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Cabinet clears digitisation of TV broadcasts
Thursday October 13, 2011 03:40:05 PM,
IANS
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New Delhi: In a key
step that will benefit both the cable and satellite TV industry
and consumers, the government Thursday cleared an ordinance that
seeks to fast-track the digitisation of TV broadcasts.
"The union cabinet agreed to send the proposal for an ordinance of
the ministry to the rashtrapati (president) for consideration and
approval," Information and Broadcasting Minister Ambika Soni told
reporters after a cabinet meeting chaired by Prime Minister
Manmohan Singh.
The ordinance seeks to amend the Cable Television Networks
(Regulation) Act to meet the March 31, 2012 deadline for
digitisation in the four top metros by 2014.
The move is expected to boost the subscription revenues for
broadcasters as it promises to end hefty carriage fee they pay to
the cable TV operators.
According to an estimate, carriage and placement fee contribute
around 20 percent of the total cost of running a channel. All
satellite channels will be beamed to houses through set-top boxes.
The cable and satellite television industry is expected to be
worth Rs.20,000 crore.
After the president clears the ordinance, cable operators will
have to give up analog in the four metros by March 31, 2012.
Cities with a population of one million will be covered by March
31, 2013. All urban areas would be covered by Sep 30, 2014 while
the entire country will be covered by Dec 31, 2014.
The new arrangement will mean more choice for consumers as digital
platforms will carry more channels and offer superior quality.
Digital cables can carry up to 1,000 channels.
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