Section 76 in Telecommunication (Broadcasting and Cable) Services (Eighth) (Addressable Systems) Tariff Order, 2017
76. The discount to distributors of television channels is to be given on the MRP of a channel declared by the broadcasters. Further, the Authority has prescribed a ceiling on discount that can be offered by broadcasters to distributors of television channels based on the verifiable and nondiscriminatory parameters. Therefore, it may not be viable for a distributor of television channels to offer a discount on a channel more than the discount that it will get from the broadcaster on the MRP of that channel. The intention of the Authority while prescribing the cap on the discount is to ensure level playing field for all the DPOs and encourage competition. It is expected that DPOs while exercising forbearance will price the channels reasonably and will not indulge in predatory pricing. The Authority will keep a watch and will intervene, in case such a need arises. Next issue relates to monetization of investment in distribution networks.
