Monday, August 26, 2019

Only trying to fine-tune broadcast framework: TRAI Chairman RS Sharma

In an effort to allay concerns of the broadcast industry, RS Sharma, chairman of the Telecom Regulatory Authority of India, has clarified that the regulator has no intention to revise the new tariff order (NTO), but it moots to bring perfection with consumer-friendly features. In an exclusive interaction with Muntazir Abbas and Gaurav Laghate, Sharma also spoke about common misconceptions and the regulator’s endeavour to empower consumers. Edited excerpts:The broadcast industry has raised concerns over the timing of your consultation paper on the new tariff order. What was the need for the review so soon when the industry is still coming to terms with the changes?For the first time after digitisation, the Telecom Regulatory Authority of India (Trai), after a three-year-long legal battle, has come out with a new regulation. The new framework is entirely different from the existing one. It has come into effect from December last year effectively but de-facto from April 1.The framework is already fixed. There is no proposal to change any component of that framework, and if somebody is making a point that we (Trai) are changing the framework, it is absolutely false. Since this framework has started operating, we have observed that certain issues largely related to consumers have cropped up. We are only trying to fine-tune it.Have you not hinted at some fundamental changes to the framework?We are not reviewing the framework. Consultation doesn’t talk about changing the framework but it is bringing perfection in the phenomenon observed in the last few months.So, what is the basis that triggered such a need to fine-tune it?We have found that certain areas need a bit of tuning and hence issued a consultation. If we find all pamrameters are working fine, there will be no issue. Otherwise, we will tweak a few parameters.Trai also has a duty to protect the interest of consumers. The entire framework is consumer-centric, enabling them to exercise their choice, and we have created a draft on API. Consumers should transparently select and watch TV channels as per their choice.There was an observation that consumers were not able to delete the channels and that’s why we have created the Channel Selection System API draft.From the questions raised in the paper, it seems that you want to disallow bundling?No, not at all. We are saying that there were certain things that we have observed and need to fine-tune them. Trai’s consultation is not actually a decision, but it articulates issues coming in the way of implementing certain guidelines, and eventually asks stakeholders if the change is required or not.Why is Trai keen on lowering average revenue per user (Arpu)?We are ensuring that consumers have a choice and are empowered to exercise their choice. Our objective is not to increase or decrease Arpu. Our aim is to enable the consumers to choose channels and safeguard them against any obstacle in their path.Some may argue that since OTT players do pricing of their own, your framework discourages a level-playing field?Earlier upper limits were fixed, and the price cap was there as a content deterrent. In the new framework, we have said to keep the price as you (industry) want. The only condition is if you offer a bouquet, no higher tariff channels should be a made a part of it. We have no problem if you (broadcasters) offer channels outside a bouquet. We have removed the price cap.Contrary to the impression, the framework releases the price restrictions on TV channels completely. Rs 19 is only a condition on the bouquet, and the framework would not be changed but only a few parameters may be tweaked that too if needed.

from Economic Times https://ift.tt/2Zi1ptt

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