Prasar Bharati could be Split into two entities
Televisionpoint.com Correspondent
Public sector broadcaster Prasar Bharati could be split into two entities - an Asset Corporation (AC), to hold all the assets and a Programming and Broadcasting Corporation (PBC), to oversee programming and other operations.
The proposal is currently being examined by the Group of Ministers (GoM), which was set up to examine various issues pertaining to Prasar Bharati. The restructuring proposal would help revive the PSU, and also make it competitive with regard to private broadcasters.
According to the plan, the AC will maintain all assets, upgrade them and lease them out to any player including private broadcasters, while the PBC will run on a commercial basis. The PBC will also perform the role of a public broadcaster, where the government will continue to fund the production of content. The PBC will also be compensated by the government for airing public service broadcasts in the form of a broadcasting service fee.
Listing the advantages of adopting this model, the Information and Broadcasting ministry has said AC will act as the guardian of all assets of both AIR and DD and also put safeguards in place for protecting them. This assumes importance since of the 1,371 properties held by DD and AIR across the country, no land records or details are available for 567 places.
Additionally, many properties which have land records are not registered and also do not possess title deeds. Besides, capital funding and maintenance would be the exclusive job of the AC, which would enable the PBC to focus on programming content and bring about a competitive spirit in its operations, the I&B ministry's note to the GoM added.
The I&B ministry has also said this would enable both corporations to work towards maximum revenue generation as their operations and income streams are different. Besides, the idle assets of different studios and Kendras can also be put to full use, the ministry added.
At the same time, the I&B ministry has also pointed out that several complicated issues would have to be addressed before Prasar Bharati can be split up into two corporations. The option may require amendment to the Prasar Bharati Act, which may be difficult and may take substantial time and this may also lead to several HR issues and litigation.
Prasar Bharati has accumulated losses of about Rs 4,000 crore over the last five years.
Public sector broadcaster Prasar Bharati could be split into two entities - an Asset Corporation (AC), to hold all the assets and a Programming and Broadcasting Corporation (PBC), to oversee programming and other operations.
The proposal is currently being examined by the Group of Ministers (GoM), which was set up to examine various issues pertaining to Prasar Bharati. The restructuring proposal would help revive the PSU, and also make it competitive with regard to private broadcasters.
According to the plan, the AC will maintain all assets, upgrade them and lease them out to any player including private broadcasters, while the PBC will run on a commercial basis. The PBC will also perform the role of a public broadcaster, where the government will continue to fund the production of content. The PBC will also be compensated by the government for airing public service broadcasts in the form of a broadcasting service fee.
Listing the advantages of adopting this model, the Information and Broadcasting ministry has said AC will act as the guardian of all assets of both AIR and DD and also put safeguards in place for protecting them. This assumes importance since of the 1,371 properties held by DD and AIR across the country, no land records or details are available for 567 places.
Additionally, many properties which have land records are not registered and also do not possess title deeds. Besides, capital funding and maintenance would be the exclusive job of the AC, which would enable the PBC to focus on programming content and bring about a competitive spirit in its operations, the I&B ministry's note to the GoM added.
The I&B ministry has also said this would enable both corporations to work towards maximum revenue generation as their operations and income streams are different. Besides, the idle assets of different studios and Kendras can also be put to full use, the ministry added.
At the same time, the I&B ministry has also pointed out that several complicated issues would have to be addressed before Prasar Bharati can be split up into two corporations. The option may require amendment to the Prasar Bharati Act, which may be difficult and may take substantial time and this may also lead to several HR issues and litigation.
Prasar Bharati has accumulated losses of about Rs 4,000 crore over the last five years.
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