6
In the case of all services using the D2-MAC standard, which are encrypted and employ a
conditional access system, Member States shall take all the necessary measures to ensure
that only a conditional access system fully compatible with D2-MAC and standardized as
such by a European standardization organization by 1 January 1993 is used.
                                          ARTICLE 7
1.   This Directive shall apply until 31 December 1999.
2.   Before 1 January 1994 and every two years thereafter, the Commission shall submit to
     the European Parliament, to the Council and to the Economic and Social Committee
     a report on the application of this Directive, the evolution of the market and the use
     of the Community funding. If necessary, the Commission shall make proposals to
     adapt this Directive to these developments, in particular in order to confirm or to
     amend the obligations set out in Article 2, paragraph 2,3rd indent.
3.   Before the date when this Directive expires the Commission shall submit, if necessary,
     proposals to the Council on a policy of standardization £>r HDTV, in accordance with
     the objective of achieving total harmonization of all television broadcasting media,
     whether analogue or digital, by satellite, cable or terrestrial redistribution. These
     proposals should take into account the results of European collaboration in research
     and development and the work of the relevant standardizing organisations in Europe.
                                          Article 7 a
The rules laid down in this Directive shall be accompanied by simultaneous financial
measures designed to support the creation of a European market for the D2-MAC, 16:9
and HD-MAC standards and commercial measures based on the .signing, by the parties
concerned, of a Memorandum of Understanding coordinating the actions of the various
signatories.
 ---pagebreak---                                             ARTICLE 8
1.   Member States shall bring into force the laws, regulations and administrative
     provisions necessary to comply with this Directive no later than three months after the
     date of its notification. They shall forthwith inform the Commission thereof.
     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.
2.   Member States shall communicate to the Commission the texts of the provisions of
     national law which they adopt in thefieldgoverned by this Directive.
                                            ARTICLE 9
This Directive is addressed to the Member States.
Done at Brussels,
                                                   For the Council
                                                   The President
 ---pagebreak---  ---pagebreak---                                                                      ISSN 0254-1475
                                                              COM(91) 530 final
                                                      DOCUMENTS
EN                                                                             15
                                Catalogue number : CB-CO-91-583-EN-C
                                                             ISBN 92-77-78791-0
Office for Official Publications of the European Communities
Lr2985 Laxcmbourg