12-min ad cap: IBDF urges TRAI to defer action till court ruling

The Indian Broadcasting & Digital Foundation (IBDF), the unified representative body for broadcasters in India, has urged the Telecom Regulatory Authority of India (TRAI) to defer any action on the 12-minute-per-hour television advertising cap, arguing that the matter is sub judice, sources said, even as the regulator has reiterated that broadcasters must continue to comply with the rule until a court order otherwise.

The final arguments on the issue are scheduled for hearing before the Supreme Court on January 27. News broadcasters, sources added, have echoed IBDF’s position in their individual responses to the regulator.

TRAI restated its view during a recent meeting with broadcasting companies, held after show-cause notices were issued in November for alleged breaches of the advertising duration norms. The regulator maintained that the lack of a final judicial outcome does not dilute the applicability of the regulation.

According to sources, TRAI said it is currently reviewing responses from broadcasters and has not yet decided on the next course of action.

Also read: 250 show-cause notices rekindle TV ad cap battle

Ad-cap battle heats up: TV broadcasters weigh legal challenge to TRAI show-cause notices

A long-dormant regulation returned to haunt India’s television industry with TRAI issuing over 250 show-cause notices seeking implementation of the 12-minute advertising cap, frozen for more than a decade.

If enforced, the cap would strike at the heart of linear TV economics at a moment when broadcasters are battling falling ad revenues, volatile demand, rising content costs and an unprecedented shift of audiences to digital and free-to-air platforms.

Senior industry leaders earlier told exchange4media that implementation now would be destabilising for a business already running on thin margins.

Broadcasters had argued that the data being interpreted as a uniform violation of the 10+2 advertising cap is misleading. Their point is that a dip in overall advertising demand has made them sell commercial time wherever inventory is available, which means some hours carry more ads while others carry significantly less. In other words, exceeding the 12-minute cap does not automatically mean every hour or every programme is overloaded with advertising.