Date of Report:- 28 th October 2009
REPORT FOR THE HOUSING MINISTER
RECHARGE OF THE COSTS OF INSTALLING DIGITAL TV SERVICES
Purpose of the Report
To request approval to recharge part of the cost of the proposed installation of new TV aerial services in anticipation of the switch-over to digital TV in November 2010.
Background
As part of the switch over to digital TV in November 2010 the Housing Department is planning to install requisite services in its flats in order that tenants can continue to receive television signals in their homes.
The installation will provide the tenant with a two tiered option of receiving television channels. They will be able to take advantage of free to air services such as FreeView and FreeSat (receiving up to 220 channels) and also to subscribe to premium services such as Sky.
The Department is conscious that whilst tenants who live in houses will be able to install such services themselves this option is not available to those in certain types of accommodation (e.g. high rise). As such installations are generally prohibited by the department and depending on the direction the tenant’s home faces, reception from a personal dish may simply not be available.
The cost of the installation is £214,000 to connect 3200 properties. This equates to £67 per home connected if the full cost were recharged. However the Department recognises that, whilst the cost of adaptations to receive the free to air services will of necessity be borne by most households in the island as a consequence of the digital switch over, the choice remains whether premium services are purchased. In light of this the Department proposes to re-charge only £166,400 of the full installation cost.
This recharge equates to £1 per week for one year for each of the homes affected. A total cost to the tenant of £52 + GST
It is important to note that whilst the Department will install the service of taking the signal to the home the tenant will need to purchase a suitable receiver to watch the programmes. This is not a cost which will be borne by the Department.
Recommendation
That the Minister approves the recharging of the cost of the installation of the digital TV infrastructure to the tenant’s whose homes will benefit from this. The charge to be set at £1 per week + GST for 52 weeks.
All changes to take effect from 4th January 2010.
REPORT DRAFTED BY:- ………………………………………….
Jason English, Senior Management Accountant
REPORT APPROVED BY:- ………………………………………...
John Hamon, Finance Director