MCOF challenges TRAI’s decision to cap NCF at Rs 160 in Bombay HC

Maharashtra Cable Operators Foundation (MCOF) and Digital Cable Operators Association of Mumbai (DCOAM) have moved Bombay High Court challenging the Telecom Regulatory Authority of India’s (TRAI) decision to revise the network capacity fee (NCF) in the new tariff order (NTO) 2.0.

The MCOF has prayed for setting aside the NCF cap of Rs 160 per month and the capping of discount for second and additional TV connections contending that both these decisions are arbitrary.

The bench of Justice AA Syed and Justice Anuja Prabhudessai have posted the matter for hearing on 26th February.

MCOF’s move means that all key stakeholders have challenged NTO 2.0 in different courts. The Indian Broadcasting Foundation (IBF) and its members have challenged the NTO 2.0 in Bombay High Court. Sun TV Network has moved Madras High Court against the amendments.

The All India Digital Cable Federation (AIDCF) has moved Kerala High Court against certain provisions of NTO 2.0 and secured interim relief. Certain individuals have also challenged the TRAI’s regulations in the Gujarat High Court.

As per the amended the regulatory framework notified on 1st January, the TRAI has mandated provision of 200 channels in maximum NCF of Rs. 160 excluding taxes per month. The distribution platform operators (DPOs) have also been mandated that they will not charge more than Rs. 160 per month for giving all channels available on their platform.

Earlier, DPOs had to provide 100 SD channels for an NCF of Rs 130 with the option of taking additional channels in each slab of 25 channels at a maximum price of Rs 20 per slab.

In addition, the TRAI had decided that channels declared mandatory by the Ministry of Information and Broadcasting (MIB) will not be counted in the number of channels in the NCF.

On the issue of huge charges taken by DPOs in the form of NCF for a multi-TV home, the TRAI had decided that in case of multi-TV home where more than one TV connection is working in a home in the name of one person, will charge maximum 40% of declared NCF for second and additional TV connections.

The authority has also permitted DPOs to offer discounts on long term subscriptions which is for six months or more.