Australia's Royal Commission on Wireless

Radio Record, Volume I, Issue 12, 7 October 1927, Unnumbered Page

Australia's Royal Commission on Wireless

A Valuable Guide for New Zealand Development

Herewith we give the full summarised recommendations of the Australian Royal Commission on Broadcasting. These are of outstanding importance and of great value to New Zealand as providing a foundation of experience and viewpoint that will greatly assist in the development of our broadcasting service. The Commission approves the retention of private enterprise, subject to definite official oversight, and makes important suggestions for spreading the broadcast revenue so as to give the fullest possible service to scattered territories.

an ee teens BROADCASTING AND. RELAY STATIONS. \ l * : 1. That the control of broadcasting stations should remain in the hands of the Postraaster-General as at present, subject to the administration by an Australian Wireless Committee as hereinafter recommended and to the following further recommendations. 2, That the Postmaster-General should issue no further ‘‘A’ Class lic- . ° enses until he is satisfied that the available revenue and the need of a satisfactory service justify such issue. cnanrestns a: \ J DATTA ‘ 8. That the revenue derived from listeners’ license fees throughout the Commonwealth should be pooled and "distributed as follows :- (a) Deduct therefrom .the PostmasterGeneral’s proportion to cover the cost of adininistration and departmental research, . (b) Pay to each "A" Class station thereout, the amount of £5000 towards working expenses. (c) Distribute the balance of the available revenue amongst the "A’’ Class stations under and in accordance with the present regulations. GANS ZN = sANUIUH is 4. That the co-operation of the stations to effect interchange and improvet.gnt of programmes and more equitable distribution of revenue subject to strict control by the Australian Wireless Committee to secure efficient servee to the public should be encouraged, §. That the Australian Wireless Committee should deal with applications for licenses for relay stations on their merits and the Commission does not recommend any obstruction being placed in the way of such proposals and land lines should be made available at the lowest possible rental. 6. That until further research has been made into the relative merits of higher-power stations and relay stations, licenses for the former should not be granted. That research to determine this question should be put in hand as tapidly as possible. 7. That a reallocation of wave-lengths be made immediately within the present wave bands. 8. That the location of all existing broadcasting stations should be reviewed before the expiration of the existing licenses and that it be referred to the Australian Wireless Committee to ! determine in each State the most suitable location for present and future broadcasting stations. In determining the position, the evidence of Electrical Commander Cresswell, and of Messrs. Fisk and Beard, as to the grouping of stations, should be given serious consideration and the Defence Department should, in every case, be consulted. 9, That the provisions of Regulation 74 (under the Wireless ‘elegraphy Act 1905-1914) should be rigidly adhered to and enforced, id willl | aE ZINN 4 f 7 i +, TMC HUTA UT ) \

10, That regulations should be framed restricting the advertising rights of "A" Class stations especially where "B" Class stations are operating, 11. That regulations should be framed requiring all ‘‘A" Class broadcasting stations to submit balance-sheets and accounts to the Postmaster-General for submission by him to the AuditorGeneral. 12. That ‘'B’’ Class stations should be limited to a transinitting power that will not seriously interfere with transmission from ‘fA’ Class stations and that the Australian Wireless Committee should iminediately proceed to fix «a miaximuny power for ‘‘B’’ Class stations. 13. That the number of "B" Class stations should be strictly limited in proportion to the population in the area in the vicinity of the proposed sites. 14. That all broadcasting stations should be given clearly to understand that they have no vested right to the renewal of licenses at the expiration of existing licenses. LICENSES-FEES, ETC. 1. That the Postmaster-General should reduce the listener’s license fee by such amount as will give the lis-.tener-in the full advantage of any reduced royalties payable by the Broadcasting Companies to Amalgamated Wireless (Australasia) Limited and/or to the Australasian Performing Right Association Limited and aiso of any surplus in the amount collected by his department and not utilised for the purposes of administration and research, 2. That where a. person satisfies the Postmaster-General that he is a blind person, a license to establish and maintain a wireless receiving set should be granted subject to such terms and conditions and restrictions as tlhe Postmas-ter-General may think fit, but without . payment of any fee. . 8. That it be referred to the Australian Wireless Committee to allot definite wave bands to experimenters and due consideration be given to the request of the Wireless Institute of Australia herein. 4, That the regulations should be liberalised to permit greater freedom of exchange of non-commercial messages between experimenters; 5. That in cases where an. employer holds a dealer’s listening license, he should be entitled to the issue to his employees of further licenses at reduced fees. 6. That regulations should be framed compelling radio dealers to keep a register in which shall be entered the names and addresses of all persons purchasing complete radio sets, and the types and prices thereof and that such register shall at all reasonable times be available for inspection by the officers of the Postmaster-General’s Dev partment,

