The Hindu : Tamil Nadu / Chennai News : Government’s cable operations will not deter entrepreneurs: Karunanidhi

Online edition of India's National Newspaper
Monday, Aug 27, 2007
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Tamil Nadu

Tamil Nadu - Chennai

Government’s cable operations will not deter entrepreneurs: Karunanidhi

Special Correspondent

Cable operators will not be allowed to collect differential subscriptions
Government decision aimed at ensuring uniformity and quality in cable television delivery

CHENNAI: The State Government’s decision to start its own cable television operations, in association with cable operators, will not deter entrepreneurs from joining the field, Chief Minister M. Karunanidhi clarified on Saturday.

Responding to Pattali Makkal Katchi leader S. Ramadoss’ observation that the government should refrain from associating itself with cable operators as it would appear that they were under government protection, Mr. Karunanidhi said accepting the PMK’s suggestion would mean causing hardship to the families of nearly two lakh cable operators. He was responding to a series of questions on the issue.

The PMK leader had expressed reservations over the government functioning as only a multi-system operator and relying on the existing network of cable operators to connect households. As cable operators seldom declared the exact number of connections, the government would incur loss in tax collection and subscriptions. There would be no uniform subscription rate. Educated youth and entrepreneurs would be hesitant to competitively enter cable operation. To avoid this, he had said, the government should refrain from any direct association with operators.

The Chief Minister said this would lead to a situation in which the interests of the existing cable operators would be compromised; those who had invested in the operations would lose their money. They would also feel compelled to protest against the government operations.

The cable operators would not be allowed to collect differential subscriptions, as the government would announce the rates much earlier. The government finalised plans only after holding extensive discussions. It would also consider the various suggestions made by the PMK. The government’s decision was not only revenue-oriented but was also meant to ensure uniformity and quality in cable television delivery, Mr. Karunanidhi said. As it would require the Union Government’s permission to take over the cable operations and there was no provision for this in the State laws, the government decided to start its own operation, he said.

Condolence message

The Chief Minister conveyed his grief to the families of the victims of the Hyderabad twin blasts. “I join Andhra Pradesh Chief Minister Rajaseakar Reddy and others in their hour of grief.”

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