Tag: Delhi High Court

  • TDSAT declines stay as SET, ESPN and ESS move against CAS pricing

    TDSAT declines stay as SET, ESPN and ESS move against CAS pricing

    MUMBAI: Acting on expected lines, broadcasters have finally taken legal recourse against the Rs 5 tariff that the sector regulator had set as the price for accessing pay channels in a CAS regime.

    Three separate petitions filed against the order of the Telecom Regulatory Authority of India (Trai) by Set Discovery Ltd, ESPN Star Sports (ESS) and ESPN Software India came up for hearing this morning before the apeals tribunal.
    However, the Telecom Disputes Settlement & Appellate Tribunal (TDSAT), which heard the case today, issued no directive to stay Trai’s order.

    A point of note is that of the three petitions that came up for hearing today, two of them were moved commonly by ESS and ESPN Software.

    TDSAT has set the matter for further argument and a possible order on 13 November. The pay broadcasters have challenged the two Trai notifications dated 24 August (on carriage fee) and 31 August (channel pricing).

    The channels have also challenged the revenue sharing model designed for industry stakeholders by Trai. The sector regulator had specified in the notification that the revenue generated from pay channels leaves the broadcaster with 45 per cent, while the multi system operators (MSOs) stays on with 30 per cent and the cable operators get 25 per cent.

    Interestingly, the two major MSOs; Hathway and Hinduja-owned IndusInd Media and Communications have intervened in the appeal in support of Trai’s decision on the CAS pricing.

    For the record, the 24 August notification had mentioned that the carriage fee is to be retained fully by MSOs and can operate throughout a CAS area without any restriction on area of operation.

    Subsequently, SitiCable Networks Ltd (now renamed WWIL) has also filed a petition at the tribunal appealing that the MSO must have a share in the basic tier services fee, which according to Trai notification must be retained fully by local cable operators.

    Earlier this year, a division bench of the Delhi High Court had passed an order directing the implementation of CAS with effect from 31 December in the south zones of the three metros; Mumbai, Delhi and Kolkata.

  • Trai proposes tariff rate on STBs

    Trai proposes tariff rate on STBs

    MUMBAI: The Telecom Regulatory Authority of India (Trai) has proposed that cable TV service providers in conditional access system (CAS) areas to offer digital set-top boxes (STBs) on a monthly rental scheme of Rs 30 and a refundable security deposit of Rs 999.

    Subscribers will also have the other option to take the permanent rental scheme with no security deposit. But the monthly rent in this case would be higher. They also have the choice of subscribing to analogue boxes.

    Under the first scheme, the regulator has said that subscribers would own the box after five years and no monthly rentals would have to be paid after that.

    In case of a period before five years, the multi system operator (MSO) or cable operator shall be entitled to make deductions from the refundable security deposit at the rate of Rs 12.50 for every month or part of the month for which the subscriber has used a STB taken on rent or lease. The deductions will be made upon the submission of the STB in working condition.

    Under the standard tariff package (STP), subscribers will have the second option of not paying any security deposit but the monthly rental will be higher at Rs 45 per STB. For analogue boxes, the rent will be Rs 23 per month per STB.

    “In both options, there will be no payment for installation, activation charges, smart card/viewing card, repair and maintenance cost. Stakeholders are also free to suggest any other option as a STP,” Trai said today in a release.

    “Since the Indian standards do permit analogue STBs, an option for these boxes has also been provided under the second category,” the regulator added.

    Trai’s draft of the tariff proposals for STBs has invited comments of the stakeholders. Stakeholders may comment on these alternatives as well as suggest any other options for Trai to consider.

    “It has been proposed that each service provider should at least offer one STP in addition to any other alternate tariff package. The rationale behind this proposal is that every consumer should have the choice of choosing from amongst various alternatives of which at least one should be a package that is approved by Trai,” today’s release said.

    Trai’s proposed draft tariff order for STB schemes in CAS areas follows the government’s notification on 31 July that CAS would be implemented in Delhi, Mumbai and Kolkata. Earlier, the division bench of the Delhi High Court had passed an order directing implementation of CAS with effect from 31 December in these three metros.

  • Trai seeks opinion for fixing basic tier cable TV rates under CAS

    Trai seeks opinion for fixing basic tier cable TV rates under CAS

    MUMBAI: The Telecom Regulatory Authority of India (Trai) is seeking industry opinion on whether Rs 77 (excluding tax) should be the maximum cable operators can charge monthly from their subscribers for the basic tier services in areas where conditional access (CAS) is introduced.

    The draft tariff amendment order notification, which was released on Thursday, is part of Trai’s initiation to come out with appropriate regulations for interconnection, quality of service, terms of rental for set-top boxes as well as tariffs. The broadcast and cable regulator will have to fix the basic service tier rates for CAS.

