MIB calls for e-auction of 266 FM radio channels in 92 cities

The Ministry of Information and Broadcasting (MIB) has issued the Notice Inviting Applications (NIA) for e-auction of 266 FM radio channels in 92 cities in the second batch of private FM Phase 3. The second batch consists of 227 channels in 69 new cities, besides 39 channels in 23 existing cities. Out of 69 new cities taken up for auction in the second batch, 20 cities with 80 channels are having population of 3-10 lakh , 38 cities with 114 channels are having population of 1-3 lakh, whereas 11 cities in border areas of Jammu & Kashmir and North Eastern states with population up to one lakh having 33 channels have also been included.

The Notice comprises the eligibility criteria, application procedures, reserve prices of channels, frequencies available for selection, auction rules, etc., and is aimed at inviting applications from the interested companies for participation in the forthcoming auction. Applications are required to be submitted latest by 5.00 pm on August 1, 2016. Based on the applications, the Government shall pre-qualify applicants who meet the eligibility criteria for participation in the auction.

The issuance of NIA for the second batch under private FM Phase III will further the process of expansion of FM radio broadcasting services through private agencies (Phase 3) that began with the notification of FM Phase 3 Policy guidelines dated July 25, 2011, read with its modified paragraph 31 dated January 21, 2015, and moved forward with the e-auction of the first batch of FM Phase 3. E-auction of first batch, which commenced on July 27, 2015 and got over on September 9, 2015 resulting in selling of 91 channels in 54 cities. It also paved the way for migration (renewal) of 181 Phase 2 licenses to Phase 3.

The first batch comprised vacant channels in existing cities only, that is, the cities where private FM operators were already present, hence the operationalisation of channels in new cities taken up in the second batch will lead to actual geographical expansion of private FM radio.

Amongst the 266 channels on offer, special incentives are being provided to 36 channels in 14 cities in J&K and North Eastern states. By this, the FM Phase 3 policy exudes the Government’s thrust for concerted development of the North Eastern states and J&K. It provides much needed support to the FM radio broadcasting services in cities of North Eastern part of India as in the cities of Jammu & Kashmir and Island territories, with provision of annual fee of the channels in these areas at half the rates for first three years, besides provision of Prasar Bharati infrastructure at half the lease rentals.