Trai Objects To Hike In Tariffs

[coolrajiv 1]

Source - http://www.techtree.com/India/News/TRAI_Ob...-82805-613.html

Earlier this week, two major GSM operators Hutch and Airtel increased SMS tariffs by a flat 20 percent.

The Telecom Regulatory Authority of India (TRAI) has reportedly taken a strong objection against the hike, and has decided to safeguard the interests of consumers.

Both Airtel and Hutch have increased their local call and SMS charges from Re 1 to Rs 1.20; and STD charges from Rs 2 to Rs 2.40 for post-paid subscribers, and to Rs 2.65 for pre-paid subscribers.

According to TRAI, the hike in tariffs is neither in favor of consumers nor is it transparent. TRAI says operators are required to inform changes in the tariff structure to customers as well as the regulator to maintain awareness and transparency.

TRAI said it is responsible for ensuring that mobile tariffs are subscriber-friendly and that operators in no way burden subscribers with unwarranted call charges. Besides, any hike in charges has to be justifiable.

While TRAI cannot directly interfere in tariff matters as operators are free to decide their own tariffs, the regulatory authority feels it can always ask operators to give a logical reason for the hike.

In the event, operators do not take heed and roll back on the hike, TRAI will ensure reduction either by launching a new consultation process or by issuing new directions under an earlier process.

Meanwhile, the interesting thing about the hike is that both Hutch and Airtel have raised tariffs at the same time -- that too when Telecommunications Minister, Andimuthu Raja, is looking at further bringing down call charges.

[KumaarShah 143]

Good that TRAI is atleast looking after consumers interests. And both the top operators have formed a cartel to increase call charges. Hope the other top operators do not join them and increase call rates in tandem. However, it will be diffcult for other operators to remain passive and not do the same. It will require tremendous will power on their part to sideline the top two. Maybe only TATA will not increase call rates, all others will follow suit including our RCL.

[GSV13 0]

Well they can do that becoz IMO they have bribed Dot heavily to move away the MNP regime henceforth cud take the mik out of customers locked in due to there numbers.

[Ramchi 0]

TRAI is a toothless body without any objectives.

Mere postures alone will not make consumers happy. Look at 3G spectrum policy, they are unable to bring concerned paties into agreement within a fixed time frame. Stil it is going on without any commitment from anyone.

They can only play destructive role as far as consumer interests are concerned. What is preventing them from reviewing their licenses for unfair practices?

They would not allow many operators competing in the market by enforcing licence fee nor would properly regulate the market with conviction.

[Honest 836]

^^^

Hike in call charges is definetely not justified at all my dear friends. These two major operators are really looting their innocent subscribers.

[coolrajiv 1]

Source - Times of India epaper

Tariff hike: Consumers may sue Trai

New Delhi: In response to Monday’s tariff hike by Airtel and Hutch that raised SMS and call rates to Rs 1.20 from the earlier Re 1 level, consumer groups across the country have threatened to take legal action unless Trai intervenes and enforces a rollback. In the same manner, just two weeks before this, the two firms quietly raised STD charges to Rs 2.65/minute.

Bejon Misra of Consumer VOICE said, “This is not the first time we are seeing a cartel-like behavior. These two operators have increased rates by the same extent on similar services on the same day. This is far too convenient to be a coincidence.”

Misra said VOICE and Consumer Coordination Council, a national coalition of 57 leading consumer organizations are waiting for Trai to act, failing which legal recourse is certain. “The regulator is accountable. How is he allowing this,” he questions. Consumer VOICE says this is another reason why any move to place a numeric cap on the operators is against government’s procompetition policy objectives.

[KumaarShah 143]

All other operators are watching from the sidelines and if the big two can get away with this, then we must all be prepared to face higher tariffs as all operators irrespective of caste, creed or colour will definitely follow the big two. I remember in the topic on roaming rentals, I had mentioned that call rates will go up as a result of the roaming rental waiver and now this has come about; albeit across the board increase for even local, std and sms charges.

The big two have already stated that they will not rollback the tariff hikes and will try to explain away to TRAI the reasons for such hikes. TRAI cannot do anything in this matter as tariffs are forbearance (meaning operators can set their own rates without TRAI's prior approval)

But then the reason touted by these big two that network expansion post subscriber additions will lead to higher outlays and hence tariff hike is warranted is just too much. I hope VOICE takes these big two to court and some sort of stiff penalty is imposed on them to make them come to their senses.

[coolrajiv 1]

All other operators are watching from the sidelines and if the big two can get away with this, then we must all be prepared to face higher tariffs as all operators irrespective of caste, creed or colour will definitely follow the big two. I remember in the topic on roaming rentals, I had mentioned that call rates will go up as a result of the roaming rental waiver and now this has come about; albeit across the board increase for even local, std and sms charges.

The big two have already stated that they will not rollback the tariff hikes and will try to explain away to TRAI the reasons for such hikes. TRAI cannot do anything in this matter as tariffs are forbearance (meaning operators can set their own rates without TRAI's prior approval)

But then the reason touted by these big two that network expansion post subscriber additions will lead to higher outlays and hence tariff hike is warranted is just too much. I hope VOICE takes these big two to court and some sort of stiff penalty is imposed on them to make them come to their senses.

