In yet another blow to the rollout of the conditional access system, the country's largest multi-system operators -- Siti Cable, Hathway and Hinduja TMT -- said on Wednesday that the plan to offer all cable TV channels for Rs 72 from August 1 would not work.
This means consumers will continue to pay their current subscription rates.
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Multi-system operators, cable operators and broadcasters had decided at a meeting with officials in the Prime Minister's Office on July 4 that consumers would pay only Rs 72 during the CAS rollout, starting August 1.
Cable operators have already rejected the Rs 72 package. Now, with the multi-system operators rejecting it, the government's plans to roll CAS out in a consumer-friendly way are in trouble.
"The cable charges will continue as they are and there is no change in the rates," said Jawahar Goel, head of Siti Cable and additional vice-chairman of Zee Telefilms.
Blaming the broadcasters for the present state of affairs, Ashok Mansukhani, vice-president, Hinduja TMT, said: "The broadcasters were supposed to announce the prices of their channels and waive charges during the rollout. But they have not done that. We will not be able to absorb the prices and the existing charges will continue."
A Hathway executive also said the company would be able to offer cable TV at Rs 72 only if the broadcasters waived their subscription fees.
On their part, broadcasters said there was no agreement on the waiver because it would put a heavy financial burden on them.
"There was no agreement on the price waiver. We were only requested to do so," said a broadcaster who was part of the July 4 negotiations.
"We are looking at the situation and have asked the broadcasters to come out with new prices. If they do not agree, the consumers will continue to pay what they are paying now since there is no provision in the law wherein we can force the broadcasters to waive their rates," said a government official.