Mumbai: Indian broadcasters have opposed the information and broadcasting (I&B) ministry’s proposal to remove crossholding restrictions for television rating agencies, warning that the move would undermine credibility and create conflicts of interest.
Indian Broadcasting and Digital Foundation ( IBDF) and News Broadcasters and Digital Association ( NBDA), while supporting reforms to strengthen the rating framework, want the ministry to establish clear conflict-of-interest protocols to safeguard objectivity and prevent manipulation, people familiar with the matter told ET.
Both industry bodies are preparing their final submissions to the ministry in response to its July 2 notice inviting stakeholder comments on changes to the Policy Guidelines for Television Rating Agencies, first issued in 2014.
They want clauses 1.5 and 1.7 of the existing guidelines retained, people cited above said.
These provisions bar members of the board of a rating agency from involvement in broadcasting, advertising, or ad agencies, and restrict overlapping ownership between broadcasters, advertisers, and rating firms.
Some broadcasters are believed to have suggested that the Competition Commission of India (CCI) be roped in to vet applicants, given its expertise in market dynamics. They argue that eligibility norms for rating bodies should include mandatory clearance from the CCI to ensure neutrality.
The ministry’s draft amendments propose deleting clauses 1.5 and 1.7, along with a related proviso.
Broadcasters, however, insist that any audience measurement service in India must be structured as an industry-led, not-for-profit entity.
BARC ( Broadcast Audience Research Council) India, for instance, is registered as a Section 8 company promoted by IBDF, the Indian Society of Advertisers (ISA), and the Advertising Agencies Association of India (AAAI) in a 60:20:20 shareholding structure.
In 2020, the Telecom Regulatory Authority of India (Trai) had recommended reforms to BARC’s governance, including at least 50% independent members on its board and equal representation and voting rights for all three promoter bodies.
BARC data underpins advertising transactions worth Rs 30,000–40,000 crore annually.
Broadcasters have also called for mandatory public disclosure of ownership structures, cross-holdings, and affiliations, as well as tighter technological and security safeguards. They want the existing audit requirements reinforced by mandating the publication of audit findings and remedial action plans. They have further proposed penalties for failing to meet sample size targets, including cancellation of registration.
The growing influence of distribution platform operators (DPOs), global technology firms, and ad-tech players has added to concerns about conflicts of interest, they noted.
In its July 29 submission, NBDA told the ministry that while the current framework does need modernisation to deliver accurate and unbiased data, using technology-driven methods, the proposed relaxation could widen regulatory gaps.
It cautioned that allowing interested parties to enter the ratings business without adequate checks would heighten the risk of conflicts of interest.
NBDA has urged the ministry to hold comprehensive consultations with all stakeholders before finalising changes, stressing the need for stronger checks and balances as well as industry participation in rating agencies.
Indian Broadcasting and Digital Foundation ( IBDF) and News Broadcasters and Digital Association ( NBDA), while supporting reforms to strengthen the rating framework, want the ministry to establish clear conflict-of-interest protocols to safeguard objectivity and prevent manipulation, people familiar with the matter told ET.
Both industry bodies are preparing their final submissions to the ministry in response to its July 2 notice inviting stakeholder comments on changes to the Policy Guidelines for Television Rating Agencies, first issued in 2014.
They want clauses 1.5 and 1.7 of the existing guidelines retained, people cited above said.
These provisions bar members of the board of a rating agency from involvement in broadcasting, advertising, or ad agencies, and restrict overlapping ownership between broadcasters, advertisers, and rating firms.
Some broadcasters are believed to have suggested that the Competition Commission of India (CCI) be roped in to vet applicants, given its expertise in market dynamics. They argue that eligibility norms for rating bodies should include mandatory clearance from the CCI to ensure neutrality.
The ministry’s draft amendments propose deleting clauses 1.5 and 1.7, along with a related proviso.
Broadcasters, however, insist that any audience measurement service in India must be structured as an industry-led, not-for-profit entity.
BARC ( Broadcast Audience Research Council) India, for instance, is registered as a Section 8 company promoted by IBDF, the Indian Society of Advertisers (ISA), and the Advertising Agencies Association of India (AAAI) in a 60:20:20 shareholding structure.
In 2020, the Telecom Regulatory Authority of India (Trai) had recommended reforms to BARC’s governance, including at least 50% independent members on its board and equal representation and voting rights for all three promoter bodies.
BARC data underpins advertising transactions worth Rs 30,000–40,000 crore annually.
Broadcasters have also called for mandatory public disclosure of ownership structures, cross-holdings, and affiliations, as well as tighter technological and security safeguards. They want the existing audit requirements reinforced by mandating the publication of audit findings and remedial action plans. They have further proposed penalties for failing to meet sample size targets, including cancellation of registration.
The growing influence of distribution platform operators (DPOs), global technology firms, and ad-tech players has added to concerns about conflicts of interest, they noted.
In its July 29 submission, NBDA told the ministry that while the current framework does need modernisation to deliver accurate and unbiased data, using technology-driven methods, the proposed relaxation could widen regulatory gaps.
It cautioned that allowing interested parties to enter the ratings business without adequate checks would heighten the risk of conflicts of interest.
NBDA has urged the ministry to hold comprehensive consultations with all stakeholders before finalising changes, stressing the need for stronger checks and balances as well as industry participation in rating agencies.
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