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Taxes and high energy costs stifling broadcasters’ performance

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Taxes and high energy costs stifling performance amid unstable power supply

By Jeph Ajobaju, Chief Copy Editor

Unstable power supply and double taxation coupled with high cost of diesel and petrol are stifling the performance of broadcasters, says the Broadcasting Organisation of Nigeria (BON).

BON also cited dwindling advertising budget of advertisers and non-payment of debt as part of the headwinds broadcasters face.

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BON Executive Secretary Yemisi Bamgbose urged federal and state governments to properly fund their stations to enable democracy flourish.

“Federal government should deploy necessary funds to the National Broadcasting Commission to enable it to implement digitisation programmes that will benefit stakeholders in particular and the general public in general,” he said in his appraisal of the performance of broadcasting stations in 2022.

“It was a year that the national electricity grid collapsed many times, magnifying the epileptic public power supply problem while bills for the non-available power supply kept and keeps rising unabated.”

Bamgbose decried the “imposition of double taxation” which compounds the woes of the industry, per The Guardian.

He expressed concern over the saturation of the airwaves by private radio and television stations and advocated linkages and mergers for them to benefit from advert revenue.

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He canvassed for a holistic salvage of the situation to enable broadcasters perform their constitutional responsibilities without fear or favour.

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Related articles:

Abuja’s tax plan stokes fear of business closures, job losses

Telcos in another quest for tariff hike as rising costs threaten sector

Manufacturers incur N67.8b cost sourcing alternative energy

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NBC revokes licences of 52 broadcasters

The National Broadcasting Commission (NBC) last August revoked the licences of 52 broadcasters – among them Silverbird TV,  AIT, Raypower FM, and Rhythm FM – over failure to renew their licences at a combined cost of N2.66 billion.

“Some licensees are yet to pay their outstanding debts, in contravention of the National Broadcasting Commission Act CAP N11, Laws of the Federation of Nigeria, 2004, particularly section 10(a) of the third schedule of the Act,” the NBC explained.

“Therefore, after due consideration, NBC hereby announces the revocation of the licenses of the … stations and gives them 24 hours to shut down their operations. Our offices nationwide are hereby directed to collaborate with security agencies to ensure immediate compliance.”

The operation of the “debtor stations is illegal and constitutes a threat to national security,” the regulator insisted.

“The Commission also calls on all IPTV (Internet Protocol Television) and all other broadcast stations that are streaming online to register with the Commission to avoid disconnection.

“Broadcasters should note that having a DTT or FM license does not warrant a broadcaster to stream online; they are two different licences.”

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