Document text
1
UL Agreement updated up to 31.03.2024
GOVERNMENT OF INDIA
MINISTRY OF COMMUNICATIONS
DEPARTMENT OF TELECOMMUNICATIONS
SANCHAR BHAWAN, 20, ASHOKA ROAD,
NEW DELHI-110 001, INDIA.
LICENSE AGREEMENT
FOR
UNIFIED LICENSE
NO. ____________________________ DATED ________
TOTAL PAGES ____________
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UL Agreement updated up to 31.03.2024
LICENSE AGREEMENT
FOR
UNIFIED LICENSE
This Agreement is made on the _______ day of ____________ (month),
___________
(year)
between
the
President
of
India
acting
through
__________________ (Name & Designation of the Officer), Department of
Telecommunications (DoT), Sanchar Bhawan, 20, Ashoka Road, New Delhi – 110 001
(Hereinafter called the Licensor) of the FIRST PARTY.
AND
M/s __________________, a company registered under the Companies Act 2013,
having its registered office at ______________________________________________
acting through Shri. _______________________, the authorized signatory (hereinafter
called the Licensee which expression shall, unless repugnant to the context, include its
successor in business, administrators, liquidators and assigns or legal representatives)
of the SECOND PARTY.
WHEREAS by virtue of the provisions of Section 4 of the Indian Telegraph Act,
1885, the Licensor enjoys exclusive privilege to grant License for telecom services and
the Licensee has requested the Licensor for grant of Unified License with authorization
for providing services under Chapter …, ... and ….. , Part-II of the Schedule of the Unified
License in the service areas as mentioned in the Table below. Whereupon and in
pursuance to the said request, the Licensor has agreed to grant Unified License with
authorization for provision of services as per terms and conditions described in the
Schedule to the Unified License Agreement, Part-I and Chapters….., …, … and …. of
Part-II for services and service areas as detailed below:
Sl.
No.
Service
Service Area
Chapter of the PART-II of
Schedule
Whereas, Table shown hereinabove is subject to amendment for addition/deletion of
services and service areas in the event of grant of any further service authorization or
revocation / surrender / termination of any of the service authorized under the license, in
accordance with the terms and conditions contained in the schedule to the License.
NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:
1.
In consideration of the payment of Entry Fee, License Fee and due performance
of all the terms and conditions mentioned in the above stated Parts and Chapters of this
Unified License on the part of the Licensee, the Licensor does, hereby grant under
Section 4 of the Indian Telegraph Act, 1885 on a non-exclusive basis, this License to set
up and operate the Service(s) in the service areas detailed and described above.
2.
This License shall be valid for a period of 20 years from the effective date of this
License unless revoked earlier for reasons as specified elsewhere in the document.
Validity period for service(s) authorized under any Chapter of Part-II of this Unified
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UL Agreement updated up to 31.03.2024
License, at a later date, shall be co-terminus with the validity period of this Unified
License.
3.
The Licensee hereby agrees and unequivocally undertakes to fully comply with all
terms and conditions stipulated in this License Agreement and without any deviation or
reservations of any kind.
4.
Effective Date of this License shall be ……………….
5.
This Unified License has been granted on non-exclusive basis and additional
Licenses may be issued in any Service Area from time to time in future without any
restriction on number of Licensees with same or different entry conditions.
6.
The License shall be governed by the provision of Indian Telegraph Act, 1885,
Indian Wireless Telegraphy Act, 1933 and Telecom Regulatory Authority of India Act,
1997 and Information Technology Act, 2000, as modified or replaced from time to time
or any other relevant Act.
IN WITNESS WHEREOF the parties hereto have caused this Agreement to be
executed through their respective authorized representatives on the _________(day)
__________(month), ______(year).
Signed for and on behalf of Signed on
President of India Behalf of
M/s.______________________
By
By
_____________________
_______________________
(Name and Designation),
(Name and Designation),
DOT, New Delhi
authorized signatory and holder of
General
Power
of
Attorney
dated
_______________,
executed
in
accordance with the Resolution No.
________________,
dated
______________ passed by the Board
of Directors. (Company Seal)
In the presence of:
Witnesses:
1. Signature
Name
Occupation.
Address
Place.
2. Signature
Name
Occupation.
Address
Place.
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TABLE OF CONTENTS
Page No.
Schedule
: TERMS AND CONDITIONS
8
PART – I
Chapter I
: General Conditions
9
Condition 1: Ownership of the Licensee Company
9
Condition 2: Scope of the License
10
Condition 3: Duration of License
12
Condition 4: Renewal of License
12
Condition 5: Modifications in the Terms and
Conditions of License
12
Condition 6: Restrictions on ‘Transfer of License’
12
Condition 7: Provision of Service
13
Condition 8: Delivery of Service
13
Condition 9: Requirement to furnish information
13
Condition 10: Penalty, Suspension, Surrender,
Termination/Revocation of License
14
Condition 11: Actions pursuant to Termination of License
15
Condition 12: Force-Majeure
16
Condition 13: Set Off
16
Condition 14: Way Leave
16
Condition 15: Dispute Settlement
16
Condition 16: Other Conditions
17
Chapter II
Commercial Conditions
18
Condition 17: Tariffs
18
Chapter III
Financial Conditions
19
Condition 18: Fees payable
19
Condition 19: Definition of ‘Adjusted Gross Revenue’
21
Condition 20: Schedule of payment of Annual
21
License Fee and other dues
Condition 21: Bank Guarantees
23
Condition 22: Preparation of Accounts.
23
Chapter IV
Technical Conditions
26
Condition 23: Technical Condition
26
Condition 24: Compliance to Directions/Instructions
26
Condition 25: The Applicable system
27
Condition 26: Engineering Details
27
Condition 27: Network Interconnection
27
Condition 28: Interface
28
Condition 29: Quality of Service
29
Chapter V
Operating Conditions
30
Condition 30: Subscriber Registration & Provision of Service
30
Condition 31: The Subscriber Terminals
32
Condition 32: Obligations imposed on the Licensee
32
Condition 33: Sharing of infrastructure
33
Condition 34: Inspection and Testing of Installations.
33
Condition 35: Right to inspect
33
Condition 36: Location of Network Elements
34
Condition 37: Confidentiality of information
34
Condition 38: Prohibition of certain Activities by the Licensee
35
Chapter VI
Security Conditions
36
Condition 39: Security Conditions
36
Condition 40: Application of Indian Telegraph Act
42
Chapter VII Spectrum Allotment and use
44
Condition 41: Right to use the spectrum
44
Condition 42: Frequency Assignment
44
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UL Agreement updated up to 31.03.2024
PART- II
Chapter VIII Access Service
48
Condition 1: Service Area
48
Condition 2: Scope of Access Service
48
Condition 3: Financial Conditions
51
Condition 4: Technical & Operating Conditions
52
Condition 5: Provision of IPTV Service
52
Condition 6: Network Interconnection
54
Condition 7: Emergency & Public Utility Service
55
Condition 8: Security Conditions
55
Annexure-A: Proforma for Affidavit regarding Calculation
Of ‘Revenue’ and ‘License Fee’
58
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue ’& ‘License Fee’
59
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
60
Annexure-B : Norms for Preparation of Annual Financial
Statement
68
Chapter IX
Internet Service
69
Condition 1: Service Area
69
Condition 2: Scope of Internet Service
69
Condition 3: Financial Conditions
72
Condition 4: Network Interconnection
72
Condition 5: Provision of Service
73
Condition 6: Requirement to furnish information
73
Condition 7: Security Conditions
74
Condition 8: Monitoring Facilities
75
Annexure-A: Proforma for Affidavit regarding Calculation
77
Of ‘Revenue’ and ‘License Fee’
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue’& ‘License Fee’
78
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
79
Annexure-B : Norms for Preparation of Annual Financial
Statement
83
Chapter X
NLD Service
84
Condition 1: Service Area
84
Condition 2: Scope of NLD Service
84
Condition 3: Financial Conditions
85
Condition 4: Network Interconnection
86
Condition 5: Security Conditions
86
Condition 6: Technical Conditions
86
Annexure-A: Proforma for Affidavit regarding Calculation
87
Of ‘Revenue’ and ‘License Fee’
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue’& ‘License Fee’
88
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
89
Annexure-B : Norms for Preparation of Annual Financial
Statement
92
Chapter XI
ILD Service
93
Condition 1: Service Area
93
Condition 2: Scope of ILD Service
93
Condition 3: Financial Conditions
94
Condition 4: Technical Conditions
95
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Condition 5: Network Interconnection
95
Condition 6: Security Conditions
96
Annexure-A: Proforma for Affidavit regarding Calculation
98
Of ‘Revenue’ and ‘License Fee’
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue’& ‘License Fee’
99
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
100
Annexure-B : Norms for Preparation of Annual Financial
Statement
103
Chapter XII GMPCS Service
104
Condition 1: Service Area
104
Condition 2: Scope of GMPCS Service
104
Condition 3: Financial Conditions
104
Condition 4: Technical Conditions
105
Condition 5: Roll Out Obligation
106
Condition 6: Operating Conditions
107
Condition 7: Security Conditions
107
Annexure-A: Proforma for Affidavit regarding Calculation
111
Of ‘Revenue’ and ‘License Fee’
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue’& ‘License Fee’
112
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
113
Annexure-B : Norms for Preparation of Annual Financial
Statement
117
Chapter XIII PMRTS Service
118
Condition 1: Service Area
118
Condition 2: Scope of PMRTS Service
118
Condition 3: Financial Conditions
118
Condition 4: Roll Out Obligation
119
Condition 5: Technical Conditions
120
Condition 6: Network Interconnection
120
Condition 7: Security Conditions
121
Annexure-A: Proforma for Affidavit regarding Calculation
Of ‘Revenue’ and ‘License Fee’
122
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of Revenue’& ‘License Fee’
123
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
124
Annexure-B : Norms for Preparation of Annual Financial
Statement
127
Chapter XIV VSAT CUG Service
128
Condition 1: Service Area
128
Condition 2: Scope of VSAT CUG Service
128
Condition 3: Financial Conditions
129
Condition 4: Technical Conditions
130
Condition 5: Roll Out Obligation
131
Condition 6: Network Interconnection
132
Condition 7: Performance Testing
133
Condition 8: Security Conditions
133
Annexure-A: Proforma for Affidavit regarding Calculation
Of ‘Revenue’ and ‘License Fee’
135
Appendix-I to Annexure-A: Format of Auditor’s Report on ‘Statement of
Revenue’ & ‘License Fee’
136
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
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‘License Fee’
137
Annexure-B: Norms for Preparation of Annual Financial
Statement
140
Annexure-C: Monthly operation report proforma for
VSAT Network
141
Chapter XV Audio Conferencing/ Audiotex/ Voice Mail service
143
Condition 1: Service Area
143
Condition 2: Scope of Audio Conferencing/ Audiotex/
Voice Mail Service
143
Condition 3: Financial Conditions
144
Condition 4: Technical & Operating Conditions
145
Condition 5: Network Interconnection
145
Condition 6: Delivery of Service
146
Condition 7: Security Conditions
146
Annexure-A: Proforma for Affidavit regarding Calculation
Of ‘Revenue’ and ‘License Fee’
148
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of ‘Revenue’& ‘License Fee’
149
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
150
Annexure-B : Norms for Preparation of Annual Financial
Statement
153
Chapter XVI Machine to Machine Service (M2M)
154
Condition 1: Service Area
154
Condition 2: Scope of M2M Service
154
Condition 3: Financial Conditions
154
Condition 4: Technical & Operating Conditions
155
Condition 5: Provision of Services
156
Condition 6: Network Interconnection
157
Condition 7: Security Conditions
157
Annexure-A: Proforma for Affidavit regarding Calculation
Of ‘Revenue’ and ‘License Fee’
158
Appendix-I to Annexure-A: Format of Auditor’s Report on
‘Statement of ‘Revenue’& ‘License Fee’
159
Appendix-II to Annexure-A: Format of ‘Statement of Revenue’ &
‘License Fee’
160
Annexure-B : Norms for Preparation of Annual Financial
Statement
164
Annexures to Schedule
Annexure-I
:
Definition of Terms and expressions
165
Annexure-II
:
Details of Minimum Equity, Minimum Networth,
Entry Fee, PBG, FBG and application processing
fee for various Service Authorizations
176
Annexure-III :
Proforma for Performance Bank Guarantee
177
Annexure-IV :
Proforma for Financial Bank Guarantee
180
Annexure-V :
Telecom Service Areas
182
Annexure-VI :
Table Indicating Limits of Penalty Amount
184
Annexure-VII :
List of Secondary Switching Areas
185
Annexure-VIII:
List of other income to be excluded from GR to
arrive at ApGR
193
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UL Agreement updated up to 31.03.2024
SCHEDULE
TO
THE UNIFIED LICENSE AGREEMENT
TERMS AND CONDITIONS
PART- I
[Terms and conditions contained in PART-I shall be applicable for all services provided
under this License, unless specified otherwise in the service specific Chapters in PART-
II.]
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UL Agreement updated up to 31.03.2024
CHAPTER-I
GENERAL CONDITIONS
1. Ownership of the Licensee Company:
11.1 FDI upto 100% under automatic route subject to observance of licensing and
security conditions by licensee as well as investors as notified by the DoT from time to
time.
Notwithstanding with the above provision, foreign investment shall be subject to following
conditions:
(i) An entity of a country, which shares land border with India or where the beneficial
owner of an investment into India is situated in or is a citizen of any such country, can
invest only under the Government route.
(ii) In the event of the transfer of ownership of any existing or future FDI in an entity in
India, directly or indirectly, resulting in the beneficial ownership falling within the
restriction/ purview of the clause no. (i) above, such subsequent change in beneficial
ownership will also require Government approval.
(iii) Both direct and indirect foreign investment in the Licensee Company shall be counted
for the purpose of calculating total FDI.
(iv) The licensee Company/ Indian Promoters/ Investment Companies including their
holding companies shall comply relevant provisions of extant FDI policy of the
Government. While approving the investment proposals, the Government may take into
accounts security concerns.
(v)
FDI shall be subject to laws of India and not the laws of the foreign
country/countries. The Licensee shall comply with the relevant provisions of FDI policy
of the Government and such modifications to the policy as may be issued from time to
time.
(vi)
The words, mentioned hereinabove in Para 1.1, such as FDI, foreign equity,
investment companies, FIPB, etc., shall have the same meaning as defined by
Department for Promotion of Industry and Internal Trade (DPIIT) in its FDI Policy.
21.2
The Licensee shall declare the Indian & Foreign equity structure (both direct and
in-direct) in the Licensee company and submit a compliance report regarding compliance
of FDI norms and security conditions on 1st day of January of every year to the Licensor
in Proforma as may be prescribed from time to time. This is to be certified by Company
Secretary or Statutory Auditor, countersigned by duly authorized Director of the Licensee
Company.
When there is a change in FDI in the Licensee’s company, the Licensee shall also submit
the FDI compliance report within 15 days.
1.3
The Licensee shall also ensure that:
(i)
Any changes in shareholding shall be subject to all applicable statutory
permissions under Laws of India.
1Amended vide letter No, 20-271/2010 AS-I (Vol.-IV) dated 03.11.2021
2Amended vide letter no. 20-271/2010 AS-I (Vol-IV) dated 02.08.2022
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(ii)
The Licensee Company shall not hold any other license for the services covered
under the scope of Unified License. In case the Licensee obtains any other License by
way of acquisition or merger, the License so obtained shall have to be migrated and
merged to the aforesaid Unified License as per prescribed procedure.
(iii)
In case the Licensee Company holds/obtains Access Spectrum, the Licensee
Company shall ensure compliance to the crossholding /substantial equity requirement as
per terms and conditions prescribed in Chapter VII of the License.
1.4
Change in the name of the Licensee Company, as per the provisions of the
Companies Act, 2013, shall have to be intimated to the Licensor in writing along with
certified copy of the name change certificate within 30 days from the date of issue of such
certificate by Registrar of Companies.
1.5
The Licensee shall have a minimum paid up equity capital equal to the sum of the
Paid up Equity Capital required for each Service opted by the Licensee as per Annexure-
II. The requirement under this license for the total minimum paid up equity capital shall
be limited to Rs. 25 Crore (Rupees Twenty five crore only).
31.6 (i) The Licensee shall have a minimum Networth equal to the sum of the networth
required for each Service opted by the Licensee as per Annexure-II. The requirement
under this license for the combined minimum Networth shall be limited to Rs. 25 Crore
(Rupees Twenty five crore only). Net worth shall be as defined in the Companies Act,
2013 and as amended from time to time. The networth of promoters/equity share holders
shall not be counted for determining the networth of the company.
41.6 (ii) The Licensee shall declare Paid up Capital and submit a compliance report on
1st day of January of every year to the Licensor in Proforma as may be prescribed from
time to time. This is to be certified by Company Secretary or Statutory Auditor,
countersigned by duly authorized Director of the Licensee Company.
1.7
The Licensee shall maintain the required minimum paid up equity as per
Annexure-II during the currency of license.
1.8
The Licensee shall provide only those services for which authorization has been
granted in the License Agreement even if total amount of Entry Fee paid equals the
maximum limit and combined minimum requirement of Networth and Paid up Equity
Capital for all services are met.
1.9
At the time of obtaining any additional service authorization during the currency of
the License, all the eligibility requirements will have to be met by the Licensee.
2. Scope of License:
2.1 This License is granted to provide Service(s) as authorized in the License Agreement
and as per the scope defined in relevant chapter(s) of this License Agreement, on a non-
exclusive basis in the Service Area as applicable. Services can be provided by Licensee
on National Level, Telecom Circle/Metro Area Level and Secondary Switching Area
(SSA) Level as specified in Annexure-II. 22 Service Areas (Telecom Circle/Metro Areas)
are defined in Annexure-V. Administration of authorized services shall be at the
3Amended vide DoT Letter No. 20-405/2013 AS-I dated 08.01.2014
4 Amended vide letter no. 20-271/2010 AS-I (Vol.-IV) dated 02.08.2022
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respective service area level for all purposes. Secondary Switching Areas are defined in
Annexure-VII
Provided further that the Licensor, of its own or through a Designated Entity shall
always have the right to operate the Service anywhere in India including the licensed
area for which this License is granted. The Licensor reserves the right to add additional
chapters to introduce new services
Names of various service areas and the geographical areas covered under them are
enclosed as Annexure-V.
2.2(i) The Licensee may establish, operate and maintain Telecommunication Networks
and telecommunication services using any technology as per prescribed standards in the
service area as per scope of services authorized under this License. In case, the
Licensee obtains Access Spectrum, the terms and conditions of the allotment of spectrum
regarding use of technology shall be applicable.
(ii)
For providing the Service the Licensee shall utilize any type of equipment and
product that meet TEC standards, wherever made mandatory by the Licensor from time
to time. In the absence of mandatory TEC standard, the Licensee may utilize only those
equipment and products which meet the relevant standards set by International
standardization bodies, such as, ITU, ETSI, IEEE, ISO, IEC etc.,; or set by International
Fora, such as 3GPP, 3GPP-2, IETF, MEF, WiMAX, Wi-Fi, IPTV, IPv6, etc. as recognized
by TEC and subject to modifications/adaptation, if any, as may be prescribed by
TEC/Licensor from to time.
(iii) The Licensee shall not provide any service / services which require a separate
authorization/license unless specifically provided for in the chapters for services
authorized in this License Agreement.
(iv) The Licensee shall not provide broadcasting services under this License, for which a
separate License / registration is required as per Cable TV Networks (Regulation) Act
1995 and guidelines for DTH License or any other broadcasting service issued by
Ministry of Information and Broadcasting. However, provision of IPTV is permitted under
the service authorization of Access Service/Internet Service.
(v) It is obligatory upon the Licensee to provide the services by establishing a state-of-
the-art digital network.
2.3
The mode of ownership of subscribers’ terminal equipment will be at the option of
the subscriber.
2.4
Licensee shall make its own arrangements for all infrastructure involved in
providing the service and shall be solely responsible for the installation, networking,
operation and commissioning of necessary infrastructure, equipment and systems,
treatment of subscriber complaints, issue of bills to its subscribers, collection of revenue,
attending to claims and damages arising out of its operations etc. However, the Licensee
may share the infrastructure as permitted under the scope of respective service
authorization in PART-II of the Schedule to the License Agreement or as per the
directions/instructions issued by the Licensor from time to time.
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3.
Duration of License:
3.1
This License shall be valid for a period of 20 years from the effective date of this
License unless revoked earlier for reasons as specified elsewhere in the document.
Validity period of any authorization of additional service(s) under this license shall be co-
terminus with the validity period of this license.
4.
Renewal of License:
4.1
The Licensor may renew, if deemed expedient, the period of License by 10 years
at one time, upon request of the Licensee, if made during the 19th year of the license
period, on the terms specified by the Licensor, subject to extant policy. The decision of
the Licensor shall be final and binding in this regard.
4.2
On renewal, the Licensee may be required to pay a renewal fee as may be notified
by the Licensor.
5.
Modifications in the Terms and Conditions of License:
5.1
The Licensor reserves the right to modify at any time the terms and conditions of
the License, if in the opinion of the Licensor it is necessary or expedient to do so in public
interest or in the interest of the security of the State or for proper conduct of the
Telegraphs. The decision of the Licensor shall be final and binding in this regard.
6.
Restrictions on ‘Transfer of License’:
6.1
The Licensee shall not, without the prior written consent of the Licensor as
described below, either directly or indirectly, assign or transfer this License in any manner
whatsoever to a third party or enter into any agreement for sub-License and/or
partnership relating to any subject matter of the License to any third party either in whole
or in part i.e. no sub-leasing/partnership/third party interest shall be created. For
provision of the service by the Licensee, the Licensee may appoint or employ franchisee,
agents, distributors and employees.
6.2
The Licensor shall have the right to direct the Licensee to warn, penalize or
terminate the services of the franchisee or agent or distributor or employee (servant),
after considering any report of conduct or antecedents detrimental to the security of the
nation. The decision of the Licensor in this regard shall be final and binding and in any
case the Licensee shall bear all liabilities in the matter and keep the Licensor indemnified
for all claims, cost, charges or damages in this respect.
6.3
Intra service area mergers and acquisitions as well as transfer of licenses shall be
subject to the guidelines issued on the subject from time to time by the Licensor.
6.4 Further, the Licensee may transfer or assign the License Agreement with prior
written approval of the Licensor, in the following circumstances, and if otherwise, no
compromise in competition occurs in the provisions of Telecom Services:-
(i)(a) When transfer or assignment is requested in accordance with the terms and
conditions on fulfillment of procedures of Tripartite Agreement if already executed
amongst the Licensor, Licensee and Lenders; or
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UL Agreement updated up to 31.03.2024
(i)(b) Whenever amalgamation or restructuring i.e. merger or demerger is sanctioned
and approved by the High Court or Tribunal as per the law in force; in accordance with
the provisions; more particularly Sections 230 to 233 of Companies Act, 2013; provided
that scheme of amalgamation or restructuring is formulated in such a manner that it shall
be effective only after the written approval of the Licensor for transfer/merger of Licenses,
and
(ii)
Prior written consent/No Objection of the Licensor has been obtained for transfer
or merger of Licenses as per applicable guidelines issued from time to time. Further, the
transferee/assignee is fully eligible in accordance with eligibility criteria as applicable for
grant of fresh License in that area and show its willingness in writing to comply with the
terms and conditions of the License agreement including past and future roll out
obligations as well as to comply with guidelines for transfer/merger of Licenses including
for charges as applicable; and
(iii)
All the past dues are fully paid till the date of transfer/assignment by the Transferor
Company and Transferee Company; and thereafter the transferee company undertakes
to pay all future dues inclusive of anything remained unpaid of the past period by the
outgoing company.
[NOTE: The format of the Tripartite Agreement shall be provided by the Licensor as and
when requested by the Licensee and the Tripartite Agreement, if signed, shall become
part of this License agreement as annexure.]
57.
Provision of Service:
The Licensee shall be responsible for, and is authorized to own, install, test and
commission all the Applicable systems for providing the Service authorized under this
License agreement. The Licensee shall intimate to the Licensor well in advance before
the proposed date of commencement of any service in any Service Area containing the
details of network and required facilities for monitoring of the service installed by the
Licensee. Any service, permitted under the scope of this License Agreement, shall be
commenced by the Licensee after giving an intimation to do so to the Licensor. However,
the compliance to the scope of the License and requisite monitoring facilities will be
demonstrated to the licensor within 90 days from the date of receipt of such intimation
from the Licensee.
8.
Delivery of Service (Service to subscriber):
The Licensee shall intimate the Licensor and TRAI of Commencement of Service
within 15 days of such commencement.
9.
Requirement to furnish information:
9.1
The Licensee shall furnish to the Licensor/TRAI, on demand in the manner and as
per specified timelines such documents, accounts, estimates, returns, reports or other
information in accordance with the rules/ orders as may be prescribed or as directed from
time to time. The Licensee shall also submit information to TRAI as per any order or
direction or regulation issued from time to time under the provisions of TRAI Act, 1997
as amended from time to time.
5Amended vide letter no 20-512/2016 AS-I dated 03.08.2016
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10.
Penalty, Suspension, Surrender, Termination/Revocation of License:
10.1 (i) The Licensor may impose a financial penalty not exceeding the amount shown
in Annexure-VI for each service as per applicable service area per occasion for violation
of terms and conditions of license agreement. This penalty is exclusive of Liquidated
Damages, if any, as prescribed in this License Agreement.
10.1 (ii) The Licensor reserves the right to suspend the operation of this License/Service
Authorization in whole or in part, at any time, if, in the opinion of the Licensor, it is
necessary or expedient to do so in public interest or in the interest of the security of the
State or for the proper conduct of the Telegraph. License Fee payable to the Licensor
will not be required to be paid for the period for which the operation of this License
remains suspended in whole. Provided that if situation so warrants, the Licensor may
dispense with the issue of notice prior to such suspension. The decision of the Licensor
shall be final and binding in this regard.
Provided further that the Licensor shall not be responsible for any damage or loss
caused or arisen out of aforesaid action. Provided also that the suspension of the License
shall not be a cause or ground for extension of the period of the License and suspension
period will be taken as period spent.
10.2 (i) The Licensor may, without prejudice to any other remedy available for the breach
of any conditions of License, by a written notice to the Licensee at its registered office,
terminate/revoke this License in whole or in part or any of the authorized service(s) under
any of the following circumstances :
If the Licensee:
a)
fails to perform any obligation(s) under the License including timely
payments of fee and other charges due to the Licensor, including
securitization of dues;
b)
fails to rectify, within the time prescribed, any defect/deficiency/correction
in service/equipment as may be pointed out by the Licensor/TRAI.
c)
goes into liquidation or ordered to be wound up.
d)
is recommended by TRAI for revocation of License for non-compliance of
the terms and conditions of the License.
e)
fails to comply with FDI norms.
f)
has furnished information/ certificates for obtaining the license which is
found false at any stage.
For this purpose, the Licensor shall issue a show cause notice of 21 days to the
Licensee. If the Licensor decides to revoke the license, the same will be effective from
the 61st calendar day from the date of issue of such termination/revocation order. The
Licensee shall be required to give a notice of at least 30 Calendar days to its customers
within this period of revocation order.
10.2(ii) In case of suspension or termination/revocation of the License / authorized
service, the Licensor may also impose a financial penalty not exceeding the amount
shown in Annexure-VI for each service per service area for violation of terms and
conditions of license agreement.
10.3 Licensee may surrender the License or any service authorization under this
License, by giving notice of at least 60 Calendar days in advance. In that case it shall
also notify all its subscribers by sending a 30 Calendar days notice to each subscriber.
