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Today,
15 July, could have been the day when the CAS sun
shone in the four metros of India. But, as in many
parts of Delhi, Kolkata and Mumbai, it has turned
out to be a cloudy day.
Perhaps
symptomatic of things to come as well as what has
transpired till today, when addressability was originally
mandated by the government to have been rolled out.
CAS, aka conditional access system, has got many
an expanded form. Considering the various twists in
the tale --- a la hankie wetting serials in Hindi
that some of the satellite channels air --- the latest
is that it stands for Chaos and Stress.
It is not much off the mark as is evident from
the tussle that is still continuing. An example: two
press conferences being held today in Delhi, barely
a few kilometers from each other, by two sections
of the cable industry; one by those who support the
phased rollout and the price of the basic tier of
free to air channels at Rs 72 per month and the other
by those MSOs and cable ops who don’t support the
FTA price.
But if one goes back in the past, the genesis of
CAS owes itself to the continued tussle that the cable
industry had with the broadcasters, the frequency
of the face-offs increasing as more and more free
to air channels --- something that is unique to the
Indian market --- turned pay where the cable operator
had to pay the broadcasters a certain amount of money
for redistributing the channels to their subscriber
base.
Almost a year back, the idea of addressability
or CAS was mooted at Shastri Bhawan in Delhi that
houses India’s information and broadcasting ministry
and was being lorded over by a lady minister called
Sushma Swaraj whose penchant for mothering `new’ ideas
is legendary. (In her latest role as the country’s
health minister, she is reported to have preached
that abstinence from sex is a better way to avoid
risking AIDS rather than using condoms.)
Egged on by a section of the cable industry, which
thought CAS was a good stick to discipline the broadcasters
with, Swaraj last year steam-rolled through both Houses
of Parliament the amendments to the Cable TV (Network)
Regulation Act. This brought about the legislation
mandating CAS in the four metros of Delhi, Mumbai,
Kolkata and Chennai in the first phase to be followed
by other cities later.
This steam-rolling of the amendments in the relevant
Act was in the face of stiff opposition from the Opposition
parties, especially the Left-oriented ones who thought
a more thorough debate on addressability was needed
before such ideas are implemented in a country like
India where politics takes precedence over good governance
and good economics. But Swaraj would hear nothing
of such critics and in her own words, "CAS would revolutionize
Indian TV industry." A phrase that possibly cannot
be termed famous last words.
Having got the policy-makers' nod to go ahead with
CAS, all in the name of having a legislation to benefit
the consumers (read the vote bank), Swaraj also saw
to it that a notification was issued on 15 January
that stated that six months from the time of its issuance,
CAS would be rolled out in the four metros.
After having done that and set up a task force
on CAS to facilitate its implementation within six-month
timeline, Swaraj exited from the I&B ministry early
2003 amidst speculation that her removal from the
high-profile ministry was an indicator of her dipping
popularity within the Bharatiya Janata Party (BJP)
that leads the multi-party coalition federal government
in India.
Swaraj was replaced by Ravi Shankar Prasad, a junior
minister and a rising politician in the BJP whose
antecedents were perfect --- Prasad hailed from one
of the poorest states of India, Bihar, and is the
son of a man who is credited with having established
the BJP’s mother organisation in his home state.
But, contrary to expectations and aspirations,
Prasad found himself almost out of his depth from
the first day in the I&B ministry, considered the
graveyard for some of the best politicians of the
country, including former Prime Minister Indira Gandhi.
With the Indian economy opening up, various sectors
have been increasingly seeing invasion from foreign
business and media was no exception. Not only did
Prasad have to, and still does, contend with businessmen
like Rupert Murdoch, dubbed a corporate marauder globally,
but also his Indian bete noire, the wily home-grown
Subhash Chandra. While foreign broadcasters, led by
Murdoch’s Star, were not in favour of CAS, Chandra
with his then floundering-now-in-consolidation-mode
Zee Telefilms came out all in support of addressability
as he saw an opportunity in increased subscription
revenue over a period of time. Especially when Zee’s
cable arm, Sitcable Networks, is the largest multi-system
operator (MSO) in the country.
In between the desi and videshi sandwich was the
cable fraternity and independent cable operators who
added spice to the CAS dish.
Caught between the so-called stakeholders of the
industry and their divergent interests, the government
(read the CAS force) blundered along, lurching from
one meeting to another, from February to April when
things started sizzling with the pay broadcasters
realising the government was serious on CAS and that
it may become an inevitability.
It’s around this time that lobbying for and against
CAS started with the players deciding to come out
from under their varied camouflages. The split among
the ranks was highlighted at a presentation made by
the Indian Broadcasting Foundation, the apex body
of broadcasters operating in India, to a parliamentary
committee. The president of the body (Prasar Bharati’s
CEO KS Sarma) differed with the pay broadcaster lobby
on a one-city rollout of CAS in Chennai, the metro
that contributes the least to the advertising kitty.
With the game of tennis being played as the cable
and the broadcasting fraternity kept bouncing the
CAS ball back and forth, the umpire, the government,
suddenly found itself at sea because politicians of
various hues, cutting across party lines, had jumped
onto the CAS bandwagon.
Starting mid-May, CAS had become a political tool
and by mid-June everybody who was somebody was on
board --- from Shiv Sena’s Bal Thackeray to Delhi
chief minister Sheila Dixit to former Delhi CM Madan
Lal Khurana to the West Bengal chief secretary, down
the line even to some little known consumer groups
--- all dishing out half-baked truths about CAS. Again
all in the name of consumer.
The shrill reached such a pitch that from end-June
the Prime Minister’s Office had to step in with an
effort to bring some semblance of order in the chaotic
scenario. That the consumer groups who had threatened
to move court against CAS rollout have not done so
yet, that the broadcasters are yet to announce their
a la carte consumer-friendly prices, that the government
has no inkling of the set-top boxes presently in the
country and that Prasad is still harping on a smooth
rollout of CAS are all indicators to the fact that
in the last six months, not much headway had been
made with everybody thinking a magic wand would be
waved and things would fall in place.
Issuance of various notifications notwithstanding
--- the compromise formula being hammered out entails
area-wise rollout in the metros from 1 September with
riders from the broadcasters being promptly rejected
by cable ops --- it is clear that the government has
made a hash of CAS.
Consider the fact that there are precedents in
other countries where addressability was brought about
naturally by market forces with least government interference.
The question that could be asked is was all this sound
and fury that has yielded so little by way of ground
developments necessary at all?
But if the Indian government and the bureaucracy
followed the example of other countries (India is
still waiting for set-top boxes priced at Rs 1,500
made in Chandni Chowk in Delhi), it would not have
been India. Because we Indians love to do things differently.
That a by-product of this may be complete confusion
is another matter altogether.
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