The Telecom Regulatory Authority of India (TRAI) is likely to recommend that the one-time entry fee for operators remains non-refundable. As per TRAI?s recently released draft response on exit policy it is clear that the regulator plans to suggest to the government that the current rules of non-refunding of the entry fee once paid by operators should continue.
As per the existing rule, the one-time entry fee paid by operators for acquiring licences is not returned to operators in case they lose or surrender their permits. However, in the wake of recent Supreme Court?s verdict to revoke 122 controversial licences issued in 2008, some of the affected operators had suggested fees be refunded. Alternatively, they have requested that the onetime charges that they paid be offset against any payment due with regard to the upcoming 2G auction.
The government in 2011 had asked TRAI to give its proposals on an exit policy for operators who wish to quit their operations in India. TRAI in its draft response paper has also stated that it would recommend to the government there is no need for a separate exit policy and continue with rules that allow a telecom licensee to surrender licences by giving notice of at least 60 days.