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'MTNL, DTS Should Learn To Compete'

For a man accused of having a yen for populism, Union telecommunications minister Ram Vilas Paswan has been remarkably market-friendly. In an interview to Outlook, he reiterates his commitment to fulfilling the ministry's social service obligations.

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'MTNL, DTS Should Learn To Compete'
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You’ve given telecom players a host of concessions, the latest being a directive to state governments not to charge them right-of-way fees?

This was something that was decided at the information technology ministers’ conference. The consensus was that no right-of-way fee should be charged for laying optic fibre cables. But the damage caused to national and state highways should be repaired by the concerned basic service operator. It was not meant to be a directive but is a mere guideline to the state governments.

You seem to have overcome your reservations about unlimited competition by allowing 100 per cent FDI in telecom?

Free competition is in the interests of the consumer, who will get better service as a result. As for FDI, well, it depends on which area of telecom you are talking about. But no final decision has been taken.

You have said you want to ensure a level playing field.

We want our own agencies, VSNL, MTNL and DTS (now BSNL) to compete in the market like any other player.

If so, who will look after the non-profit rural sector?

We are committed to rural telephony. Under the rules for granting licenses to basic service operators, they were to provide connections in about one lakh villages throughout the country.

But they haven’t done so.

They have only done it in about a dozen cases. Everyday, we have been holding meetings with these companies to find out a way so that they can keep their commitments. Already, because of the delay, we have levied penalties of Rs 53 crore. If they still do not comply, their licenses can be terminated.

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