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Cellular Operators Propose New Call Termination Rates

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Thomas K Thomas BUSINESS STANDARD
Last Updated : Jan 28 2013 | 1:12 AM IST

Cellular operators have proposed that the cost for terminating a long-distance call on a cellular network should be Rs 2.72 per minute and Rs 3.06 per minute for call origination.

At present, cell operators receive about 5 per cent of the long-distance call revenue -- roughly 50 paise for STD and Rs 1.20 for ISD-- for origination and nothing for terminating calls.

As per the reference interconnect order, submitted by the Cellular Operators Association of India (COAI) to the Telecom Regulatory Authority of India (Trai), the termination cost has been derived after exclusion of bad debt, collection cost, parts of sales and marketing costs and billing cost.

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The inter-connection usage charges, submitted by COAI on October 7, have, however, been not included in the approved reference interconnect order by Trai.

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First Published: Oct 11 2002 | 12:00 AM IST

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