Telecom Regulatory Authority of India (TRAI) issued a consultation paper on tariff related issues for Broadcasting and Cable services.
This consultation paper primarily discusses issues related to discounts given in the formation of the bouquets, ceiling price of channels for inclusion in bouquet, need for formation of bouquet by Broadcasters & Distribution Platform Operators (DPOs), variable NCF and discounts on long term plan.
As per TRAI, new regulatory framework has brought the transparency in TV channel pricing, harmonised business processes in the sector and reduced disputes among stakeholders. However, adequate choice to select TV channels has not been given to the Subscribers / TV Viewers.
It was expected from Broadcasters & DPOs to use flexibility given under new regulatory framework to address the concerns and aspirations of the customers. But, given flexibility was misused to throttle market discovery of TV channel prices by giving huge discounts on the bouquets. It has been observed from the tariff declared by broadcasters under new regulatory framework that they are offering bouquets at a discount of up to 70 per cent of the sum of a-la-carte rates of pay channels constituting those bouquets.
TRAI observed that too many bouquets are formed by the Broadcasters/DPOs and many of them contain very similar set of channels, with very few changes. According to the sector regulator this is not only creating confusion among subscribers but also becoming a hurdle in choosing the channels.
TRAI had interacted with stakeholders at various forums, wherein stakeholders have also raised certain issues such as variable NCF for different regions, NCF for Multi TV home, discount on long term plan, DD channels as part of one hundred channels etc.
The latest consultation paper has been floated seeking stakeholders’ views.
To view complete information released by TRAI, Please check here Press Release No 55/2019, Dated 16th August, 2019.