COAI welcomes consultation paper issued by TRAI on floor pricing

Cellular Operators Association of India (COAI) on Tuesday welcomed the consultation paper issued by telecom regulator TRAI on floor pricing.

"COAI welcomes the Consultation Paper issued by the telecom regulator on floor pricing. In our previous submission to TRAI, we have highlighted that tariff correction is necessary for improving the financial health of the industry," Rajan S Mathews, DG, COAI said in a statement.

Stressing that the only option available is for the Regulator to intervene and correct the anomalous pricing situation prevailing in the market place, Mathews said, "We believe that Regulation on this issue by the Regulator will ensure that the Telecom industry remains healthy and robust, there is orderly competition and above all, the resources are available with TSP's to enhance QoS and expansion of networks to achieve the vision of Digital India."

"Such a Regulation will also provide predictability to both domestic and foreign investors which will ensure the needed resources to the industry will remain available," he added.

In a statement earlier, TRAI said, "The authority has decided to float a consultation paper on the issue so that all the stakeholders in the value chain can get an opportunity to fully participate in the deliberations and give their views on such crucial issues affecting consumer interests.

Considering this aspect, a consultative paper on "Tariff Issue of Telecom Services" has been issued to invite comments from all stakeholders, on various issues relating to tariff in telecom sector.