    “The maximum amount which a cable operator may demand from a subscriber for receiving the programmes transmitted in the ‘basic service tier’ provided by such cable operator shall not exceed Rs 77 per month exclusive of taxes, for a minimum of thirty free-to-air channels. Free-to-air channels, over and above the basic service tier, would also be made available to the subscribers within the maximum amount mentioned above,” Trai said in a statement.

    In 2003, the government had fixed a ceiling rate of Rs 72 a month per subscriber for the basic service tier under the Cable Television Networks (Regulation) Act, 1995. The regulator had, in its tariff order dated 01.10.2004, fixed a general ceiling across the value chain, both in respect of free-to-air and pay channels, at the levels prevalent as on 26 December 2003.

    Subsequently, on 1 December 2004, Trai allowed an increase of seven per cent in order to make adjustments for inflation, with effect from 1st January, 2005. Another four per cent increase on account of inflation was allowed by Trai with effect from 1 January 2006, but this increase has been stayed by the Tdsat (Telecom Disputes Settlement And Appellate Tribunal).

    The Delhi High Court recently directed the implementation of CAS in the notified areas of the three metros of Mumbai, Kolkata and Delhi before 31 December 2006.

  • Delhi High Court restrains 92 cable operators from unauthorised telecast of World Cup

    Delhi High Court restrains 92 cable operators from unauthorised telecast of World Cup

    NEW DELHI: The Delhi Court granted stay to ESPN Star Sports, the official broadcaster of the Fifa World Cup, in favor of its application for a civil suit filed against 92 cable operators across the country for unauthorised broadcast of the Fifa World Cup restraining all the cable operators from showing Fifa through any other channel other than ESPN Star Sports.

    The channel has an exclusive deal with Fifa to telecast all the matches of the Fifa World Cup in territory of India. After this order anyone still showing FIFA World Cup through any other channel will be held in contempt of court and liable for prosecution, says an official release.

    Elaborating on this, ESPN Software India Pvt Ltd AVP Affiliate Sales Rajesh Kaul says, “No other channel, whether pay, free to air or terrestrial is authorised to provide, show or distribute the Fifa World Cup Germany 2006 in the territory of India. Also carriage, reception or distribution of the Fifa World Cup Germany 2006 by any MSO, Cable Operator, Sub-Operator without written authorization from ESPN Star Sports is a violation of copyrights and hence an illegal activity. Strict and legal action will be taken against the operators who violate the court orders. Post the order; police raids have already been started.”

    The 92 cable operators restrained from the unauthorized telecast are from Tamil Nadu, Jharkand, Maharashtra, Gujarat, Assam, Tripura, Karnataka, Kerala, West Bengal, Bihar and Punjab, adds the release.

    “The 92 cable operators across the country were broadcasting by means of wireless diffusion the services of free to air international channels like TV 5 Cambodia TV, CC5 Channel, CCTV1, Super Sports, Multi-choice and Dream Satellite, thereby infringing the copyright of ESPN Star Sports. Today after an application in the Delhi High Court, the judge has restrained these operators from carrying and distributing the World Cup by any means whatsoever, without authorized permission from ESPN Star Sports. Operators showing the Fifa World Cup through other channels should stop this to avoid legal court action,” adds Kaul.

  • Tariffs for CAS areas: Trai seeks industry feedback

    Tariffs for CAS areas: Trai seeks industry feedback

    NEW DELHI: The broadcast regulator is at it again — issuing another set of consultation paper on cable TV prices for CAS areas.

    The Telecom Regulatory Authority of India (Trai) today floated a paper on amendments to the tariff order for CAS areas asking stakeholders whether the regulator should fix the maximum retail prices (MRPs) of TV channels, amongst other things.

    The last date for the industry to give feedback is 5 July 2006, the day when the government is supposed to revert to the Delhi High Court on the status of CAS rollout in Kolkata, Delhi and Mumbai.

    Pointing out that the latest initiative is at he behest of the industry, Trai said, “Several stakeholders (had) suggested fixation of ceilings for individual channels. Since this is at variance with the earlier decision of Trai, it was considered appropriate to undertake a fresh consultation on the specific issues of regulation of tariff in CAS areas.”

    A Trai, official, however, denied that these consultation papers would any way affect a court case on CAS or that it would give the government some breathing space when it updates the judiciary on CAS’ rollout plans.

    “The issue of consultation papers and government’s stand on CAS are different matters,” the official stressed, refusing to expand any further.

    On 10 March 2006, the Delhi High Court had directed that CAS be implemented in three cities within a month’s time after being petitioned by a group of MSOs.

