BURMA: SATELLITE FEES STILL UP IN THE AIR

C O N F I D E N T I A L RANGOON 000027 SIPDIS SIPDIS STATE FOR EAP AND IO; PACOM FOR FPA E.O. 12958: DECL: 04/20/2017 TAGS: PGOV PREL PHUM BM SUBJECT: BURMA: SATELLITE FEES STILL UP IN THE AIR REF: RANGOON 11 Classified By: Pol Officer Sean O'Neill for Reasons 1.4 (b) & (d) ¶1. (C) Summary. The Myanmar Times has demoted four of its editors after the regime criticized their decision to report a dramatic recent increase in satellite TV fees. The four editors will be reassigned to non-editorial duties but will not be fired, according to sources at the paper. So far, the regime has not begun collecting the new fees and rumors they will soon lower them continue to circulate. End Summary. ¶2. (C) A staff reporter told us the privately-owned Myanmar Times weekly newspaper has demoted four of its senior editors to administrative positions after they published a story about the regime's increase of satellite TV fees. While they disputed an Irrawaddy report that the four had been fired, employees at the newspaper confirmed that officials from the government's Press Scrutiny Board were critical of the story and pressured management to discipline the editors. The Myanmar Times is published by Myanmar Consolidated Media Corporations which is owned by Danford Equities Corporation, an Australian firm which recently announced plans to begin exploration of offshore gas fields in 2008 (reftel). ¶3. (C) So far, the regime has not begun collecting the new one million kyat (US$800) satellite TV fee which was supposed to take effect at the start of the year. Post offices responsible for collecting the fees in Rangoon have been telling customers they have been instructed to hold off enforcing the new policy, prompting speculation the government may reverse its decision and lower the cost of a permit. On a recent trip to Myitkyina, local contacts confirmed to P/E Chief that the new licensing fees have not been enforced in Kachin State either. The previous cost for a satellite TV permit was 6,000 kyat ($5) per year. However, our contacts and local employees told us these licenses were never strictly enforced resulting in many illegal satellite dishes throughout the country. ¶4. (C) Comment. The Than Shwe regime's approach to satellite TV licensing demonstrates just how dysfunctional its decision-making process is. It never formally announced or explained the 16,000 percent increase in fees, deciding instead to let consumers learn of it when they tried to renew their permits. When the public reacted with shock and resentment, the regime chose to punish four journalists from a friendly paper for publicizing the government's own colossally bad decision. We doubt apologizing for their mistake ever crossed their minds. End Comment. VILLAROSA