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New interconnect charges to be unveiled on Oct 29

TRAI had finalised the principles for new IUC recently and the announcement of the charges is likely to be made on Oct 29.

business Updated: Oct 28, 2003 19:16 IST

Telecom Regulatory Authority of India (TRAI) is likely to announce on October 29 the revised Interconnect Usage Charges (IUC) regime for the sector.

The regulator had finalised the principles for new IUC -- charges paid by operators for using other's network -- earlier this month, and the announcement of the charges is expected to be made on October 29, sources said.

The regulator has already indicated that the existing tariffs of all types of services, be it basic or cellular, may come down with the introduction of new IUC regime.

"The revised Access Deficit Charge (ADC) will impose a lower overall burden due to lower overall access deficit and thus will allow competition in market to sustain and even to leave scope to reduce the prevailing tariff levels in all services," TRAI had said earlier.

"Under the revised IUC regime, the amount of access deficit calculated is much lower than estimated earlier. To remove the regulatory distortions in the current IUC regime, the funding of the said deficit will be spread over calls from all access providers and not only from basic services," it had pointed out.

First Published: Oct 28, 2003 17:56 IST