The Hindu Business Line : Mobile number portability still on Govt radar

Longer wait for users
Cellular operators have been blocking it on the ground that the market is not mature enough.
Telecom regulator feels number portability would increase the level of competition and improve the quality of service.

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New Delhi Jan. 19 Mobile number portability (MNP), which allows users to change the operator without giving up the mobile number, could be in place before the end of the year. Senior Government officials said that the Department of Telecom (DoT) may push through the system, which will give flexibility to mobile users to change their operators, in case there is no consensus on the issue. While consumers groups have been demanding mobile number portability, cellular operators have been blocking it on the grounds that the market is not mature enough.

"We have the powers to enforce mobile number portability. We are trying to arrive at a consensus with the operators. At this stage, some of the operators are not in favour of introducing the system. We will give them some more time to make up their mind. After that, in case there is still no consensus, DoT will move ahead with it," senior DoT officials said. Dismissing reports of the Government shelving MNP, officials said that the issue was very much alive.

The Telecom Regulatory Authority of India had earlier submitted its recommendations to implement MNP by April 2007. DoT officials said that the deadline would be extended by a few months to give the industry more time to rethink on their stance.

"We understand that introduction of MNP may lead to revenue implications for the operator. But the important thing is that there will not be any major impact. It is only a matter of making up their mind in favour of a system that benefits consumers," said the DoT official.

Facing Competition

According to research conducted by market analysts, the fear of having to change the mobile number is the biggest reason for subscribers not changing their operator despite poor quality of service. The telecom regulator had also pointed out that MNP would increase the level of competition in the mobile segment, which would improve the quality of service.

Mobile operators, however, said that while they were not against the introduction of MNP, the timing was not right. "We have to achieve tele-density targets and operators have to be given time till they roll out services inthe rural areas. The market is not mature enough for MNP and its introduction now will be detrimental to the industry. Countries that have implemented MNP have done so after reaching certain levels of coverage," said Mr T.V. Ramachandran, Director General, Cellular Operators Association of India.

Another issue that is being considered by DoT is the implementation of Carrier Access Codes (CAC), which would give subscribers the flexibility to choose their long distance operator based on cheaper tariffs. The DoT officials said that both MNP and CAC are being dealt with simultaneously.

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