The Bundestag is debating the proposed Media Services Investment Obligations Act (MedienInvestVG) for the first time today. The first reading is scheduled for Thursday, 24 September. The government’s draft bill is then to be referred to the relevant committees; the Committee on Culture and Media is to take the lead.

The law is intended to oblige streaming services, as well as private and public-service broadcasters with their own video-on-demand services in Germany, to invest in European and German audiovisual productions. An investment quota of eight per cent of annual net turnover is envisaged. Of this, at least 60 per cent is to be channelled into European audiovisual works and at least 80 per cent into productions in the original German language. At least 70 per cent of the investments are to be allocated to works by independent producers.

In addition to investments in production, eligible expenditure is to include, amongst other things, the acquisition of rights of use, script and project development, dubbing and subtitling, as well as the promotion of young talent. The German Federal Film Board is to calculate and monitor compliance with this obligation. In the event of non-compliance, the draft provides for a compensation levy of 75 per cent.

The first reading marks the start of parliamentary deliberations on the bill, which could have significant implications for the German production industry in terms of the future funding of audiovisual content.