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Ofcom's Radio Licensing Committee ('RLC') has awarded seven community radio licences in July.

All community radio services must satisfy certain 'characteristics of service' which are specified in Article 3 of the Community Radio Order 2004. The RLC was satisfied that each of the applicants awarded a licence met these 'characteristics of service'. In addition, each application was considered having regard to the criteria set out in section 105 of the Broadcasting Act 1990 ('BA 1990') (as modified by the Community Radio Order 2004). A summary of these criteria is set out below. The key considerations in relation to these criteria, which formed the basis of the RLC's decisions to award licences to particular applicants, are also set out below. Where applicable, the relevant subsection of section 105 (1) of the BA 1990 is noted in brackets. (Please see specific community radio licence award criteria, set out below, for full details of each subsection.)

Applicants awarded a licence

Ofcom's Radio Licensing Committee made licence awards to the following applicants in Northern Ireland and Scotland (in no particular order):

1. Mearns FM (Stonehaven and the Mearns, South Aberdeenshire)
2. Pulse FM (East Renfrewshire)
3. Belfast Student Radio
4. Brick FM (St Boswells, Borders)
5. Dunoon Community Radio (Dunoon, Argyll)
6. Lisburn City Radio (Lisburn, County Antrim)
7. Celtic Music AM (Glasgow)

Each of these services will be licensed for a period of five years from the date of their launch.

Mearns FM (Stonehaven and the Mearns, South Aberdeenshire)
This station will provide a broad ranging service broadcasting to the geographical population of the Mearns, in rural South Aberdeenshire. With useful fund raising and volunteer experience at board level, this group set out modest, but appropriate, funding proposals (1a). The programming proposals were considered relevant to the target community (1b) as well as being likely to broaden the range of programming available locally (1c). A range of evidence of demand and support (1d) was demonstrated by this group, which also outlined a range of appropriate social gain objectives (1e) which were considered both relevant and achievable. The application included adequate measures to provide the required accountability to members of the target community (1f) as well as appropriate proposals to ensure that the station will provide opportunities for members of that community to gain access to station facilities and training in their use (1g).

Pulse FM (Barrhead, East Renfrewshire)
Providing a youth-led service, Pulse FM will broadcast to Barrhead and surrounding areas of East Renfrewshire. In relation to its ability to maintain the proposed service (1a), this group, which has some limited broadcasting experience, has secured some funding and will operate through a six person board, supported by a larger steering group. In relation to its programming proposals, the applicant was felt to have demonstrated that its output would be relevant to members of the target community (1b) and would be likely to broaden choice locally (1c). Evidence of demand and support for the proposed service (1d) was provided, along with a range of appropriate social gain proposals, focused in part on the provision of education and training (1e). Proposals in relation to ensuring its accountability to members of the target community were strong (1f). This station will operate an 'open access' policy which, in conjunction with specific training proposals, was considered by the committee to meet the requirements of the Community Radio Order 2004 in relation to the provision of access to station facilities and training in their use (1g).

Belfast Student Radio
This service, which will be independent of higher and further education establishments in Belfast, will be operated by a group which has relevant student broadcasting experience at board level (1a). An understanding of the target community was demonstrated in the programming proposals which were considered relevant to the tastes and interests of the target community (1b) and likely to broaden available programming choice locally (1c). This group had conducted useful and relevant research in support of its proposals (1d) and set out a range of appropriate social gain proposals (1e) in its application. At the heart of this station's proposals for ensuring its accountability to members of the target community (1f) are a three tier student membership scheme and an elected station council. The provision of induction training and studio-based training open days will ensure that this group meets the requirement to provide access to studio facilities and training in their use (1g).

Brick FM (St Boswells, Borders)
This small-scale community radio service will serve Newton St. Boswells, St. Boswells and the surrounding area in the Borders region. With relevant broadcasting and business experience at board level (1a), this group will provide a locally focused service with a particular spotlight on local sporting activities and other community events. Targeted at both young and old in the locality, this group's programming proposals were to be both relevant to local tastes and interests (1b) and likely to broaden choice locally (1c). In relation to the provision of evidence of demand and support (1d), a range of local support information was provided along with outline survey data about the group's previous temporary broadcasts in the area. Social gain provision (1e) was considered appropriate for the target community and for the small-scale service proposed. Limited but nonetheless adequate accountability proposals (1f) were set out by this group together with practical proposals to provide access to station facilities and training in their use (1g).

