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India should aim to achieve 'net zero imports of telecommunication equipment' by 2022: TRAI

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Published : Jul 23, 2020, 2:01 PM IST

TRAI has released its recommendation on "Promoting Local Telecom Equipment Manufacturing" on 3rd August 2018 to DOT. It has recommended that India should aim to achieve the objective of 'net zero imports of telecommunication equipment’ by 2022 said TRAI chairman R.S. Sharma in an exclusive interview with ETV Bharat.

TRAI chairman R.S. Sharma
TRAI chairman R.S. Sharma

New Delhi: Airtel and Vodafone Idea’s special plans that promised faster internet speed to a select few customers will likely impact the services of other customers as the bandwidth per BTS is fixed, says TRAI chairman R.S. Sharma in an exclusive interview with ETV Bharat. Speaking to ETV Bharat’s Gautam Debroy, R.S. Sharma also spoke about India’s dependence on imported telecom equipment saying that some countries initially dumped their electronics & telecom equipments in the country to kill the domestic industry so that they can raise the prices later.

Edited Excerpts:

Q: Do you believe that Bharti Airtel and Vodafone Idea’s plan of providing faster speeds to certain priority users may cause deterioration of services for other subscribers?

Prima facie, since bandwidth per BTS is fixed, any priority to a few customers is likely to impact the services of other common customers. It appears that the plans to provide priority to few select customers may adversely impact common customers.

Further, such plans have not clearly indicated the so called ‘faster speed’ to facilitate customers to make informed decision.

The matter is being examined in detail by the TRAI, and we will be able to reach to the conclusion based on our examination.

Q: Telecom being a sensitive sector, do you think that it’s necessary to promote domestic manufacturing of telecom equipment and digital sovereignty?

Few countries have purposefully adopted strategies to initially dump electronics items to kill our domestic industry, and then they raise the prices. We need to realize these tactics and should immediately implement the preferential market access policy.

I believe, that unless we provide more opportunities to our own domestic players, India will not succeed in local manufacturing.

TRAI has released its recommendation on "Promoting Local Telecom Equipment Manufacturing" on 3rd August 2018 to DOT. TRAI recommended that India should aim to achieve the objective of 'net zero imports of telecommunication equipment’ by 2022.

For this purpose, Telecom Equipment Manufacturing Council (TEMC), should identify and recommend specific areas of priorities.

A special Rs 1,000 crore fund should be created to promote research, innovation, standardization, design, testing, certification and manufacturing indigenous telecom equipment in the country.

I believe Government policies have paid rich dividends, but more needs to be done.

Q: Following BSNL’s approach not to use Chinese-made equipment in its upgradation, do you think that it is feasible to ban Chinese telecom equipment deployment?

I believe we can manufacture all telecom equipment needed by us in our country.

Government is giving all sorts of incentives to manufacture equipment in India and Indian companies should use this opportunity to develop technology and manufacture equipment within the country.

It is more about self-reliance in this critical area of high importance then about banning the deployment of Chinese equipment.

Q: What kind of response you did you get for the New Tariff Order for the broadcast industry?

The new regulatory framework is based on transparency, non-discrimination, protection of consumer interest and enabling orderly growth of the sector as its core principles. The new framework is consumer-centric, enabling them to transparently select and watch TV channels as per their choice.

The freedom of choice means a direct control of the consumer on his monthly bill for television services.

Regulation of a sector where multiple stakeholders operate in the service delivery value chain, requires deft balancing of disparate interests.

Read more:Explained: What is the debate over decriminalisation of bounced cheques

The new regulatory framework provides ample flexibility to offer channels either on a-la-carte basis or as a bouquet.

In fact, the new framework has removed any ceiling from the channel prices that was in-force since 2004.

Analysis reveals that new regulatory framework has brought the transparency in TV channel pricing and harmonized business processes in the sector.

In order to bring in transparency, prices of channels and cost of network have been separated in the new framework.

Broadcasters have flexibility to decide MRP of their channels. For recovery of network cost NCF has been prescribed.

These amendments will usher in better consumer offerings, more flexible tariff schemes, and more choices for consumers. Overall, the amendments are expected to result in healthier & structured growth of the Broadcasting and Cable Services sector.

Q: Could you please comment on the critical role played by telecom sector in tackling Covid-19 pandemic?

As we practice social distancing and self-quarantine, the only way to maintain a semblance of normalcy is to connect remotely.

Consequent to nationwide lockdown, the stay at home and work from home requirements have necessitated transformation of many homes into remote offices, virtual conference rooms, online schools for children, and in some cases video streaming hub for entertainment of the family.

Like clean water and electricity, broadband access has become a modern-day necessity. It would be difficult to imagine life without broadband connectivity.

In essence, the new normal would be a life supported with telecom connectivity and digital tools.

Q: Do you think that it’s high time the government should implement National Digital Communications Policy (NDCP) 2018?

The three principal focus areas of the policy are: Connect India, Propel India, and Secure India.

While connect India emphasizes on promoting broadband for All, propel India aims to harness the power of emerging digital technologies, including 5G, AI, IoT, Cloud and Big Data for growth of digital economy.

Secure India aims to protect the interests of citizens and safeguard the digital sovereignty of India with a focus on ensuring individual autonomy and choice, data ownership, privacy, and security, while recognizing data as a crucial economic resource.

It aims to provide universal broadband connectivity at 50 Mbps to every citizen, 10 Gbps connectivity to all Gram Panchayats of India by 2022, enable broadband on demand to all key development institutions and ensure connectivity to all uncovered areas.

Q: Any comment on PM’s interaction with Google’s CEO Sundar Pichai? How technology can help India’s farmers and youth?

