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The Indian CAB&SAT Reporter
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Volume no: 1. Issue no: 28

5 April 1999

"FOREIGNERS WILL DO BUSINESS AS PER INDIAN LAWS I'M SURE"

Pramod Mahajan has earned himself a reputation as a seasoned politician and as the spokesperson for the ruling Bharatiya Janata Party. As Union information and broadcasting minister he has the unenviable task of fixing broadcasting regulations, which satisfy foreign investors, domestic industry and its political allies and opponents. This, when several previous governments have been wary of touching the hot potato that broadcasting issues have become. This at a time, when the government that he represents doesn't have a majority in Parliament and depends on coalition partners for survival.

However, he seems to be following a clear strategy and has left his imprint on broadcasting within five months of being allotted the crucial portfolio. Mahajan has announced that the government will lift the controversial direct-to-home television ban and has been a key figure in moulding public opinion in favour of that decision. He has insisted that the government will control state-owned broadcaster DD, going back on an earlier regime's decision granting it autonomy. He has got Cabinet clearance for amendments to the cable TV act, and he has allowed Indian broadcasters to set up their own earth stations for uplinking.

Mahajan is an important figure in Indian broadcasting as in the near future he is going to be putting in place the framework in which foreign broadcasters will have to operate. The Indian Cab&Sat Reporter's Delhi correspondent M. Anuradha caught up with him in the Capital for a chat and got the media-savvy minister to throw light on some of the decisions he has taken and intends to. Excerpts.

Q: The government has announced major amendments in the Cable TV Regulation Act, 1995. What is the real purpose?

A: The changes in the Cable TV Act are being sought to protect the interest of Doordarshan. We cannot have two sets of rules for broadcasters and that too which harms the revenue of DD.

Q: But there are no broadcasting regulation in the country? So what will you achieve?

A: That's why we are amending the Cable Act to bring about some uniformity. The regulatory mechanism, I agree, is not in place. All that I am trying to do is to create a level playing field for DD.

Q: But DD accepts surrogate liquor and tobacco ads too, So what's the big deal?

A: We'll see how that can be stopped on all channels. You cannot have DD loosing on revenue because it does not accept liquor or tobacco ads, while satellite channels rake in money taking advantage of that lacunae.

Q: Won't such stringent rules frighten existing broadcasters or new entrants?

A: I have held informal discussions with satellite channels and they have agreed to abide by the programming and advertising code that we formulate. They cannot afford to lose a huge market like India and they will I'm sure do business as per Indian laws. I propose to hold another round of meeting with private channels soon.

Q: Will you totally ban Liquor and tobacco ads on satellite channels?

A: We are still working out the details, I told you. But we may, I repeat we may, go in for some time restrictions for such ads on satellite channels as done in some countries in South East Asia.

Q: What will be the modality for price control of subscription fees for pay channels, especially sports channel?

A: The details are being worked out. We have received lot of complaints about how pay channels, specially some sports channels, hike their subscription fee on the eve of popular events putting both cable operators and viewers at a disadvantage. We'll, of course, discuss the modalities with the pay channels too.

Q: What about uplinking for foreign channels or those where resident Indian equity is less than 80 per cent as prescribed now?

A: That will form the third phase of uplinking when everybody would be allowed to uplink from India, foreign or Indian. Then we may also allow companies setting up earth stations for renting purpose to others.

Q: Why are you in a hurry to allow Ku-Band Dth which had been bannedby the united front government in 1997 in the absence of a legislative mechanism?

A: Lifting the ban on DTH is under consideration and for that a group of ministers has been formed. But I want to make it clear that DTH is not anti-national. It is just a delivery mode like C-band. As and when the government permits KU-band DTH services in the country, be assured that proper checks and balances would be in place. Moreover, KU-band DTH subscribers will be a miniscule percentage of the society as it would be expensive. But, I - and the government - am not in a hurry to push through with a decision on DTH.

Q: It is alleged you are in a hurry to push through Dth because of your proximity to STAR TV. What do you have to say about this allegation?

A: We don't want to be seen as stopping technology from coming into the country. Murdoch is already present in millions of Indian homes through C-band transmissions. All that the government is attempting to do is make business more expensive for Murdoch and, in the process, help the country earn some additional revenue. The allegations are baseless.

Q: What are the proposed safeguards you want to put in place of Dth?

A: We have a broad idea on how to go about it. Subject to group of minister's go-ahead, we'll propose, for example, that a prospective DTH player would not sell his decoder/IRD box to a subscriber, but rent it. That way subscribers would not be financially penalised if they want to subscribe to another DTH network.

Q: What about regulating Dth services?

A: Regulation in my dictionary is a negative term. Our mindset should not be negative. A person who wants to do business in India would only be a fool to break rules. Mandatory uplinking from India, I think, for DTH is technically not feasible. Then, every country can insist on such a clause. If the print medium is not regulated, why should the electronic medium be subject to such measures?

 

 
 

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