Date:11/11/2005 URL: http://www.thehindubusinessline.com/2005/11/11/stories/2005111103060900.htm

Back Govt in favour of ADC regime based on revenue share model: Maran

Our Bureau

New Delhi , Nov 10

IN a move that could provide major relief to private telecom operators, the Government today favoured levying access deficit charge (ADC) on them as a percentage of their annual gross revenue instead of charging on a per call basis.

Currently, private operators pay ADC to telecom PSUs such as BSNL to help it meet social obligations such as rural telephony.

"We would like to move to the revenue share basis keeping in mind the benefits to operators as well as customers. You can expect a policy direction in this regard soon," said the Communications and IT Minister, Mr Dayanidhi Maran.

Switching to such a model could result in further reduction of call tariffs, if operators pass on the savings on this account, to consumers.