BROADCASTING

Evening Post, Volume CXXX, Issue 27, 31 July 1940, Page 13

BROADCASTING

BORROWED MONEY

COMMERCIAL SERVICE

THE AUCKLAND BUILDING

Comment on the financial position of the ZB radio stations was made in the House of Representatives last night, when the broadcasting Estimates were considered, and there was some criticism of the amounts expended on the production of the official broadcasting journal, "The Listener." The Leader of the Opposition (the Hon. A. Hamilton) said that the commercial service had borrowed a large amount of money from the national service and owed something like £77,000. It had owed £101,000. Where did the money come from that was used in the reduction of the debt? A large sum was being provided by the listeners and a big reserve was being created. While Broadcasting House, Wellington, and accommodation in Dunedin for the national station was not to be proceeded with at present, Auckland could have a building at a cost of £70,000 or £80,000 for commercial broadcasting. The Prime Minister said that the Auckland building had been decided upon because a devastating and condemnatory report had been received from the Health Department in respect to the premises used by the IZB station. It would have been wrong to have ignored, the report. As far as "The Listener" was concerned, a part of the cost had been for the purchase of the "Radio Record." The national services, generally speaking, had large reserves, but they could be "raided" at any time. The amount that was to be used for Broadcasting House was being utilised by the Treasury. Broadcasting had become one of the most important institutions in the world, and surely the New Zealand national services were justified in putting aside an adequate sum for improvements and extending the services. LOCAL TALENT. Mr. J. A. Lee (Democratic Labour, Grey Lynn) said he did not think New Zealand would appreciate the way we were "scrounging" for our art. The Dominion had talent and it should be encouraged and developed. He suggested the institution of musical scholarships paid for from the Broadcasting Fund. Referring to the annual report of the National Broadcasting Services, Mr. Hamilton said the publication of the "New Zealand Listener" was costing a large sum. The Prime Minister: It is just about paying its way now. '■■ Mr. Hamilton said that the reasons given for the deficit were not satisfactory. The loss had been over £ 12,000. He had noticed that there had been a free distribution of 380.000 copies. How many copies were sold each issue now? The Prime Minister: The circulation is 40,000, with very few free copies. Mr. Hamilton said the listeners did not seem to place much value on "The Listener." He suggested that the Government should give the copyright of the programmes to some magazine. At a later stage of the debate the Minister of Defence (the Hon. F. Jones) said that the advertising revenue of the commercial service only included 1.67 per cent, from the State, but the State had received a lot of free advertising from the service. MOVE TO REDUCE FEES DEFEATED. The debate had been on party lines, Mr. H. S. S. Kyle (National, Riccarton) said, and he proposed to give members an opportunity to show just how far their sympathies with listeners went, if the licence fees were reduced by 5s about £80,000 would be returned to the taxpayer. He moved that the vote should be reduced by £10 as an indication that the licence fee should be reduced. The House divided on party lines and the motion was lost by 37 votes to 17.

The Prime Minister moved the closure and the vote was passed on the voices.