TRAI seeks views on liberalising internet telephony in India

New Delhi: Telephone subscribers in India may soon be able to make long-distance calls at almost 50 per cent lower costs than the current telecom rates. The  Telecom Regulatory Authority of India's(TRAI)  today put forward a consultation paper, which seeks views and suggestion from the industry and experts on relaxing restrictive provisions of internet telephony.

The regulatory body has proposed introducing interconnection of internet telephony with landline and mobile telephones to provide the service within the country. TRAI feels that prices of domestic long distance calls  and international long distance calls will reduce if communication between a computer and a landline or mobile is allowed within the country.

This move will also fuel competition in the  telecom sector, which will result in better services at affordable STD tariffs, said TRAI. So far, only MTNL has launched internet telephony services in India.

According to the existing licensing conditions, subscribers are allowed to make international calls through internet telephony using a computer. However, ISPs are not permitted to have interconnection with fixed line or mobile exchanges to provide internet telephony facility in the country

TRAI says the fruits of technological advances must reach consumers and to that extent regulations must be flexible. It is of the view that if iternet telephony within the country to PSTN / PLMN (landline / mobile) is permitted to internet service providers, Indian subscribers may gain from technological advances, fuelling competition in the telecom sector, resulting in services at affordable price and with better quality.

However, a lot would depend on the terms and conditions stipulated by TRAI.  ISP service providers, who want the internet telephony market to be opened to ISPs, say TRAI should not impose any additional licence or entry fee or the benefits of the entire exercise will be lost.

Other issues to be deliberated by the regulator include numbering, emergency number dialling, effective monitoring and lawful interception; interoperability, standardisation and quality of service; and interconnection with PSTN/PLMN including the applicability of the current IUC regime.