A week has passed since the introduction of the conditional access system in south Delhi, but cable network companies and broadcasters are yet to reach an agreement on the pricing of channels.
This issue has been a source of contention between the two stakeholders since July this year, the initial deadline for the implementation of CAS. In spite of the numerous rounds of negotiations, the matter is yet to be sorted out. Now, sources say, the government is likely to step in.
The recent move to implement CAS in south Delhi has sparked off a fresh round of quarrels. Broadcasters are now alleging that cable operators are transmitting channels under CAS despite the lack of any agreement between them on channel pricing. Cable operators, on their part, have asked broadcasters to lower channel rates to ensure a faster migration to CAS by consumers.
Cable operators are expected to set a deadline for broadcasters to announce fresh channel prices some time next week. If broadcasters do not announce new prices, operators are likely to stick to the prices announced in July.
According to sources, the agreement between broadcasters and cable operators needs to be updated in keeping with the requirements of the CAS regime. They said a fresh agreement specifying new commercial terms and distribution arrangement will have to be worked out as operations under CAS will involve the encryption and decryption of channels.
Meanwhile, the government team, which visited various cable network companies and cable operators appeared to be satisfied with their preparedness to implement CAS.
"The government team has visited various parts of south Delhi to gauge the preparedness to roll out CAS. The most immediate challenge for them will be to meet the consumer demand for set-top boxes," a government source said.
Cable network companies have seen a rush for set-top boxes, with the first five days itself seeing a demand for about 15,000 boxes.
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