Dunoon Community Radio. (Dunoon, Argyll)
With a specific focus on children and older people within a clearly defined geographical 'community of place', this group has useful broadcasting and management experience at board level (1a) and sets out programming proposals which were considered both relevant to the tastes and interests of members of the target community (1b) and likely to broaden available choice locally (1c), this was particularly the case in respect of the delivery of output in the Gaelic language. Limited evidence of demand and support (1d) was provided, together with a range of relevant objectives for the delivery of social gain (1e), again with a useful focus on activities involving Gaelic. The development of a community committee and listener forums are central to this group's proposals for ensuring its accountability to those comprising its target community (1f). Proposals for the provision of access to station facilities and training in their use are largely informal, but were considered adequate (1g).

Lisburn City Radio (Lisburn, County Antrim)
Supported by, and based in, the local institute of Further and Higher Education, this station with serve the geographical 'community of place' in the city of Lisburn. Able to draw on the facilities and expertise of the local educational institute, this group's ability to maintain its proposed service (1a) is further enhanced by the expertise provided by college staff who will be involved in the provision of the service. Music and speech-based programming proposals were considered to be likely to cater for the tastes and interests of members of its target community (1b) and likely to broaden available choice (1c) through a focus on specialist and local music. In addition to support provided by the local education institute, this applicant also provided limited further evidence of demand and support for its proposed service (1d). A wide range of relevant proposals for the provision of social gain were set out in the application (1e). Ofcom considered these to be particularly strong in relation to the provision of education and training. In terms of ensuring accountability to members of its target community (1f), this station will be integrated into the established open access policies of the education institute. In terms of access to station facilities and training in their use (1g), this station will provide a specific training suite and relevant courses for those interested in becoming involved in its activities.

Celtic Music AM (Glasgow)
This group will provide a 'community of interest' service targeting those interested in Scottish traditional and contemporary folk music and song in the Glasgow area. In terms of its ability to maintain the proposed service (1a) this group was considered to be well resourced, both in terms of operational assets and available relevant board level experience. Board members bring broadcasting, business and teaching expertise to the group. Its proposed specialist music output was considered relevant to the tastes and interests of those comprising the target community (1b) and was felt by members of the RLC to be particularly strong when assessed against the requirement to broaden available programming choice locally (1c). In relation to evidence of demand and support for the proposed service (1d), this applicant provided a wide range of supporting letters and some statistical data collected in relation to a recent short-term broadcast. A wide range of proposals concerning the delivery of social gain (1e) were set out. These were considered to be particularly well developed in relation to the delivery of education and training. A ten member station steering group will be central to the group's plans for ensuring its accountability to members of the target community (1f), with access to, and training in the use of, station facilities (1g) being ensured through the provision of basic broadcast and production training to all new programme makers.

The RLC was satisfied that, with the exception of Brick FM in St. Boswells, each group awarded a licence should be allowed to seek up to 50% of its annual income from the sale of advertising or programme/station sponsorship if it so wishes, in accordance with section 105(6) BA 1990, and that none of the new services would prejudice unduly the economic viability of any other local service (section 105(3) BA 1990).

Brick FM (St. Boswells) will have a condition in its licence prohibiting income from the sale of advertising or programme or station sponsorship. This is because the coverage of the service falls within the coverage area of a local commercial radio service which has more than 50,000, but fewer than 150,000, adults living in its measured coverage area (Radio Borders). Under the legislation, community radio services in such areas are prevented from seeking advertising and programme or station sponsorship revenue (section 105(4)(b)) if the coverage of the two stations overlaps by 50% or more in terms of adult (15+) population.

Statutory requirements relating to community radio licensing

The following pages set out the statutory requirements relating to community radio licensing, and details of the licensing process. Further information about these, and detailed information relating to community radio, can be found at: http://www.ofcom.org.uk/radio/ifi/rbl/commun_radio/

In carrying out all of its functions, Ofcom is required to have regard to the general duties set out in section 3 of the Communications Act 2003. In addition, under section 85(2)(b) BA 1990, it is the duty of Ofcom to do all that it can to secure the provision within the UK of a range and diversity of local radio services.