COPYRIGHT AND PERFORMING RIGHTS. 1. That persons broadcasting copytight musical works should be made liable to pay royalties to the owners of the copyright. 2. That the principles of Section 19 of the British Copyright Act 1911, Act 1 and 2, Geo. V., Chapter 46 as expressed in the Schedule to the Commonwealth Copyright Act 1912 (Appendix No. 1) should be extended- to the broadcasting of copyright musical works by radio. 3. That, inasmuch as by Section 19 of the British Copyright Act 1911, the royalty allowed to be charged or demanded) is based upon the ordinary retail selling price of the contrivance used in the publication and this of course cannot be directly applied to broadcasting, somie other basis must be adopted. 4. That the Commonwealth representative at the International Conference should advocate that, so far as the Commonwealth is concerned, a limita_tion ‘be placed on the royalty chargeable for broadcasting copyright musical works as follows :- (a) In the case of broadcasting stations receiving revenue from license fees, five per centum of the gross revenue of the broadcasting station, or alternatively, at the option of the owner of the copyright, fourpence per performance of each musical work. (b) In the case of broadcasting stations not receiving revenue from license fees, fourpence per performance of each musical work; (c) In both cases (a) and (b) no limitation shonid be placed on the number of copyright items which the broadcasting company may broadcast. (For the purposes of sub-clause (a) gross revenue will, in the case of broadcasting stations within the Commonwealth be deemed to include anv proportion of license fees otherwise due to the broadcasting stations but which are for any reason withheld by the Post-master-General), PATENT ROYALTIES. The Comunission is of opinion :- 1. That the charges made by Amalgamated Wireless (Australasia) Limited on broadcasting companies are excessive, and that they should be reduced to a royalty of 2s. on each listener’s license, 2. That the charges made by Amalgamated Wireless (Australasia) Limited on radio dealers are also excessive and detrimental to the development of wireless services within the Commonwealth, and that tney should he reduced to a royalty of 5s. on each valve-holder, such royalty to include one valve for each valve-hoider. 8. That the attitude of the Compatiy with regard to claims for royalty on separate valves should be immediately defined, and the claims against traders should be abandoned so far as transac-

tions on or previous to the date of publication of this Report are concerned. 4, That the charges made by Amalgamated Wireless (Australasia) Limited on revenue earning "B’" Class broadcasting stations should be limited to 10 per cent. of the gross revenue of each station. . The Commission recommends :- 1. That the Commonwealth Government should request Amalgamated Wireless (Australasia) Limited to comply with the requirements contained in the foregoing four (4) paragraphs. 2 That failing compliance with the foregoing requirements, the Commonwealth should take steps to acquire the shares privately held in the Company on just terms to the private shareholders. 8. That prior to the acquisition of shares, the Company should be directed to take all steps to obtain an early decision on the validity of its patents. 4. That the recommendations of the Commission as to royalties on patents should be given effect to both as to, future and also as to current licenses as from the date of the publication of this report. PROGRAMMES. 1. That in States where there are two **4" Class broadcasting stations, regulations should be framed to ensure that both stations will not during the even- ’ ing sessions broadcast news matter, including sporting information, at the same time, and that the.stations should alternate the service periodically. 2. That the ‘‘A" Class stations should be reauired to provide announcets who are proficient in the correct use and pronunciation of the English language. SCIENTIFIC RESEARCH. 1. That a special appropriation sufficiently laree to enable the present problems in radio to be thoroughly investi>_ gated should be made available to the Council for Scientific and Industrial Researcls. EDUCATION. 1. That broadcasting stations should be encouraged to include advanced educational matter in their programmes, LAND AND COASTAL STATIONS, 1. That ail land and coastal stations should be reacauired by the Federal Government and placed under the control of the Postmaster-Generai. 2. That the consideration, if any, to be paid to Amaleamated Wireless {Australasia) Limited for such stations shall be determined in the event of disagreement in the same manner as on’the occasion when the said stations were acquired by Amaleamated Wireless (Australasia) Limited, special regard being had to the fact that the stations are being operated at a loss. (Continued next page.}

Australian Royal Commission on Wireless \ (CONTINUED FROM COVE #R.)

