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Private basic operators play safe

New Delhi, Jan. 28: The private basic telecom operators are likely to beak ranks with the state-owned telephony majors and let Bharat Sanchar Nigam Ltd and Mahanagar Telephone Nigam Ltd slug it out with the telecom regulator, Trai, over the recent increase in rentals and the introduction of the calling party pays (CPP) regime.

“We do not want to get into the legal squabbles over the tariff proposal announced by the regulator. There are a few gray areas and it will certainly have an impact on our revenues, but we hope to cover up. The members will be announcing their final decision after the annual general meeting of the association tomorrow,” said sources in the Association of Basic Telecom Operators (ABTO), the apex forum that represents the interests of fixed-line operators.

However, the cellular operators have indicated that they will explore the legal avenues to oppose the tariff announced by Trai. “There are areas of concern to us and we expect these to have a major revenue impact on cellular services. We would not like to pass on any burden to our subscribers and would like to further lower tariffs,” said a senior executive in COAI.

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