Govt Removes 12-Minute TV Ad Cap, Allows Channels Greater Monetisation

The Indian government has lifted the 12-minute advertising cap imposed on television channels, granting broadcasters greater flexibility to monetize their content and compete with rival networks and digital media platforms. Introduced in 2006, the restriction has become obsolete due to substantial changes in the broadcasting industry.

In 2006, India had approximately 62 television channels, a number that has since surged to over 900. Meanwhile, digital media has experienced rapid expansion without facing a comparable advertising limit.

Under the prior framework, television channels were permitted to display up to 12 minutes of non-programming content per hour, consisting of 10 minutes of commercial advertising and two minutes for self-promotion. Despite the industry's reliance on advertising revenue, the ministry argued that the existing regulation had resulted in an uneven competitive landscape between traditional broadcasters and digital platforms.

With the removal of the cap, television broadcasters now have increased freedom to manage their advertising inventory as the sector competes for viewers and advertising revenue in a more fragmented market. The Ministry of Information and Broadcasting stated that the change comes as the market has evolved significantly since 2006, with heightened competition both within the television sector and between television and digital media.