-- 3 That Hobart Wireless Station (V.I.H.) should provide a_ continuous service, and should he utilised as a means of improving communication between Tasmania and the mainland, 4,-‘That the attention of the Northern. Verritory Commission and the Postmas-ter-General should be drawn to the representations made to the Commission as to the need of further wireless stations in the Northern Territory. 5. That, provided sufficient guarantees of revenue are forthcoming, the Postmaster-General should erect, and] control transmitting telegraph wireless stations for the service of the country Press and others requiring such ser‘viees, WEATITER FORECASTS. The Commission 1s of opinion ;- 1. That if the Comunission’s recommendation as to land and. coastal stations is adopted, namely, that they shall be acquired by the Commonwealth and transferred to the Postmaster-General’s Department, the matter of securing ‘the dissemination of weather forecasts and meteorological information will become the duty of that Department, and no farther recommendation in this connection is ‘therefore unnecessary. DEFIENCE- -NAVAL; MILITARY, IR, « ‘L. That an Inter-Departmental Committee, consisting of representatives of the Naval, Militarv, and Air Forces, the Prime Minister’s Department, the chairwan of the proposed Australian Wireless Committee, and the Wireless Services Officer, shonld be constitued to co-ordinate the various wireless services within the Commonwealth from the Deferice point of view. FIRE PREVENTION AND POLICE. The Cominission is of opinion :- 1. That no change is necessary in the Acts and Regulations governing. wireless, so far as fire prevention and police are concerned. . LIGHTHOUSES AND RADIO BEACONS. The Conimission is of opinion :- 1. That in view of the rapid developwent that is taking place in automatic appliances suitable for conveying wireless warnings, and in view of the condi"tions generally prevailing on the Anstralian coast, there is at the present time no justification for making any recommendation for further action that is being taken bv the authorities now in control. Attention might, however, be given to the development. above men"oned in automutie appliances. SIUIPS’? INSTALLATIONS. 1. That, in cases where State legislation on the subject does not exist, representations should be made to the State Governments concerned to bring vessels not trading bevond the limits of their respective States within provisions similar to those of Section 231 of the Commonwealth Navigation Act 19121920 2. That the Commonwealth Government should make representations to the owners of overseas vessels trading with Anstralia with a view to securing the publication on their ships of a larger proportion of Australian news. _ PRESENT CONTROL AND FUTURE. DEVELOPMENT. | 1. That Amalgamated Wireless (Aus-. tralasia) Limited shonld be made liable for the payment of terminal charges, and that failing compliance with the | Postmaster-General’s demands in that. respect, the Commonwealth should take steps to acquire the private shares held | in the Company on just terins to the private shareholders. | 2. The the position of the Company with regard to the establishment of further beam services should be defined. 3. That the relationship between the Postmaster-General and the Company should be made clearly defined. 4, That the provisions of the Wireless Telegraphy Act 1905-1919 should be so amended as to enable the PostmasterGeneral’s Department to more effectively enforce the Regulations as to unlicensed listeners . 5. (A) That an Australian Wireless Committee should be constituted under the control of the Minister administering the Wireless Telegraphy Act. such Committee to consist of the chairman, who shall be the Director of Postal Services for the time being, a Wireless Services Officer, and a Broadcasting Officer, and(i) That the duties of the chairman shall be to supervise and co-ordinate all wireless and broadcasting activities within the Commonwealth with the exception of those under the control of the, Department of Defence. (ii) To convene meetings of the Anstralian Wireless Committee and of the proposed Inter-Departmental Comniittee for Defence purposes. (ii) To convene at least once in each year on dates to be prescribed a Conference between the Australian Wireless Committee and one representative from each of the following bodies :- . {a) "A" Class Broadcasting Stations. {b} "*B’? Class Broadcasting Stations. (c) Wireless Institute of Australia, (d) Radio Dealers and Manufacturers. (ec) Licensed Listeners-in. (B) That the necessary regulations to give effect to the foregoing recommendations should be proclaimed. (C) That the duties of the Wireless Services Officers shall, subject to the control of the chairman and the Post-miaster-General, be the supervision of the working of all land and coastal stations. (D) That the duties of the Broadcasting Officer shall, subject to the control of the chairman and the Postmas-ter-General, be the supervision of all matters relating to broadcasting.