Ya Airtel & Hutch both should be penalized so than other operators will think twice before raising their call & sms charges.

[HetalDP 947]

I think Idea and Reliance will also follow the same if some Strick action is not taken against them

By This Price hike they want show DOT and TRAI that if 2G Spectrum is Auctioned it will be tough for them to provide Cheaper 2G Service to Indian Consumer. Some Artificatial and Indirect Pressure to TRAI to give them Spectrum in Free above 6.25 Mhz

[GSV13 0]

Well they have a cartel formed to inc price............ i checked my dad Mob's inbox it has sms dated 13Aug from Idea informing

local sms and idea 2 idea call being increased to 1.20/min

[Himanshu Singh 19]

Govt to refer issue of tariff hike to TRAI

The Government said on Wednesday that it will refer the issue of recent tariff hike by mobile operators to TRAI and would take a decision only after knowing the regulator’s opinion.

“SMS is a mode of tariff. Definitely tariff is in the control of the ministry. Let TRAI decide on it first,” Telecom Minister A Raja said on the sidelines of a function organized by Telecom Equipment Manufacturers Association.

When contacted on the matter, TRAI chairman Nripendra Misra told media: “There has been no reference from DoT to look into the matter so far. I would have to get a communication from them first to be able to say anything on the matter.”

Earlier, the regulator had cited the market forces as a cause for the hike in SMS and local call charges by Airtel and Vodafone Essar.

GSM operators earlier this month hiked SMS charges 20% flat to Rs1.20 per message and local call charges within their network by 20% to Rs1.20 per minute from Re1 for prepaid customers.

Prior to that, most private GSM players hiked STD tariffs over 10% for prepaid users.

“Mobile tariffs fall under forbearance (whereby the operators have freedom to fix tariffs)... Although the recent hike in tariffs of SMS and local calls is not a consumer- friendly measure, there is no scope for intervention as long as there is forbearance,” Misra had said.

[Ramchi 0]

Mobile operators in this country forcing the country to march backwards simply due to lack of competition in the market. Everyone has attained critical mass in terms of number of customers and revenue. Now our famous entrepreneurs from great families to milk Indian mobile subscribers without sweating further thru cartel process, since only selected big families control mobile operations in this country. With the help of traitor Misra (TRAI Chairman), DOT bobus and corrupt DMK Raja (plus Maran) they have stalled any further development in the mobile sector for another few years. Since elections are on the cards, decision making will be further delayed as much as possible to keep these big wicks indulge in any form of tariff hike or even swindle customers with total impunity.

Citizens like us are as lazy as buffalos who will accept anything without shame. Our country is a disgrace of humanity.

[HetalDP 947]

Write to TRAI to Enfore MNP

If everybody writes mail to them more pressure will be on them to do so.

[kshah 452]

Mobile operators in this country forcing the country to march backwards simply due to lack of competition in the market. Everyone has attained critical mass in terms of number of customers and revenue. Now our famous entrepreneurs from great families to milk Indian mobile subscribers without sweating further thru cartel process, since only selected big families control mobile operations in this country. With the help of traitor Misra (TRAI Chairman), DOT bobus and corrupt DMK Raja (plus Maran) they have stalled any further development in the mobile sector for another few years. Since elections are on the cards, decision making will be further delayed as much as possible to keep these big wicks indulge in any form of tariff hike or even swindle customers with total impunity.

Citizens like us are as lazy as buffalos who will accept anything without shame. Our country is a disgrace of humanity.

Righly said. We all keeps on talking about petty stuff. As said by hetal none of us including me has sent single mail to TRAI for MNP. Now will send one. Hope it is not returned.

[KumaarShah 143]

Hutch, Chennai prepaid have revised their SMS tariffs from today 23.08.07 as follows: -

All local SMS will be chargeable at re 0.05 per SMS (They now call it unltd SMS) at Re 1 daily rentals. Earlier it used to cost Re 0.01 at 100 free local SMSs at a daily rental of rs 1. Now the same 100 local SMS will cost Re 0.06 per SMS. (Re 0.05 plus Re 0.01 for the daily Re 1 rental) I am assuming that one will use only 100 local SMS per day.

So effectively Hutch, Chennai has upped the SMS rates six times from Re. 0.01 to Re. 0.06 per SMS. This is too much, anyway nobody will complain.

Maybe its time for SMS freaks to move over to BSNL where they offer unltd local SMS at Re 1 daily rentals. However, their call rates are higher.

Hope TRAI / DOT / Govt. takes some stern action soon.

[Himanshu Singh 19]

Guys I must say that in Delhi its better to move to MTNL for better SMS deals as I did on Aug 15th.

I opted for their Student Recharge Voucher (which, thankfully is now applicable to all the existing subscribers never mind if they are not students).

It cost me Rs. 310 for one month validity and Rs 100 Talktime and I get the followings:

*Unlimited free local SMS to any operator throughout Delhi and STD SMS @ Re. 0.50.

*Unlimited free local calls to MTNL mobiles/landline/cdma phones.

*STD calls to all networks landline/mobile@Re.1.00

I had apprehensions about voice quality and singal problems. But to my delight I had no such issues till now and I am very happy at making this switch from Idea to MTNL in gsm.

Edited August 23, 2007 by sachinrocks

[linuxguy 0]

what are the costs of calling up non-MTNL cellphones?