BUSINESS

CAS: Wrangling continues over cable rate

Source:PTI
July 05, 2003 18:53 IST

The confusion over conditional access system continued on Saturday with broadcasters and cable operators wrangling over the offer of Rs 72 plus taxes a month for all channels from August 1, while the government described as "misleading" reports that CAS was being deferred till September.

A day after reaching an agreement with the government, broadcasters said on Saturday their understanding was that the offer was restricted to the zone for the month before it got notified for CAS, but the cable operators claim it is applicable to all consumers in August and will stretch further to non-notified areas.

The government, in a release issued on Saturday, maintained that cable operators will charge only Rs 72 per month plus taxes for all channels, including pay, from August 1.    

Disagreeing with this interpretation, broadcasters said consumers would be given an "introductory offer" only for the month before which they are notified to go under CAS regime.

They also see no logic in consumers in a particular zone getting this benefit for four months and those in another part of the city only for a month.

"It's a monthly roll-over. The honeymoon period is only a month for anyone," said Deepak Shourie of Discovery. Going by this, the government would have to notify the first phase before August 1.

Star's Sameer Nair said it was intended to give everyone a one-month waiver in each of the four zones in all the metros. He said the zone-wise implementation was to ensure availability of set-top boxes for a smooth-roll out in the four cities, which have a total of 6.5 million cable TV viewers.

The cable operators, who are on the same side as the government on the proposal, blamed broadcasters for creating confusion.

"It is Rs 72 plus taxes for all channels for all cable TV consumers in August and then those notified for CAS will go into that regime while the others will continue to pay Rs 72 till notified," Vicky Chaudhury of NCTA, a cable operators association said.

In its official release, the government also said in the non-notified zone, cable operators will charge only Rs 72 per month plus taxes for all channels, including pay.

It said Friday's meeting addressed twin objectives of CAS based on the principle that "consumers can choose what they wish to watch and pay only for what they watch".

It said all stakeholders -- broadcasters, cable operators and multi-system operators -- were committed to the implementation of CAS in the interest of the consumer and ensuring regulated growth of cable TV industry.

The period from July 14 to August 31 will be used for creating consumer awareness about CAS, procurement of set-top boxes and promotional campaigns for pay channels.  

Each of the four notified metros will be divided into four zones for a staggered roll-out of the addressable system of transmission of pay channels.

Once a zone is notified, pay channels can be watched only with the use of set-top boxes, and consumers will be charged for channels of their choice in addition to the Rs 72 plus taxes for basic tier of free-to-air channels. Consumers of only free-to-air channels will not need set-top boxes and will pay only Rs 72 plus taxes.
Source: PTI
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