CONTENT LAW NOW IN EFFECT, MEDIA STRUGGLE TO ADJUST

C O N F I D E N T I A L CARACAS 003926 SIPDIS NSC FOR CBARTON HQ USSOUTHCOM ALSO FOR POLAD E.O. 12958: DECL: 12/22/2014 TAGS: PHUM KDEM KPAO PGOV VE SUBJECT: CONTENT LAW NOW IN EFFECT, MEDIA STRUGGLE TO ADJUST Classified By: POLITICAL COUNSELOR ABELARDO ARIAS FOR REASON 1.4 (D) -------------- SUMMARY -------------- ¶1. (U) Signed by President Hugo Chavez Frias on December 7, the "Law for Social Responsibility in Radio and Television" went into effect with its publication in the official gazette December 8. The final legislation reflects some last minute changes to a handful of articles, but remains much the same as reported in reftels. Television and radio stations began adjusting their content and news coverage immediately, as was evident in the media in Caracas on the day the law was finalized. While some adjust, others have taken a more defiant or fatalistic attitude, awaiting government reaction. Meanwhile, stations are rushing to train employees to avoid violations, while reconfiguring hours and even making changes to their physical facilities, all in anticipation of March 7, when another tier of the staggered requirements goes into effect. END SUMMARY. -------------- -------------- STREET VENDORS AND POLICE CLASH, BUT FEW WITNESS THE RIOT -------------- -------------- ¶2. (C) As Venezuela's media content law came into effect December 8, street vendors and Caracas police clashed in the city center as the authorities attempted to remove the vendors' stalls from the sidewalks. The disturbances left dozens hospitalized, but while it was in progress, most broadcast media only spoke of the melee, and referred viewers to their respective web pages where more complete and graphic coverage could be included. Private media executives told Emboffs that at first they didn't feel comfortable using images of the incident, while confusion reigned in newsrooms over what could be shown under the law. Several said they decided to begin transmitting certain images only after state television channel Venezolana de Television (VTV) broadcast live coverage. All-news channel Globovision, a primary target of government action in recent years, broadcast some select footage live. They held all taped footage until after 23:00, when violent images are permitted under the law. Radio Caracas Television (RCTV) said they broadcast scenes of the disturbances as they normally would. The largest station, Venevision (who competitors derisively accuse of capitulating to the government),refrained from any live coverage of the incident. -------------- -------------- THE BLIND LEADING THE BLIND: MEDIA TRY TO CONFORM -------------- -------------- ¶3. (C) Most broadcast media are complying as best they can with the vaguely-written law, difficult since the directory of rules has yet to be written by the state telecommunications regulatory agency, CONATEL. Stations are holding special training sessions for employees, many of whom worry about making one small mistake, such as forgetting to visually identify "archive" footage. Such mistakes can lead to a hefty fine, and count as one strike of two that would lead to a station's suspension for up to 72 hours. The same type of mistake, if made four times within five years, would incur a penalty ranging from suspension for up to five years or, most seriously, revocation of the stations's broadcast concession. ¶4. (C) Venevision has put a five-second monitored delay on all broadcasts, 24 hours a day, the cost of which is prohibitive for most other stations. The channel, owned by Gustavo Cisneros, has also built a special new suite of rooms outside their master control room to limit access to the station's nerve center. Most private media confess to being worried about government-aligned "spies" in their midst who would sabotage the station to incur fines and shut-downs. Venevision's changes ensure that only the most trusted employees have access to the master control, while taped programming is passed through a small window to an anteroom where it is screened, then passed through to the control room for broadcast. ¶5. (C) The most obvious on-screen changes are expected in March 2005, when the new mandated hourly schedules come into effect. In the meantime, stations have focused on new advertising limitations. RCTV reported sending numerous prerecorded spots back to their clients, affecting 6,000 already-sold advertising slots. They are also focused on the requirement to maintain their logo on-screen during all programming and promotions (the final bill does not require the logo to be displayed during ads),and avoidance of sex, foul language, and most importantly, violence. ¶6. (C) Globovision appears to have lessened on-the-scene live reporting. There are a lot more press conferences from government ministries, fewer opposition voices, and more taped reports which have the time and date of the recording clearly visible at the bottom of the screen. Though Globovision denies it, it is now broadcasting more "CNN en Espanol" and RCN Colombia. Globovision executives believe that carrying the live feed of a third (non-Venezuelan) network qualifies as "live" coverage and exempts them from some of the more onerous aspects of the media law. ¶7. (C) Radio Caracas Television (RCTV) has decided to maintain the status quo in coverage. Executives of the station say that they expect the government to find ways to fine them, or worse. They also report having made no adjustments to their news coverage (which only airs in the morning, at mid-day, and at 11:00 PM). Executives say they will focus on cleansing their entertainment programming of sexual and other inappropriate content, to deny the government "moral cover" for any action against the station, but will not adjust news coverage. They believe the GoV will be hard-pressed to close a station without "valid" reasons as this would hurt the regime's reputation in the international arena. The same executive said that, regardless, given the vague wording and the multitude of different requirements imposed, it is "impossible to fully comply with the law." -------------- FINAL PRE-PASSAGE CHANGES -------------- ¶8. (U) The National Assembly changed two provisions of the law governing the sanctions regime and the requirements for National Independent Producers (NIPs),in the final version. Under the sanctions regime, fines are now expressed as a percentage of a station's gross annual revenue (maximum of two percent). Station executives told Emboffs that the new fines regime would be even more costly to them than the old version, which based fines on "tributary units." Also, fines are subject to penalty interest while under appeal to the executive branch. The changes in definition for National Independent Producers include excising the language that would prevent someone who is married to or cohabiting with a person employed by a radio or television service provider from gaining NIP status. Lawmakers also eliminated the requirement that a NIP applicant not have any relationship to a radio or TV service provider for 12 months preceding application, instead prohibiting any current relationship to such a provider. -------------- IMPLEMENTATION -------------- ¶9. (U) In public comments on December 21, CONATEL director Alvin Lezama said that the regulatory agency has "noted with satisfaction" the efforts toward compliance made to date by most media. Specifically, he cited actions observed on national television stations to include date and time stamps on taped news footage, as well as the disappearance of some inappropriate advertising. Lezama also said that at the beginning of 2005 the agency will launch an aggressive campaign to register National Independent Producers (NIPs) and User Committees, in accordance with the law. -------------- COMMENT -------------- ¶10. (C) Most media leaders are in a transitory period of confusion in the wake of the enactment of the media law. They generally deny that they are self-censoring, while at the same time providing several examples of how they are doing just that. The law has also made the broadcasting business less profitable. Few in the private media have any confidence that the law will be applied fairly, and therefore seem resigned to a fate that is largely beyond their control. The full effect of the law will not be felt for nine months, at which point the majority of the its requirements will have been phased-in. Most in the media agree that the goal of the law is to scare them into self-censorship, while also agreeing that the teeth of the legislation is in how it is applied. McFarland NNNN 2004CARACA03926 - CONFIDENTIAL