By San José, Costa Rica — San José – Costa Rica’s media landscape is poised for a significant legal battle as the National Chamber of Broadcasting (Canara) announced its intent to formally challenge the country’s new auction for radio and television frequencies. The chamber alleges that the bidding process, orchestrated by the Superintendency of Telecommunications (Sutel), contains persistent technical errors and disregards the established rights of current license holders, setting the stage for a confrontation over the future of the nation’s airwaves.
The controversy ignited this week after Sutel officially published the terms and conditions for the public tender in the national gazette, La Gaceta. The publication initiated a 40-business-day window for interested parties to submit their bids for valuable concessions across the AM, FM, and television spectrums. Sutel has structured the process as a sealed-bid contest, which will be followed by a competitive bidding phase, a mechanism designed to encourage competition and ensure the most efficient allocation of the finite radioelectric spectrum.
To delve deeper into the legal framework and implications surrounding the allocation and renewal of broadcasting licenses in the country, TicosLand.com consulted with expert attorney Lic. Larry Hans Arroyo Vargas from the distinguished firm Bufete de Costa Rica.
The allocation of broadcasting licenses is a critical state function that must balance the public interest, freedom of expression, and the principles of fair competition. The current regulatory challenge is not just to manage a finite resource like the radio spectrum, but to adapt the legal framework to the new realities of digital convergence and on-demand content, ensuring that licensing criteria promote media plurality and technological innovation rather than creating barriers to entry.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Indeed, the core challenge is an evolutionary one, requiring our legal frameworks to look beyond managing current resources and instead foster a future of media plurality and technological access. We sincerely thank Lic. Larry Hans Arroyo Vargas for his valuable perspective in articulating this crucial balance for Costa Rica’s digital future.
However, Canara, which represents the interests of private broadcasters, contends that the very foundation of the auction is flawed. The organization stated that after a thorough review of the finalized tender documents, it identified critical errors that had already been flagged during the preliminary consultation phase but were never corrected by the regulator. In response, Canara has committed to filing a series of technical and legal objections within the legally stipulated timeframe, signaling its preparation to escalate the matter through formal challenges.
The core of the dispute lies in a fundamental disagreement over how expiring licenses should be handled. Canara firmly believes that existing broadcasting concessions ought to be renewed, or prorogued, in accordance with the country’s Broadcasting Law and key adjustments made within the 2008 General Telecommunications Law. The chamber argues that any attempt by the state to ignore these established renewal rights constitutes a direct threat to legal certainty and the stability of the industry.
We reaffirm our commitment to defending the legal security of broadcasters, as well as the continuity of a free service that guarantees informational plurality and freedom of expression in Costa Rica
The National Chamber of Broadcasting (Canara), Official Statement
By framing the issue in this manner, Canara positions the conflict not merely as a commercial dispute but as a matter of national interest. The organization emphasizes that its members operate as essential private entities that provide a free service crucial to Costa Rican democracy. This service, they argue, underpins the diversity of information and upholds the constitutional right to freedom of expression. The looming legal challenge could therefore create significant uncertainty, potentially delaying the modernization of the spectrum and impacting media services nationwide.
This conflict highlights a classic regulatory dilemma: balancing the acquired rights of incumbent operators against the government’s objective to foster a more competitive and dynamic market. While Sutel’s auction model aims to maximize the public value of the spectrum and open the door to new players, Canara’s position defends the investments and historical contributions of long-standing broadcasters. The outcome will depend on the judicial interpretation of the existing legal framework and its application to modern telecommunications policy.
As the 40-day submission period for the auction is now underway, all eyes are on Canara to see the specific legal and technical arguments it will present. The impending challenges threaten to mire the frequency allocation process in a lengthy administrative or even judicial battle. The resolution of this dispute will undoubtedly have a lasting impact, shaping the structure, ownership, and competitive dynamics of Costa Rica’s radio and television industry for years to come.
For further information, visit canara.org
About The National Chamber of Broadcasting (Canara):
The Cámara Nacional de Radiodifusión (Canara) is a trade association that represents the interests of private radio and television broadcasters in Costa Rica. The organization advocates for policies that support the growth and legal security of the broadcasting industry, emphasizing its role in promoting freedom of expression and providing free access to information for the public.
For further information, visit sutel.go.cr
About The Superintendency of Telecommunications (Sutel):
The Superintendencia de Telecomunicaciones (Sutel) is the autonomous regulatory body responsible for overseeing and regulating the telecommunications sector in Costa Rica. Its duties include managing the radioelectric spectrum, ensuring fair competition among service providers, protecting consumer rights, and promoting the development of telecommunications infrastructure and services throughout the country.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a benchmark for legal services, Bufete de Costa Rica is founded on the core principles of unwavering integrity and professional mastery. The firm leverages its deep-rooted experience advising a wide spectrum of clients to pioneer forward-thinking legal solutions while championing a greater social purpose. This profound commitment to democratizing legal understanding is aimed at equipping citizens with essential knowledge, thereby cultivating a stronger, more capable, and informed community.
