Regulator to announce broadcast policy in July

Cable network companies and broadcasters have locked horns over the conditional access system (CAS) again.

While broadcasters have urged the Telecom Regulatory Authority of India (Trai) to remove the freeze on channel subscription rates imposed in January this year, cable network companies have opposed the move. The regulator is expected to finalise its recommendations by the second week of July.

Broadcasters are of the view that it has been almost a year since channel subscription rates have been revised and their investment in various programmes has gone up substantially since then.

Government sources also pointed out that there might be provisions in the proposed broadcasting policy to tackle issues that are linked to CAS.

Thepolicy might classify cable distribution as a broadcasting service to bring it under the purview of the Broadcast Law. At present, it is classified as a telecommunications service.

Trai has received proposals for making CAS mandatory, which will give consumers the freedom to select the television channel of their choice. Cable network companies are of the view that if CAS is not made mandatory, its entire purpose will be defeated.

Meanwhile, a section of the government is of the view that Trai should be given additional powers to oversee the broadcasting sector as well.

"Trai can be given additional powers to deal with the broadcasting sector. But a decision has not been taken as there is a plan for an independent broadcasting regulator," said an official.

Broadcasting industry sources also pointed out that both cable network companies and broadcasters had rejected the regulator's proposal for TRAP, a system to block pay channels, as early as February-March.

"It was pointed out that in such a system the subscriber would either have to take all the pay channels or only the free to air channels. Both cable operators as well as broadcasters were against it," said the source.

The issue was referred to Trai after the government failed to broker a pact between cable network companies and broadcasters on CAS.

The two sides failed to reach an agreement over various issues, including the pricing of channels as well as the mode of rollout.