New Delhi: The Telecom Regulatory Authority of India (TRAI) has initiated a comprehensive review of all the nine existing interconnection regulations, seeking stakeholder inputs on a wide range of issues including interconnection frameworks for satellite-based telecom networks, IP-based interconnections for 4G/5G networks, and a possible overhaul of various interconnection charges and procedures.
The consultation paper titled ‘Review of Existing TRAI Regulations on Interconnection Matters’ was released on Monday under Section 11(1)(b) of the TRAI Act, 1997, which empowers the regulator to fix terms and conditions for interconnectivity between service providers and ensure technical compatibility and effective interconnection across networks.
The review covers all nine interconnection-related regulations issued by TRAI over the last two decades, namely:
-- Telecommunication Interconnection Regulations, 2018
-- Short Message Services (SMS) Termination Charges Regulations, 2013
-- Intelligent Network Services in Multi-Operator and Multi-Network Scenario Regulations, 2006
-- TRAI (Transit Charges for BSNL’s CellOne Terminating Traffic) Regulations, 2005
-- Telecommunication Interconnection Usage Charges Regulations, 2003
-- Telecommunication Interconnection (Reference Interconnect Offer) Regulations, 2002
-- Telecommunication Interconnection (Charges and Revenue Sharing) Regulations, 2001
-- Telecommunication Interconnection (Port Charges) Regulations, 2001
-- Register of Interconnect Agreements Regulations, 1999
These frameworks, through successive amendments, have laid the foundation for fair competition, non-discriminatory practices, and seamless communication between networks, enabling effective connectivity in India’s multi-operator telecom ecosystem.
Adapting to Technological Evolution
TRAI said the review is intended to modernize the regulatory framework to align with rapid technological developments and changing industry structures.
Over more than two decades, India’s telecom sector has transitioned from circuit-switched networks to IP-based architectures, driven by 4G and 5G rollouts, as well as the emergence of new platforms such as satellite-based communications.
“The review aims to ensure that the regulatory framework takes into account evolution of technology and changes in the telecommunications sector,” TRAI said in a release. “It should also be ready and resilient to adapt to future developments.”
A key component of the review is the proposed framework for satellite-based telecommunications networks and their interconnection with existing terrestrial networks.
TRAI has sought stakeholder views on issues such as the nature and location of points of interconnect (PoIs) — particularly those involving satellite earth station gateways — and their linkage with mobile, fixed-line, and other satellite networks.
It has also asked whether distinct interconnection frameworks should be prescribed for mobile satellite service (MSS) and fixed satellite service (FSS) networks.
At the same time, the regulator is examining IP-based interconnection, which is becoming increasingly critical as telecom operators expand 4G and 5G networks that rely on all-IP architecture to enhance service quality and interoperability.
Currently, interconnections are established at the licensed service area (LSA) level for mobile networks and at district or tehsil levels for fixed-line networks. TRAI has sought feedback on whether this level of granularity remains suitable in a modernized environment.
Revisiting Interconnection Charges and Frameworks
The paper also delves into the commercial aspects of interconnection, including:
-- Interconnection usage charges (IUC), covering origination, carriage, transit and termination charges, both domestic and international.
-- Reference interconnect offer (RIO) framework, which defines the baseline terms and conditions for interconnection agreements between operators.
-- SMS termination and carriage charges, which may be revised in light of evolving messaging and NLDO (national long distance operator) arrangements.
-- International termination charges (ITC) for incoming international calls to India.
TRAI has asked stakeholders to provide inputs on whether these existing charges and frameworks need revision to reflect market realities, cost structures, and new modes of communication.
Process and Security Considerations
The consultation also seeks opinions on whether to revise existing processes related to provisioning, augmentation, and disconnection of PoIs, including the timelines and procedures for requesting new ports or expanding capacity at interconnection points.
To safeguard operators from potential financial defaults, TRAI has asked whether bank guarantees should be mandated between interconnecting entities. Additionally, it has invited comments on whether the financial disincentive framework under existing regulations requires revision.
Another emerging area of concern is network security and the increasing menace of telemarketing and robocalls. TRAI has asked whether new security provisions or measures to address such issues should be incorporated directly within the interconnection framework.
Global Best Practices and SMP Review
Recognizing that interconnection models vary globally, TRAI has invited stakeholders to suggest international regulatory models that have successfully resolved interconnection challenges and could be adapted for India’s context.
It has also asked if there is a need to revise the criteria for determining significant market power (SMP) — a key factor in ensuring fair play and preventing market dominance in interconnection arrangements.
The current paper follows a pre-consultation released on April 3, 2025, and incorporates feedback received from industry participants.
Written comments on the issues raised are invited by December 8, 2025, and counter-comments by December 22, 2025. The paper is available on TRAI’s official website www.trai.gov.in.
In essence, this sweeping review by TRAI aims to future-proof India’s interconnection ecosystem — ensuring that as telecom networks evolve to 5G, satellite, and beyond, the regulatory framework remains robust, fair, and technologically neutral.