Irom the general body of the report We extract several sections of special interest :- r Whilst the terms of the Commission were wide enough to entitle it to investigate and report upon technical matters, the Commission, having regard to its personnel, decided that such duty was not expected of it The Commission has accordingly refrained from making any recommendations of a strictly technical character, but has suggested further inquiries. into certain matters hereinafter mentioned. In view of the fact that litigation had commenced between Amalgamated Wireless (Australasia) Limited and certain of the parties which were represented before the Commission, it was preclnded from taking evidence on any of the matters involyed in the litigation These matters, however, did not seem to have any material bearing on our investigation. The Commission realised at an early stage in its inquiries that radio as a means of communication was in process of rapid. development, and that great care must be taken not to hamper this development or to create powerful yested interests. The Commission realises also the great advantages which the Commonwealth enjoys in the contro] of radio as compared with the systems that have grown up in other parts of the world. The prompt action of the Commonwealth Parliament in 1905, and again in 1919, in securing {or the PostmasterGeneral control of wireless in all its phases, has done much to prevent the creation of those problems which are causing much difficulty elsewhere. _From the first sitting of the Commission, it became obvious that the dissatisfaction existing with regard to radio in the Commonwealth verv largely arose out of the acts and omissions. real or imaginary, of Amalgamated Wireless (Australasia) Limited. Moreover, it has throughout the inquirv been eaually obvious that the administration by the Postmaster-Gener-al’s Department of the Wireless ‘Telegraphy Act 1905-1919 and reeulations made thereunder has heen singularly free from any cause fur serions criti--cisnt. PART IT.--BROADCASTING AND RELAY STATIONS Having given the matter exhaustive consideration, the Commission has come to the conclusion that very little change in the existing system is advisable at the present time. The existing broadcasting stations have had to pioneer the development of radio as applied to entertainment and the transmission of popular programmes of music and other items. In nearly every case the stations have carried on their operations at a loss, which in some instances has been large. At the same time generally, they have endeavoured to improve the service being rendered to the public. The losses sustained by those stations are in nearly every instance due to causes outside their control. In the case of Queensland Radio Service (40G), Broadcasters (Sydney) Limited (2BL), Associated Radio Company of Australia Limited (8AR) and Central Broadcasters Limited (SCL), it would seem that in the near future their operations will result in a profit, but not sufficient, except in the case of Queensland Radio Service (4QG), to reimburse them the accummulated losses during the term of their current licenses. In the case of Westralian Farmers Limited (6WF), this station, although giving as good a service as could reasonably be expected in view of the surrounding difficulties, has sustained | heavy losses. The conditions arising from the exent of the State of Western Australia and its scattered population must result in either the cessation of the operations of the company or continued losses on a large scale with inferior service to the public unless some change in the sys- tem of the allocation of the ‘available revenue" from license fees is made. With regard to Tasmania Broadcasters Pty. Ltd. (7ZL), the position from the point of view of the listener-in has until recently been most unsatisfactory. The station has been working on a permit from the Postmaster-General, who, in our opinion, has displayed wisdom in not enforcing strict compliance with the regulations. The sparse population of the Island, the difficulty of arranging suitable programmes and obtaining sufficient financial support, have all helped to create a difficult problem, The station itself, until recently, was badly equipped and situated. ‘The fact that it was in receipt of no revenue and has already expended practically the whole of the share capital and jis able to carry on operations only with the assistance of guarantors, all go to show that, in this case also, some change in the present system is desirable if Tasmania is to have a broadcasting station. Stations 2BL and 3AR are more ot less in a similar position to GW and 7ZY. Both 2BL, and 3AR are now giving a satisfactory service, and oth have sustained substantial losses in the past In these cases, also, some change in the present system is necessary to preserve their continuity. Station 2FC is also being operated at a loss, but with the gradual increase in ‘the number of listening licenses in New South Wales, and a temoyal of the studio to more suitable premises, and an improvement in programme management, this station should rapidly hecome a profit-making undertaking. _ The position of 3L0 is unique amongst the broadcasting stations in Australia. It is almost universally admitted to give the most satisfactory service in the Commonwealth. The composition of the Broadcasting Company of

