New audiovisual law to include film incentives

Prague, July 1 (CTK) - The prepared new Czech law on audiovisual production should include incentives mainly for foreign film crews, deputy Vaclav Mencl (ODS), head of the lower house media committee, said in a TV discussion Sunday.

The system of film incentives have been working in the Czech Republic since 2010, but they have not been supported by law.

However, the new audiovisual law would not embed any concrete sum to be annually spent on incentives.

The centre-right coalition government approved the draft legislation at the beginning of 2012. Now the Chamber of Deputies, the lower house of parliament, is to debate it and it should send it to the Senate, the upper house, in September at the latest, Mencl said.

The new law should take effect in January 2013.

The European Commission (EC) approved the programme of incentives for foreign film productions in the Czech Republic in June, 2010. On the basis of the programme, the Czech state can return to foreign producers shooting films in the country up to 20 percent of their costs they have already spent in the Czech Republic.

At present the sum for film incentives is part of the Culture Ministry's budget. However, film-makers complain that it is too low.

They say, the 300 million crowns earmarked for incentives this year, suffice merely for two quite big film projects. The sum for the whole year is drawn in two months.

According to film experts, about one billion crowns should go to incentives a year. The current uncertain situation complicates the decision-making of foreign film crews, they point out.

Culture Minister Alena Hanakova would like to ask the government to release another 500 million crowns for film incentives this year.

The new audiovisual law should also change the rules of Czech cinematography funding.

Under the legislation, the State Fund for Support and Development of Czech Cinematography would receive 1 percent of each sold cinema ticket instead of one crown as it is now. The fund should also get money from commercial TV channels.

Deputies want to law to deal with the digitisation of old Czech films, too. However, Mencl pointed out that it would be too costly.