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Cabinet approves Revision in guidelines for providing Direct to Home (DTH) Services in India

Newdelhi:23/12/20:The Union Cabinet, chaired by the Prime Minister, Shri Narendra Modi, has approved the proposal for revision of the guidelines for obtaining license for providing Direct-To-Home (DTH) broadcasting service in India. The salient features of the decision are:

  1. License for the DTH will be issued for a period of 20 years in place of present 10 years. Further the period of License may be renewed by 10 years at a time.
  2. The license fee has been revised from 10% of GR to 8% of AGR. AGR will be calculated by deduction of GST from GR.
  3. License Fee will be collected on a quarterly basis in lieu of the present annual basis.
  4. DTH operators shall be permitted to operate .to a maximum of 5% of its total channel carrying capacity as permitted platform channels.  A one-time non-refundable registration fee of Rs.10,000 per PS channel shall be charged from a DTH operator.
  5. Sharing of Infrastructure between DTH operators. DTH operators, willing to share DTH platform and transport stream of TV channels, on voluntary basis, will be allowed. Distributors of TV channels will be permitted to share the common hardware for their Subscriber Management System (SMS) and Conditional Access System (CAS) applications.
  6. The cap of 49% FDl in the existing DTH guidelines will be aligned with the extant Government (DPIIT’s) policy on FDl as amended from time to time.
  • vii. The decision will come into effect as per revised DTH guidelines are issued by the Ministry of Information and Broadcasting.

The proposed reduction is intended to align the license fee regime applicable to the Telecom sector and will be prospectively applied. The difference may also enable DTH service providers to invest for more coverage leading to increased operations and higher growth and thereby enhanced and regular payment of License Fee by them. The registration fee for Platform Services is likely to bring a revenue of approximately Rs. 12 Lakhs. The sharing of infrastructure by the DTH operators may bring in more efficient use of scarce satellite resources and reduce the costs borne by the consumers. Adoption of the extant FDI policy will bring in more foreign investment into the country.

The DTH is operable on a pan-India basis. DTH sector is a highly employment-intensive sector. It directly employs DTH operators as well as those in the call centers besides indirectly employing a sizeable number of installers at the grass-root level. The amended DTH guidelines, with a longer license period and clarity on renewals, relaxed FDI limits, etc., will ensure a fair degree of stability and new investments in the DTH sector along with employment opportunities.

About Editor in chief

Ashok Palit has completed his graduation from Upendranath College Soro, Balasore and post graduation from Utkal University in Odia Language and literture.. He has also carved out a niche for himself as a scribe of eminence after joining the profession in 1988. He is also an independent media production professional. He brings loads of experience to Advanced Media, Ashok Palit as a cineaste has been active in film criticism for over three decades. As a film society activist, he soared to eminence for his profound commitment to the art film appreciation and aesthetics of cinema. His mode of discourse is often erudite but always lucid and comprehensible marked by a perfect acumen so rare in the field. A film aesthete with an immense fond of critical sensibilities, he wrote about growth and development of odia cinema in New Indian Express, The Times of India, The Hindustan Times, The Asian Age and Screen. He has been working as an Editor for Cine Samaya from 2002-2004.. He had made solid contribution on cinema in many odia Dailies and weekly such as Samaj, Prajatantra, Dharatri, Samaya, Satabadi, and weekly Samaya.

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