ISLAMABAD – Supreme Court has rejected Lahore High Court’s (LHC) decisionagainst the Pakistan Electronic Media Regulatory Authority (PEMRA) on DTHauction.
Back in 2016, LHC issued a verdict stating that PEMRA violated severalrules when it auctioned Direct-to-Home (DTH).
A DTH box allows customers to view channels aired within the countrywithout any cable connection.
PEMRA held the auction for DTH services in 2016 after getting the clearancefrom the apex court. The court gave the clearance on the condition that theDTH contract would be offered after the case concluded in LHC. The HighCourt in its verdict in December 2016 mentioned that PEMRA broke its ownordinance while holding the DTH bids.——————————
Several companies and PEMRA challenged high court’s decision in thecountry’s highest court. The Supreme Court has now ruled in favor of PEMRAby annulling LHC’s decision and restoring the PEMRA rules under which theauction was held.
PEMRA auctioned three DTH licenses for Rs 14.69 billion on 24th November2018. The auction was held to control the airing of illegal Indian contentand loss of money because of it.
However, the auction was done on the condition that no broadcaster would beallowed to enter the DTH market without prior approval. PEMRA said thatthis clause was reasonable as the cost of DTH would run into billions andonly biggest broadcasters would be able to afford it, giving themsignificant control over the DTH market.
This condition was challenged in the high court which ruled against PEMRA.LHC, at the time, ordered PEMRA to hold auction from scratch.