Multi-system operators to fix carriage fee: Trai

Taking note of investments being made by multi-system operators (MSOs) to put in place Digital Addressable Cable TV Systems and expenses involved in carriage of channels, the Telecom Regulatory Authority of India (Trai) on Monday authorised MSOs to determine carriage fee.

The fee, Trai held, could not be revised upwards for two years. These would have to be levied in a uniform, non-discriminatory and transparent manner. If the rates determined by MSOs are deemed unreasonable, Trai would intervene.

Trai said from July 1, television viewers in Delhi, Mumbai, Chennai and Kolkata should have the option of choosing a minimum of 100 free to air channels at a maximum retail price of Rs 100. The orders are according to new tariff rules for cable TV announced by Trai on Monday. These rules will also come into force in line with the digitalisation of the cable television sector by December 2014.

According to the regulatory framework for Digitalised Cable TV, brought out by TRAI to safeguard consumers’ interests, cable operators will have to mandatorily offer a Basic Service Tier (BST) to viewers throughout the country. TRAI's latest tariff order has also laid down rules on the basis of which channels and bouquets will be priced. The BST would consist of 100 FTA channels, including 18 mandatory Doordarshan channels plus the Lok Sabha channel. The TRAI tariff order lays down that apart from the mandatory channels in the BST, cable operators and Multi System Operators (MSOs) will have to provide customers a minimum of five channels of different genres. The genres, which TRAI has named, are General Entertainment Channels (GEC) in English, GEC- Hindi, GEC - Regional, Music, News, Movies, Sports, Kids Infotainment, lifestyle. “The BST shall be mandatorily offered by the cable operator. However, it will be optional for the consumer to subscribe,” TRAI said in its tariff order. Customers can also choose another option which includes some pay channels and pay a monthly price up to Rs 150, the TRAI rules state. “If the total value of the channels/bouquets opted by the subscriber exceeds Rs 150, only then actual subscription charges has to be paid,” a press release issued by TRAI said.

To protect interests of broadcasters and provide ample choice to consumers, the regulatory body has further mandated that all MSOs would have to carry a minimum of 200 channels from July this year. They would have to enhance capacity and carry 500 channels from January 1, 2013. For those MSOs who have less than 25,000 subscribers and who need time to enhance capacity the deadline to carry 500 channels has been extended till April 1, 2013.