NBA urges MIB to postpone carriage fee payment of DD Free Dish till July 2020

The News Broadcasters Association (NBA) has requested the Ministry of Information & Broadcasting (MIB) to defer payments due to Prasar Bharati for Free Dish carriage fee on March 31 till July 2020 and a concession of 90 days on the carriage amount of Free Dish.

In a letter to I&B Minister Prakash Javadekar, NBA President Rajat Sharma said that due to the unprecedented Coronavirus pandemic and the subsequent lockdown, the expenses of news gathering operations have climbed up significantly.

“We are facing huge pressure from advertising agencies to defer the payment to broadcasters and to allow more time over and above the 60 days’ credit period; the recovery of bills is going to be hugely challenging while facing an even bigger task of almost zero or negligible income in the next 30-90 days,” Sharma said.

In order to overcome the crisis, the NBA had earlier sought the MIB’s support, asking for deferment of payment due to Prasar Bharati for Free Dish carriage fee on March 31 till July 2020 and a concession of 90 days on the carriage amount of Free Dish.

“We are now given to understand that the successful bidder of 44th e-auction for carrying TV channels on DD Free Dish has been given an alternate payment plan, whereby the payments due are now to be made by June 27, 2020,” he said in the letter.

“The same covers the first three instalments and is subject to furnishing a bank guarantee of an equivalent amount (valid up to July 31, 2020) and upon payment of interest amount at 5.70 per cent per annum and GST on interest amount,” Sharma added.

“Since the alternate plan suggested by Prasar Bharati in the present circumstances is not financially feasible, we request that for the quarter April, May and June 2020, DD Free Dish be given free to all auction winners, that is, no payment and for the quarter July, August, and September 2020 – only 50 per cent of payment and balance 50 per cent to be waived off,” he urged.

Sharma further said that in case normalisation is not reached by the end of June, the NBA will approach the MIB for further concession.

He also pointed out that the news genre has been recognised as an “essential service” in various government circulars and advisories and also by Prime Minister Narendra Modi in his address to the nation.

DD Free Dish caters to about 30 million households and has slots for 88 channels. The NBA is the apex body of news broadcasters in India and has 27 broadcasters as its members, representing 77 channels.