DoT has proposed that a National Interconnect Exchange (NIE) be D set up to overcome the problem of interconnection delays between telecom operators, leading to network congestion and poor service.

The NIE will operate on a no profit, no loss basis and will be a onestop shop for interconnections among different networks across the country. DoT plans to take a 26 per cent stake in NIE with the balance to be shared by telecom operators. To begin with, the NIE will function under the state-run BSNL. It is expected to be operational in the states by March 2007, and by December all long distance charging areas will have the exchange.