cable tv digitization (india), phase iii

Cable TV Digitisation (Phase III)

AgendaOverview of the TV broadcast sectorDeficiencies of the Analog TV Switchover to the DigitalPhases of DAS implementationProvisions of the Cable TV actCase studies of impact of DAS in Phase-I

and IIDetails of Phase-III implementationRole of MSOsRole of the State Governments

TV channel distribution platforms

Overview of Broadcasting Sector India - one of the largest TV Broadcasting industries in the world:

Over 830 approved Satellite Television channels

Around 60,000 Local Cable Operators (LCOs) and 6,000 Multi System Operators (MSO)

7 Direct To Home, (DTH) operators 2 Head end In The Sky, (HITS) operators Internet Protocol TV, (IPTV) operators Doordarshan, Terrestrial transmission

Nature of delivery platform(Total 168 Million TV homes)

Source: FICCI- KPMG Report 2015

Cable99M

(59%)

DTH40M

(24%)

DD Free Dish

& IPTV10M(6%)

DD Terrestrial19M

(11%)

Deficiencies in analogue Cable TV distribution

Limited carrying capacity: 70 - 80 channels

Quality of picture & sound: Poor Transparency in subscription database:

Lacking Subscription revenue and taxes:

Under declaration/ concealment of revenue and database.

Challenges from other platforms: Intense competition from DTH and IPTV services providing high quality services

Digital Switchover – A Snap Shot

TRAI Report 5.8.2010 - Implementation of Digital Addressable Cable Systems (DAS)

Cabinet approval on digital transition - 13.10.2011

Cable Television Networks (Regulation) Act 1995 amended in 2011 - Provides enabling framework for the digital switch-over

Notification for phased implementation of DAS issued – 11.11.2011

Regulations on Reference Interconnect agreements, standards of quality of service and tariff order by TRAI issued – 30.04.2012

Rest of India

31st Dec 2016

Phase IV

All other urban areas

31st Dec 2015

Phase - III

Cities with a

population more than one million

31st Mar 2013

Phase IIFour Metros f

Delhi, Mumbai,Kol

kata & Chennai

31st Oct 2012

Phase I

Phases of DAS implementation

The Cable Television Networks (Regulation) Act, 1995

Major provisions

Cable television network not to be operated except after

registration Section 3

A person must get himself registered as cable operator for operating a cable television network

Transmission of programmes through digital addressable

systems (DAS)Section 4A

Central Government, by Gazette notification, may make obligatory for every cable operator to transmit or re-transmit programmes of any channel in an encrypted form through a DAS with effect from such date as may be specified in the notification

Programme CodeSection 5

No person shall transmit or re-transmit through a cable service any programme unless such programme is in conformity with prescribed programme code

Advertisement CodeSection 6

No person shall transmit or re-transmit through a cable service any advertisement unless such advertisement is in conformity with prescribed advertisement code

Compulsory transmission of certain TV channels

Section 8

Central Government may, by gazette notification, specify names of Doordarshan channels or channels operated by or on behalf of the Parliament, to be mandatorily carried by cable operators and the manner of reception and re-transmission of such channels

Compulsory transmission of channels – DAS areas

Notifications dated 6th Sept 2013 & 25th May 2015

SL Channels Genre SL Channels Genre

1 DD National

General Entertainment (Hindi)

7 DD Kashir General Entertainment (Regional)

2 DD News News & Current Affairs 8 DD Punjabi General Entertainment

(Regional)

3 DD Bharati Infotainment 9 DD Girnar General Entertainment (Regional)

4 DD Urdu Infotainment 10 DD Sahyadri General Entertainment (Regional)

5 DD Sports Sports 11 DD Saptagiri General Entertainment (Regional)

6 DD India Infotainment 12 DD Malayalam

General Entertainment (Regional)

Compulsory transmission of TV channels – DAS areas


SL Channels Genre SL Channels Genre

13 DD Podhigai


20 DD Madhya Pradesh


14 DD Chandana


21 DD OriyaGeneral Entertainment (Regional)

15 DD BanglaGeneral Entertainment (Regional)

22Gyan Darshan Channel

Infotainment

16 DD North East


23 Lok Sabha TV channel

News & Current Affairs

17 DD BiharGeneral Entertainment (Hindi)

24 Rajya Sabha TV channel

News & Current Affairs

18 DD Uttar Pradesh


25 DD Kisan Infotainment (Hindi)

19 DD Rajasthan


Compulsory transmission of TV channels – Analogue areas


SL Channels Placement SL Channels Placement

1 DD1 National channel

Prime band 6 DD Sports channel

Non prime band

2 DD (News channel) Prime band 7 Gyan Darshan Channel

Non prime band

3 One Regional channel of DD of the State

Prime band 8 DD Urdu channel Non prime band

4 Lok Sabha TV channel

Prime band 9 DD Bharati Non prime band

5 Rajya Sabha TV channel

Prime band 10 DD Kisan Prime band

Use of standard equipment in cable television network

Section 9

Every cable operator shall be under statutory obligation to use any equipment conforming to BIS

Inspection of cable TV network &

servicesSection 10A

(1) Central Government or its authorised officers shall have right to inspect cable network and services(2) No prior permission or intimation shall be required to carry out such inspection(3) Inspection shall ordinarily be carried out after giving reasonable notice except in circumstances where giving such notice shall defeat the purpose of the inspection

Inspection of cable TV network &

servicesSection 10A contd…

(4) On being so directed, cable operator shall provide necessary equipment, services and facilities at designated place(s) for lawful interception or continuous monitoring at its own cost by or under supervision of Central Govt or its officers

Authorised OfficerMeans, within local limits of jurisdiction:A District Magistrate, orA Sub-divisional Magistrate, orA Commissioner of Police

