Members of the Parliamentary Committee on Internal Affairs, along with key stakeholders, expressed their dissatisfaction today over the delayed submission of the harmonization bill for the Digital Services Act (DSA) without prior public consultation. The bill, which aligns Cypriot legislation with the EU directive on the single market for digital services, aims to impose sanctions for illegal or misleading content on digital platforms and ensure transparency in online advertising.

Presenting the bill before the Committee, Chairman and AKEL MP Aristos Damianou criticized the executive branch, stating that the harmonization with the EU directive should have been completed by February 2024, yet the bill was only submitted to Parliament in December 2024. He further noted that Parliament now faces tight deadlines to approve the bill, as failure to do so could result in sanctions from the European Commission.

Despite the time constraints, Damianou stressed the importance of considering the views of stakeholders, including news organizations, journalist unions, and other affected entities. Representatives from these groups, who were invited to the session, also voiced their frustration over not being included in consultations for a bill that directly impacts their fields of interest.

While acknowledging the likely missed deadline for harmonization, Damianou urged stakeholders to submit their position papers by the end of February so that the Committee could revisit the matter by mid-March.

Cyprus Radio and Television Authority (CRTA) Chairwoman Rona Kasapi also expressed disappointment with the Interior Ministry’s handling of the bill’s preparation, particularly highlighting provisions that, in her view, undermine the Authority’s independence.

Specifically, she objected to the Cabinet’s decision to allocate fines collected from regulated entities to the state treasury instead of the Authority’s budget. This, she argued, threatens the financial sustainability of the CRTA. She also opposed the decision to have supervisory fees determined by the Interior Minister rather than by the coordinating authority.

Kasapi further stated that the CRTA declined to assume the coordinating role assigned to it under the Interior Ministry’s bill due to a lack of necessary resources and personnel. Meanwhile, a Ministry representative at the session conveyed the government’s intent to provide technical and logistical support to the designated coordinating body for implementing the law.

A Finance Ministry official informed the Committee that the Cabinet had ruled that fines imposed by independent regulatory authorities should be directed to the state treasury, as part of a uniform approach across all independent bodies in Cyprus. However, he acknowledged concerns from the CRTA, MPs, and media organizations about the Authority’s financial viability, promising to relay them to the responsible Minister.

During the discussion, Dimitris Lottidis, President of the Association of Radio Station Owners, warned that shifting the CRTA’s operational costs onto media organizations could pose a serious threat to media freedom. He urged the government to explore alternative funding solutions for the Authority, linking this issue to the broader problem of insufficient consultation, as was also the case with the copyright harmonization bill.

Lottidis further emphasized the rapid evolution of digital communications, stressing that media owners need to be actively involved in legislative discussions that affect digital services.

Echoing these concerns, George Frangos, President of the Cyprus Journalists' Union, criticized government bodies for excluding journalists from the consultation process, while conducting discussions solely among themselves. He reiterated the Union’s principled stance against any legislative measures that could compromise media self-regulation or undermine the viability of news organizations.

Similarly, Elli Kotziamani, representing the Committee for Journalistic Ethics, underscored the need for legislative processes to involve the stakeholders responsible for implementing regulations. She urged authorities to refrain from actions that could infringe upon the principle of media self-regulation.