IBF concerned over 12-minute of ads TRAI regulation

Calls for withdrawal of the notification and re-initiation of a participatory dialogue to make self-regulation of advertising minuteage in line with global standards

 BestMediaInfo Bureau | Delhi | March 28, 2013

The Indian Broadcasting Foundation (IBF) in a press statement has expressed deep concern about the Telecom Regulatory Authority's (TRAI) notification which will force television broadcasters to a maximum of 12 minutes of advertising in every hour of broadcast.

Like several industries that continue to reel from the after-effects of the global economic recession, India's television broadcasting industry has been suffering too, the statement said. The industry is largely dependent on advertising revenues for its economic sustenance. IBF has been working with TRAI over the last several months to arrive at a way forward on the quantum of advertising duration. Its fundamental stance has always been to self-regulate, aligned with globally practiced standards.

The trickle-back effect from the first stage of digitisation is yet to begin. Carriage fees introduced in 2008 remain a burden, especially for the more than 500 smaller channel operators. Cable TV tariffs remain frozen at 2005 rates. HD TV and pay channel revenues are just about beginning to happen and will take time to start providing economic value. These factors need concomitant addressing. “Regulation on just advertising minuteage will have a severe impact on the survival of the broadcasting industry from amputation of a critical arm of the fourth estate,” the statement added.

IBF has called for withdrawal of the notification and re-initiation of a participatory dialogue that helps make self-regulation of advertising minuteage in line with global standards a reality. “None of the industry players are in disagreement with the overall objective of the notification. The staging of doing this has to be in line with economic sustenance of the broadcasting business and is best aligned to the full value of digitisation becoming a reality,” it said.

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