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The Licensee shall pay all fees payable by it till the date on which the surrender of the
License/Service authorization becomes effective. The effective date of such surrender
shall be 61st Calendar days counted from the date of receipt of such notice by the
Licensor, if it is not rejected by the Licensor within 30 days of date of receipt of the notice.
10.4 The Licensor reserves the right to terminate/revoke/suspend the License or any
authorized service under this License, in whole or in part, at any time in the interest of
public by giving a notice of 60 Calendar days from the date of issue of such notice.
Provided that, in the interest of national security or in the event of national emergency/war
or low intensity conflict or similar type of situations, the Licensor has the right to
revoke/suspend the License or any authorized service under this License, in whole or in
part, without any notice period.
10.5 The Licensor reserves the right to take over the services, equipment and networks
of the Licensee in the interest of national security or in the event of national
emergency/war or low intensity conflict or similar type of situations in full or in part in the
Service area. Further the Licensor reserves the right to keep any area out of the operation
zone of the Service if implications of security so require.
10.6 Breach of non-fulfillment of License conditions may come to the notice of the
Licensor through complaints or as a result of the regular monitoring. Wherever
considered appropriate Licensor may conduct an inquiry either suo-motu or on complaint
to determine whether there has been any breach in compliance of the terms and
conditions of the License by the Licensee. The Licensee shall extend all reasonable
facilities to conduct inquiry.
10.7 It shall be the responsibility of the Licensee to maintain the Quality of Service,
even during the period when the notice for surrender/revocation of License is pending
and if the Quality of Service is not maintained, during the said notice period, it shall be
liable to pay damages. The quantum of damages and to whom payable shall be
determined by the TRAI. Further, it shall also be treated as material breach liable for
action under Clause 10.1 and 10.2 of the License. The Licensee shall also be liable to
pay the License Fee till the end of the notice period and more specifically till the date on
which the surrender/revocation becomes effective.
11. Actions pursuant to Revocation of License:
11.1 If under the License Agreement, material event occurs which entitle the Licensor
to revoke the License Agreement, the Licensor shall proceed in accordance with the
terms and conditions provided in the Tripartite Agreement read with the License
agreement wherever such agreement is executed and signed. In cases where no such
Tripartite agreement is signed the action will be taken as per the Condition 11.2 below.
11.2 On revocation or surrender or cancellation of License/Service Authorization(s) due
to reasons whatsoever or expiry of the License, the relevant Bank Guarantee(s) shall be
released to the Licensee only after ensuring clearance of all dues, which the Licensee is
liable to pay to the Licensor. In case of failure of the Licensee to pay the amounts due to
the Licensor, the outstanding amounts shall be realized through encashment of the Bank
Guarantees without prejudice to any other action(s) for recovery of the amounts due to
the Licensor without any further communication to the Licensee.
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12.
Force- Majeure:
12.1 If at any time, during the continuance of this License, the performance in whole or
in part, by either party, of any obligation under this is prevented or delayed, by reason of
war, or hostility, acts of the public enemy, civic commotion, sabotage, Act of State or
direction from Statutory Authority, explosion, epidemic, quarantine restriction, strikes and
lockouts (as are not limited to the establishments and facilities of the Licensee), fire,
floods, natural calamities or any act of GOD (hereinafter referred to as EVENT), provided
notice of happenings of any such EVENT is given by the affected party to the other, within
21 Calendar days from the date of occurrence thereof, neither party shall, by reason of
such event, be entitled to revoke this Agreement, nor shall either party have any such
claims for damages against the other, in respect of such non-performance or delay in
performance. Provided Service under the License shall be resumed as soon as
practicable, after such EVENT comes to an end or ceases to exist. The decision of the
Licensor as to whether the service may be so resumed (and the time frame within which
the service may be resumed) or not, shall be final and binding.
12.2 However, the Force Majeure events noted above will not in any way cause
extension in the period of the License.
12.3 While it will normally not be a ground for non-payment of License Fee, the liability
for payment of License fee for such inoperative period(s) due to force majeure clause
may, however, be reduced / waived by the Licensor, at its discretion based on
circumstances of the EVENT.
13.
SET OFF:
13.1 In the event any sum of money or claim becomes recoverable from or payable by
Licensee to the Licensor either against this License Agreement or otherwise in any
manner, such money or claim can be (without restricting any right of set off for counter
claim given or employed by law) deducted or adjusted against any amount or sum of
money then due or which at any time thereafter may become due to the Licensee under
this License Agreement or any other agreement or contract between the Licensor and
the Licensee.
13.2 The aforesaid sum of money payable to the Licensee Company shall include any
security/ bank guarantee which can be converted into money.
13.3 After exercising the right of set off, the Licensor shall inform the Licensee of the
action taken.
14.
Way Leave:
The Licensee Company shall make its own arrangements for Right of Way (ROW)
rules as notified in 2016.
15.
Dispute Settlement:
All disputes relating to this License will be subject to jurisdiction of Telecom
Disputes Settlement and Appellate Tribunal (TDSAT) as per provisions of TRAI Act, 1997
as amended from time to time. Dispute in any matter outside the domain of TDSAT will
lie in the jurisdiction of competent Courts in NCT of Delhi only.
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16.
Other Conditions:
16.1 The Licensee shall be bound by the terms and conditions of this License
Agreement as well as instructions as are issued by the Licensor and by such
orders/directions/regulations of TRAI as per provisions of the TRAI Act, 1997 as
amended from time to time.
16.2 The Licensee shall also be bound by the prevailing instructions / directions /
orders issued in respect of a service by the Licensor/ TRAI, if the same service is also
being provided by the Licensee to its subscribers.
16.3 The statutory provisions and the rules made under Indian Telegraph Act 1885 or
Indian Wireless Telegraphy Act, 1933 or Information Technology Act, 2000 or TRAI Act
1997 and the rules and regulations there under shall govern the provision of service
under this license agreement. Any order passed under these statutes shall be binding
on the licensee.
616.4. The term Service Tax and Sales Tax used in Unified License agreement are
replaced with Goods and Service Tax (GST) wherever applicable.
6Amended vide DOT letter No. 20-355/2012 AS-I Vol-V dated 27th July, 2017.
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CHAPTER-II
COMMERCIAL CONDITIONS
17.
Tariffs:
17.1 The Licensee will charge the tariffs for the Service as per the Tariff orders /
regulations / directions/decisions issued by TRAI from time to time. The Licensee shall
also fulfill requirements regarding publication of tariffs, notifications and provision of
information as directed by TRAI through its orders / regulations / directions issued from
time to time as per the provisions of TRAI Act, 1997 as amended from time to time.
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CHAPTER-III
FINANCIAL CONDITIONS
18.
FEES PAYABLE:
18.1 Entry Fee:
18.1.1
A one-time non-refundable Entry Fee for each authorized Service shall be
paid as per Annexure-II. The total amount of Entry fee shall be subject to a maximum of
Rs. 15 Crore (Rupees Fifteen crore only).
18.2 License Fee:
18.2.1
In addition to the Entry Fee, an annual License fee as a percentage of
Adjusted Gross Revenue (AGR) shall be paid by the Licensee service-area wise, for each
authorized service from the effective date of the respective authorization. The License
fee shall be 8% of the AGR, inclusive of USO Levy which is presently 5% of AGR.
Provided that from Second Year of the effective date of respective authorization,
the License fee shall be subject to a minimum of 10% of the Entry Fee of the respective
authorized service and service area as in Annexure-II.
18.2.2
In case the Licensee obtains access spectrum for operation of any
authorized service in a service area, a ‘presumptive AGR’ for that authorized service and
service area shall be arrived at in accordance with the relevant provisions of the Notice
Inviting Application (NIA) document of the auction of spectrum or conditions of spectrum
allotment/LoI as the case may be. The License Fee based on presumptive AGR shall be
applicable from the date of issue of Letter of Intent earmarking such spectrum or the
effective date of the license/authorization, whichever is later. The Licensee shall, in such
cases, pay the license fee on the presumptive AGR or actual AGR or the minimum license
fee referred in condition 18.2.1, whichever is higher.
In case, the Licensee obtains spectrum for any service and service area in
different bids, the total presumptive AGR shall be the sum of the presumptive AGRs
calculated on the basis of the respective Bid amounts as prescribed in the respective NIA
or conditions of spectrum allotment/LoI as the case may be.
Provided that, for the spectrum obtained in the auctions conducted in November
2012 and March 2013, the presumptive AGR, for Access services shall be equal to 5%
of sum of the total bid amount by the Licensee for the respective Service Area.
18.2.3
The Licensor reserves the right to modify the above mentioned License fee
as percentage of AGR any time during the currency of this agreement.
18.3 Spectrum Related Charges:
In case the Licensee obtains spectrum, the licensee shall pay spectrum related
charges, including payment for allotment and use of spectrum, as per provisions specified
in the relevant NIA document of the auction of spectrum or conditions of spectrum
allotment/LoI/directions/instructions of the Licensor/WPC Wing in this regard. The
spectrum related charges shall be payable in addition to the License fee.
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718.3.1 Deferred Payment Liabilities on spectrum
(a)
The Licensee may opt one time for higher number of instalments including in the
current financial year 2017-18 (maximum 16 instalments) for deferred payment liabilities
as per Notice Inviting Application (NIA) for auctions conducted for award of spectrum in
the years 2012, 2013, 2014, 2015 and 2016 as detailed below:
Year of Auction
Restructured Number of instalments
2012
14
2013
14
2014
15
2015
16
2016
16
(b)
These instalments are based upon the principle that the Net Present Value (NPV)
of the “Payment Due” is protected as enumerated in respective NIAs for auctions in the
years 2012, 2013, 2014, 2015 and 2016 as detailed below:
Sr. No.
Reference NIA
Year
of
Spectrum
Auction
Rate of Interest
1
NIA dated 28.9.2012
November 2012
9.75%
2
NIA dated 30.1.2013
March 2013
9.75%
3
NIA dated 12.12.2013
February 2014
10.0%
4
NIA dated 9.1.2015
March 2015
10.0%
5
NIA dated 8.8.2016
October 2016
9.3%
(c)
The above one-time opportunity to opt for higher number of instalments for
Deferred Payment Liabilities of TSPs for spectrum is another option in addition to
currently available payment terms as mentioned in NIAs referred in para 18.3.1 (b) above.
(d)
There shall be no change in the moratorium period as provided in respective NIAs
as referred in clause 18.3.1 (b) above for payment of deferred payment liabilities.
(e)
The instalments that have already been paid shall not be modified.
818.3.2 The Licensee may opt to defer the spectrum auction instalment due for the years
2020-21 and 2021-22, either for one or both years. The deferred amount will be equally
spread over the remaining instalments to be paid by Licensee, without any increase in
the existing time period specified for making the instalment payments. Interest as
indicated in clause 18.3.1 (b) shall be charged to protect the NPV of the payable amount.
The Licensee opting for deferred spectrum instalments will continue to securitize the next
payable annual instalment by a Financial Bank Guarantee (FBG) of an amount equivalent
to the revised annual instalment. A Licensee opting for a two-year deferment, shall
provide to the Licensor an FBG of the revised annual instalment amount payable in the
year 2022-2023, valid for the entire two-year duration of the deferment.
18.4 Space Segment Charges:
918.4.1 In case of Satellite based service, the space segment charges will be payable to
Department of Space (DoS)/space segment provider as applicable.
7Amended vide DoT letter No. 20-586/2018-AS.I dated 19.03.2018
8Amended vide DoT letter no 20-586/2018 AS-I dated 05.02.2020
9Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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18.4.2
The space segment monitoring charges shall be payable to Network
Operations Control Centre (NOCC) by Licensee as per the rates decided by the Licensor
from time to time.
1019. Definition of Gross Revenue, Applicable Gross Revenue (ApGR) and
Adjusted Gross Revenue (AGR):
19.1 The Gross Revenue, Applicable Gross Revenue (ApGR) and Adjusted Gross
Revenue (AGR) for the purpose of calculation of License fee for different services
authorized under this license are defined in the respective chapters of the Service in
PART-II of this Schedule.
20.
Schedule of payment of ANNUAL LICENSE FEE and other dues:
20.1 License Fee shall be payable in four quarterly installments during each financial
year (FY) commencing 1st of April.
20.2 The quarter in which the effective date of license/authorization falls, shall end on
the usual end date of that quarter for the purpose of license fee. The quarters where the
minimum license fee or license fee based on presumptive AGR becomes applicable, and
the last quarter of the license period, may not be of full three months, but of part period
only.
[Explanation:
(i)
For license/authorization with effective date on 13th July, the quarter will end
on 30th September.
(ii)
In such case the minimum license fee would become applicable w.e.f. 13th of
July next year and the quarter shall end on the following 30th September.]
20.3 The minimum license fee or the license fee based on presumptive AGR, as may
be applicable, as per conditions 18.2.1 and 18.2.2, for the above part-periods, shall be
charged on pro-rata basis, based on actual number of days in the part period of the
Quarter.
20.4 License Fee shall be payable in four quarterly installments during each financial
year (FY). Quarterly installment of license fee for the first three quarters of a financial
year shall be paid within 15 days of the completion of the relevant quarter. The AGR
based license Fee shall be paid by the Licensee on the basis of revenue on accrual basis
for the quarter, duly certified with an affidavit by a representative of the Licensee who is
authorized by the Board Resolution coupled with General Power of Attorney. However,
for the last quarter of the financial year, the Licensee shall pay the License Fee by 25th
March on the basis of expected revenue for the quarter, subject to a minimum payment
equal to the revenue share paid for the previous quarter.
20.5 The Licensee shall adjust and pay the difference between the advance payment
made and actual amount duly payable for the last quarter of financial year within 15 days
of the end of the quarter.
20.6 The quarterly payment shall be made with an affidavit as at Annexure-A of the
respective Chapter of service authorization together with a STATEMENT OF REVENUE
SHARE AND LICENSE FEE separately for each service and service area in the Proforma
10Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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prescribed at Appendix-II to Annexure-A of the respective chapter of the service,
showing the computation of revenue and License fee payable. The aforesaid quarterly
STATEMENTS of each year shall be required to be audited by the Auditors (hereinafter
called Licensee’s Auditors) appointed by the Licensee under Section 224 of the
Companies’ Act, 2013. The report of the Auditor should be in the prescribed form as per
Appendix-I to Annexure-A of the respective Chapter of service authorization.
1120.7 Any delay in payment of License Fee or any other dues payable under the License,
beyond the stipulated period will attract interest at a rate which will be 2 % above the one
year Marginal Cost of Lending Rate (MCLR) of State Bank of India existing as on the
beginning of the Financial Year (namely 1st April) in respect of the license fees or any
other dues pertaining to the said Financial Year. The interest shall be compounded
annually. A part of the month shall be reckoned as a full month for the purpose of
calculation of interest. A month shall be reckoned as an English calendar month.
20.8 Final adjustment of the License fee for the year shall be made on or before 30th
June of the following year, based on the gross revenue figures, the minimum License
Fee or the License fee based on Presumptive AGR, which shall be submitted by the
Licensee, duly certified by the AUDITORS of the Licensee in accordance with the
provision of the Companies’ Act, 2013.
20.9 A reconciliation between the figures appearing in the quarterly statements
submitted in terms of the Condition 20.4 of the License Agreement with those appearing
in annual accounts shall be submitted along with a copy of the published annual accounts
audit report and duly audited quarterly statements within 7 (seven) Calendar days of the
date of signing of the audit report. The annual financial account and the statement as
prescribed above shall be prepared following the norms as prescribed in Annexure-B of
the respective Chapter of service authorizations. The statements and accounts submitted
shall be assessed and verified by the Licensor and through its units namely Offices of
Controller of Communication Accounts in respective service areas, as may be notified
from time to time.
1220.10
stands deleted
20.11 All the charges relating to spectrum shall be payable at such time(s) and in such
manner as prescribed from time to time by the Licensor/WPC Wing.
20.12 All sums becoming due and payable as mentioned in this License Agreement
shall be paid by the Licensee, service and service area wise, through e-transfers or
demand draft or Pay Order payable at New Delhi, drawn on any Scheduled Bank, in
favour of the Pay & Accounts Officer (HQ), DOT or at the designated office of the
Controller of Communication Accounts in service areas as may be designated by the
Licensor from time to time.
20.13 The Licensee shall separately pay the access charges for carriage of calls
originating in its network but carried and terminated in the other Telecom Service
Providers’ networks. The Licensee shall also separately pay charges for network
resources obtained by the Licensee from other licensed service providers. This will be
governed by mutual agreement and/ or determination of TRAI, if any.
11Amended vide letter no.20-271/2010 AS-I (Vol.-IV) dated 01.10.2021
12Amended vide letter no.20-271/2010 AS-I (Vol.-IV) dated 01.10.2021
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21.
BANK GUARANTEES:
1321.1 Performance Bank Guarantee:
Performance Bank Guarantee (PBG) in prescribed format at Annexure-III of this
license agreement shall be submitted separately for each service and service area for
the amount as per Annexure-II, subject to a maximum of Rs 44 Crore initially, before
signing the License Agreement or subsequent authorization of service(s), as the case
may be, valid for one year, from any scheduled bank or public financial institution duly
authorized to issue such bank guarantee, to cover violation of license conditions and to
ensure the performance under the license agreement including compliance of
instructions issued by the Licensor from time to time. The PBGs shall be maintained and
kept valid by the licensee during the entire currency of the license agreement. However,
the Licensor may increase the value of PBGs whenever any demand is raised for non-
compliance of terms and conditions of License/authorization to the extent it remains un-
securitized by the existing PBGs, which shall be maintained till clearance of such demand
by the licensee.
1421.2 Financial Bank Guarantee:
The Licensee shall submit Financial Bank Guarantee (FBG) separately for each
service and service area for the amount as per Annexure-II, subject to a maximum of Rs
8.8 Crore initially before signing the License Agreement or subsequent authorization of
service(s), as the case may be, valid for one year, from any Scheduled Bank or Public
Financial Institution duly authorized to issue such Bank Guarantee, in the prescribed
Proforma at Annexure IV of this license agreement. Subsequently, the amount of FBG
shall be equivalent to 20%of the estimated sum payable (of License fee for two quarters
and other dues not otherwise securitized). The amount of FBG shall be subject to periodic
review on six monthly basis by the Licensor and shall be renewed from time to time.
21.3 Initially, the Bank Guarantees (FBG as well as PBG) shall be valid for a period of
one year and shall be renewed from time to time. The Licensee, on its own, shall extend
the validity period of the Bank Guarantees at least one month prior to date of its expiry
without any demand or notice from the Licensor on year to year basis. Any failure to do
so, shall amount to violation of the terms of the License and entitle the Licensor to encash
the Bank Guarantees and to convert into a cash security without any reference to the
Licensee at his risk and cost. No interest or compensation whatsoever shall be payable
by the Licensor on such encashment.
21.4 Where the Bank Guarantees have been encashed partially, the licensee on such
occasions, shall restore the encashed guarantees to the full amount. Any failure to do so
shall amount to violation of the terms and conditions of the license.
21.5 Without prejudice to its rights of any other remedy, Licensor may encash Bank
Guarantee (FBG as well as PBG) in case of any breach in terms & conditions of the
License by the Licensee.
22.
Preparation of Accounts:
22.1 The Licensee will draw, keep and furnish independent accounts for each service
and service area and shall fully comply with any order, direction or regulation as may be
13Amended vide letter no 20-271/2010 AS-I (Vol.-IV)dated 6th October, 2021
14Amended vide letter no 20-271/2010 AS-I (Vol.-IV)dated 6th October, 2021
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issued by TRAI and rules/instructions/directions as are issued by the Licensor from time
to time
22.2 The Licensee shall be obliged, in respect of each authorized service and service
area separately, to:
a) Compile and maintain accounting records, sufficient to show and explain its
transactions in respect of each completed quarter of the License period or of
such lesser periods as the Licensor may specify, fairly presenting the costs
(including capital costs), revenue and financial position of the Licensee’s business
under the License including a reasonable assessment of the assets employed in
and the liabilities attributable to the Licensee’s business, as well as, for the
quantification of Revenue or any other purpose.
(b) Procure in respect of each of those accounting statements prepared in respect
of a completed financial year, a report by the Licensee’s Auditor in the format
prescribed by the Licensor, stating inter-alia whether in his opinion the statement
is adequate for the purpose of this condition and thereafter deliver to the Licensor
a copy of each of the accounting statements not later than three months at the
end of the accounting period to which they relate.
c) Send to the Licensor a certified statement sworn on an affidavit, by authorized
representative of the company, containing full account of Revenue as defined in
condition 19 for each quarter separately along with the payment for the quarter.
d)
Furnish to the Licensor full detail of inter-operator settlement of accounts
eg. pass through charges, usage of network and facilities, domestic and
international roaming including details of the settlement regime through
accounting rate or any other mechanism, etc. All bilateral settlements including
those between the ILD service provider and other foreign partners (carriers) shall
be through normal banking channel in a transparent manner.
22.3 (a) The Licensor or the TRAI, as the case may be, shall have a right to call for and
the Licensee shall be obliged to supply and provide for examination any books of
accounts that the Licensee may maintain in respect of the business carried on to provide
the service(s) under this License at any time without recording any reasons thereof.
22.3 (b) Licensee shall invariably preserve all billing and all other accounting records
(electronic as well as hard copy) for a period of three years from the date of publishing of
duly audited & approved Accounts of the company and any dereliction thereof shall be
treated as a material breach independent of any other breach, sufficient to give a cause
for cancellation of the License.
22.4 The records of the Licensee will be subject to such scrutiny as may be prescribed
by the Licensor so as to facilitate independent verification of the amount due to the
Licensor as its share of the revenue.
22.5 The Licensor may, on forming an opinion that the statements or accounts
submitted are inaccurate or misleading, order Audit of the accounts of the Licensee by
appointing Auditor at the cost of the Licensee and such auditor(s) shall have the same
powers which the statutory auditors of the company enjoy under Section 227 of the
Companies Act, 2013. The remuneration of the Auditors, as fixed by the Licensor, shall
be borne by the Licensee.
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22.6 The Licensor may also get conducted a ‘Special Audit’ of the Licensee company’s
accounts/records by “Special Auditors”, the payment for which at a rate as fixed by the
Licensor, shall be borne by the Licensee. This will be in the nature of auditing the audit
described in para 22.5 above. The Special Auditors shall also be provided the same
facility and have the same powers as of the companies’ auditors as envisaged in the
Companies Act, 2013.
22.7 The Licensee shall be liable to prepare and furnish the company’s annual financial
accounts according to the accounting norms and principles prescribed and the directions
given by the Licensor or the TRAI, as the case may be, from time to time.
22.8 The Licensor, to ensure proper and correct assessment, verification and
settlement of revenue share paid, can, if deemed necessary, add, modify, alter, substitute
and amend whatever stated in this Chapter, namely Chapter-III of this license. The
licensee shall comply with the instructions/directions issued in this regard from time to
time.
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CHAPTER-IV
TECHNICAL CONDITIONS
23.
TECHNICAL CONDITIONS:
23.1 The LICENSEE shall provide the details of the technology, proposed to be
deployed for operation of the service, to the Licensor. For providing the Service the
Licensee shall utilize any type of equipment and product that meet TEC standards,
wherever made mandatory by the Licensor from time to time. In the absence of
mandatory TEC standard, the Licensee may utilize only those equipment and products
which meet the relevant standards set by International standardization bodies, such as,
ITU, ETSI, IEEE, ISO, IEC etc.,; or set by International Fora, such as 3GPP, 3GPP-2,
IETF, MEF, WiMAX, Wi-Fi, IPTV, IPv6, etc. as recognized by TEC and subject to
modifications/adaptation, if any, as may be prescribed by TEC from to time.
23.2 Requisite monitoring/interception facilities /equipment for each type of service,
shall be provided by the Licensee at its own cost for monitoring as per the requirement
specified by the Licensor from time to time.
23.3 The LICENSEE shall adhere to the National Fundamental Plans like National
Numbering Plan, Signaling Plan, Routing Plan, National Frequency Allocation Plan and
any other plan, as applicable to the respective service authorization, issued by
Department of Telecommunications and technical standards as prescribed by Licensor
from time to time.
23.4 The Licensor reserves the right to modify any of the National Fundamental Plans.
24.
Compliance to Directions/ Instructions:
24.1 Norms on Electromagnetic Field exposure by BTS (Base Stations)
In case the Licensee install BTS for providing the service, if permitted under the scope of
the service authorization, the Licensee shall conduct audit and provide self certificate, at
prescribed interval and as per procedure prescribed by Telecommunication Engineering
Centre (TEC) / or any other agency authorized by Licensor from time to time for
conforming to limits / levels for antenna (Base Station Radiation Emissions) for general
public exposure as prescribed by Licensor from time to time. The present limits / levels
are reproduced below:
Frequency Range
E-field strength
(volt/meter (V/m))
H-field
strength(Amp
/
meter (A/m))
Power
density
(Watt/Sq.
meter
(W/Sqm))
400MHZ to 2000 MHZ
0.434 f1/2
0.0011 f1/2
f/2000
2GHZ to 300 GHZ
19.29
0.05
1
(f is frequency in MHz)
Self Certification shall be submitted to respective LSA Field Unit of DoT.
The LICENSEE shall comply with the instructions / directions/ guidelines issued by
Licensor on EMF exposure norms from time to time.
24.2 The Licensee shall adopt Renewable Energy Technologies (RETs) for powering
the Telecom Network, deploy energy efficient equipment and reduce the carbon footprint
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as per prevailing directions/ instructions and shall abide by further directions / instructions
as may be issued in this regard by Licensor/ TRAI from time to time.
24.3 The licensee shall adhere to the prevailing directions/ instructions and shall also
abide by further directions / instructions as may be issued by LICENSOR from time to
time in respect of
(a) Preferential Market Access for procurement of indigenous manufactured products,
(b) Mandatory testing of equipment and
(c) Requirements on IPv6 implementation.
25. The Applicable System:
25.1 In the process of operating the Services, the Licensee shall be responsible for:-
(i)
The installation of the systems excluding the installation of the equipment
at the subscriber’s premises which will be left at the option of the subscriber;
(ii)
the proper upkeep and maintenance of the equipment;
(iii)
maintaining the criteria of performance;
(iv)
maintaining the Quality of Service as per clause 29.
26.
Engineering Details:
(a)
The Licensee shall furnish to the Licensor or its authorized representative(s), in
such manner and at such times as may be required, complete technical details
with all calculations for engineering, planning and dimensioning of the
system/network, concerned relevant literature, drawings, and installation materials
regarding the applicable system.
(b)
Licensee shall supply all tools, test instruments and other accessories to the
testing party of Licensor and /or TEC for conducting tests at any time during the
currency of the License.
27.
Network Interconnection:
27.1 Interconnection amongst the networks of Licensees shall take place where
specifically provided for in the Service Authorization Chapter in PART-II of the Schedule
to the License. In such cases the conditions of interconnections as specified below shall
be applicable.
27.2 Transmission links for interconnection shall meet relevant standards or Interface
Requirements (IR) issued by TEC from time to time.
1527.3 Interconnection between the networks of different Licensees for carrying circuit
switched traffic shall be as per national standards of CCS No.7 and for carrying IP based
traffic as per Telecom Engineering Centre (TEC) standards as amended from time to
time by Telecom Engineering Centre (TEC) and also subject to technical feasibility and
technical integrity of the Networks and shall be within the overall framework of
interconnection regulations/ directions/ orders issued by the TRAI/ Licensor from time to
time. For inter-networking between circuit switched and IP based network, the Licensee
shall install Media Gateway Switch. Further, the Licensor may direct the LICENSEE to
adopt any other technical standards issued by TEC on interconnection related issues.
