The telecom regulator on Tuesday cut the Interconnection Usage charge to 6 paise per minute from 14 paise currently, a move that had been sought by India’s newest telecom operator Reliance Jio
The Telecom Regulatory Authority of India (Trai) said, “Mobile call connection charge cut to 6 paise per minute from 14 paise currently, effective October 1.”
Trai added that there would be no call termination charges applicable from 1 January 2020.
The IUC had been the focus of bitter exchanges between new entrant Reliance Jio and incumbent operators such as Airtel.
“Lower termination charges are therefore likely to benefit consumers overall (both fixed and mobile) because operators will have greater retail pricing flexibility. Operators would be able to offer consumers a wider variety of retail packages and tariff structures,” Trai said in its explanatory memorandum issued on Tuesday evening, as part of the regulation.
Older telecom firms wanted it to be raised to at least 30 paise, while Reliance Jio wanted it cut to zero. Reliance Jio said in July that India’s top three telecom firms earned Rs1.04 trillion in the past five years by not implementing a 2011 regulatory road map to cut IUC to zero.
Source: http://www.livemint.com/Industry/hV...s-over-Airtel-as-Trai-cuts-IUC-to-6-pais.html