The Hindu Business Line : TRAI may lower number of tariff plans per operator

New Delhi, Jan. 29 In a move that would make it easier for telecom consumers to choose a tariff plan that’s best suited for them, the Telecom Regulatory Authority of India is planning to bring down the maximum number of plans permitted per operator.

At present TRAI has allowed 25 tariff plans per operator which has resulted in as many as 100 different tariff plans in a circle on an average. TRAI noted that with so many tariff plans available, consumer groups have complained that it was becoming confusing to pick the right plan.

Stakeholders view sought

“All India average suggests that the total number of plans on offer per service area is 39 in the wire line, 38 in WLL (F), and 110 for mobile services (GSM and CDMA put together). These figures are expected to substantially increase in the near future when Government issues licences to new operators in the mobile segment and they commence their operations,” TRAI said in a consultation paper. Views of all stakeholders have been sought in this regard.

TRAI’s study on tariff usage indicates that 75 per cent of the subscriber base is concentrated among 5-7 tariff schemes, which makes it futile to have as many 25 plans per operator. The regulator has also observed that operators were not transparent enough in spelling out the details of the various value-added schemes bundled with the connection.

‘Not transparent’

“The authority has been watching the developments in the market closely and also analysing the feedback from the consumers on the market activities which has further intensified with several new licensees starting their operations and the existing operators expanding their rollout.

“Despite the various measures taken by the authority to enhance transparency in the matter of service provision and protect the interest of the consumers, there is a growing feeling among the customers that the various offers being made by the access service providers are not transparent and thus are not consumer friendly,” TRAI said.

TRAI has, however, acknowledged that some of the operators were against lowering the number of tariff plans as it was best left to the market forces in a highly competitive sector.

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