Now Reading: Centre removes 12-minute cap on TV ads
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Centre removes 12-minute cap on TV ads
The government has scrapped the 12-minute-per-hour advertisement cap for television channels. The Ministry of Information and Broadcasting notified the Cable Television Networks (Amendment) Rules, 2026 in the Gazette on August 21, removing…
The government has scrapped the 12-minute-per-hour advertisement cap for television channels. The Ministry of Information and Broadcasting notified the Cable Television Networks (Amendment) Rules, 2026 in the Gazette on August 21, removing sub-rule 11 of rule 7 in the 1994 rules.
The cap was introduced in 2006 when there were only 62 TV channels, compared to over 900 today. The ministry said the complete digitisation of cable TV and the rise of digital platforms, which face no such ad limit, had created adequate competition, making the cap unnecessary for fair competition and ease of doing business.
Analysts quoted by The Hindu Businessline called the move directionally positive, estimating a 1-3 per cent revenue benefit for broadcasters. However, they noted many news channels already air 16-18 minutes of ads per hour, and pay-TV households have been declining at nearly 4 per cent CAGR between FY20 and FY25, limiting the upside.
Indian Opinion Analysis
Both sources report the same facts neutrally, but their framing differs. The Economic Times leads with the government's rationale of market changes and fair competition, closely following the official release. The Hindu Businessline adds analyst commentary from Elara Capital, noting that most broadcasters already exceed the cap and that pay-TV viewership is declining. The measured takeaway is that the rule change removes a regulatory asymmetry with digital platforms, but its revenue impact may be modest given structural shifts in TV consumption. Watch for the actual advertising inventory increase in the coming quarter.
Coverage: 2 sources, 2 neutral
Sources (2): economictimes.indiatimes.com (neutral report), thehindubusinessline.com (neutral report)
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
