20th March, 2003
TELEVISION


CAS - A STEP TO PROTECT TV CONSUMERS

G. S. Randhawa*


Come July 14, 2003 and the TV viewing would undergo a revolutionary change in the four Metros - Delhi, Mumbai, Chennai and Kolkata. The Conditional Access System (CAS) to view the Pay Channels through the Set Top Box would come into operation. With the implementation of this scheme, the consumer would get protection against the arbitrary and very frequent hike in the cable subscription and also the forced payment for even the channels he does not want to view by bunching the channels with bouquets by the broadcasters. The CAS scheme provides that the consumer would get only the channels he wants and pay for only those he actually wishes to view. The broadcasters would have to notify the cost of every pay channel, the list of which would have to be displayed by the cable operators.

The CAS brought in by amending the Cable TV Act of 1995 during the Winter Session of Parliament makes it mandatory in the areas notified by the Government that all pay channels would be transmitted through an addressable system. This would be possible by installing a small box called Set Top Box (STB) at the consumer’s place. However, for viewing only the Free to Air (FTA) channels the box will not be required.

The Government would prescribe from time to time the maximum amount to be paid by the subscriber for the basic service tier of FTA and the number of free channels. The Government would also determine the cost for the FTA brought for different States, cities and areas of the country. The Ministry of Information and Broadcasting has constituted a Task Force to determine the above criteria and the cost. The Task Force has representatives of consumers, NGOs, cable operators, multi system operators, STB manufacturers and broadcasters. The Bureau of Indian Standards has already notifed the standards for the STBs.

The subscriber is not required to change his TV set. BIS has already notified the standards for the Set Top Boxes. The cost of STBs would be determined by the market forces depending on the demand and their availability. The sharing of the cost of STB among the broadcasters, multi-system operators (MSOs), cable operators and consumers would also depend on the market forces. The cable operators shall have to submit a report to the Central Government in the prescribed form the information regarding the number of total subscribers, subscription rates and the number of subscribers receiving programmes transmitted in the basic tier or particular programme or set of programmes transmitted through pay channels. The violation of the CAS provisions has been made a cognizable offence for an effective enforcement of the scheme.

The Government had been monitoring the implementation of the Cable Television Act 1995 and also taking corrective measures as and when considered necessary. In the recent months, there had been a great public outcry and complaints from subscribers, residents’ welfare associations as well as Members of Parliament against frequent and arbitrary hikes in cable subscription charges and lack of transparency in the cable distribution system. The rates were arbitrarily increased by broadcasters and cable service providers in almost an area-specific monopolistic distribution system. There was no choice left with the consumers and they have had to accept to the total bouquet and at the cost demanded by the cable operators. There was no legal or administrative way in which the Government could intervene and regulate the subscription charges or ask the cable service providers to charge for only those channels which the consumer wishes to view.

The consumer had been the worst victim of the blame game indulged in by the stakeholders - the broadcasters, MSOs and the cable operators. The cable operators blame the pay channels for the arbitrary increase in rates, the pay channels/MSOs complain that the cable operators report lesser number of consumers, thus depriving them of their due revenue. The statistics of viewership are rendered totally unreliable and the advertisement rates for individual channels to get aritfically inflated. The under-reporting of consumers also results in sizeable evasion of entertainment tax as well as income tax due to undeclared money.

There are about four crore cable TV homes in the country. Over 280 channels have footprints over India. Out of about 80 channels delivered to the viewers, 31 are pay channels and 49 free-to-air channels. MSOs control about 60 per cent of total cable homes. Average subscription paid by the viewer is about Rs. 150 to 300 in big cities.

With the implementation of the Conditional Access System the entire transmission system of TV signals through the cable would become transparent. It would not only protect the consumers against frequent and arbitrary hikes in cable rates and undesirable transmission of channels but also make the advertisement rates realistic and plug the loopholes in the collection of entertainment tax. The consumer would be able to block the reach of unwanted channels, which he felt embarrassing to view in a family.

Though there are demands from various State governments and consumer associations asking for extension of CAS to more cities other than the four metros, the Government would wait for the successful implementation in the first phase before extending it further. (PIB Features)

*Information Officer, PIB, New Delhi

 
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