    Subsequently, the I&B ministry had held a series of meetings with industry stakeholders and consumer groups and had submitted to the court that for an effective rollout of CAS an additional 265 days were needed.

    The court, after making clear its disapproval of such suggestions and penalizing the ministry Rs. 100,000 (RS 1 lakh) for delay, asked the government to come back with a final implementation plan by 5 July.

    The regulator’s fresh consultation paper covers the following issues:

    i) Should Trai fix the maximum retail price for each individual channel?

    ii) If so, what should be the methodology and principles to be adopted for the same?

    iii) Should Trai promote individual choice of channels by fixation of the maximum price as a percentage of the average price of a channel in a bouquet and, if so, what should be this percentage?

    (iv) If the individual MRPs are fixed by Trai, along with a formula as indicated, should TRAI also regulate the maximum permissible discount for the bouquet of channels? If so what should be the discount and what are the principles on which this should be calculated?

    (v) The choice of the precise option out of the several alternatives to regulate prices in a CAS environment.

  • Trai drafts standardised interconnect regulations

    Trai drafts standardised interconnect regulations

    NEW DELHI: In a bid to streamline the cable industry, sector regulator today released the proposed standard forms of interconnect agreements for CAS areas between broadcasters and multi system operators and between MSOs and local cable operators (LCOs).

    The reason for this being suggestions from the industry stake holders to the government that a standard form of interconnect agreements be formulated.

    On 10 March, 2006 the Delhi High Court had directed the government implement CAS in Kolkata, Delhi and Mumbai within a month’s time.

    Subsequent to this order, a series of meetings were taken by the information and broadcasting ministry.

    Taking note of suggestions emanating from the meetings, the Telecom Regulatory Authority of India (Trai) has decided to finalise a standard format for interconnection agreements for CAS in consultation with the industry.

    Accordingly, a draft of the standard forms has been placed on the website of Trai today. The draft agreements contain a number of sections and provisions.

    One of them relate to revenue sharing. The actual revenue share percentages have been left blank in the draft and are proposed to be filled up after getting comments of the stakeholders.

    Trai has also asked for feedback on the following:

    •Should there be a uniform revenue share percentage between all broadcasters and MSOs and MSOs and LCOs. If yes, what should be the revenue share percentages? What is the methodology, data and principles on which these are based?

    •Should the revenue share percentages be different for different broadcasters? If so, should the rates for different broadcasters prevailing in Chennai be adopted in other CAS notified areas?

    •Is there any other alternative method of arriving at the revenue share?

    A draft regulation has also put on the website for comments containing the provisions for the standard agreements as well as a clause for prohibiting minimum subscriber guarantee. The deadline for sending comments is 27 June.

  • HC raps government on CAS delay; next hearing 5 July

    HC raps government on CAS delay; next hearing 5 July

    NEW DELHI: The government today got some reprieve and the stick on the issue of CAS from the Delhi High Court.

    While fixing 5 July as the next date for hearing in a case pertaining to implementation of CAS in three cities, the court questioned the government’s rationale for seeking 265 days for rollout of addressability.

    On 10 March, the Delhi High Court had directed the government through the information and broadcasting ministry to implement CAS in four weeks.

    The order had come on a petition filed by some MSOs, including Hathway and INCablenet.

    A few days after the 30-day deadline got over in April, the government and sector regulator had filed an appeal in the court seeking more time to facilitate rollout of CAS.

    The government’s contention was that a consensus needed to be evolved for implementing CAS for which eight to nine months time was needed.

    However, the court today reiterated that it would like to see the rollout happen during this calendar year and directed the government to deposit a fine of Rs 100,000.

  • Decision on CAS appeal after stakeholders meeting 27 March: Arora

    Decision on CAS appeal after stakeholders meeting 27 March: Arora

    MUMBAI: The uncertainty over the implementation of conditional access system (CAS) is not over yet. The government will take a call on whether it should move the Supreme Court only after a meeting with the broadcasters, multi system operators (MSOs), cable TV operators and consumers on 27 March.

    “We have invited all the stakeholders for a meeting on 27 March. We will take into consideration their views before deciding whether we should approach the court,” I&B secretary S K Arora told Indiantelevision.com.

    Early this month, the Delhi High Court had ordered the government to enforce the rollout of addressability in cable pay television (conditional access system or CAS) in India within four weeks. After reserving the judgement for several months, the court had delivered the verdict on a writ petition filed by a bunch of MSOs.

    On being queried whether one month was too short a time to implement CAS, Arora said the government’s argument in the court was that three months would be needed.

    Was the old notification on CAS good enough? “We will discuss all this in the meeting. Only then can we take a stance on whether modifications are necessary,” Arora said.