27.4 Licensee shall interconnect with other Telecom Service Providers at the Points of
Inter-connection (POI) subject to compliance of prevailing regulations, directions or
15Amended vide letter no 20-502/2016AS-I dated 19.04.2016.
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determinations issued by TRAI. The charges for accessing other networks for inter-
network calls shall conform to the Orders/ Regulations/ Guidelines issued by the TRAI/
Licensor from time to time. The Interconnection Agreements will, inter-alia, provide the
following:
(a)
To meet all reasonable demand for the transmission and reception of messages
between the interconnected systems.
(b)
To establish and maintain such one or more Points of Interconnect as are
reasonably required and are of sufficient capacity and in sufficient number to enable
transmission and reception of the messages by means of the Applicable Systems,
(c) To connect, and keep connected, to their Applicable Systems.
27.5 The charges for accessing other networks for inter-network calls shall be based
on mutual agreements between the service providers conforming to the Orders/IUC
Regulations/Guidelines issued by the TRAI from time to time.
27.6 The provision of any equipment and its installation for the purpose of
Interconnection shall be subject to mutual agreement of the concerned parties and shall
conform to TRAI’s regulations and orders.
27.7 The Interconnection Tests for each and every interface with any Telecom Service
Provider shall be carried out by mutual arrangement between the Licensee and the other
party involved. In case of disagreement for rectification of deficiencies / deviations in
conducted interconnection tests, reference could be made to Licensor / TRAI.
27.8 The interconnection with a Telecom Service Provider shall have to be withdrawn
within one hour of receipt of intimation or within such time as directed by the LICENSOR
in writing, in case of revocation of the LICENSE of the Telecom Service Provider.
28.
Interface:
28.1 The Licensee shall operate and maintain the licensed Network conforming to
Quality of Service standards to be mutually agreed with other TSPs in respect of Network-
Network Interface subject to such other directions as Licensor or TRAI may give from
time to time. Failure on the part of Licensee to adhere to the network to network interface
standards of TEC is liable to be treated as breach of LICENSE terms and conditions. For
the purpose of providing the Service, the Licensee shall install his own equipment so as
to be compatible with other telecom service providers’ equipment to which the Licensee's
Applicable Systems are to be interconnected. The Licensee shall be solely responsible
for attending to any claims and damages arising out of his operations.
28.2 The network resources including the cost of upgrading/ modifying interconnecting
networks to meet the service requirements of the LICENSEE will be mutually negotiated
with other TSPs keeping in view the orders and regulations issued by the TRAI from time
to time.
1628.3 The technical parameters mentioned in the relevant Interface Requirement for
VSAT Network(s) issued by TEC, as modified from time to time, are to be complied with.
16Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
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29.
Quality of Service:
29.1 The LICENSEE shall ensure the Quality of Service (QoS) as may be prescribed
by the Licensor or TRAI. The LICENSEE shall operate and maintain the licensed Network
conforming to Quality of Service standards subject to such other directions as Licensor /
TRAI may give from time to time. The LICENSEE shall adhere to such QoS standard
and provide timely information as required therein. Failure on part of LICENSEE to
adhere to the Quality of Service stipulations by TRAI/Licensor is liable to be treated as
breach of terms and conditions of License.
The LICENSEE shall provide periodic information on compliance of QoS
standards to TRAI/Licensor as per schedule notified.
29.2 The LICENSEE shall be responsible for: -
i)
Maintaining the performance and quality of service standards.
ii)
Maintaining the MTTR (Mean Time to restore) within the specified limits of
the quality of service.
iii)
The LICENSEE will keep a record of number of faults and rectification
reports in respect of the service, which will be produced before the
Licensor/ TRAI as and when and in whatever form desired.
29.3 The LICENSEE shall be responsive to the complaints lodged by his subscribers.
The LICENSEE shall rectify the anomalies within the MTTR specified and maintain the
history sheets for each installation, statistics and analysis on the overall maintenance
status.
29.4 The Licensor or TRAI may carry out performance tests on Licensee’s network and
also evaluate Quality of Service parameters prior to grant of permission for commercial
launch of the service, after successful completion of interconnection tests and/ or at any
time during the currency of the LICENSE to ascertain that the network meets the
specified standards on Quality Of Service (QoS). The LICENSEE shall provide ingress
and other support including instruments, equipment etc., for such tests.
29.5 The Licensee shall enforce and ensure QoS, as prescribed by the Licensor/ TRAI,
from the other Licensees with whom it may enter into agreement / contract for leasing /
hiring / buying or any such instrument for provision of infrastructure. The responsibility of
ensuring QoS shall be that of Licensee.
29.6 Disaster/Emergency/Public Utility Services:
The Licensee shall follow the guidelines /directions/ standard operating
procedures as may be prescribed for the disaster management/emergency response
services or any other instruction issued by Licensor in this regard from time to time.
The Licensee shall also facilitate the priority routing of emergency/public utility or
any other type of user calls as per guidelines /directions as may be prescribed by
Licensor.
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CHAPTER-V
OPERATING CONDITIONS
30.
Subscriber Registration and Provision of Service:
30.1 The LICENSEE shall register demand/request for telephone connection and or
any other Telecom Service without any discrimination from any applicant, at any place in
the service area for the service(s) authorized and provide the Service, unless otherwise
directed by the Licensor. The LICENSEE shall not in any manner discriminate between
subscribers and provide service on the same commercial principle and shall be required
to maintain a transparent, open to inspection, waiting list. The LICENSEE shall clearly
define the scope of Service to the Subscriber(s) at the time of entering into contract with
such Subscriber(s). Licensor shall have right to impose suitable penalty, not limited to a
financial penalty, apart from any other actions for breach of this condition. The
LICENSEE shall commence the Service on commercial basis only after starting
subscriber registration in the manner prescribed. Before commencement of Service in an
area, the LICENSEE shall notify and publicize the address where any subscriber can
register demand /request for Telecom Service. Any change of this address shall be duly
notified by the Licensee.
Provided that nothing contained herein will affect or prejudice the rights of the
LICENSEE to carry out check on credit worthiness of applicants for its services.
30.2 The LICENSEE shall widely publicize provision of service and shall not refuse
registration of demand in the service areas in which the Licensee has commenced
services. In case the provision of telephone connection or the requested telecom service
to an applicant is not feasible for technical or other reasons beyond the control of
Licensee, then the LICENSEE shall endeavour to make arrangement for providing
connections/Service in such cases within a reasonable time.
30.3(a)
The LICENSEE shall ensure continuity of services to its customers unless
LICENSE is Revoked or Suspended by the Licensor for any reason whatsoever.
1730.3(b)
Licensee may discontinue any of the service, under a Service Authorization
to its subscribers, by giving notice to Licensor and TRAI of at least 60 Calendar days in
advance with reasons. In that case it shall also notify all its subscriber by sending a 30
Calendar days notice to each of them, clearly stating the options available to subscribers
including that of MNP also. The effective date of discontinuity of Service will be 61st
Calendar days counted from the date of receipt of such notice by the Licensor. The
Licensor reserves the right to reject such request only when warranted in the interest of
public or national security or in the event of national emergency/war.
The discontinuation of service may be due to change of technology. In that case the
above condition shall also apply.
Further, if the licensee decides to close down any of its wireless access services, which
were being provided through the administratively assigned spectrum, for which it has not
paid the market discovered price, it has to surrender such spectrum immediately upon
closure of such wireless access services.
17 Amended vide letter no.20-559/2017 AS-I (Pt) dated 24.01.2019
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30.4 It shall be the responsibility of the LICENSEE to issue or cause to be issued bills
to its subscribers for use of the service. The LICENSEE shall maintain such records so
as to produce itemized billing information. The billing system of the LICENSEE shall be
able to generate the billing information, in adequate details, to ensure satisfaction of the
subscribers about the genuineness of the bill. The directions of TRAI, from time to time,
in this regard shall apply.
30.5 The LICENSEE shall offer a regular itemised billing to its subscribers wherever
applicable. In every case the LICENSEE shall be responsible to its subscribers and shall
ensure fulfillment of the obligations in this regard. The LICENSEE shall also maintain
necessary records for the billing cycles as specified by the Licensor or TRAI from time to
time.
30.6 All complaints of subscribers in this regard will be addressed / handled as per the
orders or regulations or directions issued by the Licensor or TRAI from time to time.
30.7 Determination of TRAI with regard to publication of telephone service directory
containing information of subscribers of Telecom Service shall be applicable and binding.
30.8 The Licensee’s contractual obligations to various Licensees and Other Service
Providers (OSPs) not requiring License under Section 4 of Indian Telegraph Act, 1885
will include terms and conditions under which the Service may be obtained, utilized and
terminated. However, the Licensee while providing the resources to other Licensees /
OSPs shall satisfy itself that such Licensee/OSP is eligible to obtain that resource.
30.9 The LICENSEE shall notify in writing all the policy and arrangements with respect
to repair, fault rectification, compensation or refunds. All complaints in this regard will be
addressed / handled as per the guidelines, order or regulation or direction issued by the
Licensor or TRAI from time to time.
30.10 Any dispute, with regard to the provision of Service shall be a matter only between
the aggrieved party and the Licensee, who shall duly notify this to all before providing the
Service. And in no case, the Licensor shall bear any liability or responsibility in the matter.
The LICENSEE shall keep the Licensor indemnified for all claims, cost, charges or
damages in the matter.
30.11 In case of provision of services by the LICENSEE through the Satellite media or
use of satellite media through owned/leased satellite connectivity:-
(i) The Licensee shall abide by the prevalent Government guidelines, policy, orders,
regulation or direction on the subject like Satellite communication policy, VSAT policy etc.
(ii) Before putting in operation the network for Satellite based services, necessary
clearances from INSAT Network Operations Control Center (NOCC) on payment of
prescribed charges will be taken by the Licensee. NOCC instructions with regard to space
segment access and other relevant operational matters will have to be complied by the
Licensee.
(iii) For use of space segment and setting up and to start operating the Earth Station etc.,
Licensee shall directly coordinate with and obtain clearance from Network Operations
Control Centre (NOCC), apart from obtaining SACFA clearance and clearance from other
authorities.
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(iv) Mandatory performance verification of HUB Station will be carried out by NOCC or
any other agency authorized by the Authority for this purpose on payment of necessary
testing charges by Licensee.
(v) For VSATs supplied or leased by the Licensee, a certificate from the LICENSEE duly
supported by the manufacturer certificate meeting the mandatory performance
requirements shall be submitted by the LICENSEE to NOCC. Mandatory performance
verification of VSATs will be carried out by NOCC on selective basis on payment of
necessary testing charges by Licensee.
(vi) The Licensee shall submit a monthly operational report to NOCC/Satellite cell in DoT
in both soft copy and hard copy.
31.
The Subscriber Terminals:
31.1 The Licensee shall have the right to undertake the sale, hire purchase, lease or
renting of the subscriber fixed / mobile terminals / Customer Premises Equipment (CPE).
Proper usage of terminal at subscriber's premises shall be as per agreement between
the Licensee and subscriber.
31.2 The Licensee shall be responsible to ensure that the subscriber terminal is
operated in accordance with the terms and conditions of the License, the Wireless
Operating License where applicable and relevant instructions/rules issued by
Licensor/TRAI. The Subscriber Identification Module (SIM) or equivalent device for the
purpose used in the subscriber terminal is non-transferable to other subscriber.
31.3 The subscriber terminals/CPE deployed in the network shall meet TEC standards,
wherever specified as mandatory by the Licensor from time to time and in the absence
of mandatory TEC standard, the Licensee may deploy subscriber terminals that is
certified to meet the relevant standards set by International standardization bodies, such
as, ITU, ETSI, IEEE, ISO, IEC etc. or International Fora, viz., 3GPP, 3GPP-2, IETF, MEF,
WiMAX, Wi-Fi, IPTV, IPv6, etc. as recognized by TEC and subject to
modifications/adaptation, if any, as may be prescribed by TEC from time to time. Only
such category of subscriber unit as has been granted such a certificate shall be brought
into and operated within India under this Agreement.
31.4 Subscriber shall be given option to obtain the Subscriber Terminal from any source
subject to clause 31.3 above.
32.
Obligations imposed on the Licensee:
32.1 The provisions of the Indian Telegraph Act 1885, the Indian Wireless Telegraphy
Act 1933, and the Telecom Regulatory Authority of India Act, 1997, Information
Technology Act, 2000 as amended from time to time or any other relevant Act shall
govern this License.
32.2 The Licensee shall furnish all necessary means and facilities as required for the
application of provisions of Section 5(2) of the Indian Telegraph Act, 1885, whenever
occasion so demands. Nothing provided and contained anywhere in this License
Agreement shall be deemed to affect adversely anything provided or laid under the
provisions of Indian Telegraph Act, 1885 or any other law on the subject in force.
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33. Sharing of infrastructure:
33.1 Sharing of active/passive infrastructure shall be governed by the terms and
conditions of respective service authorization and amendment/guidelines to be issued by
the Licensor from time to time.
1833.2Sharing of Active infrastructure amongst Service Providers based on the mutual
agreements entered amongst them is permitted. Active infrastructure sharing will be
limited to antenna, feeder cable, Node B, Radio Access Network (RAN) and transmission
system only. 19Sharing of infrastructure related to Wi-Fi equipment such as Wi-Fi router,
Access Point etc. is allowed. Sharing of backhaul is also permitted.
2033.3 The Licensee may share its own active and passive infrastructure for providing
other services authorized to it under any other telecom license issued by Licensor.
2133.4 An authorized Gateway hub operated by the satellite provider itself is permitted to
be shared with the satellite bandwidth seeker.
34.
Inspection and Testing of Installations:
34.1 The Licensor / TRAI may carry out performance tests as required for checking
Quality of Service, if it so desires. The LICENSEE shall supply all necessary literature,
drawings etc. regarding the equipment installed and shall also supply all the tools, test
instruments and other accessories to the testing party of the Licensor / TRAI for
conducting the tests. The list of performance tests will be furnished by the Licensee,
which may be amended by the Licensor.
34.2 The Acceptance Testing for each and every interface with any Telecom Service
provider may be carried out by mutual arrangements between the LICENSEE and the
other party involved. The Interconnection Test schedule shall be mutually agreed.
34.3 Whenever any element of the network/system of the Licensee, if permitted to be
installed outside the Service Area as per the terms of the respective service authorization
and has been so installed, the Licensee shall ensure availability of facilities for access to
such elements from within the Service Area without any limitation or restriction and at
anytime as required by the Licensor. However it shall not preclude the Licensor from
accessing such elements at its physical location for the purposes of data/information in
respect of any Service Area served by such element.
35.
Right to inspect:
35.1 The Licensor or its authorized representative or Ministry of Information &
Broadcasting in respect of IPTV Service, or its authorized representative shall have right
to access and inspect sites used for extending the Service and in particular but not limited
to leased lines, junction, terminating interfaces, hardware/software, memories of
semiconductor, magnetic and optical varieties, wired or wireless equipment, distribution
frames. The Licensor or its authorized representative may also conduct the performance
test including to enter into dialogue with the system through input/output devices or
terminals. The Licensee will provide the necessary facilities for continuous monitoring of
the system in the Licensed Service Area, as required by the Licensor or its authorized
representative(s). The inspection will ordinarily be carried out after reasonable notice
18Amended vide DoT’s letter no. 20-443/2014 AS-I Pt. dated 11.02.2016
19Amended vide DoT’s letter no. 20-271/2010 AS-I (Vol.-III) dated 06.04.2021
20 Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021 & 27.09.2021
21Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021 & 27.09.2021
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except in circumstances where giving such a notice will defeat the very purpose of the
inspection.
35.2 Wherever considered appropriate, Licensor or the Ministry of Information &
Broadcasting in respect of IPTV Service, may conduct any inquiry either suo-motu or on
the complaint to determine whether there has been any breach in compliance of terms &
conditions of the LICENSE by the Licensee and upon such inquiry, the Licensee shall
extend all reasonable facilities without any hindrance to the Licensor/Ministry of
Information & Broadcasting as the case may be.
36.
Location of Network Elements:
36.1 The Licensee on request shall provide to the Licensor location details of all
network elements including switching centres, transmission centres, along with routing
details, network operation & control/ management Centre, equipment details, network
topology, Base Stations, end to end connectivity, Cable routes and capacity along with
GIS mapping and any other detail as may be required by Licensor from time to time. Any
network resource including the band width/ leased line/ VPN either owned or taken on
lease/ hire shall be treated as part of the Licensee Network.
36.2 In areas which are sensitive from security point of view, as may be notified from
time to time by the Licensor, installation of any equipment or execution of project shall be
taken up only after the Licensor’s approval.
36.3 The Licensor may prescribe restrictions for provision of services in areas falling
near International Border/Line of Control/Line of Actual Control of India or any other areas
as may be prescribed by the Licensor.
37.
Confidentiality of information:
37.1 The Licensee shall not employ bulk encryption equipment in its network. Licensor
or officers specially designated for the purpose may evaluate any encryption equipment
connected to the Licensee’s network. However, the Licensee shall have the responsibility
to ensure protection of privacy of communication and to ensure that unauthorized
interception of MESSAGE does not take place.
37.2 Subject to terms and conditions of the license, the Licensee shall take all
necessary steps to safeguard the privacy and confidentiality of any information about a
third party and its business to whom it provides the Service and from whom it has
acquired such information by virtue of the Service provided and shall use its best
endeavors to secure that:
a)
No person acting on behalf of the Licensee or the Licensee divulges or
uses any such information except as may be necessary in the course of providing
such Service to the Third Party; and
b) No such person seeks such information other than is necessary for the purpose
of providing Service to the Third Party.
Provided the above para shall not apply where:
a) The information relates to a specific party and that party has consented in
writing to such information being divulged or used, and such information is
divulged or used in accordance with the terms of that consent; or
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b) The information is already open to the public and otherwise known.
37.3 The Licensee shall take necessary steps to ensure that the Licensee and any
person(s) acting on its behalf observe confidentiality of customer information.
37.4 The Licensee shall, prior to commencement of Service, confirm in writing to the
Licensor that the Licensee has taken all necessary steps to ensure that it and its
employees shall observe confidentiality of customer information.
37.5 The use of encryption by the subscriber shall be governed by the Government
Policy/rules made under the Information Technology Act, 2000.
38.
Prohibition of certain activities by the Licensee:
38.1 Carriage of objectionable, obscene, unauthorized or any other content, messages
or communications infringing copyright and intellectual property right etc., in any form, in
the network is not permitted as per established laws of the country. Once specific
instances of such infringement are reported to the Licensee by the enforcement
agencies/Licensor, the Licensee shall take necessary measures to prevent carriage of
such messages in its network immediately.
38.2 The LICENSEE is obliged to provide, without any delay, all the tracing facilities to
trace nuisance, obnoxious or malicious calls, messages or communications transported
through his equipment and network, to the agencies of Government of India as authorized
from time to time, when such information is required for investigations or detection of
crimes and in the interest of national security. Any damages arising on account of
Licensee’s failure in this regard shall be payable by the Licensee.
38.3 In case any confidential information is divulged to the LICENSEE for proper
implementation of the Agreement, it shall be binding on the LICENSEE and its employees
and servants to maintain its secrecy and confidentiality.
38.4 The LICENSEE shall ensure that the Telecommunication infrastructure or
installation thereof, carried out by it, should not become a safety or health hazard and is
not in contravention of any statute, rule, regulation or public policy.
38.5 The Licensee shall in no case permit service to any Telecom Service Provider
(including those Other Service Providers who do not require License under Section 4 of
Indian Telegraph Act, 1885) whose License is either revoked or suspended or not in
operation at any point of time. Where connectivity already exists, the Licensee shall be
obliged to disconnect or sever connectivity immediately without loss of time upon receipt
of any reference from the Licensor in this regard. Disconnection shall be made effective
within one hour or within such time as directed by the Licensor in writing, after receiving
reference from the Licensor in this regard.
2238.6 Licensee shall not enter into any exclusive contract for establishing public network
to provide public telecom services or Right of Way (RoW) with any Public entity or any
Person.
22 Amended vide letter No. 20-271/2023 AS-I dated 27.07.2023
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CHAPTER-VI
SECURITY CONDITIONS
39.
The LICENSEE shall meet the instructions/directions of the Licensor issued from
time to time in the interest of national security apart from the following conditions.
39.1 The LICENSEE shall provide necessary facilities depending upon the specific
situation at the relevant time to the Government to counteract espionage, subversive act,
sabotage or any other unlawful activity.
39.2 The LICENSEE shall make available on demand to the person authorized by the
Licensor, full access to the switching centers, transmission centers, routers and other
network elements including equipment installed in subscriber premises etc. for technical
scrutiny and for inspection, which can be visual inspection or an operational inspection.
39.3 All foreign personnel likely to be deployed by the LICENSEE for installation,
operation and maintenance of the Licensee’s network shall be security cleared by the
Government of India prior to their deployment. The security clearance will be obtained
from the Ministry of Home Affairs, Government of India.
39.4 The LICENSEE shall ensure protection of privacy of communication and ensure
that unauthorized interception of messages does not take place.
39.5 The LICENSEE shall be completely and totally responsible for security of their
networks. The LICENSEE shall have organizational policy on security and security
management of their networks including Network forensics, Network Hardening, Network
penetration test, Risk assessment. Actions to fix problems and to prevent such problems
from recurring should be part of the policy. The LICENSEE shall submit its policy to
Licensor within 90 calendar days from the date of issue of the License/each service
authorization.
39.6 In furtherance of organizational security policy, the LICENSEE shall audit its
network or get the network audited from security point of view once in a financial year
from a network audit and certification agency. The first audit may be carried out in the
financial year succeeding the financial year of the signing of the LICENSE/ Service
authorization. The LICENSEE is free to engage the service of any agency for this
purpose, which is certified to carry out the audit as per relevant ISO standards. Presently
ISO 15408 and ISO 27001 standards are applicable.
39.7 The LICENSEE shall induct only those network elements into its telecom network,
which have been got tested as per relevant contemporary Indian or International Security
Standards e.g. IT and IT related elements against ISO/IEC 15408 standards, for
Information Security Management System against ISO 27000 series Standards, Telecom
and Telecom related elements against 3GPP security standards, 3GPP2 security
standards etc. The certification shall be got done only from authorized and certified
agencies/ labs in India or as may be specified by the Licensor. The copies of test results
and test certificates shall be kept by the LICENSEE for a period of 10 years from the date
of procurement of equipment.
2339.7.1. The Government through the Designated Authority will have the right to impose
conditions for procurement of Telecommunication Equipment on grounds of Defence of
23 Amended vide DoT’s Letter no.20-271/2010 AS-I (Vol.-III) dated 10.03.2021
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India, or matters directly or indirectly related thereto, for national security. Designated
Authority for this purpose shall be National Cyber Security Coordinator. In this regard,
the licensee shall provide any information as and when sought by the Designated
Authority.
Designated Authority shall notify the categories of equipment for which the security
requirement related to Trusted Sources are applicable. For the said categories of
equipment, Designated Authority shall notify the Trusted Sources along with the
associated Telecommunication Equipment (Trusted Products). The Designated Authority
may also notify a list of Designated Sources from whom no procurement can be done.
Procedure for inclusion of Telecommunication Equipment in the list of Trusted Sources
will be issued by the Designated Authority.
24With effect from 15thJune 2021, the licensee, shall only connect Trusted
Products in its network and also seek permission from Designated Authority for
upgradation or expansion of existing Network utilizing the Telecommunication Equipment
not designated as Trusted Products. However, these directions will not affect ongoing
Annual Maintenance Contracts (AMC) or updates to existing equipment already inducted
in the network as on date of effect.
The licensees shall comply with the Guidance for Enhanced Supervision and
Effective Control of Telecommunication Networks, as per guidelines to be issued by the
licensor.
39.8 The LICENSEE shall include all contemporary security related features and
features related to communication security as prescribed under relevant security
standards while procuring the equipment and implement all such contemporary features
into the network. A list of features, equipments, software etc procured and implemented
shall be kept by the LICENSEE till they are in use, which may be subjected to inspection
and testing by the Licensor at any time, in the network or otherwise, at the option of the
Licensor.
39.9 The LICENSEE shall
(i)
Ensure that all the documentation, including software details are obtained
from manufacturer/vendor/supplier in English language.
(ii)
Keep a record of operation and maintenance procedure in the form of a
manual.
(iii)
Keep a record of all the operation and maintenance command logs for a
period of 12 months, which shall include the actual command given, who gave
the command, when was it given with date and time and from where. For next
24 months the same information shall be stored/ retained in a non-online
mode. For this purpose LICENSEE shall keep a list of User ID linked with
name and other details of the user duly certified by the system administrator.
The user list shall be provided to Licensor or agencies designated by the
Licensor as and when required.
(iv)
Keep a record of all the software updating and changes. The major updating
and changes should also be informed to Licensor within 15 days of completion
of such updating and changes.
(v)
Keep a record of supply chain of the products (hardware/ software). This
should be taken from the manufacturer/ vendor/ supplier at the time of
procurement of the products.
24 Amended vide letter no 20-271/2010 AS-I (Vol-III) dated 11.07.2022
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39.10 (i)
The LICENSEE shall create facilities for the monitoring of all intrusions,
attacks and frauds on his technical facilities and provide reports on the same to the
Licensor. Such facilities shall be created by the Licensee within 12 months of effective
date of this LICENSE/ authorization and be reported to Licensor as and when created
during this period.
39.10 (ii)
The Licensee through suitable agreement clauses with vendor shall ensure
that the Vendor/ Supplier allow the Licensee, Licensor and/ or its designated agencies to
inspect the hardware, software, design, development, manufacturing facility and supply
chain and subject all software to a security/ threat check any time during the supplies of
equipment. The number of such visits will be limited to two in a Purchase Order (PO).
The expenditure for such visits, limited upto 40 man-days per visit, for each purchase
order of value above Rs 50 crore, shall be borne by the LICENSEE directly or through
vendor.
39.11 (i)
A penalty upto Rs 50 crore per occasion will be levied for any security
breach which has been caused due to inadvertent inadequacy/inadequacies in
precaution on the part of Licensee prescribed under this License. Licensor shall
constitute a five members committee, which shall include two cyber security experts, to
determine whether the breach is due to inadvertent inadequacy/ inadequacies or
otherwise. The committee shall also decide the amount of penalty depending upon loss,
gravity of breach etc.
39.11 (ii)
In case of inadequate compliance to the measures prescribed under this
License, act of intentional omissions, deliberate vulnerability left into the equipment or in
case of deliberate attempt for a security breach, penalty amount will be Rs. 50 crore per
breach. The same breach in the same equipment purchased through same PO or in the
same lot or the same negligence at the same time at multiple locations in an operator’s
network will be considered as a single breach for the purpose of levying penalty under
this clause. The LICENSEE shall deposit the penalty amount with the Licensor within 30
days of the issue of Notice.
39.11 (iii)
Besides the penalty, liability and criminal proceedings under the relevant
provisions of various Acts such as Indian Telegraph Act, Information Technology Act,
Indian Penal Code (IPC), Criminal Procedure Code (CrPC) etc can be initiated. In such
cases, LICENSE of the LICENSEE can also be terminated, vendor or supplier who
supplied the hardware/software, that caused the security breach, could be blacklisted for
doing business in the country or both. The LICENSEE must include the clause of
discretion of blacklisting of vendor or supplier in such cases in the agreement signed with
vendors/suppliers.
