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TRAI issues consultation paper on commercial tariff for broadcasting and cable television services

TRAI released a Consultation Paper on Issues relating to Commercial Tariff. This Consultation Paper by TRAI deals with the issue of commercial tariff for broadcasting and cable television services.

The Tariff Order dated 1.10.2004 did not distinguish between commercial and other services. While dealing with a batch of petitions filed by the Hotel and Restaurant industry, the TDSAT in its judgment dated January 17, 2006 concluded that the Tariff Order does not cover commercial services. Accordingly after careful examination TRAI decided as an interim measure to amend the Tariff Order and provide for a ceiling for commercial tariff also. This ceiling was fixed as the tariff as on March 1, 2006. This Tariff Order was issued on March 7, 2006.

2. It was indicated in the Explanatory Memorandum to the Tariff Order dated March 7, 2006 that a detailed process of consultation would be separately undertaken. This Paper is a part of this exercise. Prior to issue of this Paper, consultation with the hotel and restaurant industry as well as with broadcasters had been held. Inputs received during this interaction have been included in the Consultation Paper.

3. The major issues that require to be decided upon are the following:­-

i) Should tariffs for commercial purposes be fixed or not?

ii) If so how should commercial consumers be defined and differentiated from non-commercial consumers?

iii) If commercial tariffs are to be fixed what should be the methodology?

4. The Consultation Paper seeks detailed inputs on these issues. The gist of the comments received will be posted on TRAI's website. The full text of the Consultation Paper is available on TRAI's website (www.trai.gov.in). The last date for sending comments is May 12, 2006.

5. For any further clarification on the matter Secretary, TRAI may be contacted at rstrai@gmail.com(Telephone No.011-26167448) or Advisor (B&CS) at rakesh.kacker@gmail.com(Telephone No.011-26713291). The fax number of TRAI is 011-26713442).

Source: TRAI.

Posted by: Atanu Garai.

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