The Department of Telecommunications (DoT) is close to finalising a regulation permitting operators to share active infrastructure. |
According to sources close to the development, the department is looking at bringing in the new regime within three months. |
Currently, sharing of active infrastructure "" including subscriber lines, electronics, switches and other equipment "" is not permitted. However, sharing of passive infrastructure like telecom towers, shelters and repeaters is allowed. |
According to sources in the DoT, this will help lower infrastructure costs for service providers by around 50-60 per cent. With operators expected to pass this on to the consumers, the telecom tariffs in the country are expected to fall further. |
An analyst pointed out that this could pave the way for Mobile Virtual Network Operator (MVNO) services. An MVNO operator does not own infrastructure or spectrum but takes it on lease from an existing operator. |
Many multinational companies are expected to enter the country through the MVNO route as availability of spectrum is a constraint in India. The present legislation does not permit these services. |
Sharing of active infrastructure will also help in faster rollout of mobile networks in rural India, say sources. |
The Telecom Regulatory Authority of India has also recommended an amendment in the licence conditions to permit service providers to share their backhaul infrastructure from base transceiver stations (BTS) to base station controller (BSC). |