Power to seize equipment Section 11

Authorised officer has power to seize equipment being used by cable TV operator if following provisions are being contravened: Sec 3 (Registration) Sec 4A (DAS) Sec 5 (Program code) Sec 6 (Advertisement code) Sec 8 (compulsory channels) Sec 9 (standard of equipment) or Sec 10 (inspection)

ConfiscationSection 12

Equipment seized due to contravention of Sec 4 is liable for confiscation

Seizure or Confiscation not to interfere with other

punishmentSection 13

Seizure or confiscation shall not prevent infliction of any punishment

Punishment Section 16

Whoever contravenes any provisions of Cable TV Act is punishable:

1st offence – imprisonment, extendable to 2 years, or with fine up to Rs 1000 or both;

Subsequent offence – imprisonment, extendable to 5 years, and with fine up to Rs 5000

Contravention of sec 4A is cognizable offence

Right of way (RoW) for cable operator & permission by

public authoritySection 4B

Cable operator can lay & establish cables and erect posts under, over, along, across, in or upon any immovable property of a public authority

Public authority may permit:◦ To place & maintain underground cables or posts;

&◦ To enter property, from time-to-time, to place,

examine, repair, alter or remove such cables or posts

Right of way (RoW) for cable operator & permission by public

authoritySection 4B contd…

RoW is subject to obligation of reinstatement or restoration of property or payment of charges

Public authority can ask cable operator to remove or shift cables or posts

Public authority while giving permission may impose reasonable conditions as considers fit

28

Impact

Available data indicatesvery good positive impact

of digitisation for all the stakeholders

29

Customers

Wide choice • From just about 100 to over 300 channels• Pay for what you want to watch• Multi-lingual audio• 25 DD/Lok Sabha/Rajya Sabha & Gyan vani channel• HD channels• Regional channels

Quality • Clear and enhanced video & audio

Better Viewing • Sophisticated user interface (EPG)

Stage set for• Broadband services• Interactive gaming/ interactive content• Better Grievance Redressal Mechanism

30

Government

Tax Revenue • Much higher

Transparency

• Regulatory Framework• Tax collection• Billing• Services/channels being watched

Stage set for • Economic Growth• Employment Generation

31

Delhi - Entertainment Tax Collection

0

50

100

150

200

25055

.89

65.1

9

75.8

8

52.3

5

47.2

5

97.9

9

103.

60

215.

13

113.

90

96.8

9

83.0

0 103.

00

224.

24

Mon

thly

ET

colle

ctio

n in

Rs

lakh

s

Source:Data from Commissioner Excise, Entertain-ment & Luxury Tax

Post-DASPre-DAS

Apr/12

May/12

Jun/12

Jul/12

Aug/12

Sep/1

2Oct/

12Nov

/12Dec

/12Jan

/13Fe

b/13Mar/

13Apr/

13

May/13

Jun/13

Jul/13

Aug/13

Sep/1

3Oct/

13Nov

/13Dec

/13Jan

/14Fe

b/14

0

2,000,000

4,000,000

6,000,000

8,000,000

10,000,000

12,000,000

5,007,921

11,096,370

Kanpur – ET Collection (Rs)So

urce

: Em

ail d

t 20t

h Mar

ch

2014

from

ET

Dept

t

33

Maharashtra – Cable Connections

Mum

bai

Pune

&

Pim

pri C

hinc

hwad

Nasik

Aura

ngab

ad

Than

e

Kalya

n Do

mbi

vali

Navi

Mum

bai

Nagp

ur

Sola

pur0

123456789

6.47

1.80

0.56

0.47 1.

02

0.75

0.55 0.

89

0.43

8.02

2.36

1.78

1.00

1.02

0.76

0.56

4.35

0.91

Cable connections (in Lakh) Pre-DASCable connections (in Lakh) Post-DAS

Source:Data from Commissioner Excise

Pune – Cable ConnectionsSo

urce

: Em

ail d

t 13t

h Mar

ch

2014

from

ET

Dept

t

Aug/12

Sep/1

2Oct/

12Nov/

12Dec/

12Jan

/13Feb

/13Mar/

13Apr/

13May/

13Jun

/13 Jul/13

Aug/13

Sep/1

3Oct/

13Nov/

13Dec/

13Jan

/14Feb

/140

50,000

100,000

150,000

200,000

250,000

300,000

350,000

400,000

450,000

500,000

225,713

479,259

Ahmedabad – Cable Connections

Aug/1

2Oct/

12Dec/

12Fe

b/13

Apr/1

3Jun

/13Au

g/13

Oct/13

Dec/13

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

800,000

194,152 179,880

280,250

360,945369,295

737,790

Sour

ce:

Emai

l dt 2

9th M

arch

20

14 fr

om E

T De

ptt

Jul/12Aug

/12Se

p/12Oct/

12Nov/

12Dec/

12Jan

/13Feb

/13Mar/

13Apr/

13

May/13

Jun/13 Jul/

13Aug

/13Se

p/13Oct/

13Nov/

13Dec/

13Jan

/14Feb

/140

50,000

100,000

150,000

200,000

250,000

300,000

350,000

176500

251350

316849

Surat – Cable ConnectionsSo

urce

: Em

ail d

t 26t

h Mar

ch

2014

from

ET

Dept

t

What does it mean to be digital ready All television channels on cable networks will in digital encrypted form

Readiness at the end of MSOs/ LCOs1. Necessary infrastructure to be put in place2. Adequate number of STBs for supply to

consumers/viewers

Readiness at the end of Consumers 3. Interaction with LCOs for timely installation

of STBs4. No STBs will mean TV black-out

Thank You

cable tv digitization (india), phase iii

Technology