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Revised call rates as per TRAI from may-1st

TRAI reduces ceiling tariffs for national roaming; lower call rates effective from May 1

"All subscribers will benefit from the reduced ceilings, competitive pricing below the new ceiling levels is expected," the regulator said in a statement. 

With the new structure, call charges will fall by 20% while messaging rates will decline by 75%, benefitting millions of subscribers who make calls or send messages while travelling outside their home circles. 

The regulator also mandated telcos to provide a special roaming tariff plan, where incoming voice calls while on national roaming will be free, and telcos may levy a fixed charge, if any. But TRAI added that telcos need not provide two rate plans to their roaming customers - one with an option of free incoming calls and another in which each incoming call was billed - which were made mandatory back in July 2013. 

TRAI though has increased the ceiling tariffs for outgoing local and STD calls from 65 paise a minute and Rs 1 per minute, respectively, tariffs that it had proposed in February this year. Leading telecom companies had asked the regulator to consider raising the ceiling price on outgoing local calls during roaming, ET had reported on March 12. 


However, the mandate will still impact top carriers. As per TRAI data, about Rs 8,000 crore, or 6% of the industry's total revenue, comes from roaming, most of which goes to Bharti AirtelBSE -2.97 %, Vodafone and Idea, which have more affluent customers, brokerage Credit Suisse had said. 

It estimated a 34% hit (on 65 paise a minute call rate ceiling) on revenue if the drop in tariffs is not compensated by an increase in usage or volumes and quipped that customer behaviour would not allow this arbitrage to continue.


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