TRAI’s new regulatory measures to enhance stability and competition in India’s telecom market

The Telecom Regulatory Authority of India (TRAI) has reassured telecom operators that they can continue operating under their existing licenses until expiration. This commitment provides regulatory stability and alleviates concerns regarding potential disruptions stemming from changes in contractual agreements.

Moreover, this assurance forms part of TRAI’s broader initiative to propose a new authorisation mechanism to simplify telecom operators’ service provision process. By enabling companies to offer a diverse range of services, including mobile, internet, international calls, and satellite connectivity, under a single license, TRAI aims to reduce the complexities associated with managing multiple licenses.

That shift marks a significant departure from the current regime in India, wherein operators often require numerous licenses for different services across various regions. Consequently, the proposed model is expected to enhance operational flexibility, foster innovation, and improve service quality while driving competitive tariffs that benefit consumers.

Furthermore, TRAI recognises the necessity of addressing industry concerns about potential rule changes without adequate notification. Therefore, it is committed to involving operators in discussions concerning significant regulatory shifts. In addition, TRAI plans to release consultation papers on satellite spectrum pricing and revisit its regulations on over-the-top (OTT) services, thus ensuring stakeholder participation in future telecom policy.

As a result, the anticipated benefits of these changes include improved service availability in remote areas, enhanced emergency services through satellite systems, and a more dynamic telecom market that reduces barriers for new entrants, ultimately promoting competition and innovation within the industry.