The Telecom Regulatory Authority of India (TRAI) has today released Recommendations on ‘Framework for Service Authorisations for provision of Broadcasting Services under the Telecommunications Act, 2023’.
As per the extant guidelines for various broadcasting services, licenses/permissions/ registrations are issued by the Ministry of Information and Broadcasting (MIB) under Section 4 of the Indian Telegraph Act, 1885 for the provision of broadcasting services, like, television channel uplinking/downlinking (including Teleport), SNG/DSNG, DTH, HITS, IPTV, FM Radio, and Community Radio Stations (CRS).
The Government has notified the Telecommunications Act, of 2023 in the Gazette of India, which repeals the Indian Telegraph Act, of 1885. However, the appointed date for various sections of the Telecommunications Act, of 2023 is yet to be notified. Section 3(1)(a) of the Telecommunications Act, 2023 mandates authorisation for those intending to provide telecommunication services, subject to the terms and conditions, including fees or charges, as may be prescribed.
MIB, vide its letter dated 25th July 2024, has sought recommendations of TRAI under Section 11(1)(a) of the TRAI Act, 1997 on the terms and conditions, including fees or charges; for authorisation to provide broadcasting services, aligning it to the Telecommunications Act, 2023 and harmonizing the terms and conditions across various service providers.
Accordingly, on 30th October 2024, the Authority initiated a consultation process by releasing a Consultation Paper titled ‘Framework for Service Authorisations for Provision of Broadcasting Services under the Telecommunications Act, 2023′ and sought stakeholder comments. In response, the comments and counter comments received from the stakeholders were uploaded on TRAI’s website. As part of the consultation process, an Open House Discussion (OHD) was held on 18th December 2024.
Based on the comments and counter-comments received from stakeholders as well as inputs gathered during OHD, examination of the existing provisions of various broadcasting policy guidelines, taking into account relevant earlier recommendations of TRAI that are under consideration of the Government, and its own analysis, TRAI has collated and restructured the terms and conditions into a simplified authorisation framework. The terms and conditions are aligned to the relevant provisions of the Telecommunications Act, of 2023. Accordingly, TRAI has finalized its Recommendations on ‘Framework for Service Authorisations for provision of Broadcasting Services under the Telecommunications Act, 2023’. The recommendations aim to promote growth and enhance ease of doing business in the sector.
The recommended authorisation framework provides for two distinct sets of terms and conditions, the first set is for the applicant entity intending to obtain authorisation for broadcasting services, and the second set is to comply with the authorised entity for service provisioning during the period of authorisation.
These two sets of terms and conditions should be adopted while framing the Rules, namely, ‘The Broadcasting (Grant of Service Authorisations) Rules’ and ‘The Broadcasting (Television Channel Broadcasting, Television Channel Distribution, and Radio Broadcasting) Services Rules’.
The recommended authorisations for broadcasting services include those for Television Channel Broadcasting (Satellite-based/Ground-based), News Agency for Television Channel(s), Teleport/Teleport Hub, Uplinking of Live events/news/footage by Foreign Channel/News Agency, Direct Home (DTH) Service, Head End in the Sky (HITS) Service, Terrestrial Radio Service, Community Radio Stations and Low Power Small Range Radio Service.
Salient points of the recommendations are given below:
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- Broadcasting service authorisations shall be granted under Section 3(1)(a) of the Telecommunications Act, 2023, in place of the extant practice of issuing license/permission under Section 4 of the Indian Telegraph Act, 1885. Terms and conditions for service authorisations shall be notified as Rules under Section 56 of the Telecommunications Act, 2023.
- Grant of service authorisation under Section 3(1)(a) should be in the form of an authorisation document containing essential details about the service. The format of the authorisation document has been recommended.
- The terms and conditions for ‘Grant of Service Authorisations’ have been harmonized for similar services and cover eligibility criteria, application process and other relevant details/information required by an applicant entity before applying for service authorisation.
