The Hindu : TRAI begins tariff review process

Online edition of India's National Newspaper
Friday, May 16, 2003

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National

TRAI begins tariff review process

By Our Special Correspondent

NEW DELHI MAY 15. The TRAI today began the process of reviewing the new phone tariffs by issuing a consultation paper. It will seek views from corporates and citizen groups and, thereafter, formulate its recommendations. The process could take three to four months.

The phone tariffs and interconnect usage charges (IUC), the genesis of `caller party pays' regime, lower free calls and several other changes, were announced in January this year and implemented barely a fortnight back.

The TRAI paper has raised four issues -- interconnect usage charges, access deficit charges, tariffs and calling party pays regime. The issues have been raised through a series of questions.

It has asked whether the IUC regime needs any improvement and streamlining, should the ADC be calculated on current costs or other methods be considered and, whether tariff forbearance for limited mobility and cellular services continue and whether fixed line tariff continue to be regulated. Questions relating to tariffs, CPP and certain suggested corrective steps as pointed out by service providers for IUC regulation and tariff order have also been covered in the consultation paper.

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