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TRAI approaches SC against TDSAT order on predatory pricing tariff rule
Transparency in tariff is and has always been an issue of prime concern for the government and to protect the interests of the consumers of telecommunications services
The telecom regulator TRAI has moved to Supreme Court (SC) against TDSAT order dismissing its predatory pricing tariff rule, PTI reported.
"Trai has filed an appeal before Hon'ble Supreme Court against the order of Hon'ble TDSAT dated December 13, 2018. The appeal is yet to be listed," telecom minister Manoj Sinha said in a written reply to the Lok Sabha, the report said.
Under the predatory pricing tariff rule, the regulator had barred telecom operators, with over 30 percent market share, from offering services at a price which is below the average cost of service that is intended to reduce competition or eliminate the competitors.
Sinha said that transparency in tariff is and has always been an issue of prime concern for the government and to protect the interests of the consumers of telecommunications services, the regulator has issued several tariff orders, directions, and guidelines in order to ensure transparency in tariff offers from time-to-time.
"However, despite these measures to ensure transparency in tariff, the Trai has been receiving complaints from consumers and consumer organizations highlighting, inter-alia, lack of transparency in the tariff offer of telecom service providers," Sinha added.
To recall last year in February TRAI issued the order on predatory pricing and imposed penalty financial disincentive of up to Rs 50 lakh per circle on operators if their service rates are found to be predatory in nature.
In fact, COAI had said that "All our member operators, with the exception of one, feel deeply victimized and let down. We request the Government to intervene and look into these concerns on an urgent basis and ensure a financially healthy and vibrant telecom industry that is able to support Digital India and serve customers. An environment of regulation and policy that is not based on an equal footing will further aggravate the deep financial stress and kill future investments, innovation in an industry that has put India on the global map."