We want to be treated on par with PSUs: Sunil Mittal


Private operators should be given additional spectrum to level the playing field, he says.


Thomas K. Thomas

New Delhi, Nov. 9 Bharti Airtel’s Chairman and Managing Director Mr Sunil Mittal has said that his company is not blocking competition and is in fact “willing to face any competition, including from some very powerful competitors and many times with our hands tied behind our back.”

In a letter to the Minister of State for Commerce, Mr Jairam Ramesh, the Bharti honcho said that he was delighted that BSNL and MTNL have been given more spectrum but has only demanded that the private operators should also be given additional spectrum to level the playing field.

Spectrum allocation

Mr Mittal’s letter is in response to a communication from Mr Ramesh who slammed Airtel’s chief for castigating BSNL.

Mr Mittal had earlier shot off a letter to the Government alleging that the Department of Telecom’s spectrum allocation policy was favouring some companies.

He had said that BSNL and MTNL were being given more spectrum even without meeting the subscriber linked criteria thereby being an example of being inefficient.

Responding to Mr Mittal’s first letter, Mr Ramesh said: “Public service enterprises have to face many constraints in their operations not the least being aggressive lobby by the competitors to stymie their expansion. I was anguished at your comments on BSNL and MTNL. I am well aware that there are differing opinions on the best way of allocating spectrum. You have a point of view which you have expressed forcefully. But what pained me is the manner in which you have castigated BSNL particularly.”

Castigating TEC report

However in a fresh letter, Mr Mittal said, “My letter does not castigate BSNL nor MTNL.

The letter castigates the finding of the TEC which has come out with spectrum allocation criteria unheard of anywhere in the world. Incidentally, let me clarify that we are delighted that BSNL and MTNL have been given more spectrum as we support the same, but only demand that to be the same for the private sector and thereby level playing field.”

“I have to agree that public sector face many constraints in their operations and are not free to run efficient operations. I am with you on this point.

“I, however, resent your charge that we are lobbying to block competition. You know me better. I hope my response, and the enclosed letter, re-establishes my credibility in your eyes,” Mr Mittal said in the letter.

Source: The Hindu business Line

 

Access deficit charge: TRAI may issue show cause notice

Thomas K.Thomas

New Delhi, Nov.9

The Telecom Regulatory Authority of India may issue show cause notices to all the long distance telephone operators who have not been paying access deficit charges to Bharat Sanchar Nigam Ltd.

State owned BSNL had earlier sought TRAI’s intervention because long distance operators including BT, Sify, HCL Infinet and Tulip IT Services are allegedly evading payment of access deficit charges to the PSU.

BSNL had named 10 domestic long distance operators and three international long distance operators who have allegedly not paid the charges.

Senior TRAI officials said that they were looking into the matter and could soon issue show cause notices seeking explanation from these companies.

Companies’ stance

Some of these companies which have been named said that they had already settled the dues.

However, some of the domestic long distance operators who had taken the licence to offer only data connectivity to the enterprise segment through services such as virtual private network, said that they were not liable to pay ADC since they were not carrying retail calls on a per minute basis.

TRAI officials, however, said that all operators were required to pay ADC as a percentage of their annual revenues if not on a per minute basis.

ADC is expected to be phased out next year as the Government has decided to end the subsidy for rural telephone. Private operators are against paying ADC as they fear that BSNL could use the money collected from them to offer lower tariffs in urban areas.

Source: The Hindu business Line

 

Telecom News dated 10-11-2007