THE HAGUE, 24/06/09 - Media Minister Ronald Plasterk should introduce an Internet tax and give the proceeds to the newspapers, according to the Temporary Commission on the Future of the Press. But the minister reacted unenthusiastically to the recommendation produced yesterday.
Newspapers have fewer and fewer readers and face falling advertising revenue. They are often not in a position to adapt themselves to the rapid developments in the media landscape. The Internet tax should prevent the 'old media' from going under to the increasing competition from weblogs.
The commission, headed by former Christian democratic (CDA) politician Elco Brinkman, fears the diversity of the media will decline. He wants to tax the Internet subscriptions of Dutch consumers by a few euros per year. This could yield about 12 million euros, with which the government should stimulate "new initiatives from the press sector."
The commission was set up by Plasterk to propose ways to preserve the traditional 'quality media' from collapsing. Plasterk was however unenthusiastic about the proposal. Brinkman proposes that six million households all pay 2 euros. "I have big doubts about this," said the Labour (PvdA) minister.
Plasterk has already made 8 million euros available for a press innovation fund. "Let us first spend that money and see what it produces. Afterwards, we can look at where the rest of the money needed can come from," said the minister, thereby indicating that he does want to subsidie the press in some way.
The Brinkman commission also advised yesterday setting up a joint distribution company for all newspapers. It also wants the Temporary Media Concentrations Act abolished. This would make it easier for newspaper concerns to merge and take over one another's newspaper titles. The present law bars newspaper concerns from controlling more than 35 percent of the newspaper market.
At the same time, the commission wants to make it possible for newspapers to partner public broadcasters, both at national and regional level. The broadcasters could then, for example, jointly develop new online services. The commission also considers the broadcasters should make their programme data available for free, to allow newspapers to add a TV guide.
Plasterk has meawhile already introduced a subsidy scheme with which 60 young journalists can build up work experience at newspapers. They receive their salary from the government. The commission now proposes not restricting this scheme to newspapers, but expanding it to cover media including current affairs and news magazines.
Critics say many newspapers lean too closely towards power, which they say explains the increasing popularity of weblogs, which are increasingly producing the scoops and disclosing the scandals. Possibly indicative was that Brinkman already sent his recommendations for publication under embargo to the print media yesterday, but not to the Internet media.
Unlike Plasterk, journalists' association NVJ considers the introduction of an Internet tax "an excellent way to impress on the public that news-making costs money," according to secretary Thomas Bruning. He questions the call for more partnership between subsidised broadcasters and newspapers. "This does sound good, but how it should be done is not properly explained."