Australia P#prietary Limited controlling 38L0O is as follows :- Shares. {1} Farmer and Company Lim. ited, Sydney wk. 40,000 {2) J. €, Williamson Limited and J. and N. ait 20... |, 40,000 (3) pierald and Weekly ‘Times t ° a, (4) Buckley and Nunn Limited 5000 . 100,000 The cash capital brought into the company was £6250, but on March 1, 1927, if possessed tangible assets to the value of over £18,000. Upon the 100,000 shares comprising the company, and which were issued as paid up-to 17s., a dividend of 1s. was declared, amounting to 263 per cent. per annum on the amount | of cash, capital actually paid up after making liberal payments for services | rendered by directors and shareholders — This has all been. made possible by the grant in the first instance of a license by the Postmaster-General to Farmer and Company Limited, of Sydney. Vor that license, Farmer and Company Limited received 40,000 shares paid up to 17s. (£34,000) For the right to broadcast artists under contraet to }. C. Williamson Limited and J and N Tait, that organisation also received 10,000 shares paid up to 17s. (£34,000) While the success of that station has been largely due to its excellent management and to its elose association with the theatrical and vaudeville enterprises, this is not the whole cause of its success, some part of which at least is due to the compact and thickly populated State in which this station is situated. However, the management of the station has largely contributed to a rapid increase in the number of licenses in Victoria and an expanding revenue. To the Commission, the present position of Station 3LO gives it advantages which should be shared with the weaker stations in more sparsely populated States As an integral part of the whole Commonwealth, the more populous States should come te the assistance of the more sparsely populated States. The Commission has inspected all the "A" class broadcasting stations, and has perused the balance-sheets and details of expenditure in cach case. In the table set ont hereunder will be found a summary of the working costs | of the various stations :-

| Various schemes for the future control of broadcasting have been sug. gested to the Commission which we have discarded in favour of that herein recommended. These include the formation of a private company which would operate the whole of the "A’’ class stations. Such company, it was said, should be laced onder restrictions which would include the amount of dividend payable to its shareholders. The experience of the broadcasting companies to date in Australia has been that in nearly every case for some years the shareholders received no dividends at all. It would therefore render it difficult to persuade investors to put their money into a venture that was not likely to yield a fair return on the capital invested. Another suggestion was that a corporation should be created on the lines of the British Broadcasting Corporation. This would really result in the creation of a Government Department whose business it would be to provide entertainment and broadcasting programmes for the people. It may be that nltimately Australia wilt adopt such a mode of control, but at the present time it does not seem wise to embark upon a system which, although onlv onerating since the commencement of this year in Great Britain, is already receiving adverse criticism. Another suggested scheme was that the Government shonld acquire the ownership of all the ‘A’ class broadcasting stations, and let them on lease to the highest tenderers. ‘This scheme, . apart from the objection of the Gov-

-ertiment being concerucd so intimately with entertainment. busitless, is ".s50 vpen to practical objections. Station Qneensland Radio Service (4QG) is situated ‘on the roof of the Queensland State Insurance Building in Brisbane. This station, apart from transnitting apparatus, cost over £15,000, exclusive of further sums for subsidiary apparatus and. furniture amounting to over £2900. It does not seem desirable or practicable that. the Commonwealth shonld acquire property sq situated, Station Westralian Farmers Limited (6WF) is situated on the roof -f a large privately-owned building in Perth, and more or less similar obiections applv in that case also. Another suggestion was direct contro} of broadcasting stations by the Government, 7 In our,opinion such a system is inadvisabl¢é, as experience already shows that whet: Governnients are placed in charge of the means of disseminating news, they are apt to use such means for the purpose of political propaganda Moreover, such a system would deprive the public of the benefit*pf the incentive which the present regulations give to the broadcasting stations to maintain an effective and satisfactory service. Further, whatever wisdom may be displaved in the selection of Government officials for such a pmrpose, tt is difficult to maintain that high standard of business acuinen which is essential to securing the best results. ’ There would be a grave danger lest that co-operation of the public with the broadcasting stations which has heen consnicnonsly present in the case of Australia’s most successful broadcasting station, 8LO, would cease to exist, more especially if artists. theatrical and otherwise, withdrew their services from the broadcasting stations and the stations lost the assistance of experts whose business it is to know the requirements of the public. There is still a further objection to such a proposal in that decentralisation and local control of broadcasting stations is highly important in a countrv of such wide distances as Australia All the proposed schemes fail, in the opinion of the comniission, to do justice to the excellent work that the existing broadcasting companies have already performed and wonld deprive them of any chance of recouping themselves for their serious losses. Recognising the advantage that 3L0 has enjoyed from its relation to entertainment companies, the Commission is of opinion that the whole of the existing statious shovld be encouraged to co-operate and come to mutual arrangements for future working, subject to strict control by the Postmaster-General, who has ample power under the existing regulations to secure an efficient service for the public. In view of the fact that the Commonwealth as a whole is interested in providing a broadcasting service in everv part thereof and has a direct interest in introducing the amenities of city life ta, those whose occupations would otherwise deprive them of the same, the Commission is of opinion that the tevenue from listeners’ license fees should be pooled and after deductine a sufficient sum to cover the cost of administration and research by the Postmaster-General’s Department, a sum should be nrovided for each "A"? class station which would enable it to provide a broadcasting service. ‘The sum suggested for this purpose is £5000 for cach "A" class station.

