Question : CELLULAR SERVICES



(a) the names of cellular cell phone companies providing cell phone facility in each State at present;

(b) the present tariff being charged for the said facility;

(c) the revenue received by the Government therefrom during each of the last two years and till date;

(d) whether the cellular services have been slowly concentrating in the hands of few companies;

(e) if so, the details thereof;

(f) whether the Government propose to prevent the development of emerging monopolies of such companies ever this sector; and

(g) if so, the details thereof?

Answer given by the minister


THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY (SHRI TAPAN SIKDAR)

(a) Licences for providing Cellular Mobile Telephone Service (CMTS) have been granted for various service areas in the country, divided into 4 Metro City Service Areas and 20 Telecom Circle Service Areas. The Licences have not been granted State- wise, however, most of the Telecom Circles are contiguous with the state boundaries. The names of the companies who have been granted the licences and status of provision of service is given in Annexure - I.

(b) Telecom Regulatory Authority of India (TRAI) is responsible for fixing of tariffs for Telecom Services including CMTS. As per the information provided by TRAI, the Telecommunication Tariff Order (TTO), 1999, TRAI has specified tariff for CMTS for the standard tariff package. This standard tariff package must always be offered to the subscribers and in addition, cellular service providers may offer alternative packages also. At present, the mandatory tariff package offered by cellular service providers in Metros includes a monthly rental of Rs.475/- and air-time charge of Rs.4/- per minute. In Telecom Circles the corresponding package is Rs.500/- for monthly rental and Rs.4.50/- for air-time. In many Telecom Service Areas the tariffs offered by Cellular Service Providers are lower. The Cellular Service Providers offer a number of alternative tariff packages with distinct features, in addition to the mandatory standard package, subject to the approval of the TRAI. As in January, 2002 there were approximately 740 tariff plans in existence across the country with different combinations of rental and air-time charges. Subscribers are at liberty to choose the standard package or any of the alternative tariff packages.


(c) The details of revenue received by the Government towards License fees and wireless spectrum charges is given in Annexure-II


(d) to (g): The scheme for award of licences for CMTS envisages multiple operators in each service area. Presently, there are 80 licences owned by 26 companies including Bharat Sanchar Nigam Limited/ Mahanagar Telephone Nigam Limited for 24 Service Areas as per list given in Annexure-I. In most of the Telecom Service Areas 4 licences have been granted for providing CMTS. As per the terms and conditions of the CMTS Licence Agreement, no single company/legal person, shall have 10% or more holding in more than one licensee company in the same Service Area. A promoter company can not have stakes in more than one licensee company for the same Service Area. This will ensure that monopoly is not created in any service area.


ANNEXURE-I

Status of Cellular Mobile Telephone Service in Telecom Circles and Metro Cities

S Service Area No. of	Name of Licensee Company Service
N0 (Metro City/ License	Started Yes /
. Telecom es	No
Circle)
1. DELHI 4 Bharti Cellular Ltd. Yes Sterling Cellular Ltd. Yes Mahanagar Telephone Yes Nigam Ltd. Birla Tata AT & T Ltd. No
2. MUMBAI 4 BPL Mobile Communication Yes Ltd. Hutchison Max Telecom Yes Ltd. Mahanagar Telephone Yes Nigam Ltd. Bharti Cellular Ltd. No

3. KOLKATA 4 Bharti Mobitel Ltd. Yes Usha Martin Telekom Ltd. Yes Bharat Sanchar Nigam Yes Ltd. Reliable Internet No Services Ltd.

4. CHENNAI 4 RPG Cellular Services Yes Ltd. Bharti Mobinet Ltd. Yes Bharat Sanchar Nigam No Ltd. Barakhmba Sales & No Services Ltd. 5 Andhra 4 Birla Tata AT & T Ltd. Yes Pradesh Bharti Mobile Ltd. Yes Bharat Sanchar Nigam No Ltd. Barakhmba Sales & No Services Ltd. 6 Assam 2 Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam No Ltd. 7 Bihar 2 Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam Yes Ltd. 8 Gujarat 4 Fascel Ltd. Yes Birla Tata AT& T Ltd. Yes Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No

9. Haryana 4 Escotel Mobile Yes Communication (P) Ltd. Aircel Digilink India Yes Ltd. Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 10 Himachal 4 Bharti Telenet Ltd. Yes . Pradesh Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam No Ltd. Escorts No Telecommunications Ltd. 11 Karnataka 4 Spice Communications Yes Ltd. Bharti Mobile Limited Yes Bharat Sanchar Nigam No Ltd. Barakhmba Sales & No Services Ltd.
12 Kerala 4 BPL Cellular Limited Yes Escotel Mobile Yes Communications Ltd. Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 13 Maharashtra 4 BPL Mobile Cellular Ltd. Yes Birla Tata AT& T Ltd. Yes Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 14 Madhya 4 RPG Cellcom Ltd. Yes . Pradesh Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 15 North East 3 Reliance Telecom (P) Yes Ltd. Hexacom India Ltd. No Bharat Sanchar Nigam No Ltd. 16 Orissa 2 Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam No Ltd. 17 Punjab 4 Spice Communications Yes Ltd. Bharti Mobile Ltd. Yes Bharat Sanchar Nigam No Ltd. Escorts No Telecommunications Ltd. 18 Rajasthan 4 Aircel Digilink India Yes Ltd. Hexacom India Ltd. Yes Bharat Sanchar Nigam No Ltd. Escorts No Telecommunications Ltd. 19 Tamilnadu 4 BPL Mobile Cellular Ltd. Yes Aircel Ltd. Yes Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 20 Uttar 3 Escotel Mobile Yes . Pradesh Communications Ltd.

(West) Bharat Sanchar Nigam No Ltd. Bharti Cellular Ltd. No 21 Uttar 4 Aircel Digilink India Yes . Pradesh Ltd.

(East) Koshika Telecom Pvt. Yes Ltd. Bharat Sanchar Nigam No Ltd. Escorts No Telecommunications Ltd. 22 West Bengal 2 Reliance Telecom (P) Yes Ltd. Bharat Sanchar Nigam No Ltd. 23 Andman & 1 Bharat Sanchar Nigam No Nicobar Ltd. 24 Jammu & 1 Bharat Sanchar Nigam No Kashmir Ltd.



ANNEXURE-II

REVENUE COLLECTED BY DEPARTMENT OF TELECOMMUNICATIONS FROM CMTS OPERATORS TOWARDS LICENCE FEES AND WIRELESS SPECTRUM CHARGES .

(IN CRORES OF RUPEES APPROXIMATELY)
S. Year Entry Fixed Licence Wireless Total No. Fee Licence fee as Spectrum Fee Revenue Charges Share
1 2000-01 - - 511.68 73.42 585.10 2 2001-02 1633.57 - 525.04 232.63 2391.24 3 1.04.2002 To - - 44.19 53.86 98.05 30.4.2002 4 1999-2000 290.86 290.86 5 Since - 6794.30 - 6794.30 beginning in 1994-95 till 30.4.02 6 Since 89.06 89.06 beginning in 1994-95 till 2000 Grand Total 10248.61


Note : In respect of fixed licence fee and revenue share, the above figures include interest wherein payments have been received after the due dates.