Trai initiates move to fix floor rates for mobile phone calls, data

Telecom regulator Trai on Tuesday initiated a consultation to fix minimum or floor rates for mobile phone calls and data, a move that will effectively end the regime of free calling and dirt cheap data.

Caving into demands by old telecom operators, Trai reversed its earlier stand of not getting into fixing of tariffs and issued a consultation paper on minimum rates.

Bharti Airtel had been in the lead for demanding floor rate for the viability of the sector that had seen margins erode in competing with free voice calls and dirt cheap data from new comer Reliance Jio.

Trai said comments on floor tariffs are invited by January 17.