PART IV.-COPYRIGIIT AND PERFORMING RIGHTS. After much dissatisfaction had been expressed by the broadcasting companies with the demands made by the Australian Performing Right Association Limited for copyright royalties, and after a series of adjustments of |charges, the Commonwealth Government called a conference of representatives of interests concerned, which met on July 23, 1926. As a_ result of this conference an agreement was arrived at, the effect of which was, shortly, that the Copyright Association should receive 10 per cent. of he revenne of the broadcasting stations in

won aD respect of the first 100,000 licenses issned in Australia and 5 per cent. in respect of any licenses im excess of 100,000 issued in Australia. The latest proposal submitted by this company is that the copyright royalty should be at the rate of 74 per cent. of the total revetiue, irrespective of the number of licenses issued. : From the latest returns available to the Conimission the average yearly revenue of all the ‘‘A’"’ class broadcasting stations during the two years ended June 30, 1927, was £206,954 (approx.). Five per centum of this amount repre« sents £10,347 (approx.). In the opinion of the Commission the revenue is likely to continue to increase. With regard to 'B" class stations the position does not seem .to be so definite. Annarently the Australasian Performing Right Association Limited has discriminated in its demands between hose "B’’ class stations which are deriving revenue=by means of advertising from those "B’"’ class stations which receive no such revenue. The nature of the demands of this association may be illustrated by reference to the fact that in the case of one ‘‘B"’ class station, the Anstralasian Performing Richt Association Limited first demanded 3s. 6a. per copyright item broadcast. Gradually the claim was reduced to less than onetenth of the original claim. Tn view of all the circumstances the amount of the license fees wh i mately reaches the hands tralasian Performing Ri Limited, is, in eur opi nortion to the service refi value viven bv the association, whom they represent, and ism advaniauge that in the maiority of instances was never contemplated as likely to helong to either the author or composer ar the assignee of the copvright. \ccording to the latest figures in our nossession relating to the practice in England, the proportion of total revenue said by broadcasting stations in Australia is more than double that paid in the former countrv, We are of the oninion that anthors and composers derive considerable henefit from the broadcasting of their works, and the publicity so given broadiv counterbalances atly loss on sales of sheet music. Evidence has been placed before the Sommission showing that in the case of some firms which admittedly did not vater particularly for what is called ‘popular music," there had been a sticht falling off over a series of years. We are not satisfied, however, that such falling off will be permanent, nor that it is occasioned by broadcasting. Further the Commission endeavoured to secure eviderice from firms who were rendors on a large scale of "nopular nusic,’? but thev intimated through counsel that there had not been any serious falling off in their sales. PART VI.-~PROGRAMMES. A considerable body of evidence has been tendered to the Commission in all States of the Commonwealth dealing with the subject matter of the proyrammes broadcast by the yarious stations. in many instances, the demands made by listeners have proved quite unreasonable, and full consideration has not been given by them to the difficulties and expense which confront broadcasting stations in providing a different programme for every day in the year. No nther form of entertainment provides, sr is expected to provide, the variety of entertainment demanded by many listeners from broadcasting stations. wn view of the quality and variety of the programmes rendered and the artists employed, and the comparatively small sum paid by the listener for a year’s entertainment, the Commission is satisfied that the public of most of the

States have little to complain of in re« gard thereto, This is more especially the case in those States with the smaller popula. tions where first class artists are difficult to find and constant variety impossible to obtain. Nevertheless, our investigations show that listeners, in some cases, have cause or complaint. Perhaps the most pronounced cause is that, during certain hours of the day, detailed descriptions of racing and otler sporting events are being broadcast from nearly all the stations at the sarie time, The evidence discloses that part of the cause of this uniformity is the de(Continued on next page.)

