TRAI's New Regulation To Bring Down The Cost of ISD Calls

By Vivek

    Telecom regulator TRAI on Tuesday fixed the rate payable by international long distance players to local operators. The recent move from the Indian telecom authority could lower the ISD rates in the country. Also, in a statement, TRAI said that the access charges has been fixed at 40 paisa per minute for wireless services and Rs. 1.20 per minute for wireline services.

    TRAI's New Regulation To Bring Down The Cost of ISD Calls


    In other words, these access charges for international subscriber dialing (ISDs) are paid by international long distance operators (ILDO) to local players. Until now, consumer didn't enjoy the option of choosing his/her ILDO and is dependent on access providers for making ISD calls.

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    Under the new regulation, customers can buy calling cards from any ILDOs and get the advantage of competition in the long distance sector. The Telecom Regulatory Authority of India (Trai) had in November last year issued a consultation paper on ‘Revenue Sharing Arrangement for Calling Card Services'.

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    To provide the facility to subscribers to choose their NLDO/ILDO for their STD/ISD calls, TRAI issued a direction on 24 July 2002 but it could not be implemented due to various reasons given by telecom service providers (TSPs).

    "When this issue was again revisited in 2008 by the Authority, TSPs suggested that a primary objective of providing choice of a long distance operator could be achieved by allowing long distance operators to issue calling cards," TRAI said.

    TRAI said the licences were amended in 2010 to allow NLDO/ILDO to issue calling cards directly to consumers. Intelligent Network Regulation was also amended to facilitate time bound agreements between TSPs.

    The Authority noted that at each stage in the process, TSPs have tried to dodge the introduction of competition; their stance has shifted every time the issue has been taken up, it added.


    TRAI said when the Intelligent Network Regulations were amended in 2012 to facilitate interconnect agreement so that consumer get choice of NLDO/ILDO, TSPs dragged their feet and no consensus could be achieved.

    "Some access providers offered unrealistic access charges to ILDOs making the entire process non-starter," TRAI added.

    Recently, TRAI also resisted to levy any taxes on services like WhatsApp, Skype and other instant messaging apps.


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