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Cable TV Price Hike Gives Rise to Heated Debate

Though approved by pricing regulators, the hike of some cable TV charges in Beijing has triggered a heated public debate in the national capital.

Gehuaone, a cable TV network in the capital city of Beijing, raised its monthly cable TV charges by 50 percent from 12 yuan (1.5 US dollars) per household to 18 yuan (nearly 2.2 US dollars) beginning July 1.

The move approved by the Beijing Municipal Pricing Bureau affects 2.2 million household subscribers.

A woman subscriber surnamed He in eastern Chongwen district took the network to court, demanding it return the overcharged money, citing the network's decision as unilateral without a public hearing.

The consumers' association in Beijing municipality also filed an inquiry with the pricing bureau, requiring it to explain the matter.

The bureau held that cable TV charges are not listed among public hearing items as they only cover a tiny part of residents' consumption. However, Mrs. He said that the issue is not about themoney, which is a small sum, but about consumers' interests and rights.

The fees for cable TV are deducted directly from subscribers' bank accounts, and Mrs. He said she remain unware of the hike until she checked her account.

So, she contended, the hike was forced without soliciting consumers' prior consent.

Qiu Baochang, a lawyer with the Beijing Municipal Huijia Law Office, said that consumers enjoy the right to be informed about the price adjustment and a random hike without a public hearing violates the pricing law.

According to the Law on Pricing, charges for public utility services, including cable TV, should be decided after public hearings.
(People's Daily   July 23, 2003)

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