New Delhi, Nov 19: Even as the Conditional Access System (CAS) for pay TV channels was to be introduced without going to Parliament, the government seems to have changed its mind now. The information and broadcasting (I&B) minister Sushma Swaraj told The Financial Express here on Sunday that the conditional access proposal would be taken up in the Parliament session beginning Monday, thereby suggesting that an amendment to the Cable Act is necessary to introduce the CAS.Ms Swaraj said this after placing the proposal before the members of the Parliamentary Consultative Committee (PCC) attached to the I&B ministry.
Although no decision has been taken on introducing the CAS yet, the committee members have reacted positively to the proposal, according to Ms Swaraj. Around 50 members attended the meet.
After the meeting, which lasted for over three hours, Ms Swaraj said that the issue of the CAS would now be taken up at the Parliament session. It may be recalled that earlier the government had assured cable operators that no separate legislation was required to introduce the CAS. Ms Swaraj said that the new norm would be implemented through clause 22EA of the Cable Act, without going through a Parliamentary procedure.
Prasar Bharati chief executive officer (CEO) RR Shah, who was also present at an earlier meeting with cable operators, had said that no separate legislation or amendment was needed to enforce the CAS. The purpose behind not going through a Parliamentary procedure was to save time in implementing the CAS.
Now with the government deciding to table the CAS proposal in Parliament, cable operators are getting a bit restive. United Front of Cable Operators member, Fuzail Waris said: "The Parliament procedure takes time and our fear is that by the time CAS is introduced, the technology may get outdated." Its possible that the CAS proposal will now be presented in Parliament along with the Convergence Bill, according to the cable industry. And as Ms Swaraj has herself said, the Convergence Bill would be presented only towards the last leg of the session, if at all it is placed during the winter session.
Which again means that the CAS may get pushed to the budget session for approval.
But, said Mr Waris: "We will try to persuade the minister again to make the CAS happen faster."
Once the system is in place, a subscriber will be able to choose the pay channel that he wants to watch and pay for only that, just like it works in the US and the UK. With the help of a set-top box, the subscriber will be able to access and pay for the channels that he wants to watch.
The set-top box is likely to cost the subscriber around Rs 12,000 initially, which is expected to be scaled down to the range of Rs 2,000 subsequently.
But, the cost may not be a hindrance for the CAS subscriber because cable operators are open to the idea of offering set-top boxes on loan. Cable operators, themselves, will have to spend a substantial amount to upgrade to the technology required for the CAS.
According to Mr Waris, a cable operator showing up to 70 channels will need to spend in the region of Rs 4 lakh. And in the case of a cable operator wanting a much powerful amplifier which can show up to 1,000 channels, the cost will go up to Rs 15 lakh to Rs 20 lakh.
However, both cable operators and subscribers are going to be benefited by the CAS, it is felt.
Some broadcasters are bound to feel threatened though, if CAS is introduced as it may restrict their monopolistic position. And because of that, cable operators have apprehensions about broadcasters' lobbies putting pressure on the government to stall the move on the CAS.
Under conditional access, broadcasters will have to give an maximum retail price (MRP) for a pay channel. The subscriber, in turn, will make the payment to the cable operator on the basis of the MRP. The cable operator will keep a percentage cut, and give the rest to the broadcaster, thereby bringing market forces into operation.
Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.