Cable operators in Nagpur are on a war path with their high-end distributors, with the latter demand a hike in subscription charges by as much as Rs 90 per month and the former opposing it tooth-and-nail. | |
| Main or head-end distributors, who represent broadcasters, work through multi-system operators (MSOs) who receive signals from television channels and retail them to cable operators. |
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| These distributors have said that they are raising the subscription on account of a new bouquet being introduced from September. Star, Sony and Zee combined have launched the new bouquet, but only recently started pressurising MSOs to collect the money from cable operators. |
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| Cable operators have charged that the new bouquet is being forced upon them and that there are not many takers for the new channels. They have said that the broadcasters have teamed up to by-pass an order by the Telecom Regulatory Authority of India (Trai). |
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| According to president of Nagpur Zila Cable Operators' Association, Subhash Bante, Trai had directed a hike of 7 per cent in pay channels' subscription rates with effect from January 1, 2005. Broadcasters were prohibited from increasing the rates till further notice after this. However, they could introduce new channels and new bouquets. |
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| "The broadcasters have now bypassed the Trai order by introducing new channels like Hungama TV, Animax India, VHI, Premier Cinema, Classic Cinema, MX, Awaaz, Zee Business News, Channel V International, Udaya TV and Zee Sports and piggybacked them on regular channels such as NDTV 24x7 and MTV which were earlier free to air," Bante said. |
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| He said, most of the 25 channels being introduced in the new bouquet do not have viewershhip. "Subscribers will not be willing to pay for this bouquet while we will be charged for it," he explained. |
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| Cable subscription in Vidarbha varies between Rs 250 to 310 per month depending on the number of channels being provided. "We started with Rs 50 and now after entertainment tax, service tax and so many channels, have had to increase the amount," Bante said. |
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| Akash Kumar, a cable operator, said that his subscribers didn't want the second bouquet and that it was not possible to raise subscription charges beyond the current level. |
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| "Why don't they educate consumers. We can't just go and knock on someone's door and say we want more money for what you are already getting," Kumar said. |
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| Bante said meetings of cable operators are taking place all over the country to deal with the problem. Cable operators' Association of India is planning to move the Telecom Disputes Settlement Appellate Tribunal (TDSAT) against the broadcasters. |
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| Distributors of Star TV and Sony in Vidarbha meanwhile said that there was no compulsion on cable operators to buy the second bouquet of channels. |
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