Call tariffs to fall as regulator cuts termination charges

March 9th, 2009 - 8:49 pm ICT by IANS  

New Delhi, March 9 (IANS) In a move that will bring down the call charges further, India’s telecom watchdog Monday reduced local termination charges by 33 percent to 20 paise.
“Termination charge for all types of domestic calls — landline to landline, landline to mobile, mobile to landline and mobile-to-mobile — has been reduced to 20 paise per minute from 30 paise per minute,” the Telecom Regulatory Authority of India (TRAI) said in a statement.

Termination charges are paid by one operator to another on whose network the call ends.

The TRAI further said it has hiked incoming termination charges by 33 percent to 40 paise per minute.

“Termination charge for incoming international calls would be 40 paise per minute against the existing charge of 30 paise per minute. The authority expects that the service providers would pass on this benefit in the form of lower tariff for outgoing international calls,” it added.

The ceiling on carriage fee of domestic long distance calls has been retained at 65 paise per minute.

The TRAI expects the non-reduction of this ceiling to encourage national long distance operators to expand into rural areas.

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