Last year was one of the most difficult in RTÉ's history. While the finances of the station rarely creep into the black, the very existence of a national broadcaster was called into question in 2002. The eventual decision by the Government in December to grant the station a €43 increase in the licence fee ended immediate concerns about its future. But RTÉ management, led by director-general, Mr Bob Collins, knew the celebratory atmosphere in Montrose would be short-lived.
While 2003 is unlikely to be as precarious as last year, the station knows the rise in the licence fee does not end all its problems. It just brings a host of new problems and challenges. The downturn in worldwide advertising is already taking its toll on the station's finances. RTÉ has yet to disclose its precise financial position for 2003, but indications are that advertising, sponsorship and licence fee income are at best sluggish.
The station naturally hopes the second half of the year will be better. It also intends to keep a close eye on its cost base. But, whatever transpires, it looks like the station will have to navigate all financial storms on its own. The Government last Thursday made it clear that recourse to the taxpayer via the licence fee would not be allowed, although increases in line with inflation may be entertained.
The public, often indignant at the idea of having to pay any licence fee, is unlikely to accept further increases regardless of their views on the station's output or public service broadcasting in general.
The first half of 2003 has been a somewhat inauspicious period for RTÉ, with controversy surrounding some of its leading broadcasters providing training to public officials. The embarrassing and costly sinking of the Cabin Fever boat off the coast represented something of a public relations disaster. The station is also greatly exercised by a plan from the BBC to broadcast its channels into Ireland free from July 10th.
Its radio division has lost considerable ground to commercial and local services in recent years and one wonders about its ability to arrest these trends. There is also concern about the station's ability to deliver more home- produced programming. Between RTÉ 1 and Network 2 last year only 40 per cent of programming at peak time was home-produced.
There are plenty of problems facing Mr Collins's successor, who is due to be named in the coming weeks. The new director-general will face the considerable challenge of charting a future for RTÉ in increasingly stormy waters.