📋 Tender Overview
The Telecom Regulatory Authority of India (TRAI) has today released Recommendations on the 'Framework for Service Authorisations to be Granted Under the Telecommunications Act, 2023’.
The Department of Telecommunications (DoT) through a letter dated 21.06.2024 informed TRAI that the Telecommunications Act, 2023 has been published in the Official Gazette of India; and the Section 3(1)(a) of the Act provides for obtaining an authorisation by any entity/ person intending to provide telecommunication services, subject to such terms and conditions, including fees or charges, as may be prescribed. With the letter, DoT also shared a background note on related aspects, including relevant sections of the new Act that may have a bearing on the terms and conditions of authorisations.
The Department of Telecommunications (DoT), through the said letter dated 21.06.2024, under Section 11(1)(a) of the TRAI Act, 1997 (as amended), requested TRAI to provide recommendations on terms and conditions, including fees or charges, for authorisation to provide telecommunication services as per the provisions of the Telecommunications Act 2023.
In this regard, the Authority issued a Consultation Paper on the ‘Framework for the Service Authorisations to be Granted Under the Telecommunications Act, 2023' on 11.07.2024 providing the background information, and seeking comments and counter comments from stakeholders on 61 issues raised in the consultation paper. The last date for furnishing comments and counter comments initially was 1st August 2024 and 8th August 2024, respectively. However, on the request of many stakeholders the last date for furnishing written comments and counter comments was extended to 8th August 2024 and 16th August 2024, respectively.
In response to the issues raised in the consultation paper, 48 stakeholders furnished comments, and 17 stakeholders furnished counter comments. As part of the consultation process, TRAI conducted an Open House Discussion (OHD) on the consultation paper through virtual mode on 21.08.2024. After the OHD, seven stakeholders furnished additional written submissions. During the consultation process, stakeholders participated very actively and provided detailed inputs in response to the issues raised in the consultation paper. In all, 21 associations, 22 service providers, six companies and organisations, and one Consumer Organisation furnished written submissions running over 1700 pages, while over 250 participants attended the OHD.
Based on the comments received from stakeholders during the consultation process, and on its own analysis, TRAI has finalized the Recommendations on the ‘Framework for Service Authorisations to be Granted Under the Telecommunications Act, 2023’. These recommendations are aimed at a significant revamp of the existing telecommunication service licensing regime in the country and at fostering growth and enhancing ease of doing business in the sector. Through these recommendations, the Authority has recommended a new service authorisation framework, apart from detailed terms and conditions of various service authorisations to be granted under the Telecommunications Act, 2023.
The recommendations on the ‘Framework for Service Authorisations to be Granted Under the Telecommunications Act, 2023’ consist of four chapters, running into over 350 pages. The terms and conditions to be included in the different Rules for different service authorisations have also been recommended. In total, there are 14 Rules for recommended service authorisations running into 440 pages. Salient points of these recommendations are given below:
The Central Government should grant Service Authorisation under section 3(1) of the Telecommunications Act, 2023 instead of entering into an agreement with the entity.
The authorisation should be a concise document, containing the essential elements and the terms and conditions for a service authorisation should be prescribed through the Rules to be notified under the Telecommunications Act, 2023.
The Broad contours of various service authorisations including the eligibility conditions, scope of service, validity period etc. should be in the form of rules for Grant of Service Authorisations.
The Authority has recommended three broad categories of telecommunication service authorisations namely,
Main service authorisations
Auxiliary service authorisations
Captive service authorisations
The main service authorisations cover all primary telecommunication services that are involved in the delivery of telecommunication services to public at large such as Access Services, Internet services, Long Distance Services, Satellite based telecommunication services and M2M WAN services.
All main service authorisations can be granted in two sub-categories viz. Network Service Operator (NSO), and Virtual Network Operator (VNO). For the VNOs, multi-parenting with Access Service NSOs has been permitted except for wireless services, where parenting can be with only one Network Service Operator (NSO).
Auxiliary service authorisations include all other existing service authorisations (other than Captive services), which are in general provided to the enterprise users and not to public at large and have very light touch regulatory oversight It includes services such as PMRTS, PM-WANI, M2M Service and M2M service and WPAN/ WLAN Connectivity Service, Enterprise Communication Services, IFMC, Data Communication Service between Aircraft and Ground Stations, etc. Each service authorisation will be governed by different terms and conditions which has to prescribed through different Rules for each service authorisation.
Captive service authorisation covers the service authorisations for establishment of captive network after obtaining assignment of spectrum from Central Government, such as CMRTS, CNPN, Captive VSAT CUG etc.
