PayTv Service providers have been operating in Uganda for many years whilst fully complying with all broadcasting laws and regulations. DSTV being the pioneer PayTV broadcaster joined hands with fellow providers to refute the Uganda Communications Commission’s (UCC) recent claim terming them as non-compliant and also its move to increase the licensing fee by 2400%. In a story we recently published, UCC issued a strong warning to the so-called non-compliant broadcasters promising to shut down their base of operations and prosecuting all violators.
According to a Joint press release by PayTv operators, UCC granted all PayTv providers with a fresh new licensing framework where the regulator was to swiftly increase annual license fees. The PayTv broadcasters protested this move and warned the regulator that they will have no choice but instead pass on the hiked fees to their subscribers.
What PayTv operators will base on to increase package fees
UCC’s changes to its licensing framework indicate a marginal increase in broadcasters license fees. Although the commission recently showed interest in Taxing online Tv live streaming services. PayTv operators were directed to pay an exorbitant 2400% from UGX 22,000,000 to $150,000 (UGX 550,000,000). In addition to 2% of the operator’s gross annual revenue, UCC’s license fees indirectly increase the rate at which providers will charge per viewing package.
The PayTv industry is an ever growing digital revolution which double checks as the most preferred digital TV solution alongside other free to air solutions. However, with the new UCC license fees, operators intend to pass on the increased fees to subscribers meaning a previous basic package of UGX 20,000 may soon land on a monthly fee of approximately UGX 55,000. PayTv package fees will drastically change if the regulatory annual license fees remain untouched.
Nevertheless, what do you think about the whole package fees dilemma?
