Mobile operators to be allowed remote access

12 Mar 2007

1

New Delhi: The Department of Telecom and security agencies have resolved their differences over the remote access issue and a final announcement of the guidelines for raising FDI limit in telecom to 74 per cent is in sight.

DoT has prepared a cabinet note, awaiting Communications Minister Dayanidhi Maran's approval. The note would be sent to the Cabinet before April 2, the deadline for compliance of FDI guidelines by the mobile operators.

In December last year, the Union Cabinet had extended the deadline for telecom operators to comply with the norms for an increased foreign direct investment limit of 74 per cent.

Norms relating to allowing remote access, appointment of foreigners in top positions and taking away veto powers from Indian shareholders with 10 per cent equity in telecom joint ventures are some of the key revisions in the original guidelines that is expected to be notified after the current deadline of April 2 expires, the sources said.

Under remote access, data or calls made on telephone networks in the country could be remotely managed from a site elsewhere. While the original FDI norm under Press Note 5, issued in November 2005, had banned remote access, DoT had proposed to allow it with some restrictions. But security agencies had expressed reservations on the issue.

 

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