ISD incoming termination rate cut to 30 paise from 53 paise

ISD incoming termination rate cut to 30 paise from 53 paise

Through the regulation, TRAI reduced termination charges payable by an International Long Distance Operator to the access provider in whose network the call terminates from Rs 0.53 per minute to Rs 0.30 per minute.

"While deciding on the appropriate level of ITC in the country, curbing the menace of grey route should be a more important regulatory priority than facilitating the shift of the worldwide incoming traffic from OTT (over-the-top) route to carrier route", TRAI said.

This comes on the back of excessive use of data driven apps that allow subscribers to make global calls at a fraction of the cost of a voice call.

More news: TvOS 11.2.5 Beta 5 is Now Rolling Out

The Telecom Regulatory Authority of India (TRAI) on Friday cut termination charges for worldwide incoming calls to wireline and wireless connections, to ₹0.30 per minute from ₹0.53, which experts say may not only impact operators, but also lead to the country losing an opportunity to earn higher foreign exchange.

Thereafter, a one-day workshop was held following which application service providers (ASP) and ILDOs were asked to furnish information regarding incoming and outgoing ILD voice minutes. It said that "curbing the menace of grey route should be a more important regulatory priority than facilitating the shift of the global incoming traffic from OTT to carrier route". "Therefore, lowering of ITC to the cost level will facilitate shift of global incoming traffic from OTT services to ILD (international long distance) carrier and curb the menace of grey market, which will be in the interest of all stakeholders including security agencies", Trai said, explaining its decision.

The loss will lead to a loss in revenue to the exchequer, from both licence fee and GST. "Also, the move does not benefit any customers and will only benefit foreign carriers at the expense of the domestic industry, according to COAI". TRAI issued a consultation paper on "review of interconnection usage charges" on August 5, 2016, for seeking comments of industry stakeholders.

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