PEMRA to issue two DTH licences next week
ISLAMABAD, June 04 2006: Pakistan Electronic Media Regulatory Authority is all set to grant licences allowing two companies to operate Direct-to-Home (DTH) TV service in the country, The Nation learnt on May 03. Cross Current Company and ARY Communication will get DTH operating licence in the next week. Both the successful bidders have been asked to deposit a licence fee of Rs 250 million for each licence. As soon they deposit the fee, PEMRA will issue the licences to the companies, a PEMRA official told The Nation.
Through DTH, the service provider can offer up to 300 TV channels to the subscribers. With this service the subscribers will be provided with legitimate choice for TV channels at a reasonable price. The process to award DTH license started in October 2003 by the then Chairman PEMRA Mian Javed. Eleven companies declared pre-qualified fortliebid. Out of eleven two companies, Cross Current and ARY Communication were the highest bidders. Later, PEMRA conducted public hearing on award of DTH licences as required by the law and finally decided to award the licences to the highest bidders.
Meanwhile, Pakistan Television entered into the competiÂtion as it neither requires licence to run DTH nor ii has to pay licence fee. That interference deÂveloped interest of certain carÂtels who wanted to run DTH on PTV’s behalf. This led to delay in awarding the licences to successÂful bidders.
Pushes and pulls made the whole issue dormant because people fighting for business used all tactics to manipulate DTH licence. PTV’s financial crunch in 2004 diverted attention of Government to other issues and award of DTH licence was put on the back burner.
The issue saw the day- light after intervention at the highest level and PEMRA in its meeting held towards the fag end of 2005 decided to award licences to the parties who had offered the highÂest bid in 2003 competition. PEMRA has issued notices to both the parties, Cross Current and ARY Communication to deÂposit the licence fee so that procÂess should be completed.
Source: The Nation
Date:6/4/2006