TRAI gives a big blow, Interconnect user charge (IUC) to continue till 31 December 2020
Wednesday - December 18, 2019 11:31 am ,
Category : WTN SPECIAL
Users have to pay 6 per minute interconnect user charge
TRAI currently breaks free calling facility on other networks!
DEC 18 (WTN) - Since the launch of Reliance Jio in India, there was a revolution in the Indian telecom sector. Mobile phone sales in India grew rapidly due to free calling and cheap internet data. Due to Reliance Jio's free calling and cheap data marketing, the rest of the telecom companies had to suffer a lot, after which these companies were also forced to give free calling and cheap data plans to their users. Free calling and cheap data were used by mobile users in India for a long time, but now the convenience of free calling from one network to another has stopped being available to users.
As you know, all mobile companies have kept calling free on their network, but users have to pay a charge for calling on other networks. In telecom language it is called Interconnect User Charge (IUC). Some time ago there was a discussion that IUC would end after a few days and again as before, the facility of free calling from one network to another would start.
But for your information, let us know that the TRAI i.e. Telecom Regulatory Authority of India has decided to continue the 6 paisa interconnect user charge till 31 December 2020. This means that the IUC charge is not going to be zero till 31 December 2020. Actually, the determination of telecom policies comes under the jurisdiction of TRAI (Telecom Regulatory Authority of India) and the TRAI reviews and determines telecom policies in India.
After TRAI's decision, it is clear that the telecom companies can now charge IUC till 31 December 2020. For your information, let us know that a telecom company gives 6 paise per minute IUC to terminate the call on the network of another Telecom Company. When a user of one Telecom Company calls on the network of another Telecom Company, then he has to pay IUC charge. Till now Telecom Company had charged the Interconnect User Charges (IUC) separately from its users and it was included in the tariff plan.
But now, other Telecom Companies including Jio are charging IUC from their users only. That is by December 31, 2020, customers will now have to pay at least 6 paise per minute for making calls on any network other than their network. As far as IUC is concerned, till September 2017 the rate of IUC was 14 paise per minute, but with effect from 1 October 2017 it has been reduced to 6 paise per minute. From time to time, there were speculations that TRAI may abolish the IUC from 1 January 2020, but TRAI did not extend the IUC till 31 December 2020.
The decision by TRAI to extend the IUC to 31 December 2020 is seen as a setback for Reliance Jio and its users. Jio was hopeful that the IUC would be scrapped from the start of the New Year, which would give users the benefit of free calling on other networks as well, but TRAI has extended the IUC by one more year instead of ending or reducing it. Actually, Reliance Jio has the largest number of users in the market at this time, so these users will have to pay an IUC of 6 paise per minute for calling on other networks, which will prove to be costly for the users.
DEC 18 (WTN) - Since the launch of Reliance Jio in India, there was a revolution in the Indian telecom sector. Mobile phone sales in India grew rapidly due to free calling and cheap internet data. Due to Reliance Jio's free calling and cheap data marketing, the rest of the telecom companies had to suffer a lot, after which these companies were also forced to give free calling and cheap data plans to their users. Free calling and cheap data were used by mobile users in India for a long time, but now the convenience of free calling from one network to another has stopped being available to users.
As you know, all mobile companies have kept calling free on their network, but users have to pay a charge for calling on other networks. In telecom language it is called Interconnect User Charge (IUC). Some time ago there was a discussion that IUC would end after a few days and again as before, the facility of free calling from one network to another would start.
But for your information, let us know that the TRAI i.e. Telecom Regulatory Authority of India has decided to continue the 6 paisa interconnect user charge till 31 December 2020. This means that the IUC charge is not going to be zero till 31 December 2020. Actually, the determination of telecom policies comes under the jurisdiction of TRAI (Telecom Regulatory Authority of India) and the TRAI reviews and determines telecom policies in India.
After TRAI's decision, it is clear that the telecom companies can now charge IUC till 31 December 2020. For your information, let us know that a telecom company gives 6 paise per minute IUC to terminate the call on the network of another Telecom Company. When a user of one Telecom Company calls on the network of another Telecom Company, then he has to pay IUC charge. Till now Telecom Company had charged the Interconnect User Charges (IUC) separately from its users and it was included in the tariff plan.
But now, other Telecom Companies including Jio are charging IUC from their users only. That is by December 31, 2020, customers will now have to pay at least 6 paise per minute for making calls on any network other than their network. As far as IUC is concerned, till September 2017 the rate of IUC was 14 paise per minute, but with effect from 1 October 2017 it has been reduced to 6 paise per minute. From time to time, there were speculations that TRAI may abolish the IUC from 1 January 2020, but TRAI did not extend the IUC till 31 December 2020.
The decision by TRAI to extend the IUC to 31 December 2020 is seen as a setback for Reliance Jio and its users. Jio was hopeful that the IUC would be scrapped from the start of the New Year, which would give users the benefit of free calling on other networks as well, but TRAI has extended the IUC by one more year instead of ending or reducing it. Actually, Reliance Jio has the largest number of users in the market at this time, so these users will have to pay an IUC of 6 paise per minute for calling on other networks, which will prove to be costly for the users.
