In Phase-I the licensees were not permitted to own multiple frequencies in the same city. The recent trend internationally is towards abolition of such restrictions, as evident in (say) the Canadian Commercial Radio Policy, 1998. Due to non-viability of market in the Indian context, the restriction on multiple licenses in the same center needs to be reviewed, without loosing sight of the potential for monopolies / oligopolies.

Therefore, the Committee recommends that:

a. The number of frequencies that an entity, directly or indirectly, may hold in a particular center be restricted to three or 33 per cent of the total licenses available in the center, whichever is less. 

b. No entity shall hold more than one frequency (license) for news and current affairs in any one center. 

c. Further, such additional licenses should be permitted only if the total number of frequencies available in a center to establish a broadcast station (including frequencies in Phase-I) is equal to or more than six (6).