- Migration of existing licensee/permission holder to new authorisation regime shall be voluntary, till the expiry of their license/permission. Further, no processing fee or entry fee will be required for migration, in the case of broadcasting services. However, the validity period of the respective service authorisation should be from the effective date of migration to the authorisation regime, irrespective of the validity period of the existing license/permission.
- Addition of new services, namely, ‘Ground-based Broadcasting of a Television Channel’ and ‘Low Power Small Range Radio Service’, based on earlier recommendations of the Authority.
- The terms and conditions for service provisioning encompass two parts, namely, ‘Common Terms and Conditions’ applicable to all broadcasting service authorisations in a harmonized manner and ‘Specific Terms and Conditions’ applicable to service-specific authorisations.
- To protect the interests of service providers, it has been recommended that amendments to terms and conditions of service authorisations (except for reasons of National Security) shall require TRAI’s recommendations.
- Mandatory co-location should be removed for authorised entities of Radio Broadcasting Services.
- Infrastructure sharing, voluntarily, among broadcasting service providers as well as with the telecom service providers/infrastructure providers, wherever technically and commercially feasible, has been recommended.
- Authorised entities of ‘Television Channel Distribution Services’ shall endeavour to adopt interoperable STBs to enhance consumer choice and reduce electronic waste.
- TEC to prepare and notify standards for interoperable STBs and television sets with inbuilt STB functionality.
- The minimum net worth requirement of Rs. 100 crore for the Internet Service Providers to provide IPTV Service is recommended to be removed and the same should be aligned with the provisions contained in the authorisation for Internet Services to be issued by DoT.
- Terms and conditions for Radio Broadcasting Service have been made technology agnostic enabling the adoption of digital technology.
- Service authorisation for ‘Terrestrial Radio Service’ to be delinked from frequency assignment and the auction of spectrum for frequency assignment for Terrestrial Radio Service shall be done separately.
- In addition to the broadcasting of radio channel(s), the authorised entities for Terrestrial Radio Services should be allowed to stream the same content through the internet concurrently without any user control.
- MIB should prescribe separate Programme Codes and Advertisement codes for radio broadcasting service providers.
- The terms and conditions including fees for various broadcasting services, particularly in the ‘Television Channel Distribution Services’, have been harmonized with the provisions in the Telecommunications Act, of 2023. Salient recommended terms and conditions are as under:
| Conditions | Existing | Recommended |
| Authorisation Fees (erstwhile License Fee) for DTH services | 8% of AGR | 3% of AGR, to be reduced to ‘zero’. No authorisation fee after the end of FY 2026-27 |
| Authorisation Fees (erstwhile Annual Fee) for Radio Broadcasting Services |
|
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| Bank Guarantee for
DTH Service |
Rs. 5 crore initial, thereafter License Fee of two quarters | Rs. 5 crore or 20% of Authorisation Fee for two quarters, whichever is higher |
| Bank Guarantee for
HITS Service |
Rs. 40 crores for initial 3 years | Rs. 5 crore for the validity of authorisation |
| Processing Fees of
HITS Service |
Rs. 1 Lac | Rs. 10000 |
| Validity Period of
HITS Service |
10 years initially, with no provision for renewal | 20 years with a renewal of 10 years at a time |
| Renewal Period for Terrestrial Radio Service | No provision for renewal in FM Radio | Renewal by 10 years at a time |
In addition to harmonization of financial requirements, harmonization of common terms and conditions, roll out obligations for similar services (DTH and HITS), provisions enabling infrastructure sharing, provisions applicable in case of emergency/disaster, monitoring and inspection, contravention of rules, applicable Program Code and Advertisement Code for television broadcasting /distribution services and that for all Radio broadcasting services has been recommended.
The Recommendations have been placed on the TRAI’s website (www.trai.gov.in). For any clarification/information Dr Deepali Sharma, Advisor (Broadcasting and Cable Services), TRAI may be contacted at Telephone Number +91-11-20907774.
