DoT steps into Delhi tussle on towers between telcos, municipal bodies

The department of telecommunications (DoT) has decided to intervene in the tussle between telecom service providers and municipal bodies in Delhi over the recent sealing drive of mobile towers. The main issue has been over the price telcos pay to the corporation for installation of mobile towers. Both entered into an agreement for a period of 20 years after telcos paid charges for the towers, but municipal corporations in Delhi came out with new charges even before the expiry of the period, which forced the operators to go to the Delhi High Court.

"We have asked them to sort out their differences mutually since sealing of towers has worsened call drops situation," a senior DoT official told Business Standard. On Tuesday, the Delhi High Court ruled against sealing of mobile towers having valid licences. According to the official quoted above, the first round of meetings has already happened and the situation might be resolved in a few months.

TOWERING ISSUES

• Following the recent test drive by the Trai in Delhi, 523 towers were sealed in the city
• In the past two months, 122 towers were sealed in Delhi by corporations, leading to interruptions in voice and data services  
• Sites have been shut down in Mumbai also due to arbitrary action by municipal corporation and residential welfare associations
• In the past year, about 1,700 sites were shut down all over India

"The main issue has been over the price/installation charges to be paid by the operators for setting up mobile towers. Operators are not ready to pay the new price."

Cellular Operators Association of India and Association of Unified Telecom Service Providers of India had moved court against municipal corporations in Delhi "coercive actions" taken without due process; the issue of whether municipal corporations in Delhi has the jurisdiction or legislative competence to regulate towers is before the Delhi High Court. Following the recent test drive by the Telecom Regulatory Authority of India in Delhi, 523 towers were sealed in the city.

In the past two months alone, 122 towers were sealed by corporations under municipal corporations in Delhi, leading to interruptions in voice and data services across the city. In a recent letter to the Union telecom minister Ravi Shankar Prasad, CEOs of telecom firms had said, "With every 40 sites being sealed, there is an average of 20 per cent increase in call drops. In the past two days itself, municipal corporations in Delhi has gone ahead and sealed 16 sites across Delhi. Last month, 70 sites were sealed."

Similarly, sites have been shut down in Mumbai also due to arbitrary action by municipal corporation and residential welfare associations. In the last year alone, about 1,700 sites have been shut down all over India. The operators, though, have initiated discussions with local municipal corporations in Delhi authorities to find a resolution to tower sealing, but the authority continues to seal sites on a continuous basis.