2G pricing: TRAI rebuts telcos' claims -

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2G pricing: TRAI rebuts telcos' claims

Friday, 01 June 2012

The Telecom Regulatory Authority of India has refuted claims by telecom companies that its 2G spectrum recommendations were flawed. In a point-by-point rebuttal to the joint letter sent by CEOs of four telecom companies, TRAI said the proposed reserve price will not affect the industry's health.

“EBITDA and return on capital employed show a very healthy and increasing trend over the next 20 years. The internal rate of return is also robust,” TRAI has told the Department of Telecom, in reply to the joint letter from the telecom companies.

This assumes significance because the Telecom Commission has asked the regulator for a detailed analysis on the impact of the proposed base price on the industry. -Communications Today Bureau

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