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Updated: Per Second Billing not mandatory: TRAI

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Indian telecom operators may soon be asked to compulsorily give their customers the option of paying tariff based on usage per second instead of the current per minute pulse, sector regulator TRAI said today.

"We may ask all the operators to consider per-second pulse as a mandatory tariff option along with their other tariff plans," Telecom Regulatory Authority of India (TRAI) Chairman J S Sarma told reporters on the sidelines of the International Telecommunication Union conference here.

He said TRAI may soon come out with a consultation paper on the subject and invite suggesstions about making it mandatory for operators to provide customers with this option.

"Even there (in per-second tariff plan), they must ensure to bring out clearly all the riders and caveats," Sarma noted.

The TRAI chief further said that since the current regulations allow the operators to decide the tariffs on their own, "I cannot say whether the time has come to reconsider this particular clause."

Some of the telecom players in the country have already launched per-second pulse, but such tariff plans are not mandatory and are mostly aimed at expanding their penetration and expanding market share.

Last week, state-run BSNL introduced one paise per second pulse (for local calls) and two paise per second pulse (for STD) in Karnataka, Andhra Pradesh and Orissa.

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the pay per second billing is made mandatory by the TRAI..nw all othr operators has to to change thr plan to 1p/sec..hats of to docomo who has started the pay per second plan and to MTS n Aircel who copied them..

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Tata Docomo's per second billing seems to have positively affected TRAI. So much so that TRAI is considering making Tara Docomo's 'per second billing' mandatory for all operators out there...There has been opposition from some operators on this issue upon the issue of forbearance of TRAI...interesting to see how this impacts the operators!!

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Tata Docomo's per second billing seems to have positively affected TRAI. So much so that TRAI is considering making Tara Docomo's 'per second billing' mandatory for all operators out there...There has been opposition from some operators on this issue upon the issue of forbearance of TRAI...interesting to see how this impacts the operators!!

all operators will oppose this move because they have to upgrade the network. because right now they make lots of money because of call drops. now they will not profit because of call drops. infact they can't afford call drops. because termination charges that operator has to pay is per minute. so if call drops after 2 sec operator has to pay for whole minute where as they will charge the customer for 2 seconds only :)

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:previous:

I always thought that termination charges is for number of seconds and not on a per minute basis. I read sometime and somewhere on this forum itself about this....

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Per-second billing not mandatory: TRAI

9 Oct 2009, 0117 hrs IST

Economic Times

Telecom operators would be free to offer various tariff plans to their subscribers, including the per-second billing scheme, and they

would also be free to fix the tariff per second, telecom regulator TRAI said on Thursday.

This would come as a relief to the telecom operators who would have taken a hit on their revenues, if the per-second-billing model was to become mandatory, as telcos are already facing low revenues per subscriber.

Under this model, if a telco were to offer a tariff plan that provided calls at 60 paise per minute, and if the customer were to speak only for 20 seconds, he or she will be charged only 20 paise for the call.

“We are not looking at mandating per-second billing for the operators. We would float a consultation paper on it and decide only if the industry sees benefits in the system,” Trai chairman JS Sarma said. The regulator plans to issue a consultation paper by the end of this year.

“Operators can offer it along with other plans. It does not mean we will fix the tariff. When we make recommendation on this issue, we will keep in view the interest of operators as well as consumers,” Mr Sarma added.

Earlier, the regulator had said that it plans to ask operators to charge customers on a per-second basis so that they can enjoy the benefit of paying only for their usage. The Indian telecom operators, who are already experiencing low revenue growth, expressed concerns over the sustainability of future revenue growth in a highly-competitive marketplace.

Currently, majority of the operators charge for the full minute, irrespective of whether the call lasts the whole minute. The per-second-billing model is being followed by Tata DoCoMo and new entrant Sistema Shyam.

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@ Arun get ready morning 9:55... both gonna shoot.. they came down nearly 18% on this speculation.. now its clear.. grab em..

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