An LED advertisement board at a bus shelter at Residency Road.
Credit: DH File Photo
Bengaluru: The Bruhat Bengaluru Mahanagara Palike (BBMP) will issue notices to advertisers who have installed LED panels atop bus shelters in violation of contract conditions.
The decision comes after the civic body noted that the advertising agencies were allowed only backlit panels in exchange for building bus shelters under the public-private partnership (PPP) model. Notably, the advertisers did not seek prior approval to install LED panels from the civic body.
Over the past month, agencies such as Signpost India Pvt Ltd have replaced the advertising panels on several bus shelters with better-illuminated versions compared to the previous ones.
As per the rules, the illuminated panels attract higher advertisement fees than non-illuminated ones. The fee structure is clearly outlined in the BBMP Outdoor Signage and Public Messaging Byelaws 2018, which is currently in force.
A senior BBMP official confirmed that changing advertisement panels from non-illuminated to illuminated ones violates the contract terms.
"They are changing the panels without the BBMP's approval. It’s like we’ve given permission to set up a dhabaa, but they’re building a five-star hotel. The LED boards are far more lucrative for the private agencies," the official said.
Ad rights
When the BBMP built around 1,300 bus shelters under the PPP model, the civic body granted advertising rights to private agencies for a period of 20 years.
As a part of the contract, the BBMP had set a nominal fee for ground rent and advertisement rights. However, the civic body has yet to fully recover the anticipated dues from the advertisers, likely due to poorly drafted contract terms.
There are also complaints that the bus shelters have become more like advertising boards than facilities for bus users since the shelters do not display the names of bus stops or provide information about bus numbers and schedules. More importantly, some areas with less visibility lack bus shelters altogether, as they are not considered lucrative for advertisers.
New policy
What's more, the BBMP is preparing to introduce a new advertisement policy with an aim to raise additional revenue.
If the 1,300 bus shelters turn into LED panels, the civic body is likely to lose on the estimated revenue from new advertisers.