Kumari Palany & Co

Call charges to get cheaper with TRAI’s new initiative

Posted on: 18/Aug/2017 11:12:38 AM
It is likely that the Telecom Regulatory Authority of India better known as TRAI will cut down the interconnect fee. With this, call charges are likely to get cheaper on mobile phones. TRAI sources say that the interconnect charge will be reduced from the present 14 paise per minute to lesser than 10 paise per minute, thus being impactful on the overall call charges.
 
According to media reports on this regard, Reliance Jio had raised queries about Interconnect Usage Charge (IUC) claiming it as an artificial barrier.
 
As IUC reaps them with thousands of crore as profit, the other Airtel, Vodafone, and Idea had demanded to increase the rates. Sunil Mittal, the Bharti Enterprises chairman wrote a letter to TRAI Chairman RS Sharma in which he has stated that the IUC cost charged at present is very less. He has pleaded TRAI to standardize it with a clear and fair system.
 
The Calling Party-Pays system was launched in 2003 and made all incoming calls free. In 2004, the price was fixed at 30 paise per minute, and in 2009, it was made 20 paise per minute, and in 2015, it was reduced to 14 paise per minute.