The Hindu Business Line : Vizag cable operators justify hike in rental

THE State Consumer Forum has stayed the order passed by the Visakhapatnam District Consumer Forum on October 28 that the rental collected by cable operators from subscribers in the city should not exceed Rs 150 per month. The case has been posted to January 21 by the State forum, according to cable operators here.

Explaining the reasons for charging more than Rs 150 a month for a cable connection, at a press meet here on Tuesday, the operators said some subscribers in MVP Colony had initially moved the district forum earlier this year on the issue, and the forum had passed orders that the monthly rental should not exceed Rs 150. The operators then moved the State forum, which had stayed the order and adjourned the hearing.

Even before the disposal of the case by the State forum, the district forum again passed orders in October on petitions received from subscribers that the rental should not exceed Rs 150. Once again, the State forum had to intervene and stay the verdict of the district forum, pending disposal of the case.

The operators said that in accordance with the regulations of the Telecom Regulatory Authority of India (TRAI), cable operators could collect Rs 72 a month for free-to-air channels and network maintenance.

They collected Rs 5 for Maa TV, Rs 10 for Gemini and Teja, Rs 50 for the Sony package, Rs 30 for the Star package, Rs 35 for ESPN and Star Sports, Rs 55 for the Zee package and Rs 12 for Ten Sports.

Besides, according to TRAI regulations, for the pay channels introduced after December 26, 2003, they would have to charge separately and they should not be included in any package.

As such they collected Rs 6 for the History channel, Rs 10 for Star Hungama and Rs 10 for Star One.

Taking into account service tax and entertainment tax, it will not be viable for cable operators to offer services at anything less than Rs 300 per connection per month, they contended. But still they collected only Rs 200 in most parts of the city. And in some parts, only Rs 150 was collected, depending on the paying capacity of the residents of the area.

The operators appealed to the subscribers to appreciate these facts and co-operate with them.

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