Understanding TRAI

TRAI was established with the primary aim of fostering a conducive environment for the growth of the telecommunication industry in India, thus enabling India to be part of the global information society. It is a statutory body that regulates the telecommunication sector in the country.

The Telecom Regulatory Authority of India (TRAI) was established on February 20, 1997, under the Telecom Regulatory Authority of India Act, 1997. It was given the mandate to regulate telecom services, including the fixation/revision of tariffs for telecom services, a responsibility that was previously vested in the Central Government.

The Structure of TRAI

• The structure of TRAI includes a chairman and a minimum of two full-time members and a maximum of two-part members, all appointed by the Central Government.
• The members are expected to possess specialized knowledge or professional experience in fields such as telecom, industry, finance, accountancy, law, management, and consumer affairs.
• Only senior or retired Government officers who have served for at least three years as secretary/additional secretary to the Union or State Governments can be appointed as members.

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Telecom Disputes Settlement Appellate Tribunal (TDSAT)

• The TRAI (Amendment) Ordinance, 2000, considerably diluted the powers of TRAI. The regulation of telecom services is now the responsibility of TRAI and the newly established Telecom Disputes Settlement Appellate Tribunal (TDSAT).
• These bodies are tasked with adjudicating disputes, disposing of appeals, protecting the interests of service providers and consumers, and promoting and ensuring the orderly growth of the telecom sector.

The composition of TDSAT includes a chairman and a maximum of two whole-time members and two part-time members, appointed by the Government. TDSAT is mandated to adjudicate disputes between a licensor and a licensee; between two or more service providers; between a service provider and a group of consumers.

The Union Government, State Government, any local authority, or any individual can approach the TDSAT for adjudication on issues related to disputes between the aforementioned parties.

The chairperson and members of this tribunal are appointed by the Government of India in consultation with the Chief Justice of India.

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The Powers and Functions of TRAI

The main powers and functions of TRAI include:

• Recommending the need for and timing of introduction of new service providers and terms and conditions of the license to a service provider;
• Ensuring technical compatibility and inter-connect between different service providers and regulating their revenue-sharing arrangements;
• Ensuring compliance with terms of license and revaluation of the same for non-compliance;
• Laying down and ensuring a time period for providing long-distance and local distance circuits;
• Facilitating competition and promoting efficiency in operations to promote the growth of telecom services;
• Protecting consumers’ interest, monitoring the quality of services, inspecting equipment used in networks and making recommendations about such equipment;
• Maintaining a register of interconnect agreements and keeping it open for inspection and to settle disputes among the service providers in this respect;
• Advising the government on any matter related to the telecom industry. Levying fees and charges for services and, ensuring that universal service obligations are complied with; and
• Performing any other administration and financial function as may be entrusted to it by the Central Government.