CAK set to cancel broadcast licences for big three TVs

The four television stations that switched off their broadcast ten days ago risk losing their licences if they don’t return to air soon.

The Communications Authority of Kenya (CAK), the industry regulator which is embroiled in a tug of war with leading broadcasters, is considering writing to the three media houses under Africa Digital Network (ADN) – Royal Media Services (citizen), Standard Group (KTN) and Nation Media Group (NTV & QTV) –  directing them to resume broadcasting or have their licences cancelled.

CAK is consulting its lawyers on this option, said the source who asked not be named. CAK Director General Francis Wangusi had warned at a press conference after the switch-off that CAK would cancel licences if the TV stations remained off air for long, but did not specify the period.

This comes after talks between media houses, CAK and the ministry of ICT failed to reach a deal. An attempt by President Kenyatta to intervene fell through after a meeting organised for the purpose aborted under unclear circumstances.

The media houses withdrew their digital signal after CAK forcibly switch off their analogue platforms on February 14 this year. The regulator has maintained that the move is irreversible, while media houses, which believe they were unfairly denied a signal distribution licence at the tendering stage, insist they must be given a signal distribution licence before they resume broadcast.

If CAK cancels the licences, the media houses will be forced to re-apply for new licences, a development that would keep them off air longer than anticipated and complicate their operations. Already, the media houses are losing an average of Sh40 million a day in advertising revenues and delays in resuming broadcasts will squeeze their cashflow .

Advertisers are now shifting to the remaining TV stations – KBC and k24 – and other digital options, while some are holding their campaigns hoping the stalemate will be resolved soon.