Telecom tower companies will be allowed to share active infrastructure soon

(Image: Pixabay)

In a big policy move that will bring in large investments in telecom networks, Digital Communications Commission (DCC) is likely to clear TRAI recommendations on broadening the scope of telecom infrastructure or tower service providers, at its next meeting.

If approved, this will allow sharing of infrastructure between tower companies, infrastructure companies and Internet Service Providers (ISPs), enhancing cost-savings and fostering competition in the space.

It will open the full sector for further investment. Indus Tower, Brookfield, ATC, Tower Vision and Internet services providers like Hathaway and Den networks could be among the beneficiaries of these recommendations.

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TRAI had suo-motu initiated a consultation process to review the 'Enhancement of Scope of Infrastructure Providers Category-I (IP-I) registration' in 2019. It had recommended that the telecom infrastructure providers be allowed to engage in partial active infrastructure sharing. TRAI had shared its recommendations with the Department of Telecom (DoT) in March before the lockdown began.

However, a DoT committee was not in consensus with certain recommendations of TRAI. There has been a debate between TRAI and DoT on registration versus licence. On November 18, the DCC asked TRAI to provide further clarification. However, TRAI in a letter sent to DoT on January 11, reiterated its stand on its recommendations.

The recommendations will now come up for consideration of DCC (apex body of telecom sector) at the meeting scheduled next week.

Enhancement of the scope of IPs-1 would help tower companies to actively share networks such as antenna, feeder cable, base stations, radio access network, transmission systems and optical fibre cable.

This will also help companies in sharing of In-Building Solutions, Wi-Fi access points, dark fibre, leased-lined, transmission bandwidth to non-licensed service providers such as cloud service providers, Internet exchanges, and data centres.

Meanwhile, speaking at the 15th India Digital Summit, TRAI Chairman PD Vaghela  outlined some of the steps that can be taken to make "speedy progress and to make India self-reliant" in the telecom space.

He also pointed out how investments need to be made in the complete telecom ecosystem, including research, innovation, standardisation, product development, testing and certification, to upgrade and expand technology development capabilities.

Vaghela said there is a need to push indigenous telecom products in India amid the booming growth in mobile and fixedline broadband as well as a rise of Industry 4.0 and digital automation.

India's IT industry capability can be leveraged to build, operate and maintain software products that can serve Indian as well as global telecom industry, at a reasonable price, he noted.