TRAI issues clarifications on the subject of Carriage Fee!

TRAI (Telecom Regulatory Authority Of India) has issued an amendment to the existing Interconnect Regulations 2012 for Digital Addressable Cable TV Systems (DAS) on 14th May 2012.

 

This news has come as a relief to broadcasters. They were hoping that the carriage fee would be eliminated completely in the digitization area inspite of the tariff order dated 30thApril 2012 on DAS. Both India Broadcasting Foundation (IBF) and News Broadcasters’ Association (NBA) had highlighted that legitimizing carriage fee without clarity after digitization, would create problems.

 

As a welcome move the amendment has clarified that MSO’s (multisystem operators) will not demand placement fee from the broadcasters. However they will follow the (EPG) Electronic Programme Guide system and all the channels they offer would appear genre wise on the EPG.

 

All broadcasters have been asked to declare the genre of their channels. TRAI has also emphasized that reference interconnect offer for an MSO submitted should contain the basis on which carriage fee payable by the broadcaster is determined.

 

TRAI Chairman had stated earlier that they would revisit the order at the time of digitization to clarify on the carriage fee.

Mr. J.S. Sarma said “Carriage fee is now a well regulated issue and it should be transparent. We will intervene if required but we won’t look at the recommendations.”

 

TRAI had also made it very clear that every MSO should have a minimum capacity to carry 200 channels by 1st July 2012. It will also be mandatory for them to carry a minimum of 500 channels by 1st January 2013.

 

The India Broadcasting Foundation (IBF) had convened a board meeting to discuss this issue pertaining to the TRAI order.