Brands
Discover
Events
Newsletter
More

Follow Us

twitterfacebookinstagramyoutube
Youtstory

Brands

Resources

Stories

General

In-Depth

Announcement

Reports

News

Funding

Startup Sectors

Women in tech

Sportstech

Agritech

E-Commerce

Education

Lifestyle

Entertainment

Art & Culture

Travel & Leisure

Curtain Raiser

Wine and Food

YSTV

ADVERTISEMENT
Advertise with us

TRAI to impose Rs 3,050 cr fine on Airtel, Voda, Idea for denying connectivity to Jio

TRAI to impose Rs 3,050 cr fine on Airtel, Voda, Idea for denying connectivity to Jio

Saturday October 22, 2016 , 3 min Read

In a setback to incumbent telecom operators, sector regulator TRAI recently suggested imposing Rs 3,050 crore penalty on Bharti Airtel, Vodafone and Idea for allegedly denying inter-connectivity to newcomer Reliance Jio.

jio-blue

TRAI, in its recommendation to the Department of Telecom, said it has found the trio to be non-compliant with licence conditions and service quality norms given the high rate of call failures and congestion at interconnect points for RJio. It also noted that denial of interconnection by these operators to RJio appears to be with the ulterior motive to stifle competition and is anti-consumer.


Also readJio says rivals responsible for 75% call failure on its network


As per TRAI's recommendation, the penalty for Airtel and Vodafone works out to about Rs 1,050 crore each, while in the case of Idea Cellular it comes to about Rs 950 crore. The regulator stopped short of recommending cancellation of their telecom licences saying it may lead to significant consumer inconvenience. The recommendation came on complaint by Reliance Jio that over 75 percent of calls on its network are failing as incumbents were not giving sufficient points of interconnect that would help complete calls.

TRAI in a detailed letter to the DoT Secretary said the action of the three incumbent operators was against public interest. When contacted, an Airtel spokesperson said,

We are continuously augmenting the PoIs (points of interconnection) provided to Reliance Jio and pace of augmentation has been the fastest ever done by us. Further, we are in full compliance of the requirements of grade of service set by Trai

Also readRevealed: Jio is the slowest 4G service in India, according to TRAI data


Vodafone and Idea did not immediately offer any comment on the TRAI recommendation. Emails sent to Reliance Jio too remained unanswered. Lashing out at the erring operators, TRAI went to the extent of saying that the non-compliance of licence terms and condition "warrants" recommendations for revocation of licence.

However, the authority is mindful of the fact that revocation of the licence will entail significant consumer inconvenience and therefore in view of the larger public interest involved, the authority recommends a penal action of Rs 50 crore per LSA (circle), it said.

The regulator has recommended a penalty of Rs 50 crore each for 21 of the 22 circles of Bharti Airtel and Vodafone (except J&K). In case of Idea, it has recommended a penalty of Rs 50 crore each for 19 circles where the operator provides services.