Communications Commission fines six broadcasters for price-fixing against competition regulations
Communications Commission fined TV Imedi, Mtavari Arkhi, TV Pirveli, POSTV, Formula and Media Holding. Photo: Nino Alavidze/Agenda.ge
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The Communications Commission of Georgia, the regulatory body responsible for broadcasting and electronic communication, on Friday announced it was fining six broadcasters for striking deals to set fixed prices for their broadcasting with transit companies, setting a precedent of the violation of competition rules for the domestic media industry.
The Commission said it had spent 18 months reviewing a complaint by telecommunications operators Magticom, Silknet, Akhali Kselebi and Georgian Central Communications Corporation, who alleged TV Imedi, Mtavari Arkhi, TV Pirveli, POSTV, Formula and Media Holding had used Media Rights Georgia as their intermediary to negotiate set prices with broadcast transit providers.
The deal went against the spirit of the competition regulation that expects broadcasters to individually negotiate competitive prices, marking the first precedent of such an offence.
In comments on its response, the regulatory body said the maiden nature of the violation meant it was issuing a symbolic fine of ₾100 ($39.15) to each of the companies. It has also ordered them to void the agreements with the providers within a month.
Commercial advertising revenue of the Georgian broadcasters increased by 10.6 percent in the first quarter of 2022 year-on-year and reached ₾17.8 million (about $6.03m/€5.75m), the Communications Commission revealed on Thursday.
Georgian TV channel Imedi, which has refused to air a political advertisement of the opposition party European Georgia in the run up to the October 2 elections, has been fined with GEL 5,000.
Communications Commission (ComCom), a regulatory body responsible for broadcasting and electronic communication, has satisfied the complaint of the opposition European Georgia party against Imedi TV.
Former Georgian PM Giorgi Gakharia, who is running for Tbilisi mayor in the upcoming October 2 self-government elections, has accused local TV channel Imedi of political bias and demands to be aired live. Giorgi Gakharia resigned from the post of PM on February 18, 2021 due to a disagreement with the ruling Georgian Dream (GD) party and soon after in late May launched the For Georgia political party. The GD accused Gakharia of planning an alleged coup together with the largest opposition United National Movement (UNM) party, noting that his resignation ’was profitable for the UNM.’
The Georgian National Communications Commission will update the National Plan for Radio Frequency Distribution in order to provide consumers with innovative service and implement modern systems in the country, Chairman Kakha Bekauri said on Thursday in comments on the body’s 2022 report to the Parliament.