You may soon have to pay a fee for the number of mobile and landline numbers you hold. Reason: A proposal by telecom regulator Trai. The telecom industry regulator, Trai (Telecom Regulatory Authority of India), is planning to charge telecom companies for phone numbers. The aim for the same is better utilisation of the numbering resources allocated to telecom companies in the country.
According to data published by Trai on its website, more than 219.14 million numbers (nearly 19% of total mobile connections) are currently in the category of ‘service suspended pending disconnection’, leading to inefficient use, a problem which it said can be addressed by disincentivising telcos from issuing new numbers. It suggested that this could be either a one-time charge or annual recurring charge.
“Given the restricted availability of numbering resources, there is a need to prioritise the efficient utilisation of these resources,” Trai said in a consultation paper published recently, adding: “It may be prudent to consider charging the TSPs (telecom service providers) with a nominal fee against numbering resources allocated.”
Trai said that just like spectrum, ownership of the numbering space resides with government, which only grants mobile operators usage rights over the designated number resource during the tenure of licences. The new Telecom Law, which was passed in December last year, also has an enabling provision to charge for numbers, technically known as ‘telecom identifiers’.
To makes its case stronger, Trai has cited several countries where a fee is levied for telephone numbers, either on the mobile operator or on subscribers. These include countries such as Australia, Singapore, Belgium, Finland, the UK, Lithuania, Greece, Hongkong, Bulgaria, Kuwait, Netherlands, Switzerland, Poland, Nigeria, South Africa, and Denmark.
According to data published by Trai on its website, more than 219.14 million numbers (nearly 19% of total mobile connections) are currently in the category of ‘service suspended pending disconnection’, leading to inefficient use, a problem which it said can be addressed by disincentivising telcos from issuing new numbers. It suggested that this could be either a one-time charge or annual recurring charge.
“Given the restricted availability of numbering resources, there is a need to prioritise the efficient utilisation of these resources,” Trai said in a consultation paper published recently, adding: “It may be prudent to consider charging the TSPs (telecom service providers) with a nominal fee against numbering resources allocated.”
Trai said that just like spectrum, ownership of the numbering space resides with government, which only grants mobile operators usage rights over the designated number resource during the tenure of licences. The new Telecom Law, which was passed in December last year, also has an enabling provision to charge for numbers, technically known as ‘telecom identifiers’.
To makes its case stronger, Trai has cited several countries where a fee is levied for telephone numbers, either on the mobile operator or on subscribers. These include countries such as Australia, Singapore, Belgium, Finland, the UK, Lithuania, Greece, Hongkong, Bulgaria, Kuwait, Netherlands, Switzerland, Poland, Nigeria, South Africa, and Denmark.
What telecom companies say on the proposal
Reacting to the proposal telecom companies claim that these charges will not solve the problem of inefficient use of mobile connections. “We agree that there are some inefficiencies in reallocation of suspended or disconnected phone numbers. However, if the government starts collecting fees on the sale of numbers, telecom companies shall pass on that cost to subscribers because SIM cards/phone numbers are a necessity rather than discretion,” an executive told Economic Times.
The telecom companies said that they may have to pass on the cost to the subscribers, which may mean additional cost from them.