The subjoined table illustrates how the proposed scheme compares with the existing system,

NOTE.-The figures for columns (ec) and (d) are estimated and are approximately forrect, ae the exact figures would vary with the number of licences of each Clasg mn eavh

(from page 2.) sire of the station to escape utilising items upon which copyright royalties are payable. These items tend to exhanst the limit beyond which the station must pay an additional rate to the Australasian Performing Right Association Limited. In view of our recommendations as to the future rights of owners of copysight, the Commission is of opinion that in States where thereare two ‘‘A" class broadcasting stations they should be required to so arrange their programmes that during evening sessions in say om week, one station should provide a musical or similar programme during the time the other station is broadcasting news items, including sporting information, and in the following week the stations should reverse the order. Even though stations are compelled to use copyright items to fill in the period which would otherwise have been occupied by broadcasting sporting infotmation, the Commission is still of opinion that the listener-in is entitled to the relief above suggested. Recognising that every phase of the popular taste must be catered for, and giving due weight to the evidence which was tendered complaining of the mont ony of the programmes-too much sporting information, too much jazz music, too many talks-the Commission is of opinion that the broadcasting -»mpanies have maintained fair balances, atid that if the officers of the Post-master-Getteral’s Denartment keep up a constant supervision of the programmes submitted to the public, and the co-ordination of time-tables above sugrested is brought into foree, no Serious change is required in the existitig regulations,

Farmer and Company Ltd. (2FC)-Pech-nieal duties mainly formed by Amalgamated Wireless (Australasia) Limited employees under contract; in addition to the fourteen a sum of £850 per annum is charged against broadeasting by the Company for services of other. members of included’ in the its staff. This item is £107/18/- ....... Broadeasters Lid. (2BL} ow... Broadeasting Company of Australia Proprietary Ltd. (31L0)--Technical duties performed by Amalgamated Wireless (Australia} Ltd. employees under contract ... Associated Radio Company of Australia Ltd. (3AR) — Nine full time; nine twothirds time ...... Queensland Radio Nervice (4QG)...... Central Broadcasters ? Ltd. (SCL) ...... Westralian Farmers Limited (GWE) -- Four full time; five part time. Reduced in October, 1926, to three full time, five part time-£31 ds. 9d. per week ..... ‘ No, of staff, 14 21 ost per week. 107 106 1+ -~1 -7 =} 69 18 1S or 19 10

Summary of Working Costs of Certain "A" Class Stations.

Yotal No. of all State Licences, New South Wales .. 59,880 Victoria cccevenee 118,965 (ueensland seeeee 23,249 South Australia .... 16,791 Western Australia .. 3,903 Tasmania ....... ° 2,461 Commonwealth 225,249 Total Collection Approximate ly 82,148 158,944 31,161 27,666 5,857 1,843 307,114 PostmasterGeneral's Proportion, 9,415 18,504 3,740 2,858 610 230 05,357 Available revenue, 72,728 140,440 27,421 24 808 4,747 1,613 271,757

YEAR ENDED JUNE 30, 1927.

Present Revenue Station, (a) Farmer and Company Limited (2FC) 50,910 Broadcasters (Sydney) Limited (2BL) 21,818 Broadeasting Company of Australia Proprietary Limited (8L0) ...... 98,308 Associated Radio Company of Australia Limited (3AR) secseeeee 42,182 Queensland Radio Service (4QG) .. 27,421 Central Broadeasters Limited (5CL) 24,808 Westralian Farmers Limited (GWE) 4,747 Tasmanian Broadcasters Proprietary Limited €TZT.) eee ee 1,613 Operating allowauce (b) £& 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 271,757 40.000 Balance (G) £ 43,416 18,606 83,838 35,980 23,284 21,156 4,048 1,479 931 757 Total Proposed Revenue d £ 48,416 23,606 88,838 40,930 28,284 26,156 9,048 6,479 O77 Th7

REVENUE UNDER PROPOSED SCHEME.