The most profound impact television technology has had on viewers was the introduction of colour. This is all the more remarkable when you consider that colour in the cinema has been around from early in its history.

Of course, it was the cognoscenti of the television industry who were most impressed with the introduction of colour; whether the content and range of television programmes improved for the ordinary viewer is another question. And it is to the television audiences that we must look when considering digital TV rather than the needs of a hyped-up industry anxious to develop a lucrative new market for TV sets. For the Irish viewer the introduction of digital technology to television will mean a greater choice of TV channels accessible on a universal basis, significantly better picture and sound quality and access to interactive services like banking, home shopping and information data. All of this becomes possible because of the digital transmission technology which basically allows existing broadcast frequencies to carry several channels on each. In the case of the Republic this will mean the existing RTE, TnaG and TV3 services will each have additional channels at its disposal for further programming schedules. The same extension of choice will apply to TV services in the UK and Northern Ireland: these services will be available to the Irish viewer in the Republic.

MMDS and satellite services will be familiar with this equipment. Nera & Smith estimate that digital TV sets, when they come on the market in 2000, will cost £300 more than the existing TV sets.

The purchase of a digital VCR will also be necessary to record one channel while viewing another. Digital VCRs are not yet available.

The policy paper on the digital era, issued by the Minister with responsibility for broadcasting, Ms de Valera, provides a useful overview of Government policy for the broadcasting industry in Ireland at the turn of the century. True, it is rather general and avoids specifics - particularly where it comes to the question of financing the additional channels. It also provides for the establishment of a separate entity for TnaG but upon legislation, she she fails to address the alarming situation in which TnaG now exists. Its present predicament is a public scandal and a drain on both the public purse and the licence fee.

The Minister has proposed that the digital regime should be facilitated by the establishment of a company which would provide for transmission of 30 digital channels and in which RTE would have a 40 per cent holding. Other investors, presumably from the private sector, would join that entity in a strategic partnership.

The Government has also accepted the RTE proposal that digital distribution should be effected by digital terrestrial transmission (DTT) rather than by other methods such as satellite, cable or MMDS. This decision will alarm existing cable and MMDS operators. On the other hand, presumably it is the Minister's intention that RTE as the national broadcaster should benefit from the revenues from the digital operation to the extent that it would need additional funding to provide programming for the new channels which would come as part of its digital remit.

In adopting the DTT method, the Government has decided RTE would get three further services in addition to its existing channels and that these channels would be "simulcast" on both the present (analogue) format and the new digital one. The Government has decided TnaG and TV3 would be allocated what is described as half a multiplex each which may mean two more new channels. This means that of the 30 new digital channels RTE (and Network 2) will use two for the existing services to be simulcast on both digital and analogue; TnaG will use one for its existing service and follow the simulcast pattern as will TV3 when it comes on air. Accordingly, RTE will have three new digital channels, TnaG one new digital channel and TV3 one new digital channel, bringing the total allocation of new channels and existing channels of the present Irish television services to nine digital channels.

That leaves a balance of 21 unallocated digital channels. Their authorisation would, it seems, fall within the remit of a new regulatory body to be established by the Minister. Presumably their licensing will be a matter for the Director of Telecommunications Regulation.

The new regulatory body will assume the functions of the IRTC and the Broadcasting Complaints Commission. The Minister has stated that the new regulatory body "will be given the role of determining broadcasting programme and advertising standards, taking account of our national expectations, cultural values and mores and the requirement of the EU Television without Frontiers Directive".

It appears the Minister believes that "potential new broadcasters will provide a varied menu of television services with broad or niche appeal". One suspects that an application from Mr Bob Geldof will be on her table tomorrow. I have argued here before that the Broadcasting Complaints Commission, as a persuasive authority, safeguarding the rights of the citizen, should be a body separate from regulatory authorities for the very simple reason of no person being a judge in his own case.

The Minister's proposal to establish TnaG as a separate entity does nothing to that service's advantage unless the entire question of its funding is addressed - which it is not in the present legislative proposals. Indeed, it is in this area of future financing, particularly where RTE is concerned, that Ms de Valera's proposals are weakest. The introduction of new channels - some 25 - will lead to fragmentation of the audiences and to the diminution of advertising income for RTE. . How is it going to fare in such circumstances? How can it compete for viewers with an annual income of £150 million (licence fee and advertising) in stark contrast to the BBC's £2.1 billion?

The Minister's proposals have the advantage of being announced in a timely and clear manner. Naturally, much remains to be seen in the small print of her broadcasting Bill to be introduced this autumn with a possible passage by early spring 1999.

Looking at the present Irish viewing pattern, the strength of RTE's position is clear. The trouble is that this success is built on a considerable body of home and indigenous programming - the most expensive side of television production: drama; documentary, news and current affairs. How is this output to be maintained in a fragmented market where RTE's income is more dependent on advertising and head counting than on the licence fee? The future financing of Irish broadcasting has to be considered both by the Oireachtas and the public before, not after, digital choice becomes a reality.

Muiris Mac Conghail teaches in the School of Media at the Dublin Institute of Technology. He is a former controller of programmes at RTE television.