Financial Daily from THE HINDU group of publications
Tuesday, Mar 21, 2006
Financial Daily from THE HINDU group of publications Tuesday, Mar 21, 2006 |
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Telecommunications Info-Tech - Convergence TRAI for laws to enable early convergence Our Bureau
Other recommendations Allow operators flexibility in spectrum usage irrespective of services and technologies. Bring parity in customs duty on equipment used by telecom and cable operators for the same purpose. Permit voice calls on Customer Premise Equipments using any protocol. At present, cable modems cannot carry telephone calls. Encourage banks and FIs to provide funds to the cable industry. Have State Governments provide `right of way' to cable operators providing digital services.
New Delhi , March 20 The Telecom Regulatory Authority of India has recommended that the government should go beyond the unified licence regime and frame laws to deal with the convergence of technologies and devices in telecom and broadcasting sectors. The telecom regulator has suggested that the Government should make the Communications Convergence Bill 2001 as the focal point, but since the proposed legislation may take time, the unified licensing regime, as recommended by the TRAI in 2005, could be adopted at the earliest with some modifications. Giving its recommendations on issues relating to convergence and competition in telecom and broadcasting sectors, TRAI said: "Convergence of technologies is rapidly blurring the boundaries between telecommunications and broadcasting. It is necessary for the legal and regulatory framework to adapt to this convergence and actively promote such convergence. This would also help in facilitating competition.
Lowering entry fee
Measures suggested by the TRAI include lowering the entry fee for unified licence to Rs 5 crore, as against Rs 100 crore recommended earlier, to fall in line with the move to lower the entry fee for the long distance segments to Rs 2.5 crore from Rs 100 crore earlier. TRAI has also sought a complete review of the FDI policy to bring parity between telecom and broadcasting sectors since they have different foreign investment caps of 74 per cent and 49 per cent respectively. It has also recommended separate regulations for carriage and content.
Regulation of content
TRAI has said that regulation of content should be done by experts in the field of art, films and broadcasting. TRAI has also suggested to keep the regulatory and licensing structure similar to the existing one consisting of the TRAI, the TDSAT and the Government. The proposed Convergence Communication Bill has vested all these powers with a single super regulator.
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