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Business News/ Politics / Policy/  Department of space fell short on transponders goal: CAG
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Department of space fell short on transponders goal: CAG

Government auditor finds DoS was able to achieve only 22% of target of making available 218 Ku band transponders, used mainly by satellite TV distributors

Department of space has the funds to launch satellites as well as acquire those already in orbit, but did not do so, forcing direct to home (DTH) providers to sign up with overseas satellite capacity providers. Photo: Indranil Bhoumik/MintPremium
Department of space has the funds to launch satellites as well as acquire those already in orbit, but did not do so, forcing direct to home (DTH) providers to sign up with overseas satellite capacity providers. Photo: Indranil Bhoumik/Mint

New Delhi: The Comptroller and Auditor General (CAG) of India has found the department of space (DoS) was able to achieve only 22% of its target of making available 218 Ku band transponders, used mainly by satellite TV distributors.

DoS was supposed to launch nine satellites for this purpose during the 11th Five-Year Plan that ended in 2012, but was only able to launch three, according to the government auditor’s report that was tabled in Parliament on Friday.

DoS has the funds to launch satellites as well as acquire those already in orbit, but did not do so, forcing direct to home (DTH) providers to sign up with overseas satellite capacity providers.

Even when DoS was able to make available the capacity on the GSAT-8, which was launched after a three-year delay, the capacity remained idle till it was used for other purposes, the report said. Later, the GSAT-10 satellite was launched to provide capacity for Tata Sky on Insat4A, but the company declined the offer. DoS did not allocate the available capacity to any other provider for fear of litigation.

Currently, 76 transponders are used by Indian DTH providers, but only 19 are local. Even Tata Sky migrated to a foreign provider after using 12 Indian transponders initially.

The delays by DoS has also led to a shortage of space above the country for satellites as the empty orbital space has been occupied by more efficient foreign satellite providers. Given the high cost of migrating from one satellite to another, it is unlikely DTH providers will move back to an India satellite, the CAG said in its report.

The CAG also said DoS gave undue advantage to Tata Sky. “Tata Sky was fifth in order of preference for allocation of satellite capacity. However, Tata Sky was granted precedence over Doordarshan and allocate capacity on Insat4A," the report said. “Transponder lease agreement entered with Tata Sky gave certain benefits which were not offered to any of the other DTH providers."

A DTH provider needs a minimum of five Ku band transponders. Indian DTH providers have the option of using transponders from Indian satellites as well as foreign providers, according to the government’s open sky policy. The policy says DoS has to acquire and provide necessary foreign transponder capacity for a short term till such time as domestic capacity becomes available.

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Published: 29 Nov 2014, 12:40 AM IST
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