The Comisión Nacional de los Mercados y la Competencia (CNMC) has approved its report on the draft Public Sector Advertising Law, submitted by the Ministry of the Presidency, Justice, and Relations with the Cortes. This draft aims to strengthen transparency, objectivity, and non-discrimination in the allocation of public funds to media and digital platforms for institutional advertising campaigns, aligning with the European Media Freedom Act (EMFA).

One key provision states that media service providers and online platforms cannot receive public sector advertising if their advertising revenue from the public sector exceeds 35% of their annual net revenue. This limit also applies to corporate groups, considering the total net revenue of the group.

The CNMC positively assesses the draft law, believing it will improve transparency in the distribution of public resources among media and online platforms. The CNMC will gain new responsibilities for monitoring public advertising spending and ensuring the independent operation of public media service providers. However, it has called for adjustments to some of these responsibilities to ensure they can be effectively exercised.

Recommendations include clarifying the criteria for public fund allocation to ensure open, objective, and non-discriminatory procedures. The CNMC suggests that transparency obligations should extend to contracts with media and digital platforms, as well as any public aid or subsidies.

Furthermore, the CNMC emphasizes the need for objective and measurable criteria for assessing the suitability of media operators in public tenders, rather than relying on subjective preferences. It also recommends allowing flexibility in pricing communications to accommodate justifiable reasons.