CCK reviews digital broadcast signal distribution charges downwards

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The Communications Commission of Kenya (CCK) has reviewed downwards tariffs for digital signal distribution in a move to facilitate a smooth migration from analogue to digital television broadcasting in the country.

According to Determination No. 1 of 2013 on Cost-Based Terrestrial Digital Broadcast Signal Distribution Tariff, Digital Signal Distributors shall charge broadcasters (also known as Content Service Providers) at KES. 125,990 per Megabit for Nairobi and KES.93,202.75 per Megabit for other sites in Kenya.

The new tariffs took effect from yesterday.

Before the review, the Pan-Africa Network Group (PANG) had proposed to charge broadcasters a monthly signal distribution fee of KES 1,135,312.50 per channel in Nairobi. On the hand, SIGNET which is owned by Kenya Broadcasting Corporation (KBC)  had proposed to charge KES 248,141 per mega bit (Mbit) for signal distribution services within Nairobi.

For other sites in Kenya, SIGNET had proposed to charge a uniform signal distribution fee of KES248,141.45 per mega bit, while PANG had proposed to charge a flat monthly fee of KES.378,437.50 for signal distribution services in Mombasa, Kisumu, Nyeri, Eldoret, Kakamega, Kisii and Meru.  For Malindi, Webuye, Garissa, Narok, Kericho, Isiolo, Kitale, Bungoma, Embu, Voi and other regions. PANG had proposed to charge broadcasters a flat monthly fee of KES.126,145.83

In the determination, CCK further requires the two Digital Signal Distributors – PANG and SIGNET, to publish a Reference Offer three months from now to ensure access, transparency and non-discrimination on the terrestrial signal distribution platform.

According to the determination, digital signal distributors are also expected to prepare separate accounts for each commercial subsidiary including the appropriate allocation of central overheads within six months from now.

CCK consulted signal distributors before arriving at the afore-cited tariffs.