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TRAI issues consultation paper on review of tariff forbearance

Last Updated: Monday, February 6, 2012 - 20:39

New Delhi: In view of some incumbent players seeking to raise mobile tariffs, telecom regulator TRAI on Monday started the process to review the existing policy and see if it was required to put a ceiling on tariffs.
So far telecom tariffs are under forbearance whereby operators fix tariffs depending upon market forces.
As per the existing regulatory framework, tariff for telecommunication services are under forbearance except for rural fixed line services, national roaming services and leased circuits.
TRAI has issued a consultation paper seeking stakeholders' views on the issue of tariffs.
The consultation paper gains significance in the light of the Supreme Court judgement which quashed 122 telecom licences of 11 companies, which according to industry experts, will result in a steep rise in tariffs.
Over the last few years, the telecom tariffs were on a declining trend. However, recent trends as well as reports from the industry and analysts indicate a possible reversal of this trend, TRAI said.
The regulator added, "...a suitable tariff framework for data services is also required to be evolved considering that data usage is becoming more and more popular."
Last date for comments from the stakeholders is February 24 and and for counter-comments, March 2.


First Published: Monday, February 6, 2012 - 20:39
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