TDSAT sets aside TRAI regulation for hotel cable signals

NEW DELHI: Broadcast tribunal TDSAT has set aside a regulation by the Telecom Regulatory Authority of India (TRAI), which fixed the rate of cable signals for hotels and restaurants at amounts that are three to five times higher than normal.

A bench, headed by Justice S B Sinha, quashed the regulator's order on a petition from hotel and restaurant associations challenging the decision on the grounds that they cannot be charged exorbitant rates for cable signals.

Accepting the plea of the associations, the tribunal quashed TRAI's order and directed it to reconsider its policy on tariff charges payable to service operators by hotels and restaurants.

"We have noticed that the parties had negotiated for arriving at a rate which is ordinarily three to five times higher than the normal market rates offered by domestic consumers," the tribunal said, adding, "We are of the opinion that it is a fit case where the impugned orders are required to be set aside."

The petitioners -- Hotel Association of India and Federation of Hotel and Restaurant Associations of India -- had contended that they are being discriminated against, as other commercial establishments, such as five-star nursing homes, executive-class airport lounges, shopping malls and large corporate offices, had been left out of the purview of the regulations.

The telecom regulator had said that hotels and restaurants cannot avail of normal tariff charges as they are neither consumers nor subscribers.

"The interest of one of the players in the field would not be taken into consideration, throwing the interest of others to the wind," the tribunal said.