In a significant move toward greater transparency and regulatory rigor, the Telecom Regulatory Authority of India (TRAI) has notified the Telecommunication (Broadcasting and Cable) Services Interconnection (Addressable Systems) (Seventh Amendment) Regulations, 2025. This amendment, set to take effect from 1st April 2026, introduces vital updates around audit compliance and infrastructure sharing in the addressable broadcasting ecosystem.
As India’s media landscape evolves rapidly with digitization, OTT growth, and increasing viewership, these amendments aim to plug critical gaps in the functioning of television distributors and broadcasters, ensuring fair reporting, data integrity, and a level playing field.
Why Was This Amendment Needed?
The 2017 Interconnection Regulation was a landmark in bringing structure to how television broadcasters and distributors work together. However, over time, several stakeholder concerns emerged, particularly around:
- Inconsistencies in audit compliance
- Inadequate verification of subscription reports
- Lack of standard procedures for infrastructure sharing (like SMS/CAS/DRM)
- Data integrity in shared systems
To address these, TRAI launched a public consultation in August 2024 and, after careful stakeholder input and internal review, finalized this Seventh Amendment.
Key Highlights of the Seventh Amendment Regulations, 2025
🧾 1. Annual Mandatory Audit
Every distributor must now conduct an annual audit of its addressable systems — including Subscriber Management System (SMS), Conditional Access System (CAS), and Digital Rights Management (DRM) — for the preceding financial year, not calendar year. The deadline to submit the audit report to broadcasters is 30th September each year.
✅ Exemption: Distributors with less than 30,000 subscribers can opt out of this mandatory audit.
👩💼 2. TRAI-Approved Auditors Only
Audits must be conducted by M/s Broadcast Engineering Consultants India Limited or other auditors empanelled by TRAI, ensuring neutrality and standardization.
- Distributors must inform broadcasters 30 days in advance of audit details.
- Broadcasters are allowed to nominate a representative to observe and provide inputs during the audit.
📉 3. Discrepancy Resolution Framework
If a broadcaster finds discrepancies in the audit report:
- They can raise objections within 30 days.
- The auditor must respond with an updated audit report within another 30 days.
- If unresolved, the broadcaster can approach TRAI, who may allow a special audit at the broadcaster’s expense.
🔗 4. Infrastructure Sharing Compliance
For distributors sharing systems like SMS, CAS, or DRM, TRAI now mandates:
- Separate instances for each distributor with data segregation
- Capability for entity-wise reconciliation
- Standard rules for watermarking and logo insertion
This ensures data confidentiality and independent accountability, even in shared environments.
⚖️ 5. Enforcement Through Financial Disincentives
Distributors failing to comply with audit requirements will face financial disincentives — ₹1,000 per day for up to 30 days, and ₹2,000 thereafter, capped at ₹2 lakh, unless valid reasons are provided.
Conclusion: Strengthening the Broadcast Ecosystem
With the Seventh Amendment to the 2017 Interconnection Regulations, TRAI is reinforcing a transparent, auditable, and fair broadcasting environment in India. This step not only protects the interests of broadcasters but also builds trust in viewership data, ensures compliance with agreements, and enables effective dispute resolution.
For consumers, these behind-the-scenes reforms ultimately translate into a healthier ecosystem — better service quality, fewer disputes, and stronger accountability from the TV distributors they rely on.
As the media and entertainment industry continues to digitize and diversify, this amendment marks a significant step in aligning regulatory frameworks with current and future needs.