MNP Charges To Be Borne By Telcos – TRAI


Mobile Number Portability has been on everyone’s watchlist for quite some time. Here, at WATBlog, we’ve tried to keep you updated on all the hype surrounding MNP. We’ve blogged about MNP and how it could affect the telecom space. So, it was a pleasant surprise when TRAI finally issued draft guidelines, a definitive step towards the implementation of MNP. However, much like the 3G Auction fiasco, it has faced roadblocks.

In our earlier article : we wrote “In a competitive telecom market like India’s it’s unlikely that people would change unless they are extremely dissatisfied with the service. Also, since almost all the players provide similar services and prices, the Rs. 250-400 transfer cost might prove to be a deterrent. This however could serve as an opportunity for new entrants in the industry. New telecom operators might decide to bear the cost of transfer on themselves in order to lure users to  change.”

TRAI seems to agree with our train of thought, somewhat.  They have now suggested that the telecom companies should bear the cost of Mobile Number Portability. The body has requested the stakeholders’ opinion on charges, after which they will decide what costs are to be paid by the customer. This move has obvious negative implications for the operators.

The salient points of the consultation paper are :

  1. Recipient operator shall not charge any additional fee for porting-in the mobile number of the subscriber other than the ‘porting charge’
  2. The porting charge shall not be more than the “per port (of) transaction charge” to be paid by the operator to the MNP service provider

TRAI is yet to finalise the exact charge and an official refused to comment on rumours that it could be between Rs. 250-300. This could delay the proceedings by a month at least.


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