Indian telecom operators have been at loggerheads for most of this year, on issues ranging from unfair pricing and partial processing to interconnection charges (IUC). TRAI has finally delivered its verdict that the UIC is here to stay. The changes to the IUC structure came in October after TRAI decided that telecom operators will have to pay 6 paise per minute for each call to other networks. It was expected to encounter a lot of conflict as Reliance Jio said it was unfair and unnecessary while the other operators were favorable as it would bring them additional revenue. Given the financial difficulties of Bharti Airtel and Vodafone-Idea, their desire to keep the UIC was understandable.
TRAI verdict postpones withdrawal of UIC charges
However, Jio later went to court to have the IUC fees waived in January 2020, noting that traffic asymmetry no longer exists and that asymmetric VoLTE adoption was high enough to not require fees. so high. When the regulator upheld its decision, Reliance was forced to increase its rates to keep up with the competition. On Tuesday, TRAI issued its final verdict on the current situation: Interconnection Usage Charges (IUC) will apply for one more year, until January 1, 2021. The rate will continue to remain at 6 paise per minute for outgoing local calls. to other networks. The move should bring a sigh of relief to Airtel and Vodafone-Idea, as Jio's ratio of outgoing calls is significantly higher than incoming calls. The move also means that Jio's premium fees are here to stay, and may even see another walk to stay in the game. The other two operators have already raised their rates on all plans in the hope of improving their financial situation.