New Delhi, May 31
The Union Cabinet on Thursday approved a new telecom policy that aims to ultimately abolish roaming charges, allow users to retain their numbers even if they move from one zone to another, besides boosting transparency and growth in the scandal-hit sector.

The meeting was chaired by Prime Minister Manmohan Singh. The National Telecom Policy (NTP)-2012 would also simplify the licencing process and help in improving rural tele-density.

"The target is one nation-one mobile number portability and working towards one nation free roaming," Telecom Minister Kapil Sibal said. The draft of the new policy was released by Sibal in October last.

Under the new policy, roaming charges would be done away with thus allowing subscribers to use same number across country without having to pay extra money. Also, it would allow a subscriber to retain his/her original number while shifting base from one city or state to another.

However, consumers will have to wait for some time for this, as the Department of Telecom will first work out modalities of the new scheme before it is brought into force. No timeframe has yet been fixed for the implementation of the policy.

The minister said the new policy seeks to provide a predictable and stable policy regime for a period of nearly 10 years.

The NTP 2012 envisages increasing penetration of telecom services in rural area from current level of around 39 to 70 per cent by 2017 and 100 per cent by the year 2020. Incidentally, the draft NTP had suggested a 60 per cent rural penetration by 2017.

Under the new policy, broadband speed has been increased to minimum of 2 megabit per second (mbps). This change will come into force with immediate effect.

"The policy envisions providing secure, reliable, affordable and high quality converged telecommunication services anytime, anywhere for an accelerated inclusive socio-economic development," the official statement released after the Cabinet meeting said.

As per the new policy, telecom licences would now be de-linked from spectrum. The NTP 2012 will allow operators to provide services based on any technology by using airwaves and will not restrict them to use it for particular service using any specific frequency band.

Currently, there are frequencies which are specifically used for providing GSM or CDMA services as per the permit given to the companies.

Roaming Fun: With national roaming set to become free, the subscribers need not worry about charges being levied on them while travelling to a different city or state.

Broadband Boost: Speed increased to minimum of 2 mbps. This will come into force with immediate effect

More Transparency: Licences to be de-linked from spectrum. The policy will allow operators to provide services based on any technology by using airwaves and will not restrict them to use it for particular service using any specific frequency band.