Telecom operators Bharat Sanchar Nigam Limited (BSNL), Mahanagar Telephone Nigam Limited (MTNL) and Videocon Telecom are considering reducing fixed-line call rates. This comes after the Telecom Regulatory Authority of India (TRAI) recently removed network interconnection charges, which are paid by landline service providers to other service provider for transmitting its customers' phone calls.

BSNL has displayed its interest to introduce its reduced call rates in 2015-16. Meanwhile, MTNL is also considering reducing its rates. The company is of the view that TRAI’s mandate will encourage adoption of fixed line for increasing broadband penetration in the country. Videocon Telecom has also stated that it intends to pass on the benefit of this change in interconnection charges to its customer by means of reduced tariffs for local and STD calls.

TRAI’s recent amendments has removed the interconnection charge in the landline-to-landline or landline-to- mobiles calls, which was earlier Re 0.20. TRAI has also reduced network interconnection usage charges on calls made from mobile phones by about 30 per cent to Re 0.14 per call from Re 0.20.