Cable operators to challenge digitisation in Chennai

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A cross section of local cable operators (LCOs) in Chennai are to challenge the Centre's notification to implement cable TV digitisation programme in Chennai. This will be the first petition to be challenged from Chennai, one of the four metros, which was earmarked for digitisation.

The decision comes after the two-judge bench of the Madras High Court today asked the LCOs why they have not challenged the notification yet.

It may be noted, a similar petition was filed at Bombay High Court, but was rejected.
The deadline for implementation of cable television digitisation programme at Chennai was extended for the third time on November 9 till 19th.

The programme was originally planned on October 31, 2012 but kept getting extended since the Madras High Court was hearing a petition filed by the Cable operators and Tamil Nadu Government-run MSO for extension of the deadline.

In the petition, they have said, enough set top boxes are not available in the market to meet the requirement of customers.

On October 31, the Madras High Court had given a stay order, extending the deadline for switching to digitisation to November 5.

On November 5, Court heard Counsels representing Arasu Cable Corporation, I&B Ministry and other DTH operators. During a heated argument, the Counsel representing Arasu Cable Corporation asked for 18 weeks time to supply the boxes from the time of placing the order.

The Counsel said Arasu Cable is negotiating for a good price, and from the time of placing the order the suppliers are asking for 18 weeks time.

Earlier he said, the Corporation doesn't want to burden the public and cable is part of State Government's welfare scheme so Arasu wants to get the best price.

The entire process cannot be completed within the mandated time of October 31, 2012 and so it had sought an extension for the implementation of DAS in Chennai.

Responding to Arasu's appeal, the Counsel representing the Ministry of Information and Broadcasting said “if they (Arasu Cable) commits to December 31, 2012 as time for implementation, then we will consider to extend the deadline”.

Hearing both the sides, the Court said the matter will be heard on November 9. During the hearing, one of the Multi System Operator (MSO) called JAK Communication asked for time to file an affidavit, and the Court posted the matter for November 19. Then again the matter was posted for November 20 and 21.

Earlier the Court said that the issue involves public interest and should be considered in a division bench in the next sitting.

Johnson D Kennedy, president of the Association said while around 40 lakh set top boxes are needed, only around 1.6 lakh active set top boxes are available in the city at present.

Earlier, industry sources said that around 32 lakh households in Chennai may not be able to opt out of the cable network if the Government decision comes into effect from November 1, as was scheduled by the Government.

It may be noted that the I&B Ministry claimed that in Chennai, cable homes are showing 61% digitisation and together with DTH, the percentage of digitisation goes up to 85%.

The operators earlier said that the Government had used the data which is very old and it was restricted to 200 wards within Chennai Corporation limit, whereas the city was already extended at one side till Sripermbudur and on the north side till Tiruvatiyur. The Government also didn't take the free television sets, which were given by the DMK-led government, which was ruling the state between 2006 and 2011. The new TV sets alone means 20% increase.

Source: Cable operators to challenge digitisation in Chennai
 
Chennai cable ops to file fresh petition challenging Govt's notification on DAS
The Chennai Metro Cable Operators Association (CMCOA) is all set to file a fresh petition challenging the notification of digitisation issued by the Ministry of Information and Broadcasting (MIB) in April this year.

CMCOA General Secretary M R Srinivasan told Indiantelevision.com that the two member bench of Justice Elipe Dharma Rao and Aruna Jagadeesan told the cable operators to file a fresh petition against the government notification of the Cable Television Networks Rules, 2012.

"We will file a new petition challenging the government's notification order," Srinivasan said.

The CMCOA had filed a petition seeking postponement of cable digitisation in Chennai by at least three months till 31 January citing shortage of set-top boxes (STB). The deadline for the first phase of digitisation in the four metro cities was 31 October.


The Madras High Court had on 31 October stayed the digitisation in Chennai till 5 November. The Court again extended the deadline till 9 November following which it was again put off till 19 November.

The Court had on Tuesday adjourned the hearing of CMCOA's petition to Wednesday due to recusal of Justice P.P.S. Janarthanaraja from the case. The judge recused himself from the case citing possible conflict of interest since his son works for Sun TV, whose lawyer is representing one of the respondents in the case.

Justice Janarthanaraja, along with Justice Paul Vasanthakumar, was expected to hear the petition. This will now be heard by the new bench comprising Justice Dharma Rao and Jagadeesan.

CMCOA's Srinivasan said that the local cable operators (LCOs) in Chennai are a confused lot since state-run Arasu Cable, the dominant MSO in the state, is yet to receive a DAS (digital addressable system) licence for Chennai.

The cable operators like in other parts of Tamil Nadu can't align with any other MSO other than Arasu. He also reasoned that the LCOs will not buy STBs from any other MSO fearing that if Arasu gets the licence then all their investments would go waste.


"LCOs in Chennai have no choice but to go with Arasu. The I&B ministry should take a decision whether or not it wants to give a licence to Arasu. This will at least bring some clarity," he lamented.

As many as 11 MSOs have got DAS licence to operate in Chennai.

In the event of Arasu failing to get a DAS licence, the LCOs would take a call independently on their MSO partner, Srinivasan said. But for that the government needs to take a decision immediately, he added.

As Indiantelevision.com had reported, the MIB is having second thoughts on granting licences to Arasu fearing that similar demands might come from other state governments.

Add to that the latest diktat by MIB to the broadcast sector regulator Trai to bring rules in place to keep a check on monopolies in the cable TV distribution space at a local, state and regional level.

Indiantelevision.com's > Digital Edge> Chennai cable ops to file fresh petition challenging Govt's notification on DAS
 
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