The split in the ruling coalition is still making waves in the campaign for the October presidential election but in the lower house of Congress the warring parties have at last agreed on a truce and begun catching up on a huge backlog of Executive orders (?provisional measures?, or MPs). The queue includes MP 17/01 altering the rules under which the new National Film Agency (Ancine) is to operate and establishing a number of obligations for pay-TV programmers, such as payment of a new tax called Condecine.
Foreign programmers will be exempt from Condecine provided they invest 3% of overseas remittances in independent local production. Brazilian programmers will also be granted some benefits. The pay-TV industry?s contributions to Ancine are expected to total some 20 million reals per annum (now about 8.7 million US dollars).
Last week broadcasters hinted at a fear that Ancine wanted privileged treatment for foreign programmers. Ancine responded by stressing the obligation to invest in local production. There appears to be a consensus on MP 17/01 in Congress and the measure is expected to pass without significant opposition. Aides to Deputy Maurílio Ferreira Lima (PMDB, Pernambuco), rapporteur for the measure, says a vote will be taken Tuesday, April 16.