Sunday 26 June 2022
- Advertisement -

TRAI recommends reserve prices for auction of new FM radio stations

The Telecom Regulatory Authority of India (TRAI) has today issued its recommendations on reserve prices for of radio channels in new cities.

The Ministry of Information and Broadcasting (MIB) had sent a reference on 16 December 2014 to TRAI, seeking recommendations of the authority on reserve prices for of radio channels in 264 new cities as per the Phase-III policy guidelines. In all 831 FM radio channels in these cities are proposed to be auctioned through an ascending e-auction process as provided in Phase III policy. The list of cities with corresponding category and the number of channels being put up for auction were provided by MIB.

Inside an FM radio office.
Inside an radio office.

Out of 264 new cities, 253 cities have a population more than 1 lakh as per census data 2011 and are classified as B, C, and D category cities. There are 798 radio channels in these 253 cities which are proposed to be put up for auction. The remaining 11 cities having a population less than 1 lakh are in the border areas of Jammu & Kashmir and the Northeast region. There are 33 FM Radio channels in these 11 cities which are proposed to be put up for auction.

issued a consultation paper on “Reserve price for of radio channels in new cities” on 6 February. Written comments were invited from stakeholders by 25 February. All the comments received were posted on the TRAI website. Subsequently, an Open House Discussion was conducted by TRAI with all the stakeholders on 9 March in New Delhi.

After considering all comments received from stakeholders during consultation process and further analysis of the issues, the Authority has finalised its recommendations. The salient features of the recommendations are given below:

  1. The valuation of radio channels in 253 new cities has been worked out as a simple mean of the three valuation approaches. The approaches are based on the following variables:
    1. Population of the city
    2. Per capita Gross State Domestic Product (GSDP)
    3. Listenership of FM Radio
    4. Per capita Gross Revenue earned by the existing FM Radio operators
  2. The reserve price for FM radio channels for each of the 253 new cities has been fixed at 80% of the valuation for each city.
  3. The recommended reserve prices for FM radio channels in 253 new cities are given in Annexure-I.
  4. For 11 cities of ‘Others’ category, having a population less than 1 lakh in the border areas of Jammu & Kashmir and the Northeast region, the reserve price is kept as Rs. 5 Lakh for each channel of each city, as approved by the Cabinet in the Phase-III policy.

The full text of recommendations is available here.

PIB

Contribute to our cause

Contribute to the nation's cause

Sirf News needs to recruit journalists in large numbers to increase the volume of its reports and articles to at least 100 a day, which will make us mainstream, which is necessary to challenge the anti-India discourse by established media houses. Besides there are monthly liabilities like the subscription fees of news agencies, the cost of a dedicated server, office maintenance, marketing expenses, etc. Donation is our only source of income. Please serve the cause of the nation by donating generously.

Join Sirf News on

and/or

Latest video

Share via

Similar Articles

Comments

Scan to donate

Swadharma QR Code
Advertisment
Sirf News Facebook Page QR Code
Facebook page of Sirf News: Scan to like and follow

Most Popular

[prisna-google-website-translator]
%d bloggers like this: