February 24, 2015 1:32 PM

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TRAI removes interconnection charges; Call tariffs may drop

In a bid to boost fixed line phone connections in the country, telecom regulator TRAI has removed charges that a landline service provider has to pay to the other service providers for transmitting its customers'phone calls. The move is likely to lead to lower tariffs. Now, calls made from landline to landline or landline to mobiles will not include the interconnection charge, which was 20 paise. TRAI has also reduced network interconnection usage charges, IUC on calls made from mobile phones by about 30 percent to 14 paise per call from 20 paise earlier. TRAI yesterday said that the Authority has decided to prescribe fixed termination charge as well as mobile termination charge for wireline to wireless calls as zero. It said that the decision has been taken to promote investment in, and adoption of wireline networks, so that they may become an effective vehicle for the delivery of high-speed Internet in the country. Landline connections in the country have been declining since the time mobile incoming calls were made free. While mobile subscriber base at the end of 2014 reached all time high at 94.39 crore, landline connections are only 2.7 crore.

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