As per the revised norms, license for the (DTH) will be issued for a period of 20 years in place of present 10 years, (DTH) while it may be renewed further by 10 years at a time.


The Union Cabinet on Wednesday approved revision in guidelines for providing direct to home (DTH) services in the country, which includes issuance of licences for a period of 20 years instead of 10 years and reduction in licence fee. The amended DTH guidelines, with longer licence period and clarity on renewals, relaxed FDI limits, etc., will ensure fair degree of stability and new investments in the sector along with employment opportunities, the Cabinet note said(DTH) 

Briefing media after Cabinet meeting, union minister Prakash Javadekar said that the change in guidelines would also allow 100 per cent foreign direct investment (FDI) in the DTH sector. Till now, the FDI was limited to 49 per cent, he said.

While the Commerce Ministry had spoken of 100 per cent FDI in the DTH sector, the guidelines of the Information and Broadcasting Ministry needed to be changed, the minister added.

Earlier on December 7, the Telecom Regulatory Authority of India (TRAI) had issued a consultation paper seeking views and comments (DTH) on the recommended regulatory framework for DTH? services. While a written response was sought by December 14, feedbacks from stakeholders were expected by December 19.

As per the revised norms, DTH licences will be issued for a period of 20 years instead of present cap of 10 years, while it may be renewed further by 10 years at a time. Now the licence fee will be collected on quarterly basis in lieu of presently annual basis.

Besides, the government has also revised licence fee from 10 per cent of gross revenue (GR) to 8 per cent of adjusted gross revenue (AGR). The AGR will be calculated by deduction of GST from GR.  (dth)