Categories: Business

TRAI issues show-cause notice to Vodafone Idea on priority plan, says offer misleading TRAI gave show cause notice to Vodafone Idea, misleading preferential plan


TRAI issues show-cause notice to Vodafone Idea on priority plan, says offer misleading

new Delhi. The Telecom Regulatory Authority of India (TRAI) has issued a show cause notice to private sector telecom company Vodafone Idea on its preferential plan. TRAI said the offer lacks transparency, is misleading and is not in line with regulatory principles.

In this notice, the regulator has asked Vodafone Idea to respond by 31 August. It explains why appropriate action should not be taken against the RedX tariff plan for violating its existing regulatory framework. A source said that a show cause notice has not been issued to Bharti Airtel. The source said that Airtel has spoken to follow TRAI's order and has also voluntarily revised its platinum offering. Therefore, TRAI is not pursuing the investigation thereon.

TRAI has in its show cause notice sent to Vodafone Idea that offering preferential 4G networks with relatively high data speeds is not in line with the existing regulatory framework. TRAI has stated in the show cause notice that there is a lack of transparency in the RedX tariff offering and this is misleading. The source said that Vodafone Idea has not been able to give satisfactory answers to TRAI on many issues.

One of the issues is how the company will ensure priority service and speed to customers taking premium plans. The second issue is how the priority plan will not adversely affect the services of non-premium customers. Earlier, Vodafone Idea had said in its reply that the new tariff plan is not a new service. TRAI is examining Vodafone Idea's priority plan RedX and Bharti Airtel's Platinum plan.

The regulator is ascertaining whether giving priority to some customers in the network through priority plans will affect the services of customers without premium service.

This post was published on August 26, 2020 3:04 pm

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