TRAI’s audit debate unveils industry turmoil

TRAI’s audit debate unveils industry turmoil

Stakeholders voice apprehensions about the audit’s efficacy, citing lack of enforcement.

TRAI

MUMBAI: What happens when expectations collide with cold, hard realities? The Telecom Regulatory Authority of India’s (TRAI) latest open house discussion (OHD) on the audit clauses of the Interconnection Regulations, 2017, pulled back the curtain on a brewing storm. A room teeming with stakeholders—digital platform operators, broadcasters, and industry leaders—revealed not just simmering discontent but also deep cracks in the system. Amid heated debates, calls for stricter penalties for defaulters clashed with the ongoing struggle to implement regulations effectively, leaving behind a mixed trail of frustration, hope, and hard questions.

The discussion, which saw limited participation from broadcasters, revealed persistent gaps in compliance. All India Digital Cable Federation (AIDCF) secretary general, Manoj Chhangani called for stringent action against non-compliant multi-system operators (MSOs). “Broadcasters should be strictly prohibited from providing TV signals to MSOs who fail to conduct audits,” he asserted, suggesting public disclosure of defaulters on broadcasters’ websites.

Siti Networks head of legal and regulatory department, Girish Bhuttan echoed Chhangani’s sentiment, advocating financial penalties and potential license cancellation for repeat offenders. However, Bhuttan expressed scepticism about the lack of enforcement, stating, “We have not seen any action against those not implementing these provisions. If not enforced, these rules lose their significance.”

On the other hand, Consumer Care Society secretary, Gopal Ratnam cautioned against moves that might affect consumers, terming them “anti-consumer”. Ratnam predicted legal challenges if broadcasters disconnected signals for non-compliance.

Broadcasters criticised the lack of transparency and enforcement, citing a history of excuses from DPOs, ranging from software issues to falsified audit reports. An industry veteran noted that 90 per cent of audits were either incomplete or improperly conducted in the past five years. “Denying or delaying audits is akin to saying, ‘Take the product and forget about it’”, the veteran said.

Broadcasters also raised concerns over the quality of audit personnel, with many reports prepared by inexperienced trainees. To address this, the Indian Broadcasting & Digital Foundation (IBDF) proposed giving broadcasters primary rights to conduct DPO audits. “This would reduce the burden on smaller DPOs and ensure greater transparency,” said IBDF secretary, Radhakrishnan Nair.

Industry participants emphasised the need for a structured approach to audits, better training for auditors, and stricter penalties for non-compliance. While some suggested collaboration with TRAI to refine the framework, others expressed doubts about the efficacy of current recommendations.

As the discussion concluded, broadcasters reiterated the necessity of reforms to safeguard their revenues and maintain system integrity. With TRAI planning an open house discussion to finalise recommendations, the industry remains divided on how to balance enforcement with consumer interests.