Network Capacity Fee For Second Or More TV Connections In A Household Is Not Mandatory, Clarifies TRAI

The Telecom Regulatory Authority of India (TRAI) has said the network capacity fee (NCF) is not compulsory for second or more television connections in a household, News 18 reports. Service providers can also provide uniform discounts in a specific location.

TRAI issued the clarification as various Direct-to-Home (DTH) and cable TV users had raised concerns of high expenditure due to multiple connections in the latest framework, which was active from 1 February.

"The regulation does not prohibit the service providers from offering a discount or lower network capacity fee for second or additional connections in the same location or home. However, it may be noted that such discounts shall be uniform in the target market area of respective TV channel distributor and duly declared by the DPO (Distribution Platform Operator) on their platform," TRAI said in a statement.

The statement also clarifies that the regime provides charging Rs 130 as NCF for 100 Standard Definition (SD) channels and Rs 20 for the next slab of 25 SD channels. "Pursuant to the same now, a few service providers have started offering the discount or complete waiver of network capacity fee on second or additional TV connection," the statement said.

The regulatory body also said that analysis of the preliminary data of a few DPOs reveals that subscribers in metros and non-metros save between 10 to 15 per cent and five to 10 per cent respectively.