The characteristics of a community radio service

In respect of the licensing of community radio services in particular, all community radio licensees must satisfy 'characteristics of service' requirements which are specified in Article 3 of the Community Radio Order. The characteristics of community radio services are:

• That they are local services provided primarily for the good of members of the public, or of particular communities, and in order to deliver social gain, rather than primarily for commercial reasons or for the financial or other material gain of the individuals involved in providing the service;
• That the service is intended primarily to serve one or more communities (whether or not it also serves other members of the public);
• That the person providing the service does not do so in order to make a financial profit by so doing, and uses any profit that is produced in the provision of the service wholly and exclusively for securing or improving the future provision of the service, or for the delivery of social gain to members of the public or the community that the service is intended to serve;
• That members of the community it is intended to serve are given opportunities to participate in the operation and management of the service;
• That, in respect of the provision of that service, the person providing the service makes himself accountable to the community that the service is intended to serve.

Article 2 of the Community Radio Order includes four mandatory “social gain” objectives. ”Social gain” means the achievement, in respect of individuals or groups of individuals in the community that the service is intended to serve, or in respect of other members of the public, of the following objectives:

• the provision of sound broadcasting services to individuals who are otherwise underserved by such services,
• the facilitation of discussion and the expression of opinion,
• the provision (whether by means of programmes included in the service or otherwise) of education or training to individuals not employed by the person providing the service, and
• the better understanding of the particular community and the strengthening of links within it.

Article 2 also includes a number of other objectives of a social nature which may be considered to represent "social gain".

Specific community radio licence award criteria

There are seven specific selection criteria set out in section 105(1) BA 1990 that Ofcom must have regard to when considering whether to make a community radio licence award. In summary these are:

• The ability of each applicant to maintain its proposed service over the licence period (section 105(1)(a));
• The applicant’s ability to cater for the tastes and interests of the target community (section 105(1)(b));
• The extent to which each applicant would broaden the range of local radio services available in the area, and have a content distinct from those services (section 105(1)(c));
• The extent to which there is evidence of local demand or support for a proposed service (section 105(1)(d));
• The extent to which the service would deliver social gain benefits to the public or relevant community (section 105(1)(e));
• Provisions for making the operator of service accountable to the relevant community (section 105(1)(f));
• Provisions for allowing access by members of the public or the relevant community to the station facilities, and the provision of training in the use of those facilities (section 105(1)(g)).

Considering whether, or to whom (and on what conditions), to grant a community radio licence, Ofcom must also have regard to the need to ensure that any service provided under that licence does not prejudice unduly the economic viability of any other local service. Sections 105(4) to (6) BA 1990 require Ofcom:

• not to grant a community radio licence which would overlap with a commercial radio service serving no more than 50,000 persons of 15 years or older;
• to prohibit paid advertising and sponsorship of programmes in respect of any community radio service where that service overlaps with any other local radio service serving between 50,000 and 150,000 persons of 15 years or older; and
• in all other cases, to prohibit any community radio service from receiving an appropriate proportion (at least 50%) of relevant income from paid advertising and sponsorship of programmes.

For the avoidance of doubt, programme sponsorship includes station or channel sponsorship.

Ofcom is also prohibited, by subsection 2 of section 105, from granting a licence to any applicant who proposes to receive from any one person (or company) more than 50% of its annual funding.

Process for assessment of applications

On 25 October 2006 Ofcom invited applications for licences to provide community radio services in locations in Scotland and Northern Ireland. These licences were offered for the provision of services on either the FM (VHF) or AM (medium wave) wavebands. The invitation did not specify the locations of services, but left it for applicants to decide where they wanted to be located.

Ofcom received 24 applications, the non-confidential sections of which were made available for public scrutiny on our website. The first six licence awards resulting from these applications were made by the RLC on 8 May, with a further five awards following on 12 June. With the award of a further seven licences as a result of the 5 July RLC meeting, 23 of the 24 of the applications received from applicants wishing to serve localities in Scotland and Northern Ireland have now been considered. The remaining application, from 3TFM in North Ayrshire, will be considered at the Radio Licensing Committee's September meeting (there is no RLC meeting in August).

The membership of the RLC for the licence awards detailed above was as follows:

Philip Graf, Ofcom Deputy Chairman (Chair)
Joyce Taylor, Content Board Member for Scotland
Pam Giddy, Content Board Member
Peter Davies, Director, Radio & Convergent Media
Peter Bury, Director of Strategic Resources
Martin Campbell, Chief Adviser, Radio
Neil Stock, Head of Radio

A summary and assessment of each application was presented to the RLC at its meeting on Thursday 5 July 2007. These papers summarised the proposals put forward by the applicants as they relate to the statutory criteria, and highlighted any issues of relevance under those criteria.

July 2007

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