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TRAI releases Draft Telecommunication Tariff Order, 2025

Published: Jan 16, 2025

By TIOLCorplaws News Service

NEW DELHI, JAN 16, 2025: DEPARTMENT of Telecommunications (DoT), Ministry of Communications, Government of India, in its communication to TRAI highlighted that the proliferation of the PM-WANI scheme was significantly below the envisaged targets. One of the reasons cited for this low proliferation of PM-WANI was the high cost of backhaul internet connectivity charged by Telecom Service Providers (TSPs) and Internet Service Providers (ISPs). It was also stated that TSPs and ISPs often required Public Data Offices (PDOs) to connect public Wi-Fi access points using expensive internet leased lines under the guise of commercial agreements.

In order to address this issue, TRAI released the Draft Telecommunication Tariff (70th Amendment) Order, 2024 on 23rd August 2024 proposing that the tariff for broadband services provided to PDOs under the PM-WANI scheme be aligned with retail broadband (FTTH) tariffs. Comments and counter-comments were invited from stakeholderson the proposed framework.

Subsequently, on 16th September 2024, DoT issued amendments to PM-WANI framework by removing the requirement for PDOs to enter commercial agreements with TSPs for internet connectivity and permitting PDOs to network up to 100 access points to establish a single Wi-Fi hotspot.

In the light of DoT's amendment dated 16th September 2024, stakeholders' comments and counter received on Draft TTO (70th amendment), and further internal analysis, the Authority proposes revised Draft Telecommunication Tariff (71st Amendment) Order prescribing that the broadband tariff (FTTH) for PDOs under the PM-WANI scheme should not exceed twice the tariff applicable for retail broadband (FTTH) services of corresponding capacity offered by service providers.

This proposal is aimed at supporting the effective proliferation of PM-WANI hotspots and fostering a sustainable ecosystem that ensures a balanced relationship between PDOs and service providers. This initiative is aimed at contributing to the broader objectives of the National Digital Communications Policy, 2018, and Bharat 6G Vision, which target the deployment of 50 million public Wi-Fi hotspots by 2030.

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