A plethora of differences cropped between the telecom regulator and licencor on introduction of mobile number portability (MNP), with their suggestions bearing no resemblance to each other's.
Ironing out the differences would be priority before both the Telecom Regulatory Authority of India (regulator) and the Department of Telecommunications (licencor) to meet the earlier announced MNP launch date of June 2009. MNP enables mobile telephone users to retain their numbers when changing from one mobile operator to another.
For example, TRAI has suggested that whole the country should be just one zone, while DoT wants to split it into two zones for implementation of MNP, according to details available with the regulator.
Another major difference is on the fee structure; in its draft proposal, TRAI did not seek any entry fee nor financial bank guarantee (FBG) from MNP operators. On the other hand, DoT had sought an entry fee of Rs 1 crore and an FBG of Rs 2 crore.
Moreover, TRAI had prescribed a performance bank guarantee (PBG) of Rs 10 crore, in contrast with DoT's Rs one crore. While TRAI recommended releasing of PBG on implementation of MNP in 'C' circles, DoT suggested 50 per cent PBG to be released on completion of one year of MNP rollout across all licensed circles. The licencor has suggested to release the remaining 50 per cent of PBG after expiry of license period.
The licencor has not considered TRAI suggestions of allowing operators to hold up to 10 per cent in the company implementing MNP.
TRAI wants an MNP operator to be selected on basis of separate technical and financial bids, while DoT has suggested a pre-qualification bid on basis of technical and financial criteria and techno-economic evaluation for the final bids.
According to sources in DoT, as there is enough time (at least 6 months before the June 2009 deadline) and the differences can be easily ironed out. Moreover, suggestions from the consultation paper that was rolled out earlier would also be taken into account before framing a regulation.
An analyst, requesting anonymity, stated that most of the companies like Bharti Airtel, Idea Cellular and Reliance Communications are ready to rollout MNP. The completion of the licence process is the only hindrance to its MNP implementation.
Recommendations for MNP operators
TRAI DOT
Zones 1 zone in the country 2 zones in the country
Entry FEE Nil Rs 1 crore
Financial bank guarantee Nil Rs 2 crore
Performance bank guarantee Rs 10 crore Rs one crore
Selection process Tech, financial bids pre-qualification/
Bids,
Techno-economic
Evaluation |
