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Trai raises cable television rates by 7%

But the broadcast regulator decreased the security deposits and rentals of set-top boxes, observing a fall in their price in the past two years.

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NEW DELHI: The Telecom Regulatory Authority of India (Trai), the telecom and broadcast regulator, today announced an increase of about 7% in cable television rates in both CAS-notified and non-CAS (conditional access system) areas in the country.

The increased tariffs will be applicable from January 1, 2009, Trai said in a statement.

After the increase, a viewer will have to pay Rs5.37 per channel in the CAS-notified
areas of Delhi, Mumbai, Kolkata, and Chennai. Earlier, the rate was Rs5 per channel.

Viewers will also have to spend Rs5 more for watching free-to-air channels. Trai has increased the tariff on the basic tier services to Rs82 from Rs77, in which a viewer gets 30 free-to-air channels.

The regulator increased cable rates for the non-CAS areas also by 7%. "It was felt necessary to provide for inflation-linked increase on the ceiling for different players of the delivery chains of cable TV services and accordingly 7% increase has been provided based on the wholesale price index in non-CAS areas," Trai said in a statement.

But Trai decreased the security deposits and rentals of set-top boxes, observing a fall in their price in the past two years. As per the Telecommunication (Broadcasting and Cable) Amendment Order, 2008, now cable operators will take a security deposit of Rs200 and Rs750 and charge a monthly rental of Rs34 and Rs22 in CAS and non-CAS areas, respectively. Earlier, the deposits were Rs250 and Rs999 and the monthly rental was Rs45 and Rs30.

"This would also help in popularising digital delivery of TV signals over cable networks," Trai said.

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