The Government has approved amendments to certain provisions contained in the Policy for Extension of FM Broadcasting Services through Private Agencies (Phase III) referred to as the Policy for Private FM Phase III. The decision was taken in the last Cabinet meeting chaired by Prime Minister Shri Narendra Modi.
In this direction, the government has decided to remove the 3-year period for restructuring FM radio licenses within the same management group during the 15-year license period. The government also accepted the radio industry’s long-pending demand to remove the 15% national cap on channel holdings. Besides, with the simplification of financial eligibility norms in the FM radio policy, an applicant company can now apply for ‘C’ and ‘D’ category cities with a net worth of only Rs 1 crore instead of the earlier Rs 1.5 crore.
Together, these three changes will help the private FM radio industry take full advantage of economies of scale and pave the way for further expansion of FM radio and entertainment into Tier III cities in the country. This will not only create new employment opportunities but also ensure that music and entertainment through FTA (Free to Air) radio media is available to the common man in the remotest corners of the country. To facilitate the ease of doing business in the country, the government has emphasized on simplifying and rationalizing the existing rules to make governance more efficient and effective so that its benefits reach the common man.
