COAI dissatisfied over TRAI's views

Cellular Operators Association of India has expressed dissatisfaction over TRAI's latest recommendations on issue of fresh licences in the sector, saying there was no business case for new players in the market at a time when even existing operators were facing huge accumulated losses.

"The regulator has not addressed crucial issues such as need and timing while giving its views on the subject," Director-General of COAI, T V Ramachandran told PTI here.

He said that COAI would soon write to TRAI and the Department of Telecom (DOT) and raise these issues.

COAI has said that with regard to "need" for introduction of new licences, it was amply evident that there was an "oversupply" of mobile services in the country and the tariffs were also the lowest in the world.

"Hence we feel that there is no need for new players in the market at this point of time," Ramachandran said.

On the issue of timing for new licences, Ramachandran said the crucial question that should have been answered by TRAI was whether the market would bear any new operators.

Ramachandran said telecom regulator should have gone into issues like whether the economic viability of the telecom sector would improve with more players.

First Published: Feb 24, 2003 19:03 IST