13/10/2011

14-10-2011: Highlights of draft National Telecoms Policy 2011......

Scarred by one of the biggest scandals in the country that led to the resignation and subsequent arrest of former communications minister A Raja, Sibal, on January 1 this year, after taking charge as the new minister, had said the government would bring in transparency and a level playing field for all service providers in the new telecom policy.

ET reviewed a copy of the draft National Telecoms Policy, the highlights of which are as follows:

Key Targets
1. Create knowledge based society through proliferation of broadband - provide 'broadband on demand' by 2015. Achieve target of 175 million broadband users by 2017 and 600 million by 2020.
2. To promote R&D & product development in telecom
3. To make India a global hub for telecom equipment manufacturing
4. Increase rural tele-density from 35% to 60% by 2017 and to 100% by 2020.
5. 80% of telecom networks to be domestically manufactured by 2020

Consumer initiatives
1. Abolish roaming charges
2. Mobile Number Portability, which is currently restricted to a circle-level basis, to be enhanced to allow consumers to retain their mobile numbers when they move to a new city or any location in the country without having to pay 'roaming charges'.
3. Strengthen grievance redressal mechanisms
4. Broadband speeds to be revised to 512 kbps & further to 2 Mbps by 2015 & 100 Mbps by 2020
5. Regulator to enhance consumer awareness on tariffs, services
6. Strengthen consumer protection act

Spectrum
1. Free up 300 MHz of airwaves for commercial telephony by 2017 & another 200 MHz of spectrum by 2020
2. All future spectrum allocations will be priced at market rates
3. Allow spectrum pooling, sharing & trading
4. Prepare a roadmap for spectrum availability for next 5 years
5. Reserve small amounts of spectrum in certain frequencies for indigenous development of products & technologies
6. Enact 'Spectrum Act', to deal with all issues connected with mobile permits, including re-farming, pricing of this resource, withdrawal of allotted spectrum and norms for sharing and trading.
7. To promote use of white space with low power devices

For mobile permits
1. To frame an exit policy for new entrants to surrender their mobile permits & airwaves
2. Delink licence from spectrum. Make mobile permits technology neutral and divide them into 2 categories - Network Service Operator & Service Delivery Operator
3. Allow sharing of networks
4. Regulate value added services, especially the carriage charge
5. To provide clear rules for renewal of all mobile permits
6. To put in place legal, regulatory and licensing framework for convergence of services, networks and devices
7. Move towards an unified licensing regime that will allow operators to offer any service
8. Address the Right of Way issues in setting up of telecom infrastructure
9. Relaxed M&A norms to allow consolidation

Telecom infrastructure issues
1. Recognizing telecom as infrastructure sector
2. Facilitate increased use of green tech for powering towers
3. Reducing carbon footprint of telecom sector

Security
1. Develop and deploy systems for lawful assistance
2. Service providers to ensure security of network and data flowing in it
3. Building capacity for lawful interception and monitoring
4. Standardisation of telecom equipment
5. Govt and private sector to share cost of implementing security measures

Skill Development
1. Promote training institutes in rural and urban areas
2. Encourage collaboration with IITs and other institutes
3. Form a high-level apex body - industry, academia and PSUs - to oversee skill development

Finance
1. Create telecom finance corporation to facilitate investment in the sector
2. Rationalise taxes affecting the sector to make services more affordable

New Technology and data use
1. Review encryption, security, taxation, internconnection issues
2. To take steps to reduce cost of service delivery
3. Transition from IPv4 to IPv6; encourage applications and R&D on IPv6
4. Formulate policy on Cloud services
5. Adopt best practices on privacy, network security, law enforcement assistance, prevention of cross border data flow

Role of regulator and DoT restructuring
1. Strong and independent regulator with more powers
2. Review Indian telegraph act with stakeholders
3. DoT to look after licencing and spectrum allocation, ministry to focus on policy making
4. Strengthen DoT units to monitor and enforce licence conditions
5. Strengthen public grievances cell