TRAI Tries To Revive The Still Born Radio Market But Ministry Of Information & Broadcasting Resists
By Sanjay Sharma, Section News
Posted on Sat Nov 20, 2004 at 04:55:08 AM EST
The Telecom Regulatory Authority of India indicated its resistance to the rejection of quite sensible policy proposals to revive the still-born and loss making Radio Market. TRAI only has to point to the fact that out of 108 frequencies put on bid, only 21 are today operational, and of those 2 have also given notice to close down."
- In addition only 100 crore has been realized based on the current licencing policy. All licensees have made a loss and their loss is more than the 100 crore that was realized by the Ministry.
TRAI has also proposed that the FM radio channels be allowed to broadcast news and current affairs channels. "Allowing news and current affairs will boost listenership and thus revenues," TRAI said in statement to the Ministry.
TRAI also said that there was a need to have a more rational licence fee structure which was not corelated to the entry price, but which allowed the licence fee to move along with the increase, decrease in business making a better business case for the industry.