The Telecom Regulatory Authority of India (Trai) has instructed television broadcasters to strictly adhere to the long-standing 12-minute-per-hour cap on advertisements, even as the regulation's validity is under judicial scrutiny. The regulator's firm stance was communicated during a recent meeting with broadcasting companies, following the issuance of show-cause notices for alleged violations on November 18.
Regulator's Stance: Rule Remains in Force
Trai officials clarified that the absence of a final judicial verdict does not suspend the regulation's applicability. "As things stand, the ad cap regulation continues to operate and broadcasters are required to comply," a Trai official stated. While the Delhi High Court has restrained the regulator from taking coercive action, there is no explicit stay on the rule itself. Trai is currently evaluating the responses received from broadcasters to the notices and has not yet decided on its next enforcement steps.
What is the 12-Minute Advertising Cap?
The contentious limit originates from Trai's Quality of Service regulations notified in 2013, read with the 2012 Ad Cap Regulations. These rules explicitly state that "no broadcaster shall, in its broadcast of a programme, carry advertisements exceeding twelve minutes in a clock hour." Trai also references the older Cable Television Networks Rules of 1994, which allow a maximum of 12 minutes of ads per hour. This includes up to 10 minutes of commercial advertising and two minutes for channel self-promotion.
Broadcasters' Financial Strain and Concerns
The renewed enforcement push has heightened anxiety within the broadcasting sector, which is already grappling with significant financial headwinds. Industry executives argue that rising operational costs and pressure on both subscription and advertising revenues make it difficult to absorb such regulatory constraints. "Costs are rising while revenues are under pressure from both subscription and advertising," a senior broadcasting executive highlighted.
Broadcasters have long maintained that the decade-old rule is outdated, failing to account for current market realities like declining monetisation and intense competition from digital platforms. Data underscores the stress: in the first nine months of this year, television advertising volumes fell by 10% year-on-year, according to TAM AdEx.
Major networks, including JioStar, Zee Entertainment, Culver Max Entertainment, Sun TV Network, TV Today, Network18, and Zee Media, were among those who received the show-cause notices and have likely submitted their replies within the stipulated 15-day period.
A Long-Running Legal Battle
The dispute over the advertising cap has been in the courts for over ten years. Back in 2013, the Delhi High Court granted interim relief to broadcasters even as Trai initiated action against several networks for alleged violations. The regulator has since sought the vacation of this interim relief. The next hearing in this protracted legal case is scheduled for January 27, 2026.
Trai's latest move places broadcasters in a challenging position, caught between regulatory compliance and the pressing need for revenue flexibility in a tough economic climate for traditional television.