Rs 3050 Cr Fine to Airtel, Vodafone, Idea, Jio has no Interconnect...

Rs 3050 Cr Fine to Airtel, Vodafone, Idea, Jio has no Interconnect Points, Says TRAI

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Rs 3050 Cr Fine to Airtel, Vodafone, Idea

Rs 3050 Cr Fine to Airtel, Vodafone, IdeaDue to the no interconnection with Jio, Rs 3050 Cr Fine to Airtel, Vodafone, Idea says TRAI (The Telecom Regulatory Authority of India) on Friday 21 October 2016. Jio being part of Reliance Industries Ltd., controlled by Mukesh Ambani began offering free 4G services from September, triggering over the war with the network points that connect Jio customers with Bharti Airtel Ltd, Vodafone Plc’s India subsidiary and Idea Cellular Ltd.

On responding to the complain of Jio, on no Interconnect Points TRAI recommended a fine of Rs 500 million (Rs 50 crores) per telecom zone for each of the three operators. Bharti Airtel, Vodafone India and Idea Cellular for denying sufficient points of interconnect to Reliance Jio resulting in inconvenience to Jio customers as a large number of call attempts resulted in failure.

Rs 3050 Cr Fine to Airtel, Vodafone, Idea

As TRAI does not have the powers to levy fines, it has recommended the Department of Telecommunications (DOT) to levy the same in its capacity, as the licensor these companies have violated their license conditions. In a letter to the Department of Telecommunications secretary, TRAI has recommended a penalty.

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The operators might have to pay penalties as mentioned below:

Airtel – Penalty of 50 crores per circle

Airtel has 21 circles (Except Jammu and Kashmir) and so, the total penalty that Airtel has to pay is Rs 1050 crores.

Vodafone- Penalty of 50 crores per circle

Just like Airtel, even Vodafone also have to pay a penalty of Rs 50 crores per circle, which amounts to Rs 1050 crores.

Idea- Penalty of 50 crores per circle

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Idea has 19 circles and it has to pay a penalty of Rs 50 crores per circle, which means the total amount is Rs 9050 crores.

So the total penalty which these 3 operator have to pay is Rs 3050 crores (1050 crores + 1050 crores + 950 crores).

Commenting on TRAI action, an Airtel spokesperson said, “We are continuously augmenting the POIs provided to Reliance Jio and the pace of augmentation has been the fastest ever done by us. Further, we are in full compliance of the requirements of grade of service set by TRAI.”

At the end we can only say that whether Airtel, Vodafone, and Idea have to pay penalty or not but Jio customers can now have the sigh of relief from no interconnection point.

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