Government and Bermuda CableVision appeared to be heading towards a stand-off last night over the company's refusal to air two local TV channels.

The public feud began on Sunday, when CableVision announced that because the Bermuda Broadcasting Company intended to charge a fee for carrying ZBM and ZFB, it would no longer transmit coverage.

BBC CEO Bill Craig hit back saying that under the Telecommunications Act 1986, a cable carrier cannot drop or change a channel without approval from the Telecommunications Commission.

Yesterday his position was reinforced by the Department of Telecommunications which said it had written to CableVision to reiterate their responsibility as a cable carrier.

A spokesperson for the Department said: "Today, the Department of Telecommunications is assuring the public that Bermuda CableVision's notice not to broadcast Bermuda Broadcasting Company's channels 7 and 9, effective December 11, 2008, is incorrect.

""Section 21(1) (i) of The Telecommunications Act 1986 clearly states, it is the duty of every carrier to maintain existing services unless permitted by the Commission to discontinue such services."

"Also, as a specified carrier in accordance with Section 23 of the Act, Bermuda CableVision has a further obligation to obtain permission from the Telecommunications Commission before introducing or changing services or rates.

"The Department of Telecommunications has written to Bermuda CableVision to remind them of their obligations under the Act."

However, last night CableVision general manager Terry Roberson insisted they had sought legal advice and the company was well within its rights to drop channels 7 and 9.

And a spokesperson for CableVision said as it stood, at midnight on December 11, this would happen.

Mr. Roberson said: "Bermuda CableVision will comply with its legal obligations, but we are confident in our interpretation of the new regulations.

"According to the legal advice that we have received, the BBC's decision to demand payment entitled CableVision to refuse carrying the channels on that basis.

"As a result of the elections made by the BBC and CableVision, we no longer have the ability or authority to carry channels 7 and 9.

"We have written to the Department of Telecommunications setting out our position in detail. Bermuda CableVision will do all it can to ensure this matter is resolved as quickly as possible."

Both BBC and CableVision have disagreed about payment issues before. In August, a dispute over paying for Olympic coverage ended with both sides being pulled before the Minister of Telecommunications to settle it.

In this current debate about channels 7 and 9, Mr. Craig has said CableVision and BBC had discussed imposing a fee but had not come to an agreement.

So, he said, November had been left open for negotiations and then Monday morning he was blindsided by the announcement in the press, that CableVision would no longer carry their channels.

Yesterday, Mr. Craig added that CableVision's response to Government and the BBC was disappointing for both sides.

"It's an irresponsible position to take. It's unfortunate they are choosing to be disruptive to their customers this way," he said.

"I am flabbergasted that they would have disregarded the Minister's statement today. We are willing to talk to them anytime.

"I just wish they would stop these silly games."

What do you think? E-mail your thoughts to us at news@royalgazette.bm