Next Gen Telecom

There's no need of separate 'Exit policy' for UAS License Holders whose licenses are cancelled- TRAI!

TRAI, the regulatory body, in recommendation released today, has directed that for UAS (Unified Access License) license holders (irrespective of time of license grant), there’s no need of separate exit policy. The judgement might bring surprise to those whose licenses are cancelled in recent Supreme Court judgement.

According to released statement, TRAI has defined ‘Exit Policy’ for following four types of licenses holders, namely

  1. 122 UAS License holders on or after 10 Jan 2008.
  2. UAS License holders before 10 Jan 2008
  3. NLD, ISP etc license holders.
  4. Future license holders.

In case of UAS license holders on or after 10 Jan 2008, whose licenses are cancelled by Supreme Court on 2 Feb 2012, can exit the telecom business by surrendering the spectrum with prior 60 days notice. TRAI has also mandated the prior 30 days advance notice to all the customers of UAS license holder, where license holder has to maintain the KPI (Key Performance Indicator) during the notice period to avoid breach of contract.  Regulator has also made it clear of non-refundable entry fee.

In case of UAS license holder prior Jan 2008, regulator is of opinion that due to extended coverage, network & subscribers base, it’s not advisable to have exit clause for them. In case, if required, exit policy will be worked out on case by case basis for them.

Regarding NLD, ISP & future licenses holder (UAS Only), regulator has mandated the same directive without more justification.

As of now, after cancellation of licenses by Supreme Court in Feb 2012, many of the operators have closed down the services, even before the deadline ( 2 June 2012). TRAI has already redirected them recently to re-start the services for next two months.




Tags : ISP Exit PolicyTelecom Regulator in IndiaTRAITRAI Exit Policy on TelecomUAS Exit PolicyUAS License holder in India