The Hindu : Fixed phone users hope for relief

Online edition of India's National Newspaper
Thursday, Jan 30, 2003

National

National

Fixed phone users hope for relief

By Sandeep Dikshit

NEW DELHI JAN. 29. The vast majority of fixed phone users will be looking to the new Telecom Minister, Arun Shourie, for some relief from the stiff tariffs announced by the Telecom Regulatory Authority of India (TRAI).

The rates are supposed to take effect from April 1 and have completely shocked fixed phone users who did not expect themselves to be once again at the receiving end of the telecom liberalisation process. Over the past five years, the TRAI has had its way with higher rentals and call charges once and on one occasion, political intervention led to shelving of plans for an annual hike in rentals and call charges for three consecutive years.

Fixed phone subscribers, who form the most populous segment of telecom users, will be hoping that the new Minister will somehow soften the all-round blow in the form of higher rentals, lesser call duration, fewer free calls and increased Internet dial-up charges. The hike is all-pervasive and does not leave even one sub-component unaffected.

For instance, not only is the duration reduced to 2 minutes from three but the rate goes up from Re. 1 to Rs. 1.20 after 300 calls as against 500 calls at present. Again, instead of the standard three-minute tariff for calls from fixed phone to all other services, the charges are graded — calls from fixed to cell phones will cost more than from fixed to fixed.

Officials said the Minister is within his rights to order a repackaged tariff because the proposals are not binding on phone companies. In other words Bharat Sanchar Nigam Limited (BSNL) and Mahanagar Telephone Nigam Limited (MTNL) can continue with the tariffs or hike them slightly but not to the TRAI.

The proposed rates have caused immense heartburn among consumers who feel that the majority is being forced to pay more to benefit the elite category comprising cellular phone users and long distance callers.

While the number of fixed phones is close to four croresthe cell-using population is 70 lakhs.

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