New Framework for Cable TV Services Would Lead to Lower Prices in India: Trai

Telecom regulator Trai has now asserted that the implementation of the new framework for broadcasting and cable services would lead to lower prices for TV viewers, even as it slammed the “misinformation campaign” being carried out by some to fuel “hyperbolic fear” among consumers. The Telecom Regulatory Authority of India (Trai) Chairman R S Sharma said the regulator is working to ensure a “smooth transition” to the new framework without causing any disruption for consumers. “This is a great framework which has been validated by the highest court of the land, but there are certain stakeholders who are trying to create misconceptions that consumer bills are going to rise. It is bogus,” Sharma said without naming anyone.

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Slamming the “misinformation campaign”, Sharma said that the latest framework entailing service quality, interconnection and tariff aspects would reduce overall prices for consumers, raise transparency, and act as a “cleansing exercise”.

“Certain stakeholders are trying a perception battle…and creating hyperbolic fear or fear of unknown saying it will increase prices and that consumers will have no choice. This is all baseless,” Sharma said.

The regulator has barred fixed fee deals, he said adding that the revenue streams will now be completely synced with the number of viewers of a channel. “We feel that the fears are being created in the minds of people…with an ulterior motive,” he said.

Asked if the industry players have approached the regulator seeking an extension of stipulated timelines for implementation of the new framework, Sharma said Trai’s efforts are to safeguard consumer interest and that the authority will work out a methodology to ensure a smooth transition.

Telecom regulator Trai has already initiated a consumer outreach programme to create user awareness on the nuances of its new tariff order and framework for the broadcasting sector. “Also, on our website we have created certain different packages for different markets to demonstrate that the prices will not increase in any of the markets,” Trai Secretary S K Gupta said.