National Govt vs National Radio

Guyon Espiner’s report tonight on government efforts to force cutbacks on a resisting Radio NZ is bang on the money.

Tomorrow, the Commerce Committee conducts its financial review of Radio NZ’s budget from last year. My contacts have also been painting a bleak picture.

Things have always been run on a tight purse at the radio state broadcaster – (I know, having worked for them, twice.) RNZ has never truly recovered from the Bolger government bowling Wellington’s Broadcasting House in the early 1990s to make way for Parliamentary buildings which never eventuated. That whole in the ground forced RNZ into the financial hole of an expensive, enduring lease up the Terrace.

Now options like moving out of the one building it still owns – Radio NZ House in Auckland, are being proposed. And compounding TVNZ’s handing over Commonwealth Games coverage to pay TV Sky, now Radio NZ is proposing to not send anone to cover the Delhi Games either; and/or being forced to cut off FM coverage outside of Auckland, sell or commercialise Concert FM.

Broadcasting Minister Jonathan Coleman has refused any budget increase for five years, despite a KPMG report which identifies severe under-funding of around $5m on a budget of around $30m (Labour in govt did give a $2m increase with more to come, admittedly late in the piece.)

Coleman is not really calling the shots. Look to Communications Minister Steven Joyce, who made his fortune in the private radio sector; his ideology and hands are all over this, even if it’s the RNZ board and management who are fronting at the Commerce Committee tomorrow. Stay tuned.