Telecom Regulatory Authority of India (TRAI) had issued the consultation paper (Tariff Related Issues For Broadcasting & Cable Services) on 16th August 2019 inviting written comments from the stakeholders by 16th September 2019 and counter comments, if any by 30th September 2019.
Now, TRAI has extended the deadline for submitting comments on consultation paper ‘Tariff related issues for Broadcasting & Cable Services”.
After request from the Stakeholders, the last date for receipt of written comments & counter-comments has been extended up to 23rd September & 7th October, 2019 respectively.
TRAI stated that any requests for further extension of time for submission of comments shall be entertained.
TRAI is reviewing the New Tariff Order (NTO) as it feels that the Broadcasters & Distribution Platform Operators (DPOs) have not lived up its expectation in implementing the NTO despite having the requisite flexibility.
The regulator has also alleged that the flexibility was misused to throttle market discovery of TV channel prices by giving huge discounts on the bouquets.
One of the main issues that the TRAI seeks to address through the consultation process is that of mismatch between a la carte and bouquet pricing. The existing regulation has a clause that caps the discount on bouquets offered by the broadcaster at 15%.
TRAI observed that broadcasters are offering bouquets at a discount of up to 70% of the sum of a-la-carte rates of pay channels constituting those bouquets.
As per TRAI, major broadcasters are offering 40-54% discount on various on an average. It also observed that in some cases, broadcasters have declared MRP of their bouquet such that their bouquet price is equal to or less than the MRP of a single channel present in that bouquet.
To View Complete Information on Some Issues for Consultation & Comparison of Prices of Channels declared by Broadcasters in Old Framework and New framework, Please Click Here Consultation Paper No.: 10/2019, Dated 16th August, 2019.