Key denies political interference over MTS Cup bid

Prime Minister John Key disagrees there was too much political interference over Maori Television's (MTS) bid to broadcast the free-to-air Rugby World Cup games.

The rights became a political football after MTS announced it was launching a bid, backed by $3 million from Te Puni Kokiri (Maori Affairs Ministry).

Taxpayer-funded networks ended up competing for rights when TVNZ entered a Government-backed bid.

MTS, TVNZ and TV3 eventually put forward a joint bid for the 48 free-to-air games. The International Rugby Board (IRB) has yet to accept or decline that bid.

MTS chief executive Jim Mather today told Parliament's Maori Affairs select committee he was "disappointed" with the level of political interference.

Mr Key told reporters he did not accept that.

"The reality is once you have got taxpayer dollars involved, which is exactly the case here where taxpayers are being asked to subsidise for the commercial rights, then I think it is a political event."

He said any interference that did occur was "entirely appropriate" given the taxpayers' money involved.

Mr Mather said MTS entered its solo bid only after talking with TVNZ and on the understanding there were no other bids on the table.

While he was satisfied with the deal that had been reached he was disappointed at the political involvement.

Negotiations became a "Rubik's cube" of different interests with free-to-air broadcasters, Sky Television, politicians and the IRB involved.

"We were disappointed about the level of political management that occurred around our Rugby World Cup bid.

"You get the best possible result when you have an unfettered broadcaster and a broadcaster that's able to operate as a business that's very clear on its underlying objective," Mr Mather said.

MTS believed airing the games would offer it an opportunity to broaden its audience base and draw people to Maori-based culture programmes.

It was not a one-off game, but a six-week tournament during which MTS was hoping viewers would create a habit of watching the channel.

It was about "brand building" and the commercial incentives that go with exclusivity, Mr Mather said.

There was still an opportunity, although lessened, to achieve those goals through the joint bid.

Sports programming was an good way to draw in audiences and convey underlying cultural objectives as shown internationally and with MTS' screening of the Breakers' games in the Australian National Basketball League, he said.

Mr Mather said he would speculate that the IRB would feel more comfortable with a single channel bid.

Earlier, Te Puni Kokiri told the committee it believed the Rugby World Cup was a good platform to achieve its outcomes of economic, social and cultural enhancement for Maori.

MTS holding exclusive free-to-air rights for the games would have opened up further opportunities for feeds to iwi radio, Maori tourism and with visitors in New Zealand for the competition.

- NZPA