Mukesh Ambani-led Reliance Jio Infocomm may soon make changes in their tariff plans, which would be intimidated to the telecom regulator, Trai. The regulator has been asked the 4G telco to give clarification over its free-calling voice tariff, according to a Times of India report.
Senior Trai officials met Reliance Jio executives and have sought details of the tariff plan filed by the 4G telco. The current Jio plan differs from the Rs 1.20-per-minute voice tariff plan filed with the regulator. “The issue is under discussion,” one source was quoted as saying.
As per the telecom tariff order that Trai made in 2004, telecom operators can’t have tariffs below the interconnect user charge (IUC), or the charge that a mobile operator pays to another for terminating its calls.
The IUC rate is currently 14 paise per minute, while Jio has made calls free.
Incumbent telcos–Bharti Airtel, Vodafone and Idea Cellular– have also accused Jio of engaging in predatory practices by offering free voice calls. These telcos have reiterated that they are incurring increasing costs due to the high level of traffic asymmetry sue to the traffic, and have taken the stand that termination charge of 14 paise per minute prescribed under the present IUC regime is low
The report also added that Trai does not find any merit in this allegation, considering that Jio is a new entrant with a small market share. Notably, Jio has printed 2 paise-per-second call plan on SIM card brochures that it hands out to customers.
Senior Trai officials met Reliance Jio executives and have sought details of the tariff plan filed by the 4G telco. The current Jio plan differs from the Rs 1.20-per-minute voice tariff plan filed with the regulator. “The issue is under discussion,” one source was quoted as saying.
As per the telecom tariff order that Trai made in 2004, telecom operators can’t have tariffs below the interconnect user charge (IUC), or the charge that a mobile operator pays to another for terminating its calls.
The IUC rate is currently 14 paise per minute, while Jio has made calls free.
Incumbent telcos–Bharti Airtel, Vodafone and Idea Cellular– have also accused Jio of engaging in predatory practices by offering free voice calls. These telcos have reiterated that they are incurring increasing costs due to the high level of traffic asymmetry sue to the traffic, and have taken the stand that termination charge of 14 paise per minute prescribed under the present IUC regime is low
The report also added that Trai does not find any merit in this allegation, considering that Jio is a new entrant with a small market share. Notably, Jio has printed 2 paise-per-second call plan on SIM card brochures that it hands out to customers.