I would not like to comment on the interaction between our Prime Minister and Google CEO. However, technology is transforming the lives of India’s farmers as well as youth in multiple ways.

It can be used for effective planning, improving productivity, safe storage, and disintermediation. It includes a national agriculture market (e-Nam), Meghdoot cloud for forecasting services related to agriculture, among other things.

New Delhi: Airtel and Vodafone Idea’s special plans that promised faster internet speed to a select few customers will likely impact the services of other customers as the bandwidth per BTS is fixed, says TRAI chairman R.S. Sharma in an exclusive interview with ETV Bharat. Speaking to ETV Bharat’s Gautam Debroy, R.S. Sharma also spoke about India’s dependence on imported telecom equipment saying that some countries initially dumped their electronics & telecom equipments in the country to kill the domestic industry so that they can raise the prices later.

Edited Excerpts:

Q: Do you believe that Bharti Airtel and Vodafone Idea’s plan of providing faster speeds to certain priority users may cause deterioration of services for other subscribers?

Prima facie, since bandwidth per BTS is fixed, any priority to a few customers is likely to impact the services of other common customers. It appears that the plans to provide priority to few select customers may adversely impact common customers.

Further, such plans have not clearly indicated the so called ‘faster speed’ to facilitate customers to make informed decision.

The matter is being examined in detail by the TRAI, and we will be able to reach to the conclusion based on our examination.

Q: Telecom being a sensitive sector, do you think that it’s necessary to promote domestic manufacturing of telecom equipment and digital sovereignty?

Few countries have purposefully adopted strategies to initially dump electronics items to kill our domestic industry, and then they raise the prices. We need to realize these tactics and should immediately implement the preferential market access policy.

I believe, that unless we provide more opportunities to our own domestic players, India will not succeed in local manufacturing.

TRAI has released its recommendation on "Promoting Local Telecom Equipment Manufacturing" on 3rd August 2018 to DOT. TRAI recommended that India should aim to achieve the objective of 'net zero imports of telecommunication equipment’ by 2022.

For this purpose, Telecom Equipment Manufacturing Council (TEMC), should identify and recommend specific areas of priorities.

A special Rs 1,000 crore fund should be created to promote research, innovation, standardization, design, testing, certification and manufacturing indigenous telecom equipment in the country.

I believe Government policies have paid rich dividends, but more needs to be done.

Q: Following BSNL’s approach not to use Chinese-made equipment in its upgradation, do you think that it is feasible to ban Chinese telecom equipment deployment?

I believe we can manufacture all telecom equipment needed by us in our country.

Government is giving all sorts of incentives to manufacture equipment in India and Indian companies should use this opportunity to develop technology and manufacture equipment within the country.

It is more about self-reliance in this critical area of high importance then about banning the deployment of Chinese equipment.

Q: What kind of response you did you get for the New Tariff Order for the broadcast industry?

The new regulatory framework is based on transparency, non-discrimination, protection of consumer interest and enabling orderly growth of the sector as its core principles. The new framework is consumer-centric, enabling them to transparently select and watch TV channels as per their choice.

The freedom of choice means a direct control of the consumer on his monthly bill for television services.

Regulation of a sector where multiple stakeholders operate in the service delivery value chain, requires deft balancing of disparate interests.

Read more:Explained: What is the debate over decriminalisation of bounced cheques

The new regulatory framework provides ample flexibility to offer channels either on a-la-carte basis or as a bouquet.

In fact, the new framework has removed any ceiling from the channel prices that was in-force since 2004.

Analysis reveals that new regulatory framework has brought the transparency in TV channel pricing and harmonized business processes in the sector.

In order to bring in transparency, prices of channels and cost of network have been separated in the new framework.

Broadcasters have flexibility to decide MRP of their channels. For recovery of network cost NCF has been prescribed.

These amendments will usher in better consumer offerings, more flexible tariff schemes, and more choices for consumers. Overall, the amendments are expected to result in healthier & structured growth of the Broadcasting and Cable Services sector.

Q: Could you please comment on the critical role played by telecom sector in tackling Covid-19 pandemic?

As we practice social distancing and self-quarantine, the only way to maintain a semblance of normalcy is to connect remotely.

Consequent to nationwide lockdown, the stay at home and work from home requirements have necessitated transformation of many homes into remote offices, virtual conference rooms, online schools for children, and in some cases video streaming hub for entertainment of the family.

Like clean water and electricity, broadband access has become a modern-day necessity. It would be difficult to imagine life without broadband connectivity.

In essence, the new normal would be a life supported with telecom connectivity and digital tools.

Q: Do you think that it’s high time the government should implement National Digital Communications Policy (NDCP) 2018?

The three principal focus areas of the policy are: Connect India, Propel India, and Secure India.

While connect India emphasizes on promoting broadband for All, propel India aims to harness the power of emerging digital technologies, including 5G, AI, IoT, Cloud and Big Data for growth of digital economy.

Secure India aims to protect the interests of citizens and safeguard the digital sovereignty of India with a focus on ensuring individual autonomy and choice, data ownership, privacy, and security, while recognizing data as a crucial economic resource.

It aims to provide universal broadband connectivity at 50 Mbps to every citizen, 10 Gbps connectivity to all Gram Panchayats of India by 2022, enable broadband on demand to all key development institutions and ensure connectivity to all uncovered areas.

Q: Any comment on PM’s interaction with Google’s CEO Sundar Pichai? How technology can help India’s farmers and youth?

I would not like to comment on the interaction between our Prime Minister and Google CEO. However, technology is transforming the lives of India’s farmers as well as youth in multiple ways.

It can be used for effective planning, improving productivity, safe storage, and disintermediation. It includes a national agriculture market (e-Nam), Meghdoot cloud for forecasting services related to agriculture, among other things.

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