India Proposes Stricter Rules for TV Rating Agencies, Boosting Panel Size and Curbing Conflicts

The Ministry of Information & Broadcasting has put forward new draft guidelines for Television Rating Agencies, aiming to enhance the accuracy and fairness of TV viewership measurement. A major proposal is to significantly expand the panel size of household meters from the current 58,000 to 80,000 people metres within 18 months of registration, with further annual increases planned up to 120,000. Existing agencies must meet the 80,000 panel size within six months. This expansion is intended to capture a wider range of regional and demographic viewing patterns. Additionally, the guidelines propose that viewership from 'landing pages' will no longer be counted for rating purposes, restricting their use to marketing. The ministry has also strengthened provisions to prevent conflicts of interest. New rules state that applicants for registration as a TRP agency must not have any conflict of interest with broadcasters. Specifically, members of a television rating company's board of directors will be prohibited from being involved in the business of broadcasting. Cross-holding requirements, previously proposed for removal, have been reinstated. These now stipulate that no single company or entity can hold a substantial equity stake (20% or more) directly or indirectly in both rating agencies and broadcasters. This aims to prevent undue influence and ensure independence. These new provisions aim to foster fair competition, generate more representative data, and better reflect India's evolving media consumption habits. The ministry is now seeking feedback from stakeholders for 30 days.

Heading: Impact This news is expected to significantly impact how television viewership is measured and reported in India. For TV rating agencies, it means substantial investment in expanding their infrastructure and panels. Broadcasters may see changes in how their viewership is perceived and reported, potentially affecting advertising revenues. The stricter regulations could also lead to consolidation or new players entering the market. Overall, it aims to bring more transparency and accuracy to the industry. Impact rating: 7/10

Heading: Definitions People metres: Electronic devices used to measure television viewing habits of households, recording what is watched and when. Landing page viewership: Viewing of a specific page on a smart TV interface that appears when the TV is turned on or switched to a standby mode, often used for advertising or quick access to apps, and is now proposed to be excluded from official ratings. Conflict of interest: A situation where an individual or entity has competing professional or personal interests that could lead to biased judgment or unfair advantage. In this context, it refers to potential bias if rating agencies have ties to broadcasters. Cross-holding requirements: Regulations that limit the extent to which a single entity can own shares or have significant equity in multiple, potentially competing or influencing, companies within the same industry ecosystem, such as rating agencies and broadcasters.