    The scheme as it was structured in 2003 ran into rough weather with some of the stakeholders opposing it, Arora added. “We need to resolve these issues. Consumers were opposing it because they felt they were forced to buy the set-top box (STB). Broadcasters came out with a pricing that wasn’t serious in intent.”

    Arora also pointed out that the government was yet to receive the Delhi High court judgment. “We believe the implementation of CAS would come into effect one month from the date of receiving the certified judgment,” he said.

  • Govt role: CAS’ fate linked to political compulsions

    Govt role: CAS’ fate linked to political compulsions

    The Indian government (read the information and broadcasting ministry) is suddenly finding itself caught between the devil and the deep blue sea, which more often than not takes great pleasure in turning red.

    Sandwiched between a strident judiciary — justifiably so in the present circumstances — and the politics of running a coalition government with vocal allies (who seem to have a view on anything and everything), the Manmohan Singh regime is bound to find it difficult to implement a recent Delhi High Court order that in short says: implement conditional access system in the areas notified earlier by a previous Bharatiya Janata Party-led coalition regime over 18 months ago.

    State-level elections in April-May would compel the government to give a deep thought to the so-called concerns of regional politicians. And, decision-making gets that much tougher when one of the states going to the polls, West Bengal, is ruled by a Left party, which is also a crucial ally of the federal government in New Delhi.

    The I&B ministry hasn’t yet held any talks with the various state governments where CAS is sought to be implemented. Nor have any meetings been held with industry stakeholders
    _____****_____

    Though the Delhi High Court order exhorts the I&B ministry to rise above regional level party politics and not use ‘public interest’ to influence an executive order (the notification related to CAS rollout) passed by the federal government, reticent politicians would definitely try to have their own way. Don’t forget that the I&B minister Priya Ranjan Dasmunsi’s parliamentary constituency lies in West Bengal and the street-smart politician has cut much of his political teeth in Bengal.

    With Kolkata in West Bengal, one of the metros targeted for CAS rollout, already swinging to the election tune, the I&B ministry would have to see how New Delhi’s Left-oriented allies react to the issue of CAS or ‘watching TV channels via a black box that would cost around Rs 3,000 (approximately $ 67),’ as some politicians are explaining addressability to the people.

    It can just be that the ministry goes in for an appeal one day ahead of the month-long court-mandated deadline
    _____****_____

    Though it hasn’t reached a crescendo, already there are murmurs amongst politicians of the Communist Party of India (Marxist), especially the local ones, on how CAS’ introduction around election time can be ‘disruptive’ and have telling effects on the electoral fortunes of the party in West Bengal.

    It is pertinent to note that the I&B ministry hasn’t yet held any talks with the various state governments where CAS is sought to be implemented. Nor have any meetings been held with industry stakeholders to discuss the issue in the light of the court’s observation.

    Apart from the West Bengal politicians, those representing the seven constituencies of Delhi in Parliament have already been petitioned by some cable operators on the ground that implementation of CAS might upset cable TV consumers of the National Capital Territory.

    With Delhi’s aam junta (hoi polloi) totally clueless on what CAS is all about — apart from what has been fed to them by politicians and the media — scepticism is bound to run all across on something new, which is not part of the basic infrastructure that is severely lacking here and making daily life that much more worrisome.

    And, the Congress-led Delhi government, trying to battle its own intra-party differences on demolition of illegal constructions all over Delhi (as directed by Delhi HC) that has left the denizens of the Capital fuming, the will to immediately implement another court order (on CAS) is definitely lacking.

    It would also be interesting to see how New Delhi could read the Delhi court order, which is not as simple as is being made out by many industry stakeholders — the benefits of CAS or addressability, notwithstanding.

    For the I&B ministry to plan a rollout of CAS as per the court order, it has to first revoke an executive order that suspended implementation of CAS.

    Now, here is the piece de resistance: the court order is silent on the fact whether addressability should be introduced, as per the prayer of the petitioners, ONLY in the south zones of the metro cities of Kolkata, Delhi, Chennai in Tamil Nadu and Mumbai in Maharashtra or the whole of the cities.

    After revoking an earlier notification, the federal government can stick to CAS’ introduction only in the south zones of the metros or interpret the court order as rollout in the whole of the cities. A clarification on the interpretation hasn’t been sought yet by the I&B ministry as there is a section that feels an appeal should be made against the present court order.

    If the government goes in for an appeal, which can turn out to be time consuming, then the timing of it would also be important. It can just be that the ministry goes in for an appeal one day ahead of the month-long court-mandated deadline.

    As things stand today, the government is keeping things fluid — deliberately so — to weigh all options, including the biggest challenge: political compulsions.