NEW DELHI: The Telecom Regulatory Authority of India (Trai) is tightening rules on mobile tariffs after finding that telecom operators have fallen short of its earlier mandate on voice-and-SMS-only plans, limiting choice and blunting price benefits for users.
In draft regulations released on Tuesday, the regulator proposed that telecom companies offer voice-and-SMS-only plans across all recharge durations, not just a handful of long-term packs, and ensure these are priced lower than bundled plans that include data.
The move follows Trai’s review of its December 2024 rules, which had required operators to offer at least one such plan. It found that companies largely complied in form, offering only a couple of long-duration options such as 80/84 days or annual packs, leaving users with limited flexibility.
“After the introduction of these exclusive voice and SMS STVs (special tariff vouchers), several concerns and representations from consumers and their associations have been received by the Authority, expressing need for shorter-duration voice and SMS only packs,” Trai said in the draft regulations.
If implemented in its current form, the proposal could benefit low-income users, elderly subscribers and those using feature phones, who typically prefer shorter-duration, lower-cost recharges without data.
Trai said the changes are aimed at preventing consumers from being pushed into bundled plans. “At the same time, it provides consumers with greater choice of Voice and SMS-only packs, placing them at par with data-inclusive packs,” it said, adding that lack of parity goes against the objective of ensuring fair, equal and non-discriminatory choices for all consumers, regardless of their service requirements.
It has sought comments from stakeholders by 28 April.
Regulator vs operators
Voice-and-SMS-only plans were first mandated by Trai in December 2024, through the 12th amendment to its consumer protection rules. Operators were asked to offer at least one special tariff voucher exclusively for voice and SMS with validity period not exceeding 365 days.
“The authority is of the view that the manner in which the TSPs (telecom service providers) have implemented the TCPR (Telecom Consumer Protection Regulation) 12th Amendment, the outcome has been inadequate,” Trai said.
Industry has remained opposed to the move.
During consultations, the Cellular Operators Association of India (COAI) argued that tariff structures should be left to market forces. “We strongly believe that the existing tariff packs offered by TSPs are well aligned with evolving market trends and customer needs and hence no specific intervention is required in this regard, and any such aspect should be left to market forces,” the association had said in its comments to Trai on 29 August 2024.
It also said that since telecom liberalization in India, neither the regulator nor the government has mandated service-specific offerings, maintaining principles of technology and service neutrality in the retail market.
“Tariff plans are well aligned with the usage patterns which includes flexible validity periods, ranging from single-day options to year-long subscriptions (1 to 365 days) and customizable data allocations, accommodating both high-volume users with up to 3GB daily allowances and light users with as little as 0.06 GB per day,” COAI had told Trai.
Operators subsequently introduced voice-and-SMS-only plans in line with the rules. For instance, Reliance Jio offers plans priced at ₹448 for 84 days with 1,000 SMS and ₹1,748 for 336 days with 3600 SMS, according to its app. Vodafone Idea lists plans at ₹470 for 84 days with 900 SMS and ₹1,849 for 365 days with 3,600 SMS on its website.
Two industry executives said uptake remains limited, with subscriptions for such plans at just over 7 million users, compared with India’s total mobile subscriber base of 1.14 billion as of February end.
Trai said pricing of these vouchers must reflect the absence of data benefits. Since these packs only offer voice and SMS, their prices should be reduced proportionately compared to bundled plans that include data, it said.
It also proposed that such plans be clearly published, prominently displayed and made easily accessible across customer touchpoints, including retail outlets, customer care centres, websites and mobile applications.
