Bharti Airtel and Vodafone Idea Suggest Higher Floor Tariff Bharti Airtel and Vodafone Idea have asked Trai to set up floor tariff at Rs 30 and Rs 35 per GB as it will revive the telco giants and ensure their viability in the market. However, the numbers suggested by the telcos are more detailed. Whereas, Reliance Jio suggested that floor price must be set at Rs 20 per GB, which will sustain the investments in the telecom industry. Reliance Jio also marked that the floor tariffs must not be based on the cost recovery and reasonable return approach, whereas Bharti Airtel and Vodafone Idea strongly supports the method. Also, Reliance Jio suggested that mobile termination rates must be set up at Rs 0.06 per minute. Whereas, Bharti Airtel and Vodafone Idea suggested a floor price for an unlimited voice call. Will Floor Price Regulate the Market? As of the current scenario of the telecom industry, telcos have been facing trouble because of AGR dues. All the telcos have to pay a cumulative amount of Rs 1.47 lakh crore to DoT towards AGR dues. Vodafone Idea which is the most troubled telco has to pay a whopping amount of Rs 53,000 crore out of which the telco giant has just paid Rs 3,500 crore. In such a situation, a uniform floor price will help the telcos to gain their Average revenue per user (ARPU) and survive the financial distress. Not only this, but the floor price will also benefit the telcos to provide better service to their customers.
