The Web


 Latest Business news on mobile: sms BIZ to 7333

Home > Business > PTI > Report

BSNL may lose Rs 900 cr on TRAI move

August 27, 2004 17:50 IST

Telecom Regulatory Authority said on Friday that it is planning to cut access deficit charge for incoming international calls to Rs 2 a minute from the prevailing Rs 4.25 per minute.

The proposal, if implemented, will heavily dent the earnings of public sector telecom monolith Bharat Sanchar Nigam Ltd, as it is likely to take a hit of Rs 900 crore (Rs 9 billion).

To recoup the revenue loss, BSNL may consider hiking tariff for rural subscribers, where it still has a virtual monopoly.

BSNL's fixed line rentals and call rates in the rural and semi-urban areas are still ruling below the Trai prescribed tariffs.

The proposed reduction in ADC in incoming ISD calls would benefit global carriers like AT&T, Sprint, MCI, British Telecom and Teleglobe among others.

The move will prompt foreign telecom carriers to reduce the ISD call tariffs in their countries at the cost of Indian operators like BSNL by paying lower ADC.

7333: The Latest News on Your Mobile!

© Copyright 2005 PTI. All rights reserved. Republication or redistribution of PTI content, including by framing or similar means, is expressly prohibited without the prior written consent.

Share your comments

 What do you think about the story?

Read what others have to say:

Number of User Comments: 1

Sub: TRAI is action will be ridiculous

What is a role of TRAI?, If any company, that is too state owned ...doing for publics favour, why TRAI is trying to do for ...

Posted by Suraj


Article Tools
Email this article
Top emailed links
Print this article
Write us a letter
Discuss this article

Related Stories

RIL cuts prepaid tariff by 60%

RIL accused of predatory tariffs

People Who Read This Also Read

RIL cuts prepaid tariff by 60%

The 'third man' in Reliance empire

No soft drinks for Parliament

Copyright © 2005 India Limited. All Rights Reserved.