Vodafone challenges Trai's move to lower termination charges

Wednesday 04th March 2015 06:28 EST

Vodafone, India's second biggest telecom operator, has challenged the decision of telecom regulator Trai to lower termination charges for fixed-line and mobile calls in Supreme Court, seeking a stay on the move that will see consumer tariffs coming down.

Vodafone argued that Trai's new regulation on lowering Inter-Connection Usage Charges has been taken in “undue haste,” which is uncalled for, and at a time when some of the issues pertaining to the matter are already pending before the apex court. The application said, the decision would lead to a “grave and irreparable prejudice” to its business interests.

In its application, Vodafone said Trai should be “restrained from acting upon and giving effect” to the decision. “The impugned decision is in violation and contravention...and should be stayed till the appeal is pending.” The matter will come up for hearing soon.

On February 23, Trai had announced a reduction in charges that companies pay to terminate calls on competing networks. The measure, to be implemented from March 1, will benefit companies giving fixed-line services as they will be able to offer major benefits to consumers such as increased free monthly calls and minutes.

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