39.11 (iv)
Licensor may make any of the following suggestions, which help in
increasing the security of the telecom network, mandatory whenever deemed necessary
to do so.
a) May sign a suitable agreement with hardware/ software manufacturer/ vendors
and/or suppliers of services to ensure that the equipment/ services/ software they
supply are ‘Safe to Connect’ in the network, have been checked thoroughly for
risks and vulnerabilities, all addressable vulnerabilities have been addressed, non-
addressable vulnerabilities have been listed with remedial measures and
precautions provided. The agreement should cover aspects related to security
measures like access control, Password control and management etc. Clauses
addressing the service continuity and service up-gradation should also be suitably
included in the agreement, with consequences defined for each party in case of
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breach, particularly the security breaches. As information dissemination and
facilitating measure, suggested clauses for such an agreement in the form of a
template will be available on the website of DoT. The service providers may take
all or selected provisions from this template, depending upon the type of services
they avail from a vendor/ supplier. They are free to add, modify, delete any of the
clauses from this template, because security of their network is their responsibility
and they will be liable for any security breach.
b) The Licensees should endeavour to create a forum, say, Telecom Security Council
of India (TSCI), on a voluntary basis to increase the security assurance levels and
share common issues.
c) The Licensee shall build their own capability and capacity to maintain and operate
the network, preferably through local maintenance personnel, because the
telecom network is a security sensitive infrastructure.
39.12 In the interests of security, suitable monitoring equipment as per requirement of
the Licensor or designated Security Agencies for each type of system used shall be
provided by the Licensee for monitoring as and when required by Licensor. The specific
orders or directions from the Government, issued under such conditions, shall also be
applicable.
39.13 The precise delineation of geographical borders taken by the Licensee for the
purpose of defining service area along International borders, if any, shall have prior
approval of the Government of India. The terrestrial boundaries of India shall be as
depicted in the maps issued by Survey of India.
39.14 The use of the network for anti-national activities would be construed as an offence
punishable under the Indian Penal Code or other applicable law. The networks cannot
be used in such a manner as to endanger or make vulnerable a networked infrastructure.
Acts such as break-ins or attempted break-ins of Indian networks shall be regarded as
an anti-national act and shall be dealt with in accordance with the Indian Penal Code.
Licensee must ensure that their services are not used for such purposes. Besides penal
action as stated above, such an activity/activities could be sufficient reason for the
Licensor to revoke this license.
39.15 The Government through appropriate notification may debar usage of mobile
terminals in certain areas in the country. The LICENSEE shall deny Service in areas
specified by designated authority immediately and in any case within six hours on
request. The LICENSEE shall also provide the facility to carry out surveillance of Mobile
Terminal activity within a specified area.
39.16 Licensor shall have the right to take over the Service, equipment and networks of
the Licensee (either in part or in whole of the Service Area) in case any directions are
issued in the public interest by the Government of India in the event of a National
emergency / war or low intensity conflict or any other eventuality. Any specific orders or
directions from the Government of India issued under such conditions shall be applicable
to the Licensee and shall be strictly complied with.
39.17 (i) The Licensee shall ensure adequate verification of each and every customer
before enrolling him as a subscriber; instructions issued by the Licensor in this regard
from time to time shall be scrupulously followed. The Licensee shall make it clear to the
subscriber that the subscriber will be responsible for proper and bonafide use of the
service.
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39.17 (ii)
Format prescribed by the Licensor delineating the details of information
required before enrolling a customer as a subscriber shall be followed by the Licensee.
A photo identification of subscribers shall be pre-requisite before providing the service.
The Licensor may prescribe service-wise detailed instructions for enrolment of subscriber
and activation of service from time to time.
39.17(iii)
The Licensee shall activate the Leased Line, Internet Leased Line and IPLC
service only after checking the bonafide of the customer, verifying details as per
Customer Acquisition Form (CAF) prescribed from time to time and physical inspection
of the site. Further, in the case of Leased Line, the reasons for taking the link by the
customer shall be recorded.
39.18 The complete list of subscribers shall be made available by the Licensee on their
website (having password controlled access), so that designated Security Agencies are
able to obtain the subscriber list at any time, as per their convenience with the help of the
password. The list should be updated on regular basis. Hard copy as and when required
by security agencies shall also be furnished.
39.19 The Licensor or its representative(s) will have an access to the Database relating
to the subscribers of the Licensee. The Licensee shall also update the list of his
subscribers and make available the same to the Licensor at such intervals as may be
prescribed. The Licensee shall make available, at any prescribed instant, to the Licensor
or its authorized representative details of the subscribers using the service.
2539.20The Licensee shall maintain all commercial records/ Call Detail Record (CDR)/
Exchange Detail Record (EDR)/ IP Detail Record (IPDR) with regard to the
communications exchanged on the network. Such records shall be archived for at least
two years for scrutiny by the Licensor for security reasons and may be destroyed
thereafter unless directed otherwise by the Licensor. Licensor may issue directions
/instructions from time to time with respect to commercial records /CDR/IPDR/EDR.
39.21 (i) Calling Line Identification (CLI) shall be provided. The network should also
support Malicious Call identification and Centralized Automatic Message Accounting
(CAMA).
39.21 (ii) Calling Line Identification (CLI) shall never be tampered as the same is also
required for security purposes and any violation of this amounts to breach of security.
39.22 (i) Utmost vigilance should be exercised in providing bulk connections for a single
user as well as for a single location. Provision of 10 or more connections may be taken
as bulk connections for this purpose. Special verification of bonafide should be carried
out for providing such bulk connections. Information about bulk connections shall be
forwarded to respective LSA Field Unit of DoT and any other officer authorized by
Licensor from time to time as well as all Security Agencies on monthly basis.
39.22 (ii) The call detail records for outgoing calls made by customers should be
analyzed for the subscribers making large number of outgoing calls day and night and to
the various telephone numbers. Normally, no incoming call is observed in such cases.
This can be done by running special program for this purpose. The service provider
should devise appropriate fraud management and prevention programme and fix
threshold levels of average per day usage in minutes of the telephone connection; all
25 Amended vide letter no 20-271/2010 AS-I (Vol.-III) dated 21.12.2021
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telephone connections crossing the threshold of usage should be checked for bonafide
use. A record of check must be maintained which may be verified by Licensor any time.
The list/details of suspected subscribers should be informed to the respective LSA Field
Unit of DoT and any other officer authorized by Licensor from time to time.
39.22 (iii) Active support must be extended by the service providers to the respective
LSA Field Units of DoT for detection of clandestine / illegal telecommunications facilities.
For this purpose, names of the Nodal officers & alternate Nodal Officers in respect of
each licensed service area as communicated to the Intelligence Agencies for monitoring
of telecommunications should also be forwarded to respective LSA Field Unit of DoT,
and any other officer authorized by Licensor from time to time. The LSA Field Unit of DoT
will contact the Nodal Officer / alternate Nodal officer, and till the time such nomination is
received or in case of non-availability of such officer, the LSA Field Unit will contact the
Chief Executive Officer of the Licensee, for such support / coordination.
39.22 (iv) Bulk users premises should be inspected by the service providers at regular
intervals for satisfying themselves about bonafide use of such facilities. A record of such
inspection should be maintained and preserved for minimum one year, for inspection /
verification by the licensing authority or a designated officer of the authority.
39.22 (v) Leased circuits should also be checked/ inspected at regular intervals for their
bonafide use and to detect any misuse.
39.23 The Licensee shall also ensure compliance of the following conditions:
(i)
The Chief Officer in charge of technical network operations and the Chief
Security Officer/Chief Information Security Officer, and in-charge of GMSC,
MSC, Soft-Switch, Central Database, ILD Gateway, VSAT Hub, INSAT MSS-R
Hub, PMRTS Central/Base Station, GMPCS Gateway, Switches and System
Administrators shall be resident Indian citizen.
(ii)
Licensee may, on need basis, provide details of its infrastructure/ network
diagram (technical details of the network) only to telecom equipment
suppliers/manufacturers and the affiliate/ parents of the Licensee Company.
Clearance from the Licensor would be required if such information is to be
provided to anybody else.
(iii)
For security reasons, domestic traffic of such entities as may be identified/
specified by the Licensor shall not be hauled/ routed to any place outside India.
For this purpose, location of satellites serving India for domestic traffic shall not
be treated as outside India.
(iv)
The Licensee Company shall take adequate and timely measures to ensure that
the information transacted through a network by the subscribers is secure and
protected.
(v)
The officers/ officials/ Nodal Executives of the Licensee companies dealing with
the lawful interception of messages will be resident Indian citizens.
(vi)
The majority Directors on the Board of the Licensee company shall be Indian
citizens.
(vii)
The positions of the Chairman, Managing Director, Chief Executive Officer
(CEO) and/or Chief Financial Officer (CFO), if held by foreign nationals, would
require to be security vetted by Ministry of Home Affairs (MHA). Security vetting
shall be required periodically on yearly basis. In case something adverse is
found during the security vetting, the direction of MHA shall be binding on the
Licensee.
(viii)
The Licensee shall not transfer the following to any person/place outside India:-
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a. Any accounting information relating to subscriber (except for international
roaming/billing) (Note: it does not restrict a statutorily required disclosure of
financial nature) ; and
b. User information (except pertaining to foreign subscribers using Indian
Operator’s network while roaming and IPLC subscribers).
(ix)
The Licensee must provide traceable identity of their subscribers. However, in
case of providing service to roaming subscriber of foreign Companies, the Indian
Company shall endeavour to obtain traceable identity of roaming subscribers
from the foreign company as a part of its roaming agreement.
(x)
On request of the Licensor or any other agency authorized by the Licensor, the
Licensee shall be able to provide the geographical location of any subscriber
(BTS location and Location details including latitude & longitude details) at a
given point of time.
(xi)
26The Remote Access (RA) to network would be provided only to approved
locations abroad through approved location(s) in India. The approval for
location(s) would be given by the Licensor (DoT) after satisfying itself about the
appropriateness.
(xii)
Under no circumstances, should any RA to the suppliers/manufacturers and
affiliate(s) be enabled to access Lawful Interception System(LIS), Lawful
Interception Monitoring(LIM), Call contents of the traffic and any such sensitive
sector/data, which the Licensor may notify from time to time.
(xiii)
The Licensee Company is not allowed to use remote access facility for
monitoring of content.
(xiv)
Suitable technical device should be made available at Indian end to the
designated security agency/Licensor in which a mirror image of the remote
access information is available on line for monitoring purposes as per direction
of the Licensor from time to time.
(xv)
Complete audit trail of the remote access activities pertaining to the network
operated in India should be maintained for a period of six months and provided
on request to the Licensor or any other agency authorized by the Licensor.
(xvi)
The Licensee shall ensure that necessary provision (hardware/ software) is
available in their equipment for doing the Lawful interception and monitoring from
a centralized location.
(xvii) The Licensee shall familiarize/ train LSA Field Unit of DoT/ security agency
officers/ officials in respect of relevant operations/ features of their systems.
(xviii) It shall be open to the Licensor to restrict the Licensee Company from operating
in any sensitive area from the National Security angle.
(xix)
In order to maintain the privacy of voice and data, monitoring shall be in
accordance with rules in this regard under Indian Telegraph Act, 1885.
(xx)
For monitoring traffic, the Licensee Company shall provide access of their
network and other facilities as well as to books of accounts to the security
agencies.
39.24 Licensor reserves the right to modify these conditions or incorporate new
conditions considered necessary in the interest of national security and public interest or
for proper conduct of TELEGRAPH.
40.
Application of Indian Telegraph Act, 1885:
40.1 The Licensee shall adopt all means and facilitate in every manner the application
of the Indian Telegraph Act, 1885 and Indian Wireless Telegraphy Act, 1933 as modified
26Amended vide DOT letter no 20-271/AS-I (Pt) dated 03.12.2013
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or replaced from time to time. The Service shall be provided in accordance with the
provisions of Indian Telegraph Rules as modified and amended from time to time.
40.2 As per the provision of Section 5 of Indian Telegraph Act, the Licensee will provide
necessary facilities to the designated authorities of Central/State Government as
conveyed by the Licensor from time to time for interception of the messages passing
through its network.
Section 5 (2) of the Indian Telegraph Act 1885 reads as under:
“On the occurrence of any public emergency or in the interest of public safety, the
Central Government or a State Government or any officer specially authorized in
their behalf by the Central Government or a State Government may, if satisfied
that it is necessary or expedient to do so in the interest of the sovereignty and
integrity of India, the security of the State, friendly relations with foreign states or
public order or for preventing incitement to the commission of an offense, reasons
to be recorded in writing, by order, direct that any message or for class of
messages to or from any person or class of persons or relating to any particular
subject, brought for transmission by or transmitted or received by any telegraph,
shall not be transmitted or shall be intercepted or detained or shall be disclosed to
the Government making the order or an officer thereof mentioned on the order:
Provided that press messages intended to be published in India of correspondents
accredited to the Central Government or a State Government shall not be
intercepted or detained, unless their transmission has been prohibited under this
subsection.”
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CHAPTER-VII
SPECTRUM ALLOTMENT AND USE
2741. Right to use the spectrum: This License Agreement does not confer any right to
assignment and use of spectrum for which separate specific Frequency Assignment shall
be required from Wireless Planning and Coordination (WPC) Wing.
2842. Frequency Assignment:
2942.1 The Frequency Assignment shall be required from the WPC Wing of the
Department of Telecommunications, Ministry of Communications permitting utilization of
appropriate frequencies / band for the establishment, maintenance and operation of
Wireless elements of the Telecom Service, under specified procedure, instructions, terms
and conditions including payment for said assignment and right to use of spectrum
prescribed by WPC Wing from time to time. Services offered by the Licensee using the
spectrum shall be governed by the terms and conditions of this License.
3042.1.1The LICENSEE has to obtain, among others, site clearance from the WPC Wing
in respect of fixed stations and its antenna mast. For this purpose the LICENSEE shall
separately apply online on WPC Wing website: www.wpc.gov.in for site clearance by
SACFA, as per prescribed procedure and forward the hard copy downloaded from the
website or as applicable from time to time to the Secretary, Standing Advisory Committee
on radio Frequency Allocations (SACFA) WPC Wing to the following address:
The Secretary (SACFA), WPC Wing,
Ministry of Communications, Department of Telecommunications,
Sanchar Bhawan, New Delhi-110001.
3142.1.2
The service providers shall install equipment (Base Station) on the site
within three / six months from the date of receipt of SACFA clearance, failing which they
will surrender/get cancelled the clearance.
3242.1.3
The LICENSEE shall not cause or allow to cause harmful interference to
other authorized users of radio spectrum. For elimination of harmful interference,
LICENSEE shall abide by all instructions and orders issued by the Government.
42. 2 Application, wherever required, after following the procedure under para 42.1,
shall be made to the “Wireless Adviser to the Government of India, WPC Wing,
Department of Telecommunications, Ministry of Communications, Sanchar Bhawan, New
Delhi-110001” in a prescribed application form available on WPC Wing website:
www.wpc.dot.gov.in. Online filing of the application shall be required for this purpose.
42.3 In the event of holding/obtaining Access spectrum, no licensee or its promoter(s)
directly or indirectly shall have any beneficial interest in another licensee company
holding “Access Spectrum” in the same service area.
For the purpose of this clause:
27Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
28Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
29Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
30Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
31Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
32Amended vide letter no 20-271/2010-AS-I Vol.-II dated 2nd Nov., 2016
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(a)
Promoter shall mean legal entity other than Central Government, financial
institutions and scheduled banks, which hold 10% or more equity in the licensee
company.
(b)
Beneficial interest shall mean holding of any equity directly or indirectly including
through chain of companies in the licensee company.
(c)
Any arrangement contrary to above shall be made consistent with the above
stipulations within a period of one year from the date of grant of UL.
(d)
Exception granted in para 1.4 of UAS licensee in respect of basic and CMTS
licenses existing on 11.11.2003 shall end on the expiry of CMTS/UAS/Basic
Service license held by such licensee. They shall comply with the above stipulation
within a period of one year from the date of migration to UL.
42.4 The networth and paid up equity capital requirement, if any, for acquisition of Access
Spectrum, shall be as prescribed by the Licensor.
42.5 In case the Licensee obtains spectrum through auction, the provisions specified
in the relevant Notice Inviting Application (NIA) document for the auction of such
spectrum or conditions of spectrum allotment shall apply and this License shall be
suitably amended for this purpose.
42.6 At the time of expiry of Unified License, the continuity of spectrum held by the
Licensee, if any, shall be governed by the terms and conditions of allotment of such
spectrum.
42.7 Allotment of spectrum for individual point-to-point fixed links i.e. Microwave
Backhaul Spectrum shall be subject to separate application to WPC Wing and the
allotment of the same is not linked to the compliance of roll out obligations where
prescribed. The allotment of backhaul spectrum is subject to availability, usual processes
and terms and conditions. Separate charges as prescribed from time to time shall be
payable for microwave backhaul spectrum.
42.8 The Licensor/ WPC Wing reserves the right to modify the procedure for allotment
of spectrum and/or rates for payment for said allotment and use of spectrum any time.
3342.9 & 42.10 The administratively assigned access spectrum may be liberalized as per
guidelines issued by the Government from time to time. Administratively allotted
spectrum in 800 & 1800 MHz bands refers to the spectrum allotted prior to auction of
right to use spectrum in November 2012.
3442.11 Limit of Cap for spectrum holding:
Notwithstanding anything contained in NIA for auctions conducted for award of spectrum
in the years 2012, 2013, 2014, 2015 and 2016, the limit of Cap for spectrum holding are
hereby revised as detailed below:
(a)
The overall spectrum cap is revised from the current limit of 25% to 35%.
(b)
The current intra-band cap is removed and a Cap of 50% on the combined
spectrum holding in the sub-1 GHz bands (700 MHz, 800 MHz and 900 MHz bands) is
applicable.
33Amended vide DOT’s letter no. 20-271/2010 AS-I dated 05.11.2015
34Amended vide DoT’s letter no. 20-586/2018-AS.I dated 19th March 2018
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(c)
There shall be no Cap for individual or combined spectrum holding in above 1 GHz
band.
(d)
The principle applied in NIA of August 2016 for calculation of spectrum cap shall
continue to be applied while calculating revised overall as well as sub-1 GHz spectrum
cap as detailed below:
i)
All spectrum assigned to TSPs, including quantity of spectrum whose rights
to use were put to auction but remained unsold, spectrum whose rights to use
were assigned but subsequently surrendered by the TSPs or taken back by the
Licensor and quantity of spectrum whose rights to use are being put to auction
would be counted for the purpose of the spectrum cap.
ii)
The spectrum which may become available to DoT for commercial use after
its refarming from other uses (such as defence) at different points of time would
not be counted for determining the spectrum caps until its rights to use are put to
auction.
iii)
In case a situation arises where due to any subsequent assignment of
spectrum to defence/non-commercial usage, spectrum cap is affected adversely,
no TSP would be asked to surrender right to use of any spectrum which it already
holds. For the sake of level playing field among Telecom Service Providers
(TSPs), the same spectrum cap shall be made applicable for all the telecom
service providers in that Licensed Service Area.”
(e)
The above spectrum caps may be revised after Final Acts of World
Radiocommunication Conference (WRC) 2019.
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PART - II
[PART-II consisting of Chapter – VIII to XVI contains the terms and conditions specific to
the respective Service Authorization, which are in addition to the terms and conditions
contained in PART-I]
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CHAPTER-VIII
ACCESS SERVICE
1.
Service Area: The Service Area of Access Service shall be the Telecom
Circle/Metro area as defined in Annexure-V. License/Authorization for Access Service, if
granted for more than one Service Area (Telecom Circle/Metro), shall be administered
separately for each Service Area as per terms and conditions contained in Part-I and in
this chapter.
2.
Scope of Access Service: Scope of this authorization covers the following:
2.1(a)(i)
The Access Service under this authorization covers collection, carriage,
transmission and delivery of voice and/or non-voice MESSAGES over Licensee’s
network in the designated Service Area. The Licensee can also provide Internet
Telephony, Internet Services including IPTV, Broadband Services and triple play i.e
voice, video and data. While providing Internet Telephony service, the Licensee may
interconnect Internet Telephony network with PSTN/PLMN/GMPCS network. The
Licensee may provide access service, which could be on wireline and / or wireless media
with full mobility, limited mobility and fixed wireless access.
35(ii)
Licensee may enter into mutual commercial agreements for roaming facilities
(within same service area or other service areas) with other Cellular Mobile Telephone
Service Licensees/ Unified Access Service LICENSEEs/Unified License (Access
Services) LICENSEEs /Unified Licensees with Access Service authorization, unless
otherwise directed by Licensor, irrespective of spectrum band held or technology
deployed by such licensees. Licensee may also enter into mutual commercial
agreements for roaming facilities (within same service area or other service areas) with
Unified Licensees having Category ‘A’, Category ‘B’ and Category ‘C’ Internet Service
Provider (ISP) authorizations/ Category ‘A’, Category ‘B’ and Category ‘C’ Internet
Service Providers, for providing Internet Access Services only. However, any Roaming
arrangement shall not entitle the Licensee to acquire customer in the spectrum band not
held or technology not deployed or for services/facilities not offered by the Licensee in its
network.
(iii)
The Licensee can acquire customer for delivery of services offered in its network
using only the spectrum band held & technology deployed by the Licensee. While
roaming on other Licensees’ network, the services availed by the subscriber shall be
limited to only those services which have been subscribed in its home network.
(iv) The Licensee may also enter into agreements with telecom service providers abroad
for providing roaming facility to its subscriber unless directed by Licensor otherwise.
(v) The Licensee may provide leased circuits within its respective service area.
Interconnection of leased circuits, whether point to point or in CUG network, with
PSTN/PLMN/GMPCS/Internet Telephony Network is not permitted.
(vi) The Licensee may also provide Voice Mail/Audiotex/Unified Messaging services,
Video Conferencing over its network to the subscribers falling within its SERVICE AREA
on non-discriminatory basis. All the revenue earned by the Licensee through these
35Amended vide DoT’s letter no. 20-271/2010 AS-I (Vol.-III) dated 06.04.2021
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services shall be counted towards the revenue for the purpose of paying License Fee
under the LICENSE AGREEMENT.
36(vii) Deleted.
(viii) Except those services permitted under the scope of this authorization, the Licensee
shall not provide any service / services which require a separate service authorization /
license.
(ix) The Licensee may offer “Home Zone Tariff Scheme (s)” as a subset of full mobile
service in well defined geographical Areas through a tariff of its choice within the scope
of orders of TRAI on the subject. Numbering and interconnection for this service shall be
same as that of fully mobile subscribers.
37(x) Spectrum sharing, Surrender and leasing would be permitted as per guidelines
issued by the Government from time to time.
(xi) Licensee may provide Captive Non-Public Network (CNPN) as a service to
enterprise(s) by using network resources (such as through network slicing) over its
PLMN.
(xii) Licensee may establish isolated CNPN for enterprises using IMT spectrum assigned
to it for establishing PLMN. While establishing such isolated CNPNs, it will be the
responsibility of the Licensee to ensure that the prescribed QoS to their customers
through public network is maintained.
(xiii) In case the Licensee decides to surrender the spectrum, which is being used for
CNPNs, it shall give prior notice, at least 6 months before the effective date of surrender
of spectrum, to its CNPN customers.
2.1 (b)
In respect of subscriber availing limited mobility facility, the mobility shall be
restricted to the local area i.e. Short Distance Charging Area (SDCA) in which the
subscriber is registered. While deploying such systems, the LICENSEE has to follow the
SDCA based linked numbering plan in accordance with the National Numbering Plan of
the respective SDCA within which the service is provided and it should not be possible
to authenticate and work with the subscriber terminal equipment in SDCAs other than the
one in which it is registered. Terminal of such subscriber in wireless access system can
be registered in only one SDCA. Multiple registration or Temporary subscriber/
Subscription facilities in more than one SDCA using the same Subscriber terminal in
wireless access systems is not permitted and the same Subscriber Terminal cannot be
used to avail Limited Mobile facility in more than one SDCA. The system shall also be so
engineered to ensure that hand over of subscriber does not take place from one SDCA
to another SDCA under any circumstances, including handover of the calls through call
forwarding beyond SDCA. The LICENSEE must ensure that the mobility in case of such
limited mobile service/ facility remains restricted to SDCA.
2.2
Licensee may carry intra-circle long distance traffic on its network. However,
subject to technical feasibility, the subscriber of the intra-circle long distance calls, shall
be given choice to use the network of another Licensee in the same service area,
wherever possible. The Licensee may also enter into mutual agreements with other UL
Licensee (with authorization for access service)/ other Access service licensee/National
Long Distance Licensee for carrying its intra-Circle Long Distance traffic.
36Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
37Amended vide DoT letter no 20-271/2010 AS-I dated 27.06.2022.
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UL Agreement updated up to 31.03.2024
382.3 For provision of the service by the Licensee, the Licensee may appoint or employ
franchisee, agents, distributors and employees. Responsibilities for ensuring compliance
of terms & conditions of the License shall vest with the Licensee and not with the
Franchisee. The terms of franchise agreement between Licensee and his franchisee shall
be settled mutually by negotiation between the two parties involved. The Licensee shall
report the details of such Franchisee to the Licensor as prescribed from time to time.
2.4
The Licensee may provide internet service by using the Cable Network of
authorized Cable Operator, as last mile linkage, subject to applicable Cable Laws (The
Cable Television Networks (Regulation) Act, 1995) as modified from time to time.
392.5 Stands modified.
2.6(i) For provision of Internet Telephony, Internet Services, Broadband Services and
triple play i.e. voice, video and data, the Conditions No. 2.1(i), 2.1(vii), 2.1(ix), 2.1(x), 2.2,
5, 6, 7 and 8 of Chapter IX (Internet Service) shall also be applicable.
402.6(ii) Internet Telephony calls originated by International out roamers from
international locations shall be handed over at the International gateway of licensed
ILDOs and International termination charges shall be paid to the terminating access
service provider. In case the Licensee is not able to ensure that Internet Telephony call
originated outside of the country is coming through ILDO gateway, International out-
roaming to Internet Telephony subscribers of the access provider shall not be allowed.
Further, the calls originated outside the country using internet telephony shall be routed
through ILD (International Long Distance) Gateway like any other international call.
2.6(iii) The mobile numbering series should be used for providing Internet Telephony by
Licensee. TSPs are allowed to allocate same number to the subscriber both for Cellular
Mobile service and Internet Telephony service.
The access service licensee should use private ENUM in its network for Telephone
number mapping from E.164 to SIP/H.323 addresses and vice-versa.
2.6(iv) The licensees should comply with all the interception and monitoring related
requirements as specified in the licence as amended from time to time for providing
Internet Telephony.
The Public IP address used for originating/terminating Internet Telephony calls should
be made a mandatory part of CDR in case of Internet Telephony. The location details in
form of latitude and longitude should also be provided wherever it is feasible.
CLI Restriction (CLIR) facility should not be provided for Internet Telephony Subscribers.
2.6 (v) IP Address assigned to a subscriber for Internet Telephony shall conform
to IP addressing Scheme of Internet Assigned Numbers Authority (IANA) only.
2.6 (vi) The Licensees providing Internet Telephony service may facilitate access to
emergency number calls using location services; however it is not mandated to provide
such services at present. The subscribers may be informed about the limitation of
38Amended vide DoT letter no 20-271/2010 AS-I Vol.-II dated 10th August, 2016.
39Amended vide DoT Letter no.20-573/2017 AS-I dated 19th June, 2018
40Amended vide DoT Letter no.20-573/2017 AS-I dated 19th June, 2018
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UL Agreement updated up to 31.03.2024
providing access to emergency services to Internet Telephony subscribers in
unambiguous terms.
2.6 (vii) The Licensees must inform QoS parameter supported by them for Internet
Telephony so that the subscribers can take an informed decision.
413.
FINANCIAL CONDITIONS
3.1
GROSS REVENUE
42The Gross Revenue shall be inclusive of installation charges, late fees, sale proceeds
of handsets (or any other terminal equipment etc.), revenue on account of interest,
dividend, value added services, supplementary services, access or interconnection
charges, roaming charges, revenue from permissible leasing of spectrum, revenue from
permissible sharing of infrastructure and any other miscellaneous revenue, without any
set-off for related item of expense, etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items
listed below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR)
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. PSTN/PLMN/GMPCS related call charges (Access Charges) paid to other
eligible/entitled Telecommunication service providers within India;
b. Roaming revenues passed on to other eligible/entitled telecommunication service
providers and;
c. Goods and Service Tax (GST) paid to the Government if the Applicable Gross
Revenue (ApGR) had included as component of GST.
41Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
42Amended vide DoT letter no 20-271/2010 AS-I dated 27.06.2022.
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4.
Technical & Operating Conditions
4.1
The
Licensee’s
network
shall
be
compliant
to
the
Regulations/Directions/instructions issued by TRAI/Licensor in respect of Mobile Number
Portability (MNP) before commencement of mobile services.
4.2
The sharing of infrastructure, owned, established and operated by the Licensee
under the scope of this Authorization, is permitted as below:
(i)
Sharing of “passive” infrastructure viz., building, tower, dark fibre, duct space,
Right of Way etc. with other Licensees.
(ii)
Provision of point to point bandwidth from their own infrastructure within their
Service Area to other licensed telecom service providers for their own use. However, the
Licensee hiring the bandwidth shall not resell such bandwidth.
4.3
Further, the Licensee may share its own active and passive infrastructure for
providing other services authorized to it under the license.
4.4
Moreover, sharing of active infrastructure with other licensees shall be governed
by the license conditions/amendments issued by the Licensor from time to time.
4.5 Location of switches and other network elements
43(i)
The licensee may deploy any of its equipments anywhere in India subject to the
interconnection points being located and operated in the respective service areas for inter
operator, inter service area, NLD & ILD calls and meeting the security conditions as
mentioned in the license.
(ii)
Stands deleted.
5.
Provision of IPTV Service:
5.1(a) The Licensee while providing TV channels through IPTV shall transmit only those
television channels and in exactly same form (unaltered), which are registered with or
are otherwise permitted by the Ministry of Information and Broadcasting. In such cases,
the responsibility to ensure that content is in accordance with the extant laws, rules,
regulations etc. shall be that of the broadcaster and telecom Licensee will not be held
responsible. The Licensee shall not carry any television channels prohibited either
permanently or temporarily or not registered with the Ministry of Information &
Broadcasting.
5.1(b) The Licensee can obtain content from the Multi System Operator or the Cable
Operator for providing IPTV services.
5.1(c) The Licensee providing IPTV will show only those News and Current Affairs
television channels which have been registered with Ministry of Information and
Broadcasting. The Licensee will not produce or provide any other broadcast or non-
broadcast channel having any element of News and Current Affairs.
5.1(d) The provisions of Programme code and Advertisement code as provided in Cable
Television Network (Regulation) Act 1995 and Rules there under shall be applicable even
43Amended vide DoT letter No. 20-355/2012-AS-I Vol-V dated 23rd June, 2017
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in the case of contents other than TV channels from broadcast provided by the Licensee.
Since the Licensee will be providing this content, the Licensee shall be responsible for
ensuring compliance to the codes with respect to such content. In addition to this, such
LICENSEEs will also be bound by various Acts, instructions, directions, guidelines issued
by the Central Government from time to time to regulate the contents.
5.1(e) If the contents are being sourced from content providers other than Licensee, then
it will be the responsibility of Licensee to ensure that their agreements with such content
providers contain appropriate clauses to ensure prior compliance with the Programme
and Advertisement Codes and other relevant Indian laws, civil and criminal, regarding
content.
5.1(f) The Central Government in the Ministry of Information and Broadcasting shall
have the right to notify the number and names of channels of PrasarBharati or any other
channel for compulsory carriage by the Licensee and the manner of reception and
retransmission of such channels.
5.1(g) The Licensee while providing IPTV services should provide commercial
interoperability so that if the subscribers decide to switch over to any other service
provider or platform, they should be able to do so at the least cost. Commercial
interoperability here would mean that in addition to offering the receiver set on an outright
purchase basis, a subscriber should also have the option to purchase it on a hire-
purchase basis or on rental basis with a provision to return the receiver set on such terms
and conditions as may be laid down by regulations issued by TRAI.
5.2
The Government/ Ministry of Information and Broadcasting may direct the
Licensee providing IPTV service to ensure preservation and retention for a period of 90
days from the date of broadcast unless specified otherwise, of different kinds of content
made available to their subscribers and requires it to ensure its security and also that it
is not tampered with during such period. The Licensee providing IPTV service may be
required to produce the same to the Government or its authorized representative, as and
when required and the Licensee providing IPTV service will be required to ensure
compliance to all such directions.
5.3
The Licensee providing IPTV service shall provide necessary facility for
continuous monitoring of the IPTV network at its own cost. The monitoring system must
provide Set top Box subscriber information as well as contents to the law enforcement
agency in plain readable, audible and viewable format as the case may be.
Provided that in case of any dispute, the records of broadcast of programmes and
advertisements shall be maintained till final disposal of the dispute.
Provided further that the Licensee shall provide access to the Government or its
authorized representative to all its facilities, including equipments, records, system etc.
for purposes of inspection.
5.4 On demand by the Government in the Ministry of Information and Broadcasting or its
authorized representative, Licensee providing IPTV service shall provide the necessary
equipment, services and facilities at designated place(s) for continuous monitoring of the
IPTV service by or under supervision of the Government or its authorized representative.
5.5
The Licensee providing IPTV service shall submit such information with respect to
its service as may be required by the Government in the Ministry of Information and
Broadcasting or its authorized representative from time to time.
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5.6
The Licensee providing IPTV service shall furnish any such information at periodic
intervals as may be required by the Government in the Ministry of Information and
Broadcasting or its authorized representative concerning Programme Content and
Quality, Technical parameters etc. relating to the service in the format as may be required
by the Government or its authorized representative from time to time.
5.7
The Licensee providing IPTV service shall furnish the complete details such as
name, technical details and license etc. of the value added service being provided
through IPTV network.
Provided that in case any new value added service is added, the Licensee
providing IPTV service shall obtain prior approval of the Government or Licensor. The
Government or the Licensor may from time to time, prescribe or prohibit certain value
added services.
5.8
Any breach of the provisions of Act / License / Registration / Permission by
Licensee / cable operator/ Broadcasters shall be dealt with by designated agencies which
are responsible for administering such Acts / License / Registration / Permissions.
5.9
The decision of the Ministry of Information & Broadcasting regarding any violation
of prevailing Acts/Rules/Guidelines pertaining to their administrative jurisdiction in
respect of content carried on IPTV service shall be final. The quantum of penalties for
such violation will be decided by Licensor in consultation with respective
Ministries/Department.
5.10 The Licensee before providing IPTV will give a self-certified declaration in the
specified format to the Licensor, M/o I&B and TRAI giving details of license no. and
service area under which IPTV service is proposed to be provided / started, the start
date, the areas being covered, details of network infrastructure etc.
6.
Network Interconnection:
6.1
Inter-Circle traffic from one service area to another shall be routed through the
network of NLD licensee or the Unified Licensee having authorization of NLD service.
6.2
It shall be mandatory for the LICENSEE to interconnect to/ provide interconnection
to all eligible Telecom Service Providers (eligibility shall be determined as per the service
provider’s License Agreement and TRAI’s determinations/orders/regulations issued from
time to time) to ensure that the calls are completed to all destinations. Further, the
Licensor may direct the Licensee to implement the process whereby the subscribers
could have a free choice to make inter-circle/ international long distance calls through
NLD/ ILD Operator.
6.3
International Long Distance traffic should be routed through network of NLD
service providers, to the ILD service provider’s gateways for onward transmission to
international networks subject to fulfillment of any Guidelines/ Orders/ Directions/
Regulation issued from time to time by LICENSOR/ TRAI. However, the Licensee shall
not refuse to interconnect with the ILD Service licensee directly in situations where POP
of ILD service licensee and Switches of Licensee’s (GMSC/ Transit Switch) are located
at the same station of Level-I TAX.
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UL Agreement updated up to 31.03.2024
7.
Emergency and Public Utility Service:
7.1
The LICENSEE shall provide independently or through mutually agreed
commercial arrangements with other Telecom Service Providers all public utility services
as well as emergency services including toll free services like police, fire, ambulance.
Licensor may declare any public utility or emergency number as toll free service from
time to time. While providing access to public utility services/ emergency services/
emergency response services/ services for relief and rescue on occurrence of disaster
including police, fire, etc. as defined from time to time, the Licensee shall take all
measures to ensure that such calls are delivered to the designated control room of the
concerned authority, as prescribed from time to time.
8.
Security Conditions:
448.1(i) Deleted.
458.1(ii) Deleted.
468.1(iii) Deleted.
478.1(iv) Deleted
8.2
The designated person of the Central/ State Government as conveyed to the
Licensor from time to time in addition to the Licensor or its nominee shall have the right
to monitor the telecommunication traffic in every MSC/ Exchange/ MGC/ MG/ Routers or
any other technically feasible point in the network set up by the Licensee. The Licensee
should make arrangement for monitoring simultaneous calls by Government security
agencies. For establishing connectivity to Centralized Monitoring System, the Licensee
at its own cost shall provide appropriately dimensioned hardware and bandwidth/dark
fibre upto a designated point as required by Licensor from time to time. However, the
respective Government instrumentality shall bear the cost at its end hardware and leased
line circuits from the MSC/ Exchange/ MGC/ MG/Router or from the designated point as
the case may be, to its monitoring centre to be located as per its choice in its premises
or in the premises of the Licensee. In case the security agencies intend to locate the
equipment at Licensee’s premises for facilitating monitoring, the Licensee should extend
all support in this regard including Space and Entry of the authorized security personnel.
The Interface requirements as well as features and facilities as defined by the
Licensor should be implemented by the Licensee for both data and speech. The Licensee
should ensure suitable redundancy in the complete chain of Lawful Interception and
Monitoring equipment for trouble free operations of monitoring of at least 480
simultaneous calls as per requirement with at least 30 simultaneous calls for each of the
designated security/ law enforcement agencies. Each MSC of the Licensee in the service
area shall have the capacity for provisioning of at least 3000 numbers for monitoring.
Presently there are ten (10) designated security/ law enforcement agencies. The above
capacity provisions and no. of designated security/ law enforcement agencies may be
amended by the Licensor separately by issuing instructions at any time.
44Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
45Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
46Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
47Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
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UL Agreement updated up to 31.03.2024
8.3
Along with the monitored call, Call Related Information (CRI) shall be supplied in
the format prescribed from time to time, which shall at least have the following records:
(i) Called/calling party mobile/ PSTN numbers, even when subscriber is roaming.
(ii) Time/date and duration of call.
(iii) Location of target subscribers/coordinates and name of BTS site.
(iv) Telephone numbers if any call-forwarding feature has been invoked by target
subscriber.
(v) Data records for failed call attempts.
(vi) CDR (Call Data Record) of Roaming Subscriber.
The Licensor reserves the right to modify the requirement of records in respect of CRI
any time.
The Licensee shall be required to provide the call data records of all the specified
calls handled by the system at specified periodicity, as and when required by the security
agencies in the format prescribed from time to time.
8.4 The call detail records for outgoing calls made by those subscribers making large
number of outgoing calls day and night to the various telephone numbers with normally
no incoming calls, should be analyzed. The service provider should run special
programme, devise appropriate fraud management and prevention programme and fix
threshold levels of average per day usage in minutes of the telephone connection; all
telephone connections crossing the threshold of usage should be checked for bonafide
use. A record of check must be maintained which may be verified by Licensor any time.
The list/details of suspected subscribers should be informed to the respective LSA Field
Unit of DoT and any other officer authorized by Licensor from time to time.
8.5
Location Details:
(i)
The Licensee shall provide location details of mobile customers in the Service
Area as per below mentioned accuracy and time frame (from the effective date of this
license). It shall be a part of CDR in the form of longitude and latitude, besides the co-
ordinate of the BTS, which is already one of the mandated fields of CDR.
Accuracy in Percentage
Distance
in Meters
Urban
(More than 1 million
mobiles in a municipal
limit)
Sub – Urban & Rural
Remote
1 year
2 years
1 year*
2 years
3 years
2
years
3 years
50
30
50
100
60
75
50
60
-
300
80
95
50
60
70
50
60
500
60
70
80
60
70
*Applicable for the state of J&K, Assam and NE region.
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UL Agreement updated up to 31.03.2024
(ii)
To start with, these details will be provided for specified mobile numbers.
However, within a period of 3 years from effective date of license, location details shall
be part of CDR for all mobile calls.
(iii)
Depending upon the technological feasibility and development, the limits of
accuracy requirement with respect to location as part of CDR can be modified by the
Licensor any time in future.
(iv)
In case of Licensees who have migrated to Unified License from earlier Access
Service license, their obligations regarding location details, as mentioned in the above
conditions 8.5(i) to 8.5(iii), with respect to the reference date of obligations shall be
carried forward.
8.6
CLI Restriction (CLIR) should not be normally provided to the customers. Due
verification for the reason of demanding the CLIR, must be done before provision of the
facility. It shall be the responsibility of the service provider to work out appropriate
guidelines to be followed by their staff members to prevent misuse of this facility. The
subscribers having CLIR should be listed in a password protected website with their
complete address and details so that authorized Government agencies can view or
download for detection and investigation of misuse. While providing CLIR facility to
subscriber, it shall be ensured that the CLI is carried from end to end on the network.
However, CLIR must not be provided in case of bulk connections, call centres,
telemarketing services.
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UL Agreement updated up to 31.03.2024
ANNEXURE-A
(Proforma for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri
…………………,
resident
of
……………………………………………….,
do
solemnly affirm and state as under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
LICENSEE
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorized by the resolutions
dated …………………………. Passed by Board of Directors of the Company to
furnish affidavit on behalf of ………………………….( Name of the Company).
3.
That in compliance of Condition No.. ………. Of Schedule…………..Part ……….
And Annexure……of the License Agreement No. ……………………… signed
between the Company and the Department Of Telecommunications, for payment
of License fee, a payment of Rs. ………………….. (Rupees ……….
………………………. Is being made for the period …………………..to
…………………………... The details of calculation of ‘revenue’ and License fee
is as per Appendix-II …… (attached).
4.
That the contents in para 2 & 3 and Statement made in Annexure ___ are true
and correct to the best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION:
Verified at ___________ on ___________ that the contents of paragraphs 1 to 3
of this Affidavit and attached ‘Statement of Revenue and License Fee’ as Annexure are
true and correct to the best of my knowledge, no part of it is false and nothing has
been concealed therefrom.
Deponent.
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UL Agreement updated up to 31.03.2024
APPENDIX-I to ANNEXURE-A
Format of Auditor’s Report On Statement Of Revenue and License Fee
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures
for the quarter(s) ending _________ appearing in the Statement of Revenue and License
Fee of the company with the figures appearing in the profit and loss account of the
company for the year ended_________ which was audited by us. We understand that
the aforesaid statement(s) ( and the reconciliation) is /are to be furnished to the Central
Government for assessment of the License fee payable by the company to the
Government, in terms of the License agreement No…………………. signed between the
company and the Department of Telecommunications.
We report that:
1.
We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
2.
In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The
system, in our opinion, provides reasonable assurance that there is no unrecorded
revenue and that all revenue is recorded in the proper amount and in the proper
period.
3.
No amounts payable in respect of Goods and Service Tax (GST) or
PSTN/toll/roaming charges were outstanding at the last day of the quarter(s) for a
period of more than two months from the date they became payable, except for
the following:………
4.
In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with
the norms/guidelines contained in the said License agreement in this behalf and
gives a true and fair view of the revenue and License fee payable for the period
computed on the basis of the aforesaid guidelines except for the following:
*
Strike off wherever not applicable.
(SIGNATURE)
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APPENDIX-II to ANNEXURE-A
48Format of Statement of Revenue and License Fee
___________(Name and address of operator)
Access Services License No. ………in………………..(Service Area)
Statement of Revenue and License Fee for the Quarter
….…..………………of the financial year…………………..
(AMOUNT IN RUPEES)
S.N.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ACTUALS
FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
CURRENT
QUARTER
1.
Revenue from services
A
Revenue
from
wire-line
subscribers:
i.
Rentals
ii.
Call revenue within service
area
iii.
National LONG DISTANCE
CALL revenue
iv.
International
LONG
DISTANCE CALL revenue
v.
Pass thru revenue for usage
of
other
networks
(give
OPERATOR-wise details)
vi.
Goods and Service Tax
(GST)
vii.
Service charges
viii.
Charges on account of any
other value added services,
Supplementary
Services
etc.
ix.
Any
other
income
/
miscellaneous receipt from
wireline subscribers.
B
Revenue
from
WLL
subscribers : (Fixed)
i.
Rentals
ii.
Call revenue within service
area
iii.
National LONG DISTANCE
CALL revenue
iv.
International
LONG
DISTANCE CALL revenue
v.
Pass thru revenue for usage
of
other
networks
(give
OPERATOR-wise details)
vi.
Goods and Service Tax
(GST)
48Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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UL Agreement updated up to 31.03.2024
vii.
Service charges
viii.
Charges on account of any
other value added services,
Supplementary
Services
etc.
ix.
Any
other
income
/
miscellaneous receipt from
WLL subscribers.
C
Revenue
from
WLL
subscribers: (handheld)
i.
Rentals
ii.
Call revenue within service
area
iii.
National LONG DISTANCE
CALL revenue
iv.
International
LONG
DISTANCE CALL revenue
v.
Pass thru revenue for usage
of
other
networks
(give
OPERATOR-wise details)
vi.
Goods and Service Tax
(GST)
vii.
Service charges
viii.
Charges on account of any
other value added services,
Supplementary
Services
etc.
ix.
Any
other
income
/
miscellaneous receipt from
WLL subscribers.
D
Revenue
from
Mobile
Services:
D (a)
Revenue from GSM and 3G
spectrum based Mobile
Services:
D(a) 1.
Post paid options:
i.
Rentals
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii
Service charges
viii.
Charges on account of any
other value added services.
Supplementary
Services
etc.
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UL Agreement updated up to 31.03.2024
ix.
Any
other
income/
miscellaneous receipt from
post paid options.
D(a) 2.
Pre-paid options:
i.
Sale of pre-paid SIM cards
including full value of all
components
charged
therein.
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii.
Service charges
viii.
Charges on account of any
other value added services.
Supplementary
Services
etc.
ix.
Any
other
income/
miscellaneous receipt from
pre-paid options.
D(a) 3.
i
.
Revenue
from
Mobile
Community phone service
including full value of all
components
charged
therein.
ii.
Any
other
income/
miscellaneous
receipt
from Mobile Community
phone service.
D (b)
Revenue
from
CDMA
based Mobile Services:
D(b) 1. Post paid options:
i.
Rentals
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii.
Service charges
viii.
Charges on account of any
other value added services.
Supplementary
Services
etc.
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UL Agreement updated up to 31.03.2024
ix.
Any
other
income/
miscellaneous receipt from
post paid options.
D(b) 2. Pre-paid options:
i.
Sale of pre-paid SIM cards
including full value of all
components
charged
therein.
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii.
Service charges
viii.
Charges on account of any
other value added services.
Supplementary
Services
etc.
ix.
Any
other
income/
miscellaneous receipt from
pre-paid options.
D(b) 3.
i
.
Revenue
from
Mobile
Community phone service
including full value of all
components
charged
therein.
ii.
Any
other
income/
miscellaneous
receipt
from Mobile Community
phone service.
D (c)
Revenue
from
BWA
Services:
D(c) 1.
Post paid options:
i.
Rentals
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii.
Service charges
viii.
Charges on account of any
other value added services.
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Supplementary
Services
etc.
ix.
Any
other
income/
miscellaneous receipt from
post paid options.
D(c) 2.
Pre-paid options:
i.
Sale of pre-paid SIM cards
including full value of all
components
charged
therein.
ii.
Activation Charges
iii.
Airtime Revenue
iv.
Pass
through
charges
(provide
operator-wise
details)
v.
Goods and Service Tax
(GST)
vi.
Roaming charges
vii.
Service charges
viii.
Charges on account of any
other value added services.
Supplementary
Services
etc.
ix.
Any
other
income/
miscellaneous receipt from
pre-paid options.
D(c) 3.
i
.
Revenue
from
Mobile
Community phone service
including full value of all
components
charged
therein.
ii.
Any
other
income/
miscellaneous receipt from
Mobile Community phone
service.
E
Revenue from Voice Mail
/any
other value added
service
2
Income from trading activity
i.
Sale of handsets {Excluding
Goods and Service Tax
(GST)}
ii.
Sale of accessories etc.
{Excluding
Goods
and
Service Tax (GST)}
iii.
Any
other
income/
miscellaneous receipt from
trading activity. {Excluding
65
UL Agreement updated up to 31.03.2024
Goods and Service Tax
(GST)}
iv.
Goods and Service Tax
(GST)
3
Revenue from roaming.
i.
Roaming
facility
revenue
from own subscribers.
ii.
Roaming revenue from own
subscriber
visiting
other
networks
including
STD/ISD/pass thru charges
for transmission of incoming
call during roaming.
iii.
Roaming
Commission
earned.
iv.
Roaming
revenue
on
account
of
visiting
subscribers
from
other
networks (provide operator-
wise details).
v.
Goods and Service Tax
(GST) if not included above.
vi.
Any
other
income/miscellaneous
receipt from roaming.
4
Income from investments
i.
Interest income
ii.
Dividend income
iii.
Any
other
miscellaneous
receipt from investments.
5.
Non-refundable
deposits
from subscribers
6.
Revenue from franchisees
/resellers
including
all
commissions
and
discounts etc. excluding
the
revenues
already
included in IA&IB
7.
Revenue
from
sharing/
leasing of infrastructure
8.
Revenue from sale/ lease
of bandwidth, links, R&G
cases, turnkey projects
etc.
9.
Revenue
from
other
Operators on account of
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UL Agreement updated up to 31.03.2024
pass through call charges
(provide
operator-wise
details).
10.
Revenue
from
other
Operators on account of
provisioning
of
interconnection
(provide
operator-wise details)
11.
Revenue
from
Operations/Activities
other
than
Telecom
Operations/ Activities as
well
as
revenue
from
activities under a license
from
Ministry
of
Information
and
Broadcasting
12.
Miscellaneous revenue
AA
GROSS REVENUE OF THE
Licensee COMPANY: (Add
1-12)
BB
LESS
1.
Revenue from operations
other than telecom activities/
operations
2.
Revenue
from
activities
under a license from Ministry
of
Information
and
Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains
from
Foreign
Exchange rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written
back
BB
Total (1+2+3+4)
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CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-
BB)
DD
DEDUCT:
1
PSTN/PLMN/GMPCS
related call charges (Access
Charges)
paid
to
other
eligible/entitled
Telecommunication service
providers within India
2
Roaming revenues passed
on to other eligible/entitled
telecommunication service
providers and
3
Goods and Service Tax
(GST)
paid
to
the
Government.
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2+3)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ --------
---------
OF
ADJUSTED
GROSS REVENUE
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ANNEXURE-B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous
years’ P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to
the extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as
to enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown
separately, for each category, and the amount that has fallen due for refund but
not yet paid also disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used
shall also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-
wise, under the miscellaneous head (eg. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding
expenditure.
Roaming Charges shall be shown under the following heads separately;
(a)
Roaming airtime charges collected for each external network from own
(home) subscribers.
(b)
Roaming airtime charges actually remitted to each external network.
(c)
Roaming commission retained (Network-wise)
(d)
Roaming commission paid (Network-wise)
(e)
Any other variable charges collected and retained/passed on to other
operators, with details.
Total Airtime Units (Metered Units) for home and visiting subscribers and unbilled
numbers (e.g. service connections) to be furnished separately.
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UL Agreement updated up to 31.03.2024
CHAPTER-IX
INTERNET SERVICE
1.
Service Area:
The License/Authorization for Internet Service are granted for
three different Categories namely Category ‘A’, Category ‘B’ and Category ‘C’. The
Service Area for Category ‘A’ authorization shall be the National Area. The Service Area
for Category ‘B’ authorization shall be the Telecom Circle/Metro area as defined in
Annexure-V. The Service Area for Category ‘C’ authorization shall be the Secondary
Switching Area (SSA) as defined in Annexure-VII. If the Licensee desires to obtain ISP
Category ‘C’ Authorization, under Unified License, for more than four SSAs in a Telecom
Circle, the Licensee shall be required to obtain ISP Category ‘B’ authorization for that
Service Area.
License/Authorization for Internet Service, granted for more than one Service Area
(Telecom Circle/Metro/SSA), shall be administered at each Service Area level.
2.
Scope of Internet Service: Scope of this Authorization covers the following:
492.1(i) The Licensee may provide Internet access including IPTV. The subscriber shall
have unrestricted access to all the content available on Internet except for such content
which is restricted by the Licensor/designated authority under Law. The Licensee shall
not offer VPN/Closed User Group services to its subscribers. The content for IPTV shall
be regulated as per law in force from time to time.
Licensee may enter into mutual commercial agreements for roaming facilities (within
same service area or other service areas) with other Cellular Mobile Telephone Service
Licensees/ Unified Access Service LICENSEEs/Unified Licensees with Access Service
authorization/ Unified Licensees having Category ‘A’, Category ‘B’ and Category ‘C’
Internet Service Provider (ISP) authorizations/ Category ‘A’, Category ‘B’ and Category
‘C’ Internet Service Provider(ISP) Licensees, for providing Internet Access Services only.
However, any Roaming arrangement shall not entitle the Licensee to acquire customer
in the spectrum band not held or technology not deployed or for services/facilities not
offered by the Licensee in its network.
(ii) The Licensee may provide Internet Telephony through Public Internet by the use of
Personal Computers (PC) or IP based Customer Premises Equipment (CPE) connecting
only the following:
a) PC to PC; within or outside India
b) PC / a device / Adapter conforming to TEC or International Standard in India to
PSTN/PLMN abroad.
c) Any device / Adapter conforming to TEC or International Standard connected
to ISP node with static IP address to similar device / Adapter; within or outside
India.
Explanation: Internet Telephony is a different service in its scope, nature and kind from
real time voice service as offered by other licensees like Basic Service Licensees,
Cellular Mobile Telephone Service (CMTS) Licensees, Unified Access Service (UAS)
49Amended vide DoT’s letter no. 20-271/2010 AS-I (Vol.-III) dated 06.04.2021
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Licensees, Unified Licensee (Access Service), Unified Licensee with authorization for
access services.
(iii) The Internet Telephony, only as described in condition (ii) above, can be provided by
the Licensee. Voice communication to and from a telephone connected to
PSTN/PLMN/GMPCS and use of E.164 numbering is prohibited.
(iv) Addressing scheme for Internet Telephony shall conform to IP addressing Scheme
of Internet Assigned Numbers Authority (IANA) only and the same shall not use National
Numbering Scheme / plan applicable to subscribers of Basic / Cellular Telephone service.
Translation of E.164 number / private number to IP address allotted to any device and
vice versa, by the licensee to show compliance with IANA numbering scheme is not
permitted.
(v) For carrying originating and terminating traffic of its subscribers, the licensee may
establish its own transmission links within its service area. For this purpose, the Licensee
may also establish ‘Last Mile’ linkages within the service area either on fibreoptic cable
or radio communication or underground copper cable. In case of radio links, procedure
as mentioned in Chapter VII of this License shall be applicable.
(vi)
Unified Messaging Services (UMS) within the scope of (i) to (ii) above can be
provided by the Licensee.
(vii) Internet Service to any VSAT Service subscriber can be provided, if the VSAT is
located within the Service area of the Licensee. For this purpose, a direct interconnection
of VSAT Network Hub through leased line obtained from an authorized service provider
to the Licensee’s node/server shall be permitted only for the Internet traffic. The Licensee
shall provide to the Licensor a monthly statement of VSAT subscribers served with their
locations and details of leased line interconnection with the VSAT Hub. The VSAT Hub,
however, need not be located in the service area of the Licensee.
(viii)
The Licensee may provide internet service by using the Cable Network of
authorized Cable Operator, as last mile linkage, subject to applicable Cable Laws (The
Cable Television Networks (Regulation) Act, 1995) as modified from time to time.
(ix) Licensee may install operate and commission International Internet Gateway in the
service area using satellite or submarine cable as medium after obtaining security
clearance/approval from Licensor.
(x) Licensee with International internet gateway is allowed to sell international internet
bandwidth to other licensed internet service providers. Provision of IPLC service is not
covered under the scope of this authorization.
(xi)The Licensee may share “passive” infrastructure namely building, tower, dark fibre,
duct space, Right of Way owned, established and operated by it under the scope of this
Authorization with other Licensees.
2.2
All subscribers, except dial up subscribers, shall be within the service area.
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UL Agreement updated up to 31.03.2024
502.3 Principle of non-discriminatory treatment, definition of specialised services
and reasonable traffic management and other exceptions:
(i) A Licensee providing Internet Access Service shall not engage in any discriminatory
treatment of content, including based on the sender or receiver, the protocols being
used or the user equipment.
(ii) The Licensee is prohibited from entering into any arrangement, agreement or contact,
by whatever name called, with any person, natural or legal, that has the effect of
discriminatory treatment of content.
(iii) Nothing contained in this provision shall restrict:
a) The provision of any Specialised Service by a Licensee, provided that:
The Specialised Services are not usable or offered as a replacement for
Internet Access Service; and
The provision of the Specialised Services is not detrimental to the
availability and overall quality of Internet Access Service.
b) Any measure adopted by the Licensee that are proportionate, transient and
transparent in nature and fall under any of the following categories:
Reasonable traffic management practices as may be specified from
time to time;
Provision of emergency services or any services provided during time
of grave public emergency, as per the process laid down by the
Licensor/TRAI;
Implementation of any order of a court or direction issued by the
Government, in accordance with law;
Measures taken in pursuance of preserving the integrity and security of
the network and equipment; and
Measures taken in pursuance of an international treaty, as may be
specified by the Government.
(iv) For the purpose of this provision:
a) “Content” shall include all content, applications, services and any other
data, including its end-point information, which can be accessed or
transmitted over the Internet.
b) “Discriminatory treatment” shall include any form of discrimination,
restriction or interference in the treatment of content, including practices
like blocking, degrading, slowing down or granting preferential speeds or
treatment to any content.
c) “Specialised services” shall mean services other than Internet Access
Services that are optimised for specific content, protocols or user
equipment, where the optimisation is necessary in order to meet specific
quality of service requirements.
Provided that the Licensees is authorised to provide such services in accordance with
the provisions contained in this license, as modified from time to time.
50Amended vide letter no. 20-271/2010 AS-I. Vol-III dated 26.09.2018
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513. Financial Conditions:
523.1 Gross Revenue: The Gross Revenue shall be inclusive of all types of revenue
from Internet services, revenue from Internet access service, revenue from internet
contents, revenue from Internet Telephony service, revenue from activation charges,
revenue from sale, lease or renting of bandwidth, links, R&G cases, Turnkey projects,
revenue from IPTV service, late fees, sale proceeds of terminal equipment, revenue on
account of interest, dividend, value added services, supplementary services,
interconnection charges, roaming charges, revenue from permissible sharing of
infrastructure etc. allowing only those deductions available for pass through charges and
taxes/levies as in the case of access services, without any set-off for related items of
expense etc..
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items
listed below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of
Information and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
533.2 Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. Roaming revenue passed on to other eligible/entitled telecom service provider,
and;
b. Goods and Service Tax (GST) paid to the Government if Applicable Gross
Revenue (ApGR) had included as component of GST.
4.
Network Interconnection:
4.1
The Licensee may establish direct interconnectivity with the network of other
Internet Service Providers/Unified Licensee having authorization of Internet Service. The
Licensee may obtain leased bandwidth from any other Licensee authorized to provide
such bandwidth on lease.
51Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
52Amendment vide DoT letter no. 20-271/2010 AS-I (Vol-V) dated 19.05.2022
53Amendment vide DoT letter no. 20-271/2010 AS-I (Vol-V) dated 19.05.2022
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4.2
The Licensee shall have no connectivity with PSTN/PLMN/GMPCS networks in
the country.
4.3
Resources required for interconnecting the licensee’s network to the network of
upstream internet access provider licensed by the Licensor including time frame for
provision of the same, will be mutually agreed between the parties concerned.
4.4
Licensees shall use IP (Internet Protocol) in conjunction with Transmission Control
Protocol (TCP) and shall meet the interface requirements as prescribed by TEC /
Licensor to connect with other Telecom Service Providers’ network.
4.5
For provision of IPTV services, Condition no. 5 of Chapter no. VIII (Access
Services) shall be applicable.
5.
Provision of Service:
5.1
The Licensee shall have the right to undertake the sale, hire purchase, lease or
renting of the subscriber fixed / mobile terminals / CPE. Proper usage of terminal/CPE at
subscriber's premises shall be as per agreement between the Licensee and subscriber.
5.2 For the purpose of providing the Service, the Licensee shall install its own suitable
equipment so as to be compatible with the other eligible licensed service providers’
equipment and connect the same directly or through any of the authorized licensed
service provider to Internet Gateway for routing International Internet Traffic.
5.3
The Licensee, having DTH service License from Ministry of Information and
Broadcasting, shall be permitted to allow customers for downloading internet data
through DTH after obtaining necessary permission from the Licensor. However, to
provide bidirectional Internet services through DTH, the Licensee shall be required to
have VSAT Service authorization.
5.4
It will be the responsibility of the Licensee to obtain IP addresses, domain name
etc. from competent authority.
5.5
In case the Licensee provides the Internet Access using de-licensed frequency
band, the licensee shall adhere to the prevailing directions/instructions and shall also
abide by further directions / instructions as may be issued by Licensor from time to time
in this regard.
6.
Requirement to furnish information:
6.1
The licensee shall provide to the licensor, a quarterly report indicating the details
of ISP Nodes or Points of Presence with their locations and number of broadband / leased
/ dial up subscribers. In case new nodes are to be installed, one month prior notice is
required to be given to the licensor.
6.2
The licensee shall provide to the licensor on regular basis the volume of internet
telephony traffic flowing through its network.
6.3
In case, the Licensee has authorization for both Access Service and Internet
Service in a common geographical area, the Licensee shall declare to the Licensor, prior
to commencement of service, the Service authorization (namely Access Service or
Internet Service authorization) under which the internet services are to be provided.
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7.
Security Conditions:
547.1 The Licensee shall maintain CDR/IPDR for Internet including Internet Telephony
Service for a minimum period of two years. Parameters of IPDR shall be maintained as
per the directions/instructions issued by the Licensor from time to time.
557.2 The Licensee shall maintain log-in/log-out details of all subscribers for services
provided such as internet access, e-mail, Internet Telephony, IPTV etc. These logs shall
be maintained for a minimum period of two years.
7.3
For the purpose of interception and monitoring of traffic, the copies of all the
packets originating from / terminating into the Customer Premises Equipment (CPE) shall
be made available to the Licensor/Security Agencies.
7.4
The list of Internet Lease Line (ILL) customers is to be placed on a password
protected website in the following Performa:-
Name
of
Subscriber
IP address
allotted
Bandwidth
provided
Address of
Installation
Date
of
Installation/
Commissioning
Contact
person with
Phone /e-
mail
The Licensee shall advice its ILL customers to maintain the usage of IP
addresses/Network Address Translation (NAT) syslog, in case of multiple users on the
same ILL, for a minimum period of one year. The Licensee shall ensure compliance of
the above requirement by taking periodic feedback from the ILL customers or shall take
any other measures as necessary for compliance of this requirement. In case, the
Licensee finds that ILL customer is non-compliant to the above requirement, the Licensee
shall withdraw the service.
7.5
The login ID/ Password shall be provided to concerned DDG of LSA Field Unit of
DoT. Online updation of ILL customers’ data by Licensees should be done. This
information shall be accessible to authorized Government agencies.
7.6
Periodical inspections are to be carried out at the premises of ILL customers to
check possible misuse and possible interconnection of Internet leased line with PSTN,
PLMN, GMPCS network. First inspection at the premises of the customer must be done
within 15 days of commissioning of Internet leased line.
7.7
A record of complete network diagram of set up at each of the ILL customer
premises along with details of connectivity shall be available at the site. All details of other
communications links (PSTN, NLD, ILD, WLL, GSM, other ISP etc.) and reasons for
taking the link by the customer to be recorded before activation of the link. The same
shall also be readily available for inspection at the respective premises of all ILL
customers.
7.8
An agreement shall be executed with each ILL customer which clearly mentions
the activities that are prohibited.
54 Amended vide letter no 20-271/2010 AS-I (Vol.-III) dated 21.12.2021
55 Amended vide letter no 20-271/2010 AS-I (Vol.-III) dated 21.12.2021
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7.9
Licensee shall ensure that an entity, requesting ILL connection to use it for
provision of Internet services to its (entity’s) customers, should have a valid authorization
for Internet Service.
7.10 All the terms and conditions related to ILL under this authorization shall also apply
to the Internet Service provided through VSAT.
7.11 In case Licensee detects the misuse of Internet Leased Line, the Licensee shall
take immediate action to disconnect the service to this subscriber and file an FIR against
the subscriber. The Licensee shall intimate the Licensor of such misuse within 24 hours
of detection of the same. In case such a misuse is detected by the Licensor, the onus
shall lie on the Licensee to prove that it had not connived in the misuse by its ILL
subscriber and has taken all the above mentioned steps to check the misuse of ILL.
Wherever it is found that the Licensee has itself been involved in/abetted the misuse of
ILL, it shall be construed as breach of terms and conditions of the license agreement.
7.12 In the interest of national security or public interest, the Licensee shall block
Internet sites/Uniform Resource Locators (URLs)/Uniform Resource Identifiers (URIs)
and / or individual subscribers, as identified and directed by the Licensor from time to
time.
7.13 The traffic of Internet nodes on places of security importance would be routed as
per directions issued from time to time by Licensor. Interconnection of these nodes to
other nodes within the country directly is not permitted.
8.
Monitoring Facilities:
8.1.1 Lawful Interception and Monitoring (LIM) systems of requisite capacities are to be
set up by LICENSEEs for Internet traffic including Internet telephony traffic through their
Internet gateways and /or Internet nodes at their own cost, as per the requirement of the
security agencies/Licensor prescribed from time to time. The cost of maintenance of the
monitoring equipment and infrastructure at the monitoring centre located at the premises
of the licensee shall be borne by the Licensee.
8.1.2 In case the Licensee obtains Access spectrum for providing Internet Service /
Broadband Wireless Access using the Access Spectrum, the Licensee shall install the
required Lawful Interception and Monitoring systems of requisite capacities prior to
commencement of service.
8.2
The Licensee, while providing downstream Internet bandwidth to an Internet
Service provider should ensure that all the traffic of downstream ISP passing through the
Licensee’s network can be monitored in the network of the Licensee.
8.3
However, for nodes of Licensee having upstream bandwidth from multiple service
providers, the Licensee may be mandated to install LIM/LIS at these nodes, as per the
requirement of security agencies. In such cases, upstream service providers may not be
required to monitor this bandwidth.
8.4
In case the Licensee has multiple nodes/points of presence and has capability to
monitor the traffic in all the Routers/switches from a central location, the Licensor may
accept to monitor the traffic from the said central monitoring location, provided that the
Licensee is able to demonstrate to the Licensor/Security Agencies that all routers /
switches are accessible from the central monitoring location. Moreover, the Licensee
would have to inform the Licensor of every change that takes place in their topology
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/configuration, and ensure that such change does not make any routers/switches
inaccessible from the central monitoring location. Further, on making any such change in
the network, Licensee shall demonstrate, if so required by the Licensor, compliance to
the above conditions and the decision of Licensor in this regard shall be final.
8.5
Office space of 10 feet x 10 feet with adequate and uninterrupted power supply
and air-conditioning which will be physically secured and accessible only to the
monitoring agencies shall be provided by the Licensee at each Internet Gateway location
at its cost.
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Annexure-A
(Performa for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri …………………,
resident of ………………………………………………., do solemnly affirm and state as
under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
Licensee
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorised by the resolutions dated
…………………………. passed by Board of Directors of the Company to furnish affidavit
on behalf of ………………………….(Name of the Company).
3.
That in compliance of Condition No.. ………. of Schedule…………..Part ……….
the License Agreement No. ……………………… signed between the Company and the
Department Of Telecommunications, for payment of License fee, a payment of Rs.
………………….. (Rupees ………. ………………………. is being made for the period
…………………..to ………………………….. . The details of calculation of ‘revenue’ and
License fee is as per Appendix-II …… (attached).
4.
That the contents in para 2 & 3 and Statement made in Annexure ___ are true and
correct to the best of my knowledge, based on the records of the company.
Deponent.
Verification:
Verified at ___________ on ___________ that the contents of paragraphs 1 to 3
of this Affidavit and attached ‘Statement of Revenue and License Fee’ as Annexure are
true and correct to the best of my knowledge, no part of it is false and nothing has
been concealed therefrom.
Deponent.
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Appendix–I to Annexure-A
(Format of Auditor’s Report on Statement of Revenue And License Fee)
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures
for the quarter(s) ending _________ appearing in the Statement of Revenue and License
Fee of the company with the figures appearing in the profit and loss account of the
company for the year ended_________ which was audited by us. We understand that
the aforesaid statement(s) ( and the reconciliation) is /are to be furnished to the Central
Government for assessment of the License fee payable by the company to the
Government, in terms of the License agreement No…………………. signed between the
company and the Department of Telecommunications.
We report that:
1.
We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
2.
In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The
system, in our opinion, provides reasonable assurance that there is no unrecorded
revenue and that all revenue is recorded in the proper amount and in the proper
period.
3.
No amounts payable in respect of Goods and Service Tax (GST) were
outstanding at the last day of the quarter(s) for a period of more than two months
from the date they became payable, except for the following:………
4.
In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with
the norms/guidelines contained in the said License agreement in this behalf and
gives a true and fair view of the revenue and License fee payable for the period
computed on the basis of the aforesaid guidelines except for the following:
*
Strike off wherever not applicable.
(Signature)
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Appendix–II to Annexure-A
56Format of Statement of Revenue and License Fee
_________________(Name and address of operator)
ISP License No.in__________________(Service Area)
Statement of Revenue and License Fee for the Quarter
……………of the financial year………..
(AMOUNT IN RUPEES)
S.N.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ACTUALS
FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
CURRENT
QUARTER.
1.
Revenue from services
A
Revenue from Pure Internet
Service ( Internet Access
and Content Service):
A1.
Post paid options:
i.
Rentals
ii.
Activation Charges
iii.
Goods and Service Tax (GST)
iv.
Service charges
v.
Charges on account of any
other value added services.
Supplementary Services etc.
vi.
Any
other
income/
miscellaneous receipt from
post paid options.
A2.
Pre-paid options:
i.
Sale
of
pre-paid
option
including full value of all
components charged therein.
ii.
Any
other
income/
miscellaneous receipt from
pre-paid options.
B
Revenue
from
Internet
Telephony Service:
B1.
Post paid options:
i.
Rentals
ii.
Activation Charges
iii.
Goods and Service Tax (GST)
iv.
Service charges
v.
Charges on account of any
other value added services.
Supplementary Services etc.
vi.
Any
other
income/
miscellaneous receipt from
post paid options.
56Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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B2.
Pre-paid options:
i.
Sale
of
pre-paid
option
including full value of all
components charged therein.
ii.
Any
other
income/
miscellaneous receipt from
pre-paid options.
C
Revenue from any other
value added service
2.
Income from trading activity
(all including of Goods and
Service Tax (GST))
I
Sale of Terminal Equipments
Ii
Sale of accessories etc.
Iii
Any
other
income/
miscellaneous receipt from
trading activity.
3.
Income from investments
i.
Interest income
ii.
Dividend income
iii.
Any
other
miscellaneous
receipt from investments.
4.
Non-refundable
deposits
from subscribers
5.
Revenue from franchisees
/resellers
including
all
commissions and discounts
etc. excluding the revenues
already included in IA&IB
6.
Revenue
from
sharing/
leasing of infrastructure
7.
Revenue from sale/ lease
renting of bandwidth, links,
R&G
cases,
turnkey
projects etc.
8.
Revenue from Roaming
i.
Roaming facility revenue from
own subscribers.
ii.
Roaming revenue from own
subscriber
visiting
other
networks.
iii.
Roaming Commission earned.
iv.
Roaming revenue on account
of visiting subscribers from
other networks.
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v.
Goods and Service Tax (GST)
if not included above.
vi.
Any
other
income/miscellaneous receipt
from roaming
9.
Revenue
from
IPTV
Services
10.
Revenue
from
other
Operators on account of
provisioning
of
interconnection
11.
Revenue
from
Operations/Activities other
than Telecom Operations/
Activities as well as revenue
from
activities
under
a
license from Ministry of
Information
and
Broadcasting
12.
Miscellaneous Revenue
AA
GROSS REVENUE OF THE
Licensee COMPANY :(Add
1-12)
BB
LESS
1.
Revenue
from
operations
other than telecom activities/
operations
2
Revenue from activities under
a license from Ministry of
Information and Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains from Foreign Exchange
rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vi.
Bad Debts recovered
viii.
Excess
Provisions
written
back
BB
Total (1+2+3+4)
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CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-BB)
DD
DEDUCT:
571.
Roaming revenue passed on
to
other
eligible/entitled
telecom service provider.
2.
Goods and Service Tax (GST)
paid to the Government
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ ---------
--------
OF
ADJUSTED
GROSS REVENUE
57Amendment vide DoT letter no. 20-271/2010 AS-I (Vol-V) dated 19.05.2022
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Annexure-B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee Company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous
years’ P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to
the extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as
to enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown
separately, for each category, and the amount that has fallen due for refund but
not yet paid also disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used
shall also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-
wise, under the miscellaneous head (eg. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding
expenditure.
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CHAPTER-X
NATIONAL LONG DISTANCE SERVICE
1.
Service Area:
The Service Area for the National Long Distance Service shall
be at National Level.
2.
Scope of the NLD Service: Scope of this Authorization covers the following:
2.1
(a)
The NLD Service Licensee shall have the right to carry inter-circle switched
bearer telecommunication traffic over its national long distance network. The Licensee
may also carry intra-circle switched traffic where such carriage is with mutual agreement
with originating access service provider.
(b) The Licensee can also, in respect of Basic Service, make mutually agreed
arrangements with the concerned Service Providers for picking up, carriage and delivery
of the traffic from different legs between Long Distance Charging Center (LDCC) and
Short Distance Charging Centers (SDCCs).
(c)
In the case of Cellular Mobile Telephone Service traffic, the inter-circle traffic shall
be handed/taken over at the Point of Presence (POP) situated in LDCA at the location of
Level I TAX in originating/terminating service area. For West Bengal, Himachal Pradesh
and Jammu & Kashmir such locations shall be Asansol, Shimla & Jammu respectively.
(d)
The Licensee can provide Leased Circuit / Virtual Private Network (VPN) Services.
(e)
Further, only for provision of Leased Circuits/Close User Groups (CUGs) on
leased circuits and for provision of national long distance voice service through Calling
Cards, falling within the scope of, and, in accordance with clauses 2.1 (a) and 2.1(b)
above, the Licensee can access the subscribers directly. While providing the domestic
leased circuits, the Licensee shall be required to make own suitable arrangements for
leased circuits /agreements with the Access Providers for last mile. Public network is not
to be connected with leased circuits/CUGs.
582.2(i) The Licensee can provide bandwidth to other telecom service licensees also.
Further, the licensee can also provide connectivity to the service providers which have
obtained registration for M2M service.
2.2(ii) The Licensee may share “passive” infrastructure namely building, tower, dark
fibre, duct space, Right of Way owned, established and operated by it under the scope
of this Authorization with other Licensees.
2.3(i) Access to the subscribers for provision of National Long Distance voice services
(excluding message services) through Calling Cards shall be strictly within the scope of
and in accordance with clauses 1.1(a) to 1.1(d) above. Provision of other Intelligent
Network based services (except Intelligent Network service for operation of Calling
Cards) such as tele-voting and toll-free services is not allowed to Licensee. Provision of
Value Added Services such as SMS/ MMS, ringtones etc. through calling cards is also
not allowed.
58Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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2.3(ii) The charges and sharing of revenues for the service features, network architecture
and resources used for providing NLD voice services through calling cards shall be such
as are mutually agreed between the service providers within the framework of and in
accordance with regulations, directions, orders or instructions as may be issued from
time to time by TRAI and directions, orders or instructions as may be issued from time to
time by the Licensor.
2.3(iii) The licensee shall clearly indicate to the subscriber the specifications of the
service to be offered through Calling Cards at the time of entering into contract with such
subscriber.
593.
Financial Conditions:
3.1
Gross Revenue:
The Gross Revenue shall include all revenues accruing to the Licensee on account of
goods supplied, services provided, leasing of infrastructure, use of its resources by
others, application Fee, installation charges, call charges, late Fees, sale proceeds of
instruments (or any terminal equipment including accessories), handsets, bandwidth,
income from Value Added Services, supplementary services, access or interconnection
charges, any lease or rent charges for hiring of infrastructure etc. and any other
miscellaneous items including interest, dividend etc. without any set off of related items
of expense, etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items
listed below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of
Information and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. Charges of pass-through nature paid to other telecom service providers to whose
network, the Licensee’s NLD network is interconnected, for carriage of calls, and:
59Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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b. Goods and Service Tax (GST) paid to the Government if Applicable Gross
Revenue (ApGR) had included as component of GST.
4.
Network Interconnection:
4.1
The licensee, who has authorization for International Long Distance, National
Long Distance, Access services, may have only one Switch to provide the ILD, NLD and
Access services. Separate accounts of all the services are to be maintained by duly
apportioning the costs amongst the various services. However, the Access Service
through the said Switch may be provided only if the Licensee has the Access Service
authorization for the Service Area in which the switch is located. For this purpose, Media
Gateway or its equivalent shall be considered as Switch for which MGC/Soft Switch can
be installed anywhere in the country. Separate TAX and Gateway switch is not
mandatory. The Licensee may deploy circuit switched or managed Packet Switched
network to engineer its NLD networks.
4.2
For provision of National Long Distance voice services through Calling Cards, the
terms and conditions of interconnection shall be as mutually agreed between the service
providers within the framework of and in accordance with regulations, directions, orders
or instructions as may be issued from time to time by TRAI and directions, orders or
instructions as may be issued from time to time by the Licensor.
4.3
It shall be mandatory for Basic Service Providers, Cellular Mobile Service
Providers, Access Service Providers, UL(AS) and Unified Licensee (with authorization of
Access Service) to provide interconnection to NLD service providers. Further, the
Licensor may direct the Licensee to implement the process whereby the subscribers
could have a free choice to make international long distance calls through ILD Operator.
5.
Security Conditions:
5.1
The Licensee shall ensure that the Leased circuits are regularly checked for their
bonafide use and to detect any misuse.
5.2
The requisite monitoring facilities shall be provided by the Licensee as per
requirement of Licensor. The details of leased circuit provided by the Licensee shall be
provided monthly to security agencies & concerned DDG of the Licensed Service Area
(LSA) where the licensee has its registered office.
5.3
The Licensee shall transit the CLI as received from the Access/ILD operators.
606. TECHNICAL CONDITIONS
6.1 A Licensee having license/ authorizations for both Commercial VSAT CUG Service
and NLD Service is permitted to share VSAT Hub for the purpose of providing authorized
services.
60Appended vide letter no 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
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Annexure-A
(Proforma for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri …………………,
resident of ………………………………………………., do solemnly affirm and state as
under:
1.
That I am …………… …………………….of ………………………… (Name of the
Company),
Licensee
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorised by the resolutions dated
…………………………. passed by Board of Directors of the Company to furnish affidavit
on behalf of ………………………….( Name of the Company).
2.
That in compliance of condition No.. ………. of Schedule…………..Chapter
………. and Annexure………of the License Agreement No. ……………………… signed
between the Company and the Department Of Telecommunications, for payment of
License fee, a payment of Rs. ………………….. (Rupees ………. ……………………….
is being made for the period …………………..to ………………………….. . The details
of calculation of ‘revenue’ and License fee is as per Annexure …………… (attached).
3.
That the contents in para 1 & 2 and Annexure – A are true and correct to the
best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION
Verified at ………………….. on ……………………….. that the contents of paragraphs 1
to 3 of the affidavit and Annexure- A are true and correct to my knowledge, no part of it
is false and nothing has been concealed therefrom.
Deponent.
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Appendix-I to Annexure-A
Format Of Auditor’s Report On Statement Of Revenue And License Fee
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
____________________________________________________(the
name
of
the
operators) for the quarter(s) ending _____________. We have also examined the
reconciliation of the cumulative figures for the quarter(s) ending _______________
appearing in the Statement of Revenue and License Fee of the company with the figures
appearing in the profit and loss account of the company for the year
ended________________which was audited by us. We understand that the aforesaid
statement(s) ( and the reconciliation) is / are to be furnished to the Central Government
for assessment of the License fee payable by the company to the Government, in terms
of the License Agreement No___________________________________ signed
between the company and the Department of Telecommunications. We report that:
1.
We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
2.
In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The
system, in our opinion, provides reasonable assurance that there is no unrecorded
revenue and that all revenue is recorded in the proper amount and in the proper
period.
3.
No amounts payable in respect of Goods and Service Tax (GST) or
PSTN/toll/roaming charges were outstanding at the last day of the quarter(s) for a
period of more than two months from the date they became payable, except for
the following:_______________________
4.
In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with
the norms/guidelines contained in the said License agreement in this behalf and
gives a true and fair view of the revenue and License fee payable for the period
computed on the basis of the aforesaid guidelines except for the following:
*
Strike off wherever not applicable.
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Appendix-II to Annexure-A
61Format of Statement of Revenue and License Fee
______________(Name and address of operator)
NATIONAL LONG DISTANCE SERVICE License No……………
Statement of Revenue and License Fee for the Quarter
…………of the financial year……………..
(AMOUNT IN RUPEES)
S.N.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ESTIMATED
FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
PREVIOUS
QUARTER
1.
Revenue from Services:
i.
Revenue from provisioning
of NLD service
ii.
Revenue
from
supplementary/value added
services.
iii.
Goods and Service Tax
(GST)
iv.
Any
other
income/
miscellaneous receipt.
1(a)
Revenue from calling cards
(i)
Revenue from sale of calling
cards
(ii)
Any
other
income/Miscellaneous
receipt from Calling Cards
(iii)
Goods and Service Tax
(GST)
2.
Income from investments.
i.
Interest income
ii.
Dividend income
iii.
Any
other
miscellaneous
receipt from investments.
3.
Non-refundable deposits.
4.
Revenue
from
sharing/leasing of other
infrastructure
5.
Revenue
from
Operations/Activities
other
than
Telecom
Operations/ Activities as
well
as
revenue
from
activities under a license
from
Ministry
of
61Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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Information
and
Broadcasting
6.
Miscellaneous revenue
AA
GROSS REVENUE OF THE
COMPANY:(ADD 1-6)
BB
LESS
1.
Revenue from operations
other than telecom activities/
operations
2.
Revenue
from
activities
under a license from Ministry
of
Information
and
Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains
from
Foreign
Exchange rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written
back
BB
Total (1+2+3+4)
CC
APPLICABLE
GROSS
REVENUE
(ApGR)
(AA-
BB)
DD
DEDUCT:
1
Revenue of pass through
nature passed on to other
service providers.(operator-
wise details).
Note: Lease/rent charges for
hiring of infrastructure not to
be deducted.
1(a)
Revenue of pass through
nature passed on to other
telecom service providers for
usage of Calling cards at the
originating point (Operator-
wise detail)
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1(b)
Revenue of pass through
nature passed on to other
telecom service providers for
usage of Calling Cards at the
terminating Point (operator-
wise detail)
2.
Goods and Service Tax
(GST)
paid
to
the
Government.
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ -------
----------
OF
ADJUSTED
GROSS REVENUE
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Annexure – B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous
years’ P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to
the extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as
to enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown
separately, for each category, and the amount that has fallen due for refund but
not yet paid also disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used
shall also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-
wise, under the miscellaneous head (e.g. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure.
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CHAPTER-XI
INTERNATIONAL LONG DISTANCE SERVICE
1.
Service Area:
The Service Area for the International Long Distance Service
shall be at National Level.
2.
Scope of ILD Service: Scope of this Authorization covers the following:
2.1
The ILD Service Licensee shall have the right to carry switched bearer
telecommunication traffic over international long distance network for providing
International connectivity to the Network operated by foreign carriers.
2.2
The Licensee shall have full flexibility to offer all types of bearer services. The
Licensee will provide bearer services so that end-to-end tele-services such as voice, data,
fax, video, multi-media etc. can be provided by Access Providers to the customers.
2.3
The Licensee may offer international bandwidth on lease to other eligible licensees
who are permitted to have international connectivity under their license. The Licensee
shall not access the subscribers directly, except for provision of International Private
Leased Circuits/CUG network. The domestic leg of the IPLC shall be through NLD service
provider or Access Service Provider or both as the case may be for which the Licensee
may enter into an arrangement with them. Public network is not to be connected with
leased circuits/CUGs.
2.4(i) The Licensee may provide international bandwidth on lease to Resellers who are
issued license for ‘Resale of IPLC’ under Section 4 of Indian Telegraph Act, 1885.
2.4(ii) The Licensee may share “passive” infrastructure namely building, tower, dark fibre,
duct space, Right of Way owned, established and operated by it under the scope of this
Authorization with other Licensees.
2.5(i) Further, the Licensee may also access the subscribers directly for provision of
international long distance voice service only through calling cards.
(ii)The charges and sharing of revenues for the service features, network architecture and
resources used for providing ILD voice services through calling cards shall be such as are
mutually agreed between the service providers within the framework of and in accordance
with regulations/directions/orders/ instructions that may be issued from time to time by
TRAI/Licensor.
(iii)
The licensee shall clearly indicate to the subscriber the specifications of the service
to be offered through Calling Cards at the time of entering into contract with such
subscriber.
2.6
The Licensee may establish Cable Landing Station (CLS) for submarine cable with
prior permission of Licensor for which a separate application is to be submitted in the
prescribed proforma. Access/ Co-location at the CLS shall be governed by the
orders/regulations/directions issued by Licensor/ TRAI from time to time.
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2.7
Equal access to bottleneck facilities at the Cable Landing Stations (CLS) including
landing facilities for submarine cables for licensed operators on the basis of non-
discrimination shall be mandatory. The terms and conditions for such access provision
and the charges for such access provision shall be governed by the regulations/ orders as
may be made by the Licensor/TRAI from time to time.
623. Financial Conditions:
3.1
Gross Revenue:
The Gross Revenue shall include all revenues accruing to the Licensee on account of
goods supplied, services provided, leasing of infrastructure, use of its resources by others,
application Fee, installation charges, call charges, late Fees, sale proceeds of instruments
(or any terminal equipment including accessories), handsets, bandwidth, income from
Value Added Services, supplementary services, access or interconnection charges, any
lease or rent charges for hiring of infrastructure etc. and any other miscellaneous items
including interest, dividend etc. without any set off of related items of expense, etc.
3.1AApplicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information and
Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. Call charges (access charges) paid to other telecom service providers for carriage of calls,
and;
b. Goods and Service Tax (GST) paid to the Government, if the Applicable Gross Revenue
(ApGR) had included as component of GST.
62Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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4.
Technical Conditions:
4.1
For providing International Long Distance services, the Licensee shall establish its
own International Long Distance (ILD) Gateway station, along with requisite security
monitoring equipment. The ILD Gateway station shall be set up only after getting the
permission or clearance from the Licensor. Commencement of International telecom
services shall be permitted only after establishment of ILD Gateway with requisite
monitoring facility to the satisfaction of Licensor.
4.2
The Licensee may deploy circuit switched or managed IP network to engineer their
ILD networks. The quality of service parameters shall be as prescribed by Licensor or
TRAI from time to time. The Licensee may engineer lower than toll quality network
provided that such service is offered through calling card or carrier selection. The toll
quality will mean a Mean Opinion Score (MOS) of 4 or above in a scale of 1-5.
4.3
The subscriber should be fully made aware of lower than toll quality network as well
as lower tariff for the same. A separate code, allotted by Licensor, will have to be offered
by the operator for such service.
4.4
The engineered network shall conform to the applicable international and national
standards. The measurement of voice quality both by objective as well as subjective
methods shall be as defined from time to time.
5.
Network Interconnection:
5.1
International Long Distance traffic should be routed through network of NLD service
providers, to the ILD service providers gateways for onward transmission to international
networks. However, the access provider shall not refuse to interconnect with the Licensee
directly in situations where POP of ILD service licensee and Switches of Access Provider’s
(GMSC/ Transit Switch) are located at the same station which is a designated Level -I TAX
location.
5.2
Further, the Licensor may direct the Licensee to implement the process whereby the
subscribers could have a free choice to make international long distance calls through any
Licensee having authorization for access service / NLD Service.
5.3
The licensee, who has authorization for International Long Distance, National Long
Distance, Access services, may have only one Switch to provide the ILD, NLD and Access
services. Separate accounts of all the services are to be maintained by duly apportioning
the costs amongst the various services. However, the Access Service through the said
Switch may be provided only if the License has the Access Service authorization for the
Service Area in which the switch is located. For this purpose, Media Gateway or its
equivalent shall be considered as switch. Separate TAX and Gateway switch is not
mandatory.
5.4
While entering into an agreement/arrangement with Foreign Carriers, for provision
of end-to-end ILD services including IPLC service, the Licensee shall ensure that the
Foreign Carrier does not acquire customers in India and does not raise bills/collect
revenue to/from any user of the ILD services in India.
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6.
Security Conditions:
6.1
For providing International Long Distance (ILD) services, the ILD Gateway station,
along with requisite security monitoring equipment, shall be set up only after getting the
permission or clearance from the Licensor.
636.2 ILD Gateway station (Transmission & Switching Centre) and Cable Landing Station
(CLS) can be permitted to be set up in security sensitive areas, ONLY with prior security
clearance, on a case to case basis. The security sensitive areas would be identified from
time to time. As on date the security sensitive areas are Punjab, J&K, North Eastern
States, border areas of Rajasthan, Andaman & Nicobar Islands and coastal areas of
Gujarat and Tamil Nadu (excluding Chennai).
6.3
Office space of 20’x20’ with adequate and uninterrupted power supply and air-
conditioning which will be physically secured and accessible only to the personnel
authorized by the Licensor shall be provided by the Licensee at each Gateway location
free of cost. The cost of monitoring equipment shall be borne by the Licensee.
6.4
The installation of the monitoring equipment at the ILD Gateway Station is to be
done by the licensee. After installation of the monitoring equipment, the Licensee shall
get the same inspected by monitoring /security agencies. The permission to
operate/commission the gateway will be given only after this.
6.5
64All International Long Distance Operators (ILDOs) should drop all calls with no CLI
or improper CLI at their Gateways and should ensure that all calls handed over by ILDOs
to National Long Distance Operators (NLDOs)/ Access Service Providers, should bear
“Nature of Address Indicator (NAI)” field in case of CCS7/equivalent field in SIP/IP as
“International Number”. For identifying an improper CLI, ITU-T recommendations on E.164
numbering scheme may be referred.
6.6
The designated person of the Central/ State Government as conveyed to the
Licensor from time to time in addition to the Licensor or its nominee shall have the right to
monitor the telecommunication traffic in every ILD Gateway / Routers or any other
technically feasible point in the network set up by the Licensee. The Licensee should make
arrangement for monitoring simultaneous calls by Government security agencies. For
establishing connectivity to Centralized Monitoring System, the Licensee at its own cost
shall provide appropriately dimensioned hardware and bandwidth/dark fibre upto a
designated point as required by Licensor from time to time. However, the respective
Government instrumentality shall bear the cost at its end hardware and leased line circuits
from the Gateway/ Exchange/ MGC/ MG or from the designated point as the case may be,
to its monitoring centre to be located as per its choice in its premises or in the premises of
the Licensee. In case the security agencies intend to locate the equipment at Licensee’s
premises for facilitating monitoring, the Licensee should extend all support in this regard
including Space and Entry of the authorized security personnel. The Interface
requirements as well as features and facilities as defined by the Licensor should be
implemented by the Licensee for both data and speech. Presently, the Licensee should
ensure suitable redundancy in the complete chain of Monitoring equipment for trouble free
operations of monitoring of at least 480 simultaneous calls as per requirement with at least
63Amended vide letter no.20-271/2010 AS-I (Vol.-III) dated 25.08.2021
64 Amended vide letter no 20-271/2010 AS-I (Vol-V) dated 06.07.2022
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30 simultaneous calls for each of the designated security/ law enforcement agencies. Each
ILD Gateway of the Licensee shall have the capacity for provisioning of at least 5000
numbers for monitoring. Presently there are ten (10) designated security/ law enforcement
agencies. The above capacity provisions and no. of designated security/ law enforcement
agencies may be amended by the Licensor separately by issuing instructions at any time.
6.7
The Licensee shall be required to provide the call data records of all the specified
calls handled by the system at specified periodicity, as and when required by the security
agencies in the format prescribed from time to time.
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Annexure-A
AFFIDAVIT
I …………………….. ……………………. Aged about …………. Years son of Shri
……………………………………..
resident
of
………………………….
……………
……………………… ……………………….. do solemnly affirm and state as under:
1.
That I am ………….. …………………………… of …………… ………… (Name of the
Company), Licensee of ……………….. …………. Service and I am duly authorized by the
resolutions dated ……………… ……… passed by Board of Directors of the Company to
furnish affidavit on behalf of …………….. …………………. (Name of the Company).
2.
That in compliance of condition No. .. …………….. of schedule …….. ……. Chapter
………. and ANNEXURE ………… of the LICENSE AGREEMENT No. ……………….
……………….. signed between the Company and the Department of Telecommunications,
for payment of License Fee, a payment of Rs ………………. (Rupees ………………..)is
being made for the period ………………. to ………………... .
3.
The details of calculation of ‘revenue’ and License Fee is as per ANNEXURE … …
(attached).
That the contents in para 1 & 2 and ANNEXURE are true and correct to the best of my
knowledge, based on the records of the company.
Deponent
VERIFICATION
Verified at ………………. ………………..on ………………. ……………….. that the contents
of paragraphs 1 to 3 of the affidavit and ANNEXURE are true and correct to my knowledge,
no part of it is false and nothing has been concealed herefrom.
Deponent
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Appendix-I to Annexure- A
Format of AUDITOR’s Report on State of Revenue and License Fee
To
The Board of Directors,
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………. ………………………. (the name of the OPERATORs) for the
quarter(s) ending ………………………. . We have also examined the reconciliation of the
cumulative figures for the quarter(s) ending ………………………. appearing in the
Statement of Revenue and License Fee of the company with the figures appearing in the
profit and loss account of the company for the year ended ………………………. which was
audited by us. We understand that the aforesaid statement(s) (and the reconciliation) is /
are to be furnished to the Central Government for assessment of the License Fee payable
by the company to the Government, in terms of the License AGREEMENT No.
………………………
signed
between
the
company
and
the
Department
of
Telecommunications. We report that:
We have obtained all the information and explanations which to the best of our knowledge
and belief were necessary for the purpose of our audit.
In our view, the company has an adequate internal control system in relation to revenues
which is commensurate with its size and the nature of its business. The system, in our
opinion, provides reasonable assurance that there is no unrecorded revenue and that all
revenue is recorded in the proper amount and in the proper period.
No amounts payable in respect of Goods and Service Tax (GST) or PSTN/ toll/roaming
charges were outstanding at the last day of the quarter(s) for a period of more than two
months from the date they became payable, except for the following : ………………………
In our opinion and to the best of our knowledge and belief and according to the explanations
given to us, the Statement has been prepared in accordance with the norms/ guidelines
contained in the said LICENSE AGREEMENT in this behalf and gives a true and fair view
of the revenue and License Fee payable for the period computed on the basis of the
aforesaid guidelines except for the following:
* Strike off wherever not applicable.
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Appendix-II to Annexure-A
65Format of Statement of Revenue and License Fee
…………… (Name and address of OPERATOR)
International Long Distance Service License No. …………
Statement of revenue and License Fee
for the Quarter ………..of the financial year …………
(AMOUNT IN RUPEES)
S.N.
PARTICULARS
ACTUALS FOR THE
PREVIOUS QUARTER
CUMULATIVE
UPTO
THE
PREVIOUS
QUARTER.
1.
Revenue from traffic
A
Revenue
i.
Outgoing traffic revenue
ii.
Incoming traffic revenue
iii.
Pass through revenue for
usage of other networks
(give
OPERATOR-wise
details)
iv.
Goods and Service Tax
(GST)
v.
Service charges
vi.
Charges on account of any
other value added services,
Supplementary
Services
etc.
vii.
Any
other
income/
miscellaneous receipt.
viii.
Revenue from calling cards
a.
Revenue from sale of calling
cards
b.
Any
other
income/Miscellaneous
receipt from calling cards
c.
Goods and Service Tax
(GST)
2.
Income from investments
(made on the strength of
this License)
i.
Interest income
ii.
Dividend income
iii.
Any
other miscellaneous
receipt from investments.
65Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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3.
Non-refundable deposits
from subscribers
4.
Revenue from franchisees
5.
Revenue
from
sharing/
leasing of infrastructure
6.
Revenue from sale/ lease
of bandwidth, links, R&G
cases, turnkey projects
etc.
7.
Revenue
from
other
OPERATORs on account
of pass thru call charges.
8.
Revenue
from
other
OPERATORs on account
of
provisioning
of
interconnection
9.
Revenue
from
Operations/Activities
other
than
Telecom
Operations/ Activities as
well
as
revenue
from
activities under a license
from
Ministry
of
Information
and
Broadcasting
10.
Miscellaneous revenue
AA
GROSS REVENUE OF THE
COMPANY: (Add 1-10)
BB
LESS
1.
Revenue from operations
other than telecom activities/
operations
2.
Revenue
from
activities
under
a
license
from
Ministry of Information and
Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
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ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains
from
Foreign
Exchange rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written
back
BB
Total (1+2+3+4)
CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-
BB)
DD
DEDUCT:
1
Charges passed on to other
SERVICE
PROVIDER(s)
(OPERATOR-wise)
(Copy
of agreement to be provided
in the first quarter.
1(a)
Revenue of pass through
nature passed on to other
telecom service providers
for usage of Calling cards at
the
originating
point
(operator-wise details)
1(b)
Revenue of pass through
nature passed on to other
telecom service providers
for usage of Calling Cards at
the
terminating
Point
(operator-wise detail)
2.
Goods and Service Tax
(GST)
paid
to
the
Government.
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ -------
----------
OF
ADJUSTED
GROSS REVENUE
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Annexure – B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous years’
P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to the
extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as to
enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown separately,
for each category, and the amount that has fallen due for refund but not yet paid also
disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall be
shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used shall
also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-wise,
under the miscellaneous head (e.g. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure.
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CHAPTER-XII
GLOBAL MOBILE PERSONAL COMMUNICATION BY SATELLITE SERVICE
1.
Service Area:
The Service Area for Global Mobile Personal Communication
by Satellite (GMPCS) Service shall be at National Level.
2.
Scope of the GMPCS Service: Scope of this Authorization covers the following:
662.1 The licensee may provide, in its area of operation, all types of mobile services,
including voice and non-voice messages, data services by establishing GMPCS Gateway
utilizing any type of network equipment including circuit and/or packet switches. The
licensee may also provide satellite-based data connectivity to the IoT devices/ Aggregator
devices.
2.2
The Licensee shall establish Land Earth Station Gateway in India for the purpose of
providing Global Mobile Personal Communication by Satellite (GMPCS) Service. GMPCS
Service may be provided using one or more Satellite Systems provided that the Land Earth
Station Gateway Switch is established separately in India for each Satellite System.
673.
Financial Conditions:
3.1
Gross Revenue:
The Gross Revenue shall be inclusive of installation charges, late fees, sale proceeds of
handsets (or any other terminal equipment etc.), revenue on account of interest, dividend,
value added services, supplementary services, access or interconnection charges, roaming
charges, revenue from permissible sharing of infrastructure and any other miscellaneous
revenue, without any set-off for related item of expense, etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i)
Revenue from operations other than telecom activities/ operations.
(ii)
Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
66Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
67Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. PSTN/PLMN/GMPCS related call charges (Access Charges) paid to other
eligible/entitled telecommunication service providers within India;
b. Roaming revenues passed on to other telecom service providers, and;
c. Goods and Service Tax (GST) paid to the Government, if the Applicable Gross
Revenue (ApGR) had included as component of GST.
4.
Technical Conditions:
4.1
The Licensee shall disclose complete details of terms and conditions of the
contracts/licenses entered into with its parent/associate company and/or space-
segment/satellite-system owner/operator including those contained in contracts/licenses
issued by the Governments/Authorities of the country where the parent/associate company
is registered and/or carries on its business prior to grant of license and before security
clearance for the service in India. The information so furnished to the Licensor along with
authenticated copies of all such contracts/licenses shall be certified to be true and correct
to the best knowledge of the licensee. The information shall be regularly updated, as and
when any changes occur, during the validity of the license.
4.2
The Subscriber Terminals shall conform to Condition No. 31.3 of Chapter V and the
security requirements of Indian Government as prescribed from time to time.
4.3
Direct interconnectivity between licensed GMPCS Operator and any other Telecom
service provider is permitted for the purpose of only terminating traffic of each other.
Intimation shall have to be given to the Licensor within 15 Calendar days of establishing
such direct interconnectivity. Such interconnection shall be as per mutual agreement
between the service providers. The interconnection shall have to be withdrawn in case of
revocation of the respective licensed network of other Telecom service providers within one
hour or within such time as directed by the Licensor in writing, after receiving intimation
from the Licensor in this regard.
4.4
The Licensee shall provide independently or through mutually agreed commercial
arrangements with other Telecom Service Providers all public utility services as well as
emergency services including TOLL FREE services like police, fire, ambulance. Licensor
may declare any public utility or emergency number as TOLL FREE service from time to
time. While providing access to public utility/emergency services/emergency response
services/services during disaster including police, fire, etc. as defined from time to time, it
shall be ensured that such calls shall be delivered to the designated control room of the
concerned authority, as prescribed from time to time.
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5.
Roll out Obligation:
5.1
The Land Earth Station Gateway Switch for provision of GMPCS Service must be
commissioned within 12 months from the date of frequency allotment by WPC. The
Licensee shall approach WPC for frequency allotment within 1 month of date of allocation
of transponder bandwidth in the concerned Satellite System.
5.2
For the purpose of verification of the commissioning of the applicable system,
Licensee shall register with the Network Operations Control Centre (NOCC) of DoT, as per
the prescribed procedure and payment of prescribed charges.
5.3
Date of registration by NOCC is to be treated as date of commissioning in case of
successful testing as per test schedule prescribed by NOCC/Licensor. If the testing fails,
then the Licensee shall re-register with the NOCC after necessary corrections and in that
case, Date of re-registration by NOCC shall be treated as date of meeting the roll-out
obligation subject to successful testing.
5.4
The time period for roll out of network as per the rollout obligations mentioned above
shall be deemed as the essence of the License Agreement and the network must be rolled
out not later than such specified time period(s). No extension in prescribed due date will be
granted. If the network is rolled out after the expiry of the due date, such delay in rollout of
network will entail recovery of Liquidated Damages (LD) under this Condition. Provided
further that if the rollout of the network is effected within 15 calendar days of the expiry of
the due date then the Licensor shall accept the rollout of network without levy of LD
charges.
5.5
At present, minimum 60 calendar days duration is prescribed for grant of SACFA
clearance. While examining the compliance of rollout obligations, the delay in grant of the
SACFA clearance beyond the above mentioned prescribed duration shall be excluded from
the duration set for rollout. For the purpose of calculating the delay in grant of SACFA
clearance of Land Earth Station Gateway site, the date of ‘WPC acceptance number’ for
SACFA clearance application would be treated as the ‘start date’ and the date on which the
SACFA clearance is granted in the online system of WPC would be considered as the ‘end
date’. The difference between the ‘start date’ and ‘end date’ after excluding the above
mentioned prescribed period would be considered as the delay in grant of SACFA
clearance for Land Earth Station Gateway site for the limited purpose of calculating the
delay in compliance of rollout obligations. If the SACFA clearance for Land Earth Station
Gateway site has been granted within prescribed duration, then for that particular site, delay
would be considered as ‘zero’ days.
5.6
In case the Licensee fails to rollout the network, within the period prescribed, the
Licensor shall be entitled to recover LD charges @ Rs. 1 Lakh (Rupees One Lakh) per
month subject to a maximum amount of Rs. 24 lakh. For delay of more than 24 months, in
addition to imposition of maximum amount of LD as mentioned above, the frequency
allotment may be withdrawn and the Service authorization may also be terminated. The
PBG shall be encashed to the extent of LD amount, if the same is not paid within the time
period specified in the notice for recovery of LD. The licensee on such occasions, shall
restore the partially encashed guarantee to the full amount. Any failure to do so shall
amount to violation of the terms and conditions of the License.
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5.7
For the purpose of calculation of delay in compliance of rollout obligations, the month
shall mean 1 Calendar month and any extra day shall be counted as full month for the
purposes of recovery of liquidated damages.
6.
Operating Conditions:
6.1
Use of space segment
(i) As mentioned in Chapter VII of the license agreement, separate clearances/
License shall be obtained by the Licensee directly from the WPC Wing of DoT.
(ii) The operation of space segment will be governed by instructions and procedures
of Network Operations Control Center (NOCC).
(iii) The space segment monitoring charges shall be payable to NOCC by Licensee
as per the rates decided by Licensor.
68(iv) The required space segment shall be obtained by the Licensee from
Department of Space (DoS) or space segment provider duly authorized by DoS on
terms and conditions as specified by DoS or space segment provider from time to
time.
7.
Security conditions:
7.1
The operation and maintenance centre of the GMPCS Gateway shall also be located
in India. The Licensee shall demonstrate the system capabilities with respect to security
aspects including monitoring to the Licensor or its authorized representative prior to starting
of operations in India.
7.2
The Licensee shall ensure that satellites deployed for GMPCS service shall be used
over the Indian Territory, only for the services authorized by the Licensor. No activities such
as surveillance, electronic warfare etc. shall be carried out over the Indian Territory, which
may jeopardise the sovereignty and security of the country.
7.3
The Licensee shall create a buffer zone along the Indian international border, where
no service would be permitted. Width of this buffer zone along the borders within the Indian
Territory shall be as decided by the Govt. of India from time to time. The Government will
spell out the area and width of the buffer zone. As and when there is any change in the
structure of defined buffer zone, for whatsoever reason, it should be reported to the
Licensor immediately. The Government and its authorized representatives may carry out
physical verification of the accuracy of buffer zone so created.
697.4 The designated person of the Central/ State Government as conveyed to the Licensor
from time to time in addition to the Licensor or its nominee shall have the right to monitor
the telecommunication traffic in every Gateway /Sub-Gateway/ Routers or any other
technically feasible point in the network set up by the Licensee in India. The Licensee shall
make arrangements for monitoring simultaneous calls by Government security agencies.
68Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
69Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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The Interface requirements as well as features and facilities as defined by the Licensor
should be implemented by the Licensee for both data and speech.
The Licensee should ensure suitable redundancy in the complete chain of Lawful
Interception and Monitoring equipment for trouble free operations of monitoring of at least
480 simultaneous calls as per requirement with at least 30 simultaneous calls for each of
the designated security/ law enforcement agencies. Each Satellite Gateway of the Licensee
shall have the capacity for provisioning of at least 3000 numbers for monitoring. Presently
there are ten (10) designated security/ law enforcement agencies. The above capacity
provisions and no. of designated security/ law enforcement agencies may be amended by
the Licensor separately by issuing instructions at any time.
For establishing connectivity to Centralized Monitoring System, the Licensee at its own
cost shall provide appropriately dimensioned hardware and bandwidth/dark fibre upto a
designated point as required by Licensor from time to time. However, the respective
Government instrumentality shall bear the cost at its end hardware and leased line circuits
from the Gateway or from the designated point as the case may be, to its monitoring centre
to be located as per its choice in its premises or in the premises of the Licensee. In case
the security agencies intend to locate the equipment at Licensee’s premises for facilitating
monitoring, the Licensee should extend all support in this regard including Space and Entry
of the authorized security personnel.
7.5
The hardware/software required for monitoring of calls shall be engineered,
provided/installed and maintained by the Licensee at the ICC (Intercept Control Centre) to
be established at the GMPCS Gateway(s) as also in the premises of security agencies at
Licensee’s cost. However, the respective Government Agencies shall bear the cost of
leased line circuits from GMPCS Gateway(s) to the monitoring Centres to be located as per
their choice. The Interface requirements as well as features and facilities shall be worked
out and implemented by the Licensee for both data and speech. The Licensee should
ensure suitable redundancy in the complete chain of Monitoring equipment for trouble free
operations. The Licensee shall provide suitable training to the designated representatives
of the Licensor regarding operation and maintenance of Monitoring equipment (ICC & MC).
Interception of target subscribers using messaging services should also be provided even
if retrieval is carried out using PSTN links. For establishing connectivity to Centralized
Monitoring System, the Licensee at its own cost shall provide appropriately dimensioned
hardware and bandwidth/dark fibre upto a designated point as required by Licensor from
time to time.
7.6
The Licensee shall make following provisions for extending monitored calls to the
designated security agencies:
(a)
Extension on PSTN line/PLMN connection.
(b)
Extension on E-1 links (30 Channels Pulse code Modulation – PCM), which
can be stored in a voice logger at Gateway and simultaneously to user
agencies on dedicated line with co-related Call Related Information (CRI).
Along with the monitored call following records should be made available:
(i)
Called/calling party mobile/PSTN numbers.
(ii)
Time/date and duration of interception.
(iii)
Precise location of target subscribers.
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(iv)
PSTN numbers if any, call-forwarding feature has been invoked by
target subscriber.
(v)
Data records for even failed call attempts.
7.7
The Licensee should be required to provide the call data records of all the calls
handled by the system at specified periodicity, if and as and when required by the security
agencies.
7.8
The Government through appropriate notification may debar usage of GMPCS
mobile terminals in certain areas in the country. The Licensee shall deny service to areas
specified by designated authority immediately and in any case within six hours on request.
The accuracy of denial should be +/- 100 meters of the area boundary specified. The
Government or its authorized representative may carry out the accuracy check of the areas
so debarred. The Licensee shall also provide the facility to carry out surveillance of User
Terminal activity within a specified area.
7.9
By suitable man/ machine command to be given by the operation and maintenance
personnel of the GMPCS gateway, it should be possible to deny service to subscribers in
certain specified areas immediately on receipt of request.
7.10 Adequate monitoring facility should be made available by the Licensee at the
GMPCS Gateway in India to monitor all traffic (traffic originating/terminating in India)
passing through the applicable system. For this purpose, the Licensee shall set up at his
cost, the requisite interfaces, as well as features and facilities for monitoring of calls by
designated agencies as directed by the Licensor from time to time. In addition to the Target
Intercept List (TIL), it should also be possible to carry out specific geographic location based
interception, if so desired by the designated security agencies. Monitoring of calls should
not be perceptible to mobile users either during direct monitoring or when call has been
grounded for monitoring. The Licensee shall not prefer any charges for grounding a call for
monitoring purposes. The intercepted data is to be pushed to designated Security
Agencies’ server on fire and forget basis. No records shall be maintained by the Licensee
regarding monitoring activities and air-time used beyond prescribed time limit.
7.11 The Licensee shall ensure that any User Terminal (UT) registered in the gateway of
another country shall re-register with Indian Gateway when operating from Indian Territory.
Any UT registered outside India, when attempting to make/receive calls from within India,
without due authority, shall be automatically denied service by the system and occurrence
of such attempts along with information about UT identity as well as location shall be
reported to the designated authority immediately.
7.12 The Licensee shall have provision to scan operation of subscribers specified by
security/ law enforcement agencies through certain sensitive areas within the Indian
territory and shall provide their identity and positional location (latitude and longitude) to
Licensor on as and when required basis.
7.13 The User Terminals clandestinely brought into the Indian Territory shall be denied
Service by the Licensee, who shall have in-built capabilities in the System for denial of
service to such user-terminals. Any User Terminal that is not duly authorized to work from
within India, if tries to make or receive a call in India, it shall be denied access automatically
and such events shall be logged and information in this regard shall be suitably made over
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UL Agreement updated up to 31.03.2024
to the Licensor/Security Agencies, as specified. The visiting subscribers shall be required
to register their user terminals on the Equipment Identity Register (EIR) of the Licensee.
The Licensor will separately notify suitable administrative mechanism in consultation with
the Custom Authority for on-line co-ordination on a regular basis between the Air/Land/ Sea
Customs and the Licensee for exchange of information in respect of all mobile terminals
legally brought into the country. This arrangement would facilitate the identification and
segregation of mobile terminals (registered in other countries) clandestinely brought into
the Indian Territory for denial of Service.
7.14 A format would be prescribed by the Licensor to delineate the details of information
required before enrolling a customer as a subscriber. Such details should be uniformly
maintained by the service providers and submitted for verification whenever called for by
the Government agency.
7.15 All calls originating or terminating from Mobile Terminals in India shall pass through
the GMPCS Gateway Switch located in India. Such calls will not be routed through any
other Gateway located outside India. All inter-network calls will be routed through GMPCS
Gateway switches i.e., one the GMPCS switch of the Licensee and other that of the
licensed telecom service providers. All International calls outgoing or terminating in a
PSTN/ PLMN shall be routed via licensed International Long Distance gateway switches
located in India. All national calls outgoing or terminating in a PSTN/PLMN shall be routed
via licensed telecom service provider’s network. Domestic traffic should not be hauled/
routed to any place outside India.
7.16 In addition to requirements contained in Condition No. 39.17 in the Part-I of the
Schedule, Service activation shall take place only after checking the bonafide of the
customers as may be prescribed by the Licensor from time to time.
8.
CLI Restriction (CLIR) should not be normally provided to the customers. Due
verification for the reason of demanding the CLIR, must be done before provision of the
facility. It shall be the responsibility of the service provider to work out appropriate
guidelines to be followed by their staff members to prevent misuse of this facility. The
subscribers having CLIR should be listed in a password protected website with their
complete address and details so that authorized Government agencies can view or
download for detection and investigation of misuse. While providing CLIR facility to
subscriber, it shall be ensured that the CLI is carried from end to end on the network.
However, CLIR must not be provided in case of bulk connections, call centres,
telemarketing services.
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Annexure-A
(Performa for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ………………………….., aged about ………….. Years son of Shri …………………,
resident of ……………………., do solemnly affirm and state as under:
2. That I am …………… …………………….of ………………………… (Name of the
Company), licensee of Global Mobile Personnel Communication by Satellite Service in
India and I am duly authorised by the resolutions dated …………………………. passed by
Board of Directors of the Company to furnish affidavit on behalf of ………………………….(
Name of the Company).
3. That in compliance of Condition No.. ………. Of Schedule…………..Part ………. and
Annexure……of the License Agreement No. ……………………… signed between the
Company and the Department Of Telecommunications, for payment of license fee, a
payment of Rs. ………………….. (Rupees ………. ………………………. is being made for
the period ………………….. to ………………………….. . The details of calculation of
‘revenue’ and license fee is as per Annexure …… (attached).
4. That the contents in para 2 & 3 and Statement made in Annexure ___ are true and
correct to the best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION:
Verified at ___________ on ___________ that the contents of paragraphs 1 to 3 of
this Affidavit and attached ‘Statement of Revenue and License Fee’ as Annexure are true
and correct to the best of my knowledge, no part of it is false and nothing has been
concealed therefrom.
Deponent.
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Appendix –I to Annexure-A
Format of Auditor’s Report on Statement of Revenue and License Fee
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures for
the quarter(s) ending _________ appearing in the Statement of Revenue and License Fee
of the company with the figures appearing in the profit and loss account of the company for
the year ended_________, which was audited by us. We understand that the aforesaid
statement(s) (and the reconciliation) is /are to be furnished to the Central Government for
assessment of the license fee payable by the company to the Government, in terms of the
license agreement No…… Signed between the company and the Department of
Telecommunications.
We report that:
1. We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
2. In our view, the company has an adequate internal control system in relation to revenues,
which is commensurate with its size and the nature of its business. The system, in our
opinion, provides reasonable assurance that there is no unrecorded revenue and that all
revenue is recorded in the proper amount and in the proper period.
3. No amounts payable in respect of Goods and Service Tax (GST) or PSTN/ toll /roaming
charges were outstanding at the last day of the quarter(s) for a period of more than two
months from the date they became payable, except for the following… ………
4. In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with the
norms/guidelines contained in the said license agreement in this behalf and gives a true
and fair view of the revenue and license fee payable for the period computed on the
basis of the aforesaid guidelines except for the following……….
* Strike off wherever not applicable.
(SIGNATURE)
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Appendix-II to Annexure-A
70Format of Statement of Revenue and License Fee
______________(Name and address of operator)
Global Mobile Personnel Communication by Satellite Service License No…
Statement of Revenue and License Fee for the Quarter
……………………of the financial year………………………..
(AMOUNT IN RUPEES)
S.N. PARTICULARS
ACTUALS
OF
THE
PREVIOUS
QUARTER
FIGURES
FOR
THE
CURRENT
QUARTER
CUMULATIVE
FIGURES UP
TO
THE
PREVIOUS
QUARTER
1.
Revenue from Services:
A.
Post paid options:
i.
Rentals
ii
Activation Charges
iii.
Airtime Revenue
iv.
Pass through charges
v.
Goods and Service Tax (GST)
vi.
Roaming charges
vii
Service charges
viii.
Charges on account of any other
value
added
services.
Supplementary Services etc.
ix.
Any other income/ miscellaneous
receipt from post paid options.
B.
Pre-paid options:
i.
Sale
of
pre-paid
sim
cards
including full value of all
components charged therein.
ii.
Any other income/ miscellaneous
receipt from pre-paid options.
C. i. Revenue
from
Mobile
Community
phone
service
including
full
value
of
all
components charged therein.
ii.
Any other income/ miscellaneous
receipt from Mobile Community
phone service.
2.
Income from Trading activity:
[all inclusive of Goods and
Service Tax (GST)]
i.
Sale of handsets
70Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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ii.
Sale of accessories, including sim
cards etc.
iii.
Any other income/miscellaneous
receipt from trading activity.
3.
Revenue from roaming.
i.
Roaming facility revenue from own
subscribers.
ii.
Roaming
revenue
from
own
subscriber visiting other networks
including STD/ISD/pass through
charges
for
transmission
of
incoming call during roaming.
iii.
Roaming Commission earned.
iv.
Roaming revenue on account of
visiting subscribers from other
networks.
v.
Goods and Service Tax (GST) if
not included above.
vi.
Any other income/miscellaneous
receipt from roaming.
4.
Income from investments.
i.
Interest income
ii.
Dividend income
iii.
Any other miscellaneous receipt
from investments.
5.
Non-refundable deposits from
subscribers.
6.
Revenue from franchisees /
resellers, excluding revenues
already included in 1A&1B
7.
Revenue from sharing/leasing
of infrastructure
8.
Revenue from other operators
from sale of bandwidth
9.
Revenue from other operators
on account of pass thru call
charges.
10.
Revenue from other operators
on account of provisioning of
interconnection.
11.
Revenue
from
Operations/Activities other than
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Telecom Operations/ Activities
as
well
as
revenue
from
activities under a license from
Ministry of Information and
Broadcasting
12.
Miscellaneous revenue.
AA
GROSS
REVENUE
OF
THE
LICENSEE COMPANY:
(Add 1-12)
BB
LESS
1.
Revenue from operations other
than telecom activities/ operations
2.
Revenue from activities under a
license
from
Ministry
of
Information and Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as listed in
Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of profit
of Sale of fixed assets and
securities
iv.
Gains from Foreign Exchange
rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written back
BB
Total (1+2+3+4)
CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-BB)
DD
DEDUCT:
1.
PSTN related Call charges passed
on to basic, cellular and long
distance
service
provider(s)
(operator-wise)
2.
Roaming revenues passed on to
CMSPs and other GMPCS service
providers. (operator-wise)
3.
Goods and Service Tax (GST)
paid to the Government.
DD
TOTAL DEDUCTIBLE REVENUE
(1+2+3)
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EE
ADJUSTED GROSS REVENUE
(CC-DD)
REVENUE SHARE @ ---------------
--
OF
ADJUSTED
GROSS
REVENUE
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Annexure –B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by
the licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous
years’ P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to
the extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as
to enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown
separately, for each category, and the amount that has fallen due for refund but
not yet paid also disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income
and number of items sold under each category. Method of inventory valuation
used shall also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-
wise, under the miscellaneous head (eg. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding
expenditure, shall be shown.
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CHAPTER-XIII
PUBLIC MOBILE RADIO TRUNKING SERVICE
1.
Service Area:
The Service Area of Public Mobile Radio Trunking Service
(PMRTS) shall be the Telecom Circle/Metro area as defined in Annexure-V.
License/Authorization for PMRTS Service, granted for more than one Service Area
(Telecom Circle/Metro), shall be administered at each Service Area level.
2.
Scope of PMRTS Service: Scope of this Authorization covers the following:
2.1
The licensee is permitted to provide Public Mobile Radio Trunk Service (PMRTS).
The PMRTS refers to:
(i) a two way land mobile service in which users communicate among themselves through
a pair of radio frequencies out of a pool in a designated frequency band, assigned to the
system using pair of radio frequencies and
(ii) the pair of frequencies is allocated on placement of call request and returned to the pool
on completion of call and
(iii) the communication usually takes place through repeater station (also called base
station). Once user is assigned a channel (a pair of frequencies) by the system, no one
else can interfere with the communication.
713.
Financial Conditions:
3.1
Gross Revenue:
The Gross revenue shall include all revenues accruing to the Licensee on account of goods
supplied, services provided, leasing/hiring of infrastructure, use of its resources by others,
application fees, installation charges, call charges, late fees, sale proceeds of instruments
(or any terminal equipment including accessories), fees on account of annual maintenance
contract, income from value added services, supplementary services, access or
interconnection charges, etc. and any other miscellaneous item including interest, dividend
etc. without any set-off of related item of expense etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
71Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
a. Charges of pass through nature paid to other telecom service provider(s) to whose
network, the licensee’s network is interconnected, and;
b. Goods and Service Tax (GST) paid to the Government, if the Applicable Gross
Revenue (ApGR) had included as component of GST.
4.
Roll out Obligation:
4.1
The Licensee shall roll out the network by installing and commissioning at least one
Base Station (BTS) in the city/town for which frequency has been allotted by WPC.
4.2
Applicable system for provision of PMRTS Service must be commissioned within 12
months from the date of frequency allotment by WPC.
4.3
For the purpose of verification of the commissioning of the applicable system,
Licensee shall register with the LSA Field Unit of DoT, as per the procedure prescribed by
Licensor/TEC.
4.4
Date of registration by LSA Field Unit of DoT is to be treated as date of
commissioning in case of successful verification of the rollout of the network. If the
verification of the rollout of the network and coverage testing fails, then the Licensee shall
re-register with the LSA Field Unit of DoT after necessary corrections and in that case, Date
of re-registration by LSA Field Unit of DoT shall be treated as date of meeting the roll-out
obligation subject to successful verification.
4.5
The time period for roll out of network as per the rollout obligations mentioned above
shall be deemed as the essence of the License Agreement and the network must be rolled
out not later than such specified time period(s). No extension in prescribed due date will be
granted. If the network is rolled out after the expiry of the due date, such delay in rollout of
network will entail recovery of Liquidated Damages (LD) under this Condition. Provided
further that if the rollout of the network is effected within 15 calendar days of the expiry of
the due date then the Licensor shall accept the rollout of network without levy of LD
charges.
4.6
At present, minimum 60 calendar days duration is prescribed for grant of SACFA
clearance. While examining the compliance of rollout obligations, the delay in grant of the
SACFA clearance beyond the above mentioned prescribed duration shall be excluded from
the duration set for rollout obligations in the condition 3.2 above. For the purpose of
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UL Agreement updated up to 31.03.2024
calculating the delay in grant of SACFA clearance of Base Station site, the date of ‘WPC
acceptance number’ for SACFA clearance application would be treated as the ‘start date’
and the date on which the SACFA clearance is granted in the online system of WPC would
be considered as the ‘end date’. The difference between the ‘start date’ and ‘end date’ after
excluding the above mentioned prescribed period would be considered as the delay in grant
of SACFA clearance for that Base Station site for the limited purpose of calculating the
delay in compliance of rollout obligations. If the SACFA clearance for a particular Base
Station site has been granted within prescribed duration, then for that particular site, delay
would be considered as ‘zero’ days.
4.7
In case the Licensee fails to rollout the network, within the period prescribed, the
Licensor shall be entitled to recover LD charges @ Rs. 10,000/- (Rupees Ten thousand
only) per month subject to a maximum amount of Rs. 2.4 lakh. For delay of more than 24
months, in addition to imposition of maximum amount of LD as mentioned above, the
frequency allotment may be withdrawn and the Service authorization may also be
terminated. The PBG shall be encashed to the extent of LD amount, if the same is not paid
within the time period specified in the notice for recovery of LD. The licensee on such
occasions, shall restore the partially encashed guarantee to the full amount. Any failure to
do so shall amount to violation of the terms and conditions of the license.
4.8
For the purpose of calculation of delay in compliance of rollout obligations, the month
shall mean 1 Calendar month and any extra day shall be counted as full month for the
purposes of recovery of liquidated damages.
5.
Technical Conditions:
5.1
This License Agreement does not authorize the right to use of spectrum for which a
separate frequency allotment will be required from WPC Wing. The methodology and
procedure for allotment of spectrum shall be as mentioned in Chapter VII of the License.
5.2
The Company shall specify the details of technology (Digital/Analogue), Quality of
Service and other Performance Parameters of the Systems proposed to be deployed for
operation of the service.
5.3
The system installed for providing service should be designed in such a way so as
to provide good radio coverage inside the buildings.
6.
Network Interconnection:
6.1
The Licensee may interconnect to PSTN/PLMN in the following manner:
(i) PSTN/PLMN connectivity (outgoing only) shall be limited to one PSTN/PLMN line for 5
(Five) RF Channels (of 25 KHz each) for analogue system, only with one Licensed Access
Service Operator.
(ii) PSTN/PLMN connectivity (outgoing only) shall be limited to one E-1 link(30 circuits)
for digital system up to 10,000 customers and thereafter, one additional E-1 link(30 circuits)
for each additional 10,000 customers or part thereof, only with one Licensed Access
Service Operator.
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UL Agreement updated up to 31.03.2024
(iii)
Incoming PSTN/PLMN connectivity is prohibited.
6.2
There shall be no interconnection among two separately licensed PMRTS systems.
7.
Security Conditions:
The Security conditions given hereunder are in addition to the conditions provided in
Chapter-VI of PART-I of the Schedule to the License Agreement.
7.1
In the interest of security, suitable monitoring equipment as may be prescribed by
the Licensor for each type of System used will be provided by the Licensee at his own cost
for monitoring, as and when required.
7.2
The Conditions No. 39.5, 39.6, 39.7, 39.8, 39.10(ii), 39.21(i), 39.21(ii), 39.22(i),
39.22(ii), 39.22(iii), 39.22(iv), 39.22(v), 39.23(ix), 39.23(x) and 39.23(xvi) contained in
PART-I of the Schedule to the License Agreement shall not be applicable for PMRTS
Service.
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Annexure-A
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri …………………,
resident of ………………………………………………., do solemnly affirm and state as
under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
licensee
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorised by the resolutions dated
…………………………. passed by Board of Directors of the Company to furnish affidavit
on behalf of ………………………….( Name of the Company).
3.
That in compliance of condition No.. ………. Of Schedule…………..Part ………. and
Annexure……of the License Agreement No. ……………………… signed between the
Company and the Department Of Telecommunications, for payment of license fee, a
payment of Rs. ………………….. (Rupees ………. ………………………. is being made for
the period …………………..to ………………………….. . The details of calculation of
‘revenue’ and license fee is as per Annexure …… (attached).
4.
That the contents in Para 2 & 3 and Annexure ……. are true and correct to the
best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION
Verified at ………………….. on ……………………….. that the contents of paragraphs 1 to
3 of the affidavit and Annexure…… are true and correct to my knowledge, no part of it is
false and nothing has been concealed there from.
Deponent.
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UL Agreement updated up to 31.03.2024
Appendix-I to Annexure-A
Format of Auditor’s Report on Statement of Revenue and License Fee
To
The Board of Directors
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures for
the quarter(s) ending _________ appearing in the Statement of Revenue and License Fee
of the company with the figures appearing in the profit and loss account of the company for
the year ended_________ which was audited by us. We understand that the aforesaid
statement(s) ( and the reconciliation) is /are to be furnished to the Central Government for
assessment of the license fee payable by the company to the Government, in terms of the
license agreement No…………………. signed between the company and the Department
of Telecommunications. We report that:
(i) We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
(ii) In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The system,
in our opinion, provides reasonable assurance that there is no unrecorded revenue and
that all revenue is recorded in the proper amount and in the proper period.
(iii) No amounts payable in respect of Goods and Service Tax (GST) or PSTN/toll/roaming
charges were outstanding at the last day of the quarter(s) for a period of more than two
months from the date they became payable, except for the following:………
(iv) In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with the
norms/guidelines contained in the said license agreement in this behalf and gives a true
and fair view of the revenue and license fee payable for the period computed on the basis
of the aforesaid guidelines except for the following:
(Seal and Signature )
Place & Date
*Strike off wherever not applicable.
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APPENDIX-II TO ANNEXURE-A
72Format of Statement of Revenue and License Fee
_____________________(Name and address of operator)
Public Mobile Radio Trunking Service License No………………………… in
_____Service Area
Statement of Revenue and License Fee for the Quarter
.………of the financial year………………..
(AMOUNT IN RUPEES)
S.N
.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ACTUAL FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
CURRENT
QUARTER
1.
Revenue from Services:
i.
Rentals
ii.
Activation Charges
iii.
Airtime Revenue
iv.
PSTN charges
v.
Goods and Service Tax (GST)
vi.
Service charges
vii.
Income
from
lease/rental/AMC of items in
2(i) and 2(ii).
viii.
Any
other
income/
miscellaneous receipt from
service
2.
Income
from
Trading
activity: {all inclusive of
Goods and Service Tax
(GST)}
i.
Sale of handsets
ii.
Sale of accessories, including
sim
cards,
spares,
consumables, etc.
iii.
Any
other
income/miscellaneous receipt
from trading activity.
3.
Income from investments.
i.
Interest income
ii.
Dividend income
iii.
Any
other
miscellaneous
receipt from investments.
4.
Non-refundable
deposits
from subscribers.
72Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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5.
Revenue
from
Operations/Activities other
than Telecom Operations/
Activities as well as revenue
from
activities
under
a
license from Ministry of
Information
and
Broadcasting
6.
Any
other
receipt
/
Miscellaneous revenue.
AA GROSS REVENUE OF THE
LICENSEE COMPANY:
(Add 1-6)
BB
LESS
1
Revenue
from
operations
other than telecom activities/
operations
2
Revenue from activities under
a license from Ministry of
Information and Broadcasting
3
Receipt from USO Fund
4
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains from Foreign Exchange
rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess
Provisions
written
back
BB
Total (1+2+3+4)
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CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-BB)
DD
DEDUCT:
1.
PSTN related Call charges
paid on to other Access
telecom service provider.
2.
Goods and Service Tax (GST)
paid to the Government.
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ ---------
--------
OF
ADJUSTED
GROSS REVENUE
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ANNEXURE –B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by
the licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous
years’ P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to
the extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as
to enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown
separately, for each category, and the amount that has fallen due for refund but
not yet paid also disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income
and number of items sold under each category. Method of inventory valuation
used shall also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-
wise, under the miscellaneous head (eg. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure,
shall be shown.
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CHAPTER-XIV
COMMERCIAL VSAT CUG SERVICE
1.
Service Area:
The Service Area of Very Small Aperture Terminal (VSAT)
Closed User Group (CUG) Service shall be at National Level.
732. Scope of VSAT CUG Service: Scope of this Authorization is to provide the following:
2.1 (i):
(a) Data connectivity between various sites scattered within territorial boundary of
India using VSATs. The users of the service should belong to a Closed User Group
(CUG).
(b) VSAT licensee after obtaining ISP license may use same Hub station and VSAT
(remote station) to provide Internet service directly to the subscribers, and in this
case VSAT (remote station) may be used as a distribution point to provide Internet
service to multiple independent subscribers.
(c) Backhaul connectivity for cellular mobile services through satellite using VSAT to
the Access Service providers.
(d) Backhaul connectivity using VSAT to Access Service Providers for establishing
Wi-Fi hotspots.
(e) The VSAT terminal of the Commercial VSAT CUG Service provider, which is
used to provide cellular mobile backhaul link or Wi-Fi hotspot backhaul link, is to be
located in the service area of the Access service provider, where the backhaul link
is used. However, the VSAT hub can be located anywhere in the country. The link
from the hub station to the respective network element of the cellular mobile network
can be provided through the terrestrial connectivity obtained from an authorized
service provider.
74(f) VSAT terminal may also be used to aggregate the traffic from M2M/ IoT
devices/aggregator devices.
(g) VSAT licensee may use VSAT to provide backhaul connectivity to service
providers having license/ Authorization/ Registration for M2M services.
(h) User terminal stations on moving platforms are also permitted for provisioning of
connectivity subject to compliance to relevant TEC standard(s) and conditions
mentioned therein.
(ii) Long distance carriage rights, granted for NLD, ILD and Access service, are not covered
under the scope of this service except the backhaul connectivity mentioned in para 2.1(i)
(c) & (d) above.
(iii) The Closed User Group Domestic Data Network via INSAT Satellite System using
VSAT shall be restricted to geographical boundaries of India.
(iv) The Licensee can set up a number of CUGs using the shared hub infrastructure.
73Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
74Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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(v) PSTN/PLMN connectivity is not permitted except the backhaul connectivity mentioned
in para 2.1(i) (c) & (d) above.
75(vii) Stands deleted
763.
Financial Conditions:
3.1
Gross Revenue:
The Gross Revenue shall include all revenues accruing to the Licensee on account of
goods supplied, services provided, leasing/hiring of infrastructure, use of its resources by
others, application fees, installation charges, call charges, late fees, sale proceeds of
instruments (or any terminal equipment including accessories), VSAT hardware/software,
fees on account of Annual Maintenance Contract/ Annual Comprehensive Maintenance
Contract, income from value added services, supplementary services, access or
interconnection charges, etc., and any other miscellaneous item including interest, dividend
etc. without any set-off of related item of expense, etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR):
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
75Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
76Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
130
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a. Charges of pass through nature paid to other Telecom service provider(s) to whose
network, the Licensee’s network is interconnected for carriage of data, and;
b. Goods and Service Tax (GST) paid to the Government, if the Applicable Gross
Revenue (ApGR) had included as component of GST.
4.
Technical Conditions:
774.1 Technical Parameters:-For providing the VSAT services, the Licensee shall install
equipment complying to the technical parameters mentioned in the relevant Interface
Requirement for VSAT Network(s) issued by TEC, as modified from time to time.
4.2 Use of space segment:
(i) The required space segment shall be obtained by the Licensee from Department
of Space (DoS) or space segment provider duly authorized by DoS on terms and
conditions as specified by DoS or space segment provider from time to time.
78(ii) The space segment charges will be payable to DoS/space segment provider
as applicable from time to time.
(iii) As mentioned in Chapter VII of the license agreement, separate
clearances/license shall be obtained by the Licensee directly from the WPC Wing
of DoT.
(iv) The space segment monitoring charges shall be payable to NOCC by Licensee
as per the rates decided by Licensor.
794.3 The HUB Station shall be operated and maintained by the Licensee subject to the
following conditions:-
(i) The Hub station as well as all the VSATs shall be within the geographical boundary of
India.
(ii) The VSAT at the premises of customer/ users should have a logo prominently displayed
indicating the name of VSAT Licensee.
(iii) The Licensor or its representative will have access to the HUB as well as the technical
facilities provided by the Licensee for monitoring, inspection etc.
(iv) Before start of operation from Hub Station, necessary clearances from Network
Operations Control Center (NOCC) on payment of prescribed charges will be taken by the
Licensee.
80(v) Stands deleted
(vi) The information should be maintained in the Network Management System (NMS) in
such a way that by giving simple software command, the data related to the total number
of VSATs configured/operational with date of commissioning should be available network-
77Amended vide letter no. 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
78Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
79Amended vide letter no 20-271/2010 AS-I (Vol.-III) dated 23.09.2021
80Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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wise/customer-wise, along with their date of configuration, date of commissioning,
coordinates, address of the VSAT locations alongwith the name of city, district, state etc.
In this regard, Licensee would abide by the directive issued by the Licensor/ NOCC.
(vii)A Licensee having license/authorizations for both Commercial VSAT CUG Service and
NLD Service is permitted to share VSAT Hub for the purpose of providing authorized
services.
5.
Roll out Obligation