Small cities to be covered under FM radio

New Delhi, Feb 21 (PTI) President Pratibha Patil todaysaid that the government proposes to extend the coverage ofprivate FM radio services to small cities with a population ofat least one lakh.

In her address to both Houses of the Parliament, Patilsaid, a total of 806 new FM radio channels in 283 cities areproposed to be set up.

"My government proposes to extend the coverage ofprivate FM radio services to all cities with a population ofone lakh and above," she said.

The President also said that the government proposesto give incentives to future FM radio operations in Jammu andKashmir, the North Eastern States and island territories.

The extension of radio services would be done throughthe phase III expansion and a Group of Ministers has finalisedan e-auction model for its roll out.

The GoM, headed by Finance Minister Pranab Mukherjee,decided against the conventional open auction model andinstead chose the e-auction method.

While over 200 private FM radio stations are alreadyin operation, the third phase may allow another 806. The thirdphase would also focus on smaller cities and towns, whereprivate FM radio is absent.

The license period for the radio stations has beenextended to 15 years from the existing 10 years.