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Mobile Tariff Hike
Photo Courtesy: File image from Facebook/TRAI

Centre, telecom regulator will not intervene in Airtel, Reliance Jio, Vodafone Idea tariff hike: Report

| @indiablooms | Jul 04, 2024, at 08:54 pm

New Delhi/IBNS: The Government of India and the telecom regulator will not interfere or stop telecom companies from increasing prices, Economic Times reported, citing officials in the know.

According to the ET report, the tariffs in India are still among the cheapest in the world and authorities want the companies to ramp up their focus on quality of services.

"There is enough competition in the telecom sector and the situation is not critical that requires intervention of the authorities," an official told ET. "Consumers may feel some pinch of the price rise, but the hike has happened after three years."

Meanwhile, according to the report by ET, a senior official in the Telecom Regulatory Authority of India (TRAI) said, “There is a policy of forbearance in telecom tariffs and telcos are free to fix the tariffs. But they have to provide a good quality of service to consumers.”

This week, the country's three leading private telecom companies — Reliance Jio, Bharti Airtel and Vodafone Idea (VI) — increased mobile tariffs by 11-25 percent.

The hike is likely to help the companies in spending on telecom services in urban India to 2.8 percent of household expenditures in fiscal 2025 from 2.7 percent in FY24, while for rural households, it would go up to 4.7 percent from 4.5 percent but officials have called the hike "moderate", as per reports.

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