Media and Communications Minister Paul Goldsmith said new legislation passed its third reading in Parliament on Tuesday. Photo: RNZ / Marika Khabazi
The government says scrapping advertising restrictions for broadcasters on Sundays and some public holidays could generate a multimillion dollar annual boost for the industry.
Media and Communications Minister Paul Goldsmith said new legislation passed its third reading in Parliament on Tuesday.
Section 81 of the Broadcasting Act prohibits broadcast television advertising on Sunday and Anzac Day mornings, between 6am and noon.
Similar restrictions were in place for both television and radio broadcast advertising on Christmas Day, Good Friday, and Easter Sunday.
Goldsmith said the move would make the media sector more competitive.
The restrictions had become "increasingly redundant" as more audiences turned to streaming platforms, Goldsmith said.
"New Zealand on Air data shows YouTube was the most popular platform in the country last year, reaching 43 percent of the population daily."
He said the change could help a sector facing intense competition, with industry estimates showing it could generate approximately $6 million annually.
"It's not because we love ads and we want more of them. It's just that it's an uneven playing field," he told Morning Report.
"The biggest platform for watching is YouTube, and you've got all these online things that people watch where adverts can play at any time."
"The world has moved on, and [the industry] has been calling for this change for a long time and we've got onto it."
Goldsmith said viewing habits had dramatically changed.
"You've got one big slice of audience looking at platforms where there are adverts, and another one where they can't be. It doesn't make sense from a rational point of view."
Although the legislation received support from Labour, New Zealand First had opposed the move.
The media industry had asked the government for a number of things to help ease the pressure and it had responded, Goldsmith said.
Sign up for Ngā Pitopito Kōrero, a daily newsletter curated by our editors and delivered straight to your inbox every weekday.
