The Center has approved amendments to certain provisions contained in the policy guidelines on expansion of FM radio broadcasting services through private agencies (Phase-3), called Private FM Phase-III Policy Guidelines. In this direction, the government has decided to do away with the three-year period for restructuring FM radio permissions within the same management group during the license period of 15 years.
The government has also accepted the long pending demand of the radio industry to remove the national cap of 15 per cent on channel holding. Further, with the simplification of financial eligibility criteria in the FM radio policy, an applicant company can now participate in bidding for ‘C’ and ‘D’ category cities whose net worth is only Rs.1.5 crore as against Rs.1.5 crore earlier. One crore is Rs.
The Decision Was Taken in the Cabinet Meeting Chaired by Prime Minister Narendra Modi Last Week
According to the Ministry of Information and Broadcasting, these three amendments together will help the private FM radio industry to fully leverage the economies of scale and pave the way for further expansion of FM radio and entertainment in Tier-3 cities of the country.
This will not only create new employment opportunities but will also ensure that music and entertainment on FTA (Free to Air) radio media is available to the common man in the remotest corners of the country.
In order to improve the Ease of Doing Business in the country, the emphasis of the Government has been on simplification and rationalization of existing rules, so as to make governance more efficient and effective and its benefits reach the common man.