Trai seeks liberalisation of telecom infra policy

The Telecom Regulatory Authority of India (TRAI) is seeking further liberalisation of the Standing Advisory Committee on Radio Frequency Allocation (SACFA) policy to enhance tele-density.

Trai wants operators to begin operating cell sites immediately after the submitting of applications. It also wants the government to accord clearance for new infrastructure in two months time.

In case, no communication is received within this stipulated timeframe, Trai needs permission to treat the application as "approved".

Currently, SCAFA policy clearance takes months to come and this is hampering the infrastructure rollout of telecom companies in the country, a source close to the development said.

The simplification of the policy is also expected to help operators double their existing infrastructure in the next 12-18 months.

The mobile operators are also looking at growing infrastructure in line with the government's intention of offering 500 million connections in the next three years from the present around 200 million.

Currently, there are around 120,000 towers in the country and this is expected to rise to 300,000 by the end of 2010.

This proposal is expected to benefit the expansion of network and operations in rural segments as most of the telecom companies are looking at tapping the potential of these regions.

Currently, the wireless tele-density in the country stands at around 17.3 per cent, with that in rural below 5 per cent.

Seeking the Department of Telecommunications (DoT) intervention to make the necessary changes in the present policy, Trai has also assured that an operator will shut down a site in case SACFA raises objections in the applications.

Earlier in June 2006, the DoT had simplified SCAFA procedures with over 60 per cent application cleared online resulting in an improvement of tele-density and increase in quality of services. Trai needs an additional simplification to further improve the telecom penetration.