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KumaarShah

Cci Tells Dot Not To Drag Feet On Number Portability

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CCI tells DoT not to drag feet on number portability

22 Oct, 2007, 1110 hrs IST,Gireesh Chandra Prasad & Joji Thomas Philip, TNN

NEW DELHI: After attacking the department of telecommunications (DoT) on spectrum allocation policy, the Competition Commission of India (CCI) has now told the DoT that mobile number portability (MNP), which allows a subscriber to retain the number even after changing the service provider, needs ‘urgent consideration’ as it is of vital importance to competition and consumer sovereignty.

“It (MNP) is a crucial element for providing choice to consumers and for maintaining competition in the telco markets. It will reduce the consumer’s dependence on the existing service provider. Therefore, competition dimension and consumer interest would be better served by allowing number portability unless there are very specific and good reasons for not doing so. The issue needs urgent consideration,” the commission has told the telecom department and other key ministries.

The CCI is of the view that it is only voicing the concerns of a large number of mobile phone users who are dissatisfied with their service providers, but are reluctant to subscribe to another company’s service as they have to forgo their existing mobile number.

The Commission’s only endorses the results thrown up by numerous market surveys, which reveal that up to 50% of all mobile users in India are unhappy with their operator, and are willing to switch to another service provider, if allowed to retain their number.

The Commission has also brought the issue to the attention of other wings of the government like the finance ministry, Planning Commission and the corporate affairs ministry. The CCI has now joined telecom regulator TRAI, which has been pushing for MNP since March 2006.

Last year, despite pressure from TRAI, DoT had set aside the issue of introduction of MNP, but department sources said that they were ‘actively considering’ the introduction of number portability because of the recent tariff hikes by some service providers despite stiff opposition from the regulator and telecom minister A Raja.

Number portability has so far been introduced in Australia, Korea, Japan, Canada, the US, the UK, most of Europe and Pakistan. According to reports, its introduction has been followed by up to 50% subscribers switching operators in most of these countries.

Sources said that the telecom department is considering setting up a steering committee comprising representatives of operators, industry associations and Telecom Engineering Centre (TEC), Trai’s technical arm, to work out the fineprint on the implementation issues.

The committee, after due consultation and also considering the cost aspects of different solutions, will issue guidelines on billing and other operational and administrative issues that have to be addressed before MNP can be rolled out, sources added.

Indian telcos have been vehemently opposing the introduction of mobile number portability, arguing that it would cost several thousand crores to upgrade their networks to implement this. They have also said that the market is not mature to support MNP and this be introduced only when the country achieves a high telecom penetration. India’s current tele-density is less than 20%.

If MNP is introduced, it will result in a significant churn in the telecom market and is likely to impact well-entrenched, bigger players the most. Subscribers, who stick to an operator because they find changing numbers inconvenient, will have the option to migrate to service providers offering better services and lower tariffs.

Link: http://economictimes.indiatimes.com/CCI_te...how/2479432.cms

Looks like another move to bring MNP once again, but will it succeed at all?

Edited by KumaarShah

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^^^

My dear friend, as we all knows that by now more operators will be launching their services in the same circle. It will be highly beneficial for all mobile users if Number Portability serivce comes.

Regards.

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Every Indian soul cries for it.

Every Indian telephone user begs for it.

TRAI and CCI mentions it every time they're allowed to speak.

But still DoT is unwilling to heed it.

Only last resort is to approach Prime Minister straight away.

Influential people in forum can start the initiative. I'm ready to support it within the capacity I can.

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