The Government has moved to provide RTÉ, TV3 and TG4 with access to international soccer matches currently controlled by Sky.
The development follows Sky's controversial deal with the FAI to carry exclusive live coverage of Republic of Ireland home games in the European Championship.
The Government hopes the legislation will have passed in time to facilitate live coverage on terrestrial channels of Ireland's match against Albania on June 7th.
The €12 million Sky-FAI deal will be effectively superseded by the introduction of new legislation. It will set up a mechanism to enable free-to-air broadcasters apply to the High Court for an order ensuring that they can carry certain designated events live.
The effect of the mechanism is to provide for a retrospective cancellation of Sky's exclusivity over the games. In diminishing the value to Sky of the contract, the satellite broadcaster is likely to reduce the fees it pays for match footage. There was no immediate response last night from Sky, which declined to comment.
The FAI said it was assessing the impact of the change: "Football needs investment and any potential reduction in revenues earned by the association will have an impact on the sport's future development."
However, the possibility of compensating the FAI for the change was ruled out yesterday by the Minister for Communications, Marine and Natural Resources, Mr Ahern. His spokesman said it was open to the FAI and Sky to challenge the change in the courts, but added the Minister hoped "common sense" would prevail.
Because Government funding will be required for any new national stadium project, the FAI is considered unlikely to go to the courts to protect the deal.
Broadcasters can seek a High Court order to direct sporting bodies to provide access to games, subject to payment of "reasonable market rates". If they cannot agree terms with sporting bodies, the legislation provides for an arbitration mechanism. A broadcaster can go to the High Court within 28 days of an event if they do not agree with the sum recommended at arbitration. The High Court determination is binding.
The Government designated events covered by the new rule last year. These include big GAA, rugby and horse-racing events, and the summer Olympics.
Soccer matches on the list include Ireland's home and away qualifying games in the European Championship and the World Cup and any games in the finals.
Fine Gael communications spokesman, Mr Simon Coveney, welcomed the general thrust of the legislation but said he believed sporting bodies would lose money.