In order to ensure that only serious and credible operators run TV channels in the country, the Union Cabinet on Friday gave its nod for amending the existing uplinking/downlinking policy guidelines for TV channels by toughening the entry norms.
Under the new norms, the net worth requirement for obtaining news and non-news TV channel licence has been revised from R3 crore to R20 crore per news channel and from R1.5 crore to R5 crore for a non-news channel. FE was first to report the move earlier this week.
Under the new norms, all media companies granted permission for a new TV channel licence will be required to operationalise their channels within 365 days from the date of permission, for which the non-news channels will have to sign a Performance Bank Guarantee (PBG) of R1 crore whereas news and current affairs channels will have to give a PBG for R 2 crore.
In the event of non-operationalisation of the permitted channel within a period of one year, the PBG will be forfeited and permission cancelled, it said.
The period of permission/registration for uplinking/downlinking of channels will be uniform at 10 years irrespective of the channel genre. Also, those occupying the top management positions (Chairperson/MD/CEO/COO/CFO) in the applicant company will need to have a minimum of three years of prior experience in a media company, for both news and non-news channels.
The proposals for merger, demerger and amalgamation among TV channels owned by companies will be allowed under the provisions of the Companies Act. However, prior permission from the I&B ministry will be required.