The Hindu Business Line : Tariff ceiling fixed for non-CAS areas

New Delhi, Oct 4 Cable consumers will finally be able to choose their own bouquet of channels. The Telecom Regulatory Authority of India (TRAI) has fixed ceiling prices for cable television, in areas not subscribed by the Rs 5 per-paid channel tariff under the conditional access system.

DTH, CAS at par

The move intends to bring the monthly charges of cable TV operators at par with direct to home service providers and CAS prices. While multi system operators (MSOs) have welcomed the “revolutionary” decision, broadcasters are not sure if it serves them better. Viewers will, from December 1, when the tariff comes into effect, be able to choose their bouquet, or opt for a minimum of 30 free-to-air (FTA) channels for Rs 77 per month. The maximum ceiling price fixed is at Rs 260 (for 30 FTA and more than 45 pay channels).

May pay less

“We expect consumers to pay even less than the maximum ceiling, since the CAS experience has shown that they only pick 15-20 channels. However, the technical issues that will allow us to offer individual bouquets will still have to be worked out,” said Mr Ashok Mansukhani, President, MSO Alliance.

However, broadcasters whose weaker channels have so far piggy-backed on popular ones, worry that TRAI hadn’t taken into account the high payout sports channels for example.

The tariff divides the country into three categories of cities. Mr Hitesh Vakil, CFO, Zee Telefilms, points out that consumers across cities will now be paying the same. “Although TRAI is seeking to protect the interest of consumers, in cities such as Mumbai, where consumers in poorer localities paid less and the cost was passed on to richer consumers who paid Rs 300-350, the fee would now be the same, or possibly steeper for the former,” he said.

The decision, say experts also indicates the industry’s acceptance that addressability and the further implementation of CAS would take a long while.

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