Clause 13 - Consumer research
Communications Bill
Public Bill Committees, 12 December 2002, 4:30 pm

Mr John Whittingdale (Maldon & East Chelmsford, Conservative)
I beg to move amendment No. 38 in
clause 13, page 13, line 44, leave out from 'network' to end of line 47.
Clause 13 deals with consumer research under the heading:
''Functions for the protection of consumers''.
The Minister has spoken about clause 390, which contains definitions. It is clear that, in this case, the definition of ''consumers'' goes a long way beyond what most people would imagine ''consumers'' to mean. In particular, the definition includes business customers. If one looks at the criteria on which research carried out by Ofcom will be based, it will become pretty clear that several criteria affect business customers but not domestic customers. Is the Minister confident that a requirement to respond to research requests from Ofcom will not place an undue burden on businesses?
The amendment would clarify a point that is accepted by the ITC and Oftel: television broadcasts are not services that are associated with electronic communications services. Broadcasters do not provide any form of electronic communications services to their viewers and their broadcasts are regulated only under part 3. Provisions in the Bill that indicate that television broadcasts are delivered to viewers as services associated with an electronic communications service must be changed to reflect that.
Subsection (4) states:
''OFCOM must make arrangements for ascertaining . . . the state of public opinion from time to time concerning programmes included in television and radio services''.
There is a suggestion that that might include video on-demand services. Will the Minister confirm that video on-demand services are excluded from any regulation under part 3?

Dr Kim Howells (Parliamentary Under-Secretary, Department for Culture, Media & Sport; Pontypridd, Labour)
Consumers are at the heart of Ofcom's remit and decisions on what will further their interest will need to be underpinned by proper research. The amendment has no effect. Subsection (4) allows Ofcom to carry out research on public opinion concerning programmes included in television and radio services and on the effect of any material published by means of electronic media.
The hon. Gentleman is right to raise the issue because it allows me to state clearly that businesses should not be burdened with endless requests from Ofcom for information to further its research. I clarify that that is not the intention of the Bill. I hope that Ofcom would see itself as a partner with businesses to work out proper systems for obtaining key information that will help its work. Other sectors do that very well at the moment.
The hon. Gentleman will know that broadcasting and media industries have sophisticated technologies and systems for gathering information such as, for example, numbers of viewers. Such information is
useful for companies and those of us who are interested.
We want Ofcom to be able to find out what public opinion is, if that is relevant to its remit. It will use that knowledge to inform its decision-making process. Subsection (1) places Ofcom under a duty to make arrangements for ascertaining public opinion on how electronic communications networks and services are delivered and on the way in which associated facilities, such as electronic programme guides, are made available. Ofcom must also ascertain the state of public opinion on television and radio programmes.
Ofcom has a wide range of functions under part 3 relating to public service broadcasting, which we will discuss in due course. It cannot hope to fulfil its functions without an appreciation of the types of programmes that the public want to be included in television and radio services. Subsections (4) and (5) place Ofcom under a duty to do that.
The duties to carry out research are in addition to the power of the consumer panel to carry out research. Nothing will restrict Ofcom from making any arrangements that it considers to be incidental or conducive to the carrying out of its functions.
The hon. Gentleman raised a question on electronic services. His point is technically correct but I am not sure that I follow the logic of his further assertion. I know that the matter has been of great interest to BSkyB, among others. Perhaps we can discuss it later and get greater clarity. I hope that the hon. Gentleman will withdraw his amendment.

Mr John Whittingdale (Maldon & East Chelmsford, Conservative)
I am grateful to the Minister for his comments, and especially for his assurance that the research conducted by Ofcom will not result in businesses being deluged by a tidal wave of requests for information.
The Minister suggested that we might return to the issues raised by the amendment, and I look forward to doing that. In the interests of brevity, I beg to ask leave to withdraw the amendment.
Amendment, by leave, withdrawn.
Clause 13 ordered to stand part of the Bill.
