MUMBAI: India's telecoms regulator the Telecom Regulatory Authority of India (TRAI) has recommended comprehensive reforms in broadcasting service authorisations, marking the most significant regulatory change recommended in the sector since the original Broadcasting Act. The new framework, aligned with the Telecommunications Act 2023, aims to modernise and streamline the industry's regulatory landscape.
The industry watchdog has recommended the introduction of a simplified two-tier authorisation framework. The first tier governs initial authorisation requirements for new entrants, while the second establishes compliance parameters for ongoing service provision.
It has recommended that financial requirements be substantially revised. Direct-to-Home (DTH) operators must now maintain bank guarantees of either Rs 5 crore or 20 per cent of two quarters' licence fees, whichever is higher. For Head-end in the Sky (HITS) services, the regulator has reduced initial bank guarantee requirements from Rs 40 crore to Rs 5 crore, with validity periods extended from 10 to 20 years.
In a significant move towards technological advancement, TRAI has recommended the introduction of provisions for ground-based television channel broadcasting and low-power small-range radio services. The framework makes radio broadcasting technology-agnostic, paving the way for digital adoption.
The regulator has also recommended the mandatory development of interoperable set-top boxes, tasking the Telecom Engineering Centre with creating standards for both standalone devices and integrated television sets. This move aims to reduce electronic waste and enhance consumer choice.
The new recommended framework removes mandatory co-location requirements for radio broadcasters and encourages voluntary infrastructure sharing between broadcasting and telecom providers. Radio broadcasting authorisations will be delinked from frequency assignments, with spectrum to be auctioned separately.
Existing licence holders can voluntarily migrate to the new regime without incurring processing or entry fees. The validity period for new authorisations will commence from the migration date, regardless of existing licence periods.
Future amendments to authorisation terms, except those related to national security, will require TRAI's recommendations, providing regulatory stability for service providers. The reforms represent a significant step towards modernising India's broadcasting sector while enhancing ease of doing business.
The changes are expected to facilitate growth in both traditional and digital broadcasting services, potentially attracting new investors to the sector. Industry observers note that the reforms could particularly benefit smaller operators and new entrants, while encouraging technological innovation across the broadcasting landscape.
To download the entire Recomended Framework for Service Authorisations for provision of Broadcasting Services under the Telecommunications Act, 2023 click here
