In a significant move to expand the reach of private FM radio across India, the Union Cabinet, chaired by Prime Minister Narendra Modi, has approved the rollout of FM radio services to 234 new cities and towns.

This initiative will be carried out through the third batch of ascending e-auctions for 730 FM channels, with an estimated reserve price of ₹784.87 crore under the Private FM Radio Phase III Policy.

According to PIB, the expansion aims to address the unmet demand for FM radio services in these cities and towns, providing new local content in regional languages and dialects.

•             Third Batch of e-Auctions: The approved proposal involves conducting the third batch of ascending e-auctions for 730 channels across 234 new cities, with an estimated reserve price of ₹784.87 crore.
•             Annual License Fee (ALF): The Cabinet has set the Annual License Fee for FM channels in these newly covered areas at 4% of the Gross Revenue, excluding Goods and Services Tax (GST).
•             Focus on Regional and Local Content: The expansion is expected to promote local dialects and culture, aligning with the government’s ‘vocal for local’ initiative. It will also create new employment opportunities and support local content creation.

Many of the approved cities and towns fall within aspirational districts and Left-Wing Extremism (LWE) affected areas. The rollout of private FM radio services in these regions is expected to strengthen government outreach and communication efforts, while fostering local engagement and development.

This expansion marks a crucial step in the government’s efforts to provide wider access to information and entertainment, and to promote regional languages and culture across India. The state-wise list of the newly approved cities and towns, along with the number of FM channels approved for fresh auctions, is provided in the annexure.
https://pib.gov.in/PressReleasePage.aspx?PRID=2049323