Cable, DTH bills lower or higher from February 1? learn

TRAI released its new tariff rules on Tuesday, which has decided not to set any cap on the maximum retail value or MRP of pay channels. While issuing the Telecommunication (Broadcast and Cable) Services (Eighth) (Addressable Systems) Tariff (Third Amendment) Order, 2022, TRAI has decided to continue the ceiling of Rs 19 on the MRP of channels to be part of the bundle.

TRAI Secretary V. Raghunandan released the new tariff rules on Tuesday, which included some reforms. It has been decided to retain the cap of Rs 19 on the MRP of channels for being part of the bouquet, the new rules said. Further, a broadcaster, while pricing its bouquet of pay channels, can give a maximum discount of 45% of the sum of the MRPs of all the pay channels present in that bouquet.

In its statement, TRAI said that the rebate offered by the broadcaster as an incentive on the maximum retail price of a pay channel will be based on the combined subscription of that channel in a la carte as well as in the bouquet.

All broadcasters shall inform TRAI by December 16, 2022 about channel name, format, language, MRP per month, and composition of channel bouquet and any change in MRP.

All distributors of television channels should ensure that by February 1, 2023, services are provided to the consumers as per the bouquet or channel of their choice.

After all, what is the point of 45%. Let’s understand. TRAI has shared discount data in its regulation, which was shared by service providers in consultation with TRAI. According to this data, major broadcasters offer discounts of 15 to 53.34 percent on a-la-carte options, with most broadcasters offering discounts between 33 and 54 percent.

Further, among approximately 435 bouquets offered by broadcasters, the average discount is 39 percent, but the mode is between 45 and 50.

Top broadcasters including TV Today Hindi News, Turner Kids Pack, Zee Family Pack Hindi SD, Discovery Book 1 Basic Infotainment Pack and Disney Kids Pack are subscribed to by 67 million DTH customers and when it comes to their bundles, the average discount offered is 45 per. Percentage on sum of MRP of a-la-carte channels.

Based on these figures, TRAI decided to limit the discount on channel bouquets to 45 percent, which would cover about 70 percent of the existing bouquet offer.

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