Commercial TV subscriber tariffs: Broadcasters, Star take battle to courts

Thakur

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MUMBAI:It’s the battle of the bill
–the commercial cable TV bill,that
is.The Telecom Regulatory
Authority of India(TRAI) on16 July
2014 issued an amendment to its
earlier 2004 broadcasting and
cable TV tariff order. The amendment brought
in new customer categories such as
commercial establishments and commercial
subscribers. And it also stated that as far as
cable TV rates are concerned, there shouldn’t
be any differentiation on an ordinary and
commercial subscriber and charges for both
should be on a per TV set basis.
That amendment has not gone down well with
the Indian broadcast community as they have
been lobbying for differential rates for
commercial subscribers for a long time and
the global practice is that commercial
establishment and subscribers pay more than
common subscribers.
Its representative body, the Indian
Broadcasting Federation (IBF) decided to
challenge the tariff order for non-digital
addressable areas (DAS) in the Telecom
Disputes Settlement Appellate Tribunal (TDSAT).
And industry leader Star India decided to file a
writ petition against the TRAI challenging the
order for both non DAS and DAS and other
addressable systems in the Delhi High Court.
Coincidentally both the cases came up for
hearing on the same day. While the HC
declined to give a stay order on the 16 July
2014 tariff order amendment, it has served
notices to both the TRAI and the Federation of
Hotels and Restaurants Association of India
(FHRAI).
The matter has been posted for a full-fledged
hearing on 26 September. Till then, the order
is maintainable. Meanwhile, the TDSAT has said
that it will wait till the HC decides on the case
to take any further action.
What Star India has challenged in the HC is
that the 16 July 2014 amendment order denies
broadcasters the right to directly deal with the
hotels. Star India has also appealed that it will
have to unnecessarily depend on distribution
platform operators DPOs to strike content
deals as for commercial establishments, which
might be treated as ordinary subscribers unless
they specifically charge customers for cable TV
subscribers. The broadcaster can only give a
differentiated rate to those hotels that
categorically mention TV as one of the
services, thereby being deeming it fit to be
called a commercial subscriber.
The TRAI and FHRAI have been asked to
respond to notices by the next hearing. http://www.indiantelevision.com/regulators/high-court/commercial-tv-subscriber-tariffs-broadcasters-star-take-battle-to-courts-140820
 
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