TRAI calls for consultations over floor price for mobile call & data rates

TRAI  calls for consultations over floor price for mobile call & data rates

The Telecom Regulatory Authority of India (TRAI) on December 17 invited consultations over the fixing of floor rates for mobile phone calls and internet.

If adopted, this will likely hike prices further and end free calling and cheap data plans as telecos would have to adhere to the set minimum. Till date, calls and data prices were unregulated.

It was private telecom operators who approached TRAI for the same. The industry wants to raise average revenue per user (ARPU) to Rs 300 per month from the current Rs 125, over a two-year period in order to bridge accumulated debts close to Rs 7.8 lakh crore.

Titled 'Consultation Paper on Tariff Issues of Telecom Services', the document states that after the initial announcement there would be minor adjustments by the telecom service providers (TSPs) to their tariffs.