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North East Manchester License: Page Five
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Radio Authority Appraisal of NE Greater Manchester Award: 15/9/98 |
21/9/98 |
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The Radio Authority on September 15th published their appraisal of the license awards, first from their press release:
RADIO AUTHORITY PUBLISHES APPRAISAL OF NORTH/EAST GREATER MANCHESTER
LICENCE AWARD
The Radio Authority has announced today (14 September) the details of its
appraisal of the North/East Greater Manchester license award made to Tower
FM and conditionally awarded to Oldham FM.
This is the first time the Authority has published such an appraisal. In June
1998, in order to enhance transparency and openness in the Authority's proceedings,
Members of the Authority decided in principle that they wished to make information
public on why they have chosen successful applicants for licences.
The full appraisal is as follows:
LOCAL LICENCE AWARDS:
NORTH/EAST GREATER MANCHESTER
APPRAISAL OF WINNING APPLICANTS
Applications were invited on 16 January 1998. By the closing date of 12 May
1998, seven applications were received, as follows:
For Bolton and Bury
Bfm
Tower FM
Variety FM
For Tameside
Knight FM
Tame FM
For Oldham
Oldham FM
For Rochdale
Pioneer FM
Small-scale licences ("sallies") were awarded to each of Tower FM and Oldham
FM, to run for eight years from the date the services commence broadcasting.
When licensing independent radio services, it is the duty of the Authority
under the Broadcasting Act 1990 ("the Act") to do all that it can to secure
the provision within the UK of a range and diversity of local services (section
85(2)(b) of the Act). Furthermore, the Authority must discharge its functions
in the manner which it considers is best calculated to :
a: facilitate the provision of licensed services which (taken
as
a whole) are of high quality and
offer a wide range of programmes
calculated to appeal to a variety of
tastes and interests; and
b: ensure fair and effective competition in the provision
of such
services and services connected
with them (section 85(3) of the
Act).
Under section 105 of the Act, the matters to which the Authority shall have
regard when determining whether, or to whom, to grant a local license are
:
a: the ability of each applicant to maintain the proposed
service
throughout the license period;
b: the extent to which the proposed service would
cater for the
tastes and interests of persons living
in the area or locality
for which the service would be provided,
and, where it is
proposed to cater for any particular
tastes and interests of
such persons, the extent to which
the service would so cater;
c: the extent to which the proposed service would
broaden the range
of programmes available by way of local
services to persons
living in the relevant area or locality,
and, in particular,
the extent to which the service would
cater for tastes and
interests which are different from those already
catered for
by existing local services in the area
or locality; and
d: the extent to which any application is supported
by persons
living in that area or locality.
While the requirements of sections 85 and 105 of the Broadcasting Act 1990
will invariably form the basis of all awards, each license award will be made
on an individual basis, with regard to the factors which, in the view of the
Authority, are particularly relevant to that case.
Small-scale 'alternative location' local licences ("sallies") were introduced
in 1996. The availability of one or more frequencies for a service (or services)
for any locality within a wider area is advertised, without specifying which
particular locality the license must serve. It is up to applicants to decide
which locality they wish to serve. The Authority will award the licences to
what are, in its view, the strongest individual applications put forward.
This approach was designed to increase the opportunities for prospective operators
of small-scale services to submit license applications.
When it advertised the availability of one or more small-scale service licences
within North/East Greater Manchester, the Authority invited public comment
on the local radio needs of listeners in this area, and the type of programme
service required. Copies of the non-confidential sections of the license applications
received were made available for public inspection at the Authority's office
in London and at public libraries in Bolton, Bury, Rochdale, Oldham and Ashton-under-Lyne.
A notice was issued on 16 January 1998 inviting public comments on the applications.
All replies were taken into account by the Authority when reaching its determinations.
All seven applications have been considered carefully by the Authority in
accordance with the Act, and as against the advertised criteria set out in
the Authority's Notes of Guidance for Local Licence Applicants (most recently
amended in May 1997) and the coverage brief for these licences, issued at
the date of the license advertisement. The applicants were invited to respond
to written questions on programming, finance, audience and support. Telephone
interviews were conducted on the composition and history of the applicant
groups.
EXISTING COMMERCIAL RADIO PROVISION
There are four existing ILR services which broadcast to Greater Manchester:
Key 103, Galaxy 102, Piccadilly Radio 1152 AM and 1458 Lite AM. Key 103 offers
current and recent chart music, Piccadilly 1152 AM offers "golden oldies",
Lite AM is an easy listening service and Galaxy 102 plays dance music. In
addition there are two North West regional services, namely Jazz FM 100.4
and the newly licensed Century 105 which will offer a mix of adult contemporary
music with a high speech content. The East Lancashire ILR service, Asian Sound
Radio, is also available in North East Manchester
CONSIDERATION OF WINNING APPLICATIONS
TOWER FM
The Authority considered that the applicant consists of a solid, dedicated
team combining considerable local RSL experience with the professional backing
of an existing radio operator, The Radio Partnership. The board represents
a combination of both members of the local business community and individuals
with relevant radio backgrounds. Overall, the applicant presented a sound
business proposition involving investors who bring a high level of experience
gained within similar markets, thereby providing credibility to the group's
financial assumptions.
In programming terms, the target age range of 25-54 will be served with a
mix of 1960s-1990s classic hits and local speech elements, adding to listener
choice. Members considered that the combination of speech elements, containing
local news, weather, traffic, and 'what's on', supplemented by competitions,
financial news, 'crimestoppers', a job spotlight as well as studio guests
and interviews, was likely to provide a popular and locally relevant service,
meeting the needs of listeners.
Tower's research provided evidence of demand for popular music from the 60s
to the 90s, and local news and information features, as reflected in their
programming proposals. This was bolstered by considerable local support arising
from both specific publicity efforts and the group's RSL activity.
OLDHAM FM
Another long-established RSL group forms the core of Oldham FM, with corporate
partners UK Radio Developments and local newspaper publisher Hirst, Kidd and
Rennie. The proposed 15% shareholder, the Oldham Chamber of Commerce, agreed
to reduce its shareholding to the maximum allowed of 5% following the Authority's
determination that it is a publicly funded body. Members were impressed with
the applicant's board of directors who combine strong local knowledge, business
experience, and a solid understanding of the media generally, and radio in
particular. The applicant submitted a sound business plan, based on prudent
income and expenditure forecasts.
Research conducted on behalf of the applicant provided evidence of demand
for the proposed service of 70s-90s hit music combined with a comprehensive
local information service. This was supplemented by documentary evidence of
substantial local support.
Members considered that the programming submission reflected a good understanding
of the local population and market by including a sensible and popular music
format with a strong community focus to the speech features, thereby broadening
choice. These features include an hour-long news and entertainment-based community
programme each weekday lunchtime, hourly community noticeboards, business
news, sport and an advice line, which Members felt would enhance the local
relevance of the service. Proposals for local news suggested a good quality
of output, as news will be produced by a well-supported team of three with
access to the resources of the local newspaper, the Oldham Chronicle.
At this stage, the award of the licences I have decided not to update these pages any more - there seems little point in duplicating the stations own publicity material! Tower FM launched on 20th March 1999 on 107.4FM and Oldham FM Ltd. launched under the name 'The Revolution' on 30th August 1999 on 96.2FM.