BSNL, MTNL cut roaming rates

Three mobile services firms "" government-owned BSNL and MTNL and Reliance Communications "" with a collective market share of 42 per cent and 167 million subscribers have said they would offer users the option of cheaper roaming charges starting next Monday.

The tariff plan usage entails a higher fixed cost every month (75-83 per cent higher than the existing average monthly rentals of Rs 299) for 300 minutes of free incoming calls outside home networks.

Users will pay only Re 1 per minute for incoming calls over and above the free limit. This rate is less than half the existing Rs 2.40 per minute rate.

Outgoing roaming calls will be charged at Rs 1 per minute. In February this year, the Telecom Regulatory Authority of India (TRAI) had set a cap of Rs 1.75 per minute for incoming and Rs 2.40 per minute for outgoing national roaming calls.

However, while the new tariff plan from these operators will see a significant cut in the cost borne by users for using their phones across the country, this is much less than what former communications minister Dayanidhi Maran had in mind.

Maran, who was abruptly asked to quit by his party, the DMK, was planning something far more radical.

Sources privy to his plans suggest that Maran was working on getting BSNL and MTNL to abolish all semblance of roaming charges.

Maran's replacement, party colleague A Raja, today followed up the plan, but seems to have baulked at going all out.

However, analysts are certain that the latest tariff realignment will boost usage of roaming services and create pressure on all other operators to respond.