10. Importance of telecommunication The telecom services have been recognized the world-over as an important tool for socio-economic development for a nation. It is one of the prime support services needed for rapid growth and modernization of various sectors of the economy. The entire sector is now open to unrestricted competition in all. The opening of the sector has not only led to rapid growth but also helped a great deal towards maximization of consumer benefits.
11. Telecommunication in India With a strong population of over 1.1 Billion, India has become one of the most dynamic and promising player in telecom market . The Indian telecommunications industry is the world's fastest growing telecommunications industry, with 742.12 Million telephone (landlines and mobile) subscribers and 706.69 Million mobile phone connections as of Oct 31st 2010. The sector is growing at a speed of 45% during the recent years. As the fastest growing telecommunications industry in the world, it is projected that India will have 1.159 billion mobile subscribers by 2013. The industry is expected to reach a size of 344,921 crore (US$74.85 billion) by 2012 at a growth rate of over 26 per cent, and generate employment opportunities for about 10 million people during the same period.
12. Growth of Telecom in India 1994 National Telecom Policy – 1994 announced. Aug 1995 Kolkata became the first metro to have a cellular network. 1997 Telecom Regulatory Authority of India was setup. 1999 Tariff rebalancing exercises gets initiated. March 1999 National Telecom Policy – 99 announced.
13. Countinued Aug 1999 License fee (revenue share) reduced from provisional 15% to 12%, 10% & 8% on Circle wise basis (A type, B type & C type circles) 2000 TRAI Act amended & separate tribunal proposed Jan 2001 TDSAT started functioning Jan 2001 Policy announced for additional licenses in Basic and Mobile Services Jan 2001 Limited mobility allowed to Basic Services (CDMA spectrum allotted to Basic Service Operators)
14. Continued Oct-2002 BSNL entered in to GSM cellular operation w.e.f 19th October, 2002. Made incoming call free & initiated tariff equalization process tariff for GSM cellular mobiles reduced. Nov 2003 Unified Access (Basic & Cellular) Service License (USAL) introduced as a first step towards Unified License Regime Technology neutral and allows provisioning any kind of service Apr 2004 License fee reduced by 2% across the board for all the access licenses
18. Indian Telecom Industry Framework . Indian Government Bodies Independent Bodies They formulate various policies and pass laws to regulate the telecom industry in India. They undertake various research activities and monitor the quality of service provided in the Indian telecom industry. They also provide various recommendations to improve the status of telecom operations in India. Handles spectrum allocation and management Wireless Planning and Coordination (WPC) Telecom Regulatory Authority of India (TRAI) Independent regulatory body Department of Telecommunicati-ons DoT – Licensee and frequency management for telecom Telecom Disputes Settlement and Appellate Tribunal (TDSAT) Telecom disputes settlement body Telecom Commission Exclusive policy making body of DoT
20. Department of Telecom(DoT) In 1975, the Department of Telecom (DoT) was separated from Indian Post & Telecommunication Accounts and Finance Service DoT was responsible for telecom services in entire country until 1985 when Mahanagar Telephone Nigam Limited (MTNL) was carved out of DoT to run the telecom services of Delhi and Mumbai. The demand for telephones was ever increasing. It was during this period that the NarsimhaRao-led government introduced the national telecommunications policy [NTP] in 1994 which brought change in telecommunication The Government of India corporatized the operations wing of DoT on 1 October 2000 and named it as Bharat Sanchar NigamLimited (BSNL).
21. Vision To provide to the people of India, reliable and affordable tele-connectivity capable of delivering tele-services anytime, anywhere. Mission To develop a strong, vibrant and state-of-the-art telecommunication network. Promote Research and Development for India-specific applications and for developing cutting edge technologies. To provide seamless access , across the country and in particular rural and remote areas .
22. Functions of DoT in telecom Policy, Licensing and coordination matters relating to Telegraphs, Telephones, Wireless, Data , Facsimile, Telematics services and other like forms communications. Promotion of standardization, research and development in telecommunications. Promotion of private investment in telecommunications. Allocates frequency and manages radio communications in close coordination with the International bodies
23. TRAI Formation-1997 Legal status -Created by Telecom Regulatory Authority of India Act, 1997 Purpose/focus -Independent regulator Headquarter- MahanagarDoorsancharBhawan, Jawaharlal Nehru Marg, New Delhi 110 002 Chairman -DR. J.S. SHARMA
24. MISSION OF TRAI TRAI’s mission is to create and nurture conditions for the growth of telecommunications including broadcasting and cable services in the country in a manner and at a pace which will enable India to play a leading role in the emerging global information society.
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26. To Ensure Transparency TRAI adopts the following process before taking any regulatory decisions-
28. The Comments of the stake holders are published on the website
29. Stake holders are invited in the Open House Discussions (OHDs) organized in different parts of the country.
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31. Continued…. Regulate arrangement amongst service providers of sharing their revenue derived from providing telecommunication services. Ensure compliance of terms and conditions of license. lay down and ensure the time period for providing local and long distance circuits of telecommunication between different service providers. Facilitate competition and promote efficiency in the operation of telecommunication services so as to facilitate growth in the industry. protect the interest of the consumers of telecommunication service. Monitor the quality of service and conduct the periodical survey of such provided by the service providers
32. Continued…. Inspect the equipment used in the network and recommend the type of equipment to be used by the service providers. Maintain register of interconnect agreements and of all such other matters as may be provided in the regulations. Perform such other functions including such administrative and financial functions as may be entrusted to it by the Central Government or as may be necessary to carry out the provisions of this Act.
33. TDSAT An integrated & comprehensive dispute settlement mechanism. Set up on 29th May 2000 & started hearing w.e.f. Jan 2001. TDSAT was established by carving out the adjudicatory functions from TRAI 83% cases disposed off from 2001 till 2007. TDSAT was established with the view to protect the interest of the consumers and service providers of the telecommunication sector. To encourage and ensure the growth of the telecommunication sector.
43. Conclusion The Government and the regulatory authorities should design their policies not only to ensure that the country reaches 100% tele-density in the next 3 years but also ensure that it comes through a sustainable and profitable business model. The real challenge for the regulators is to combine healthy growth of the industry with low tariff, which takes into account the interests of both the consumers and the service providers.