Question : INCREASE IN MOBILE TARIFF

(a) whether high bidding prices for spectrum auction is likely to have cascading effects on mobile and internet tariff in the country;

(b) if so, the details thereof;

(c) whether the Cellular Operators Association of India has hinted at increasing mobile phone tariffs by 12-15 per cent because of high spectrum prices;

(d) if so, the details thereof; and

(e) the measures taken/proposed to be taken by the Government to prevent the hike in mobile and internet tariff and to protect the interest of consumers?

THE MINISTER OF COMMUNICATIONS AND INFORMATION TECHNOLOGY (SHRI RAVI SHANKAR PRASAD)

(a) to (d) The Government does not fix tariffs for telecom services. The power to notify the rates at which telecommunication services are to be provided by various telecom operators in the country was vested in the Telecom Regulatory Authority of India (TRAI) under the Telecom Regulatory Authority of India Act of 1997. Section 11 (2) of TRAI Act empowers the Authority to notify Tariff for various telecommunication services.

(e) As per existing tariff framework, tariff for telecommunication access service is under forbearance except for national roaming and rural fixed line services. The service providers have the flexibility to decide various tariff components for different service areas of their operation. Tariffs are offered by service providers taking into account several factors including input costs, level of competition and other commercial considerations.