The government permits advertising to be aired on Christmas and Sundays.
Removing advertising restrictions for broadcasters on Sundays and certain public holidays could lead to an annual multi-million dollar increase for the industry.
Media and Communications Minister Paul Goldsmith announced that the new legislation cleared its third reading in Parliament.
Section 81 of the Broadcasting Act bans television advertising on Sundays and Anzac Day mornings from 6am to noon. The same restrictions applied to both television and radio advertising on Christmas Day, Good Friday, and Easter Sunday.
Goldsmith said the change would enhance the competitiveness of the media sector. He also emphasised how the restrictions had become increasingly outdated as more viewers shifted to streaming platforms.
“New Zealand on Air data shows YouTube was the most popular platform in the country last year, reaching 43% of the population daily.”
He mentioned that the change could support a sector under intense competition, with industry estimates indicating it might generate around $6 million per year.
“It’s not because we love ads and we want more of them. It’s just that it’s an uneven playing field.”
“The biggest platform for watching is YouTube, and you’ve got all these online things that people watch where adverts can play at any time.”
“The world has moved on, and [the industry] has been calling for this change for a long time, and we’ve got onto it.”
“You’ve got one big slice of audience looking at platforms where there are adverts and another one where they can’t be.”
“It doesn’t make sense from a rational point of view.”
The legislation was supported by Labour, while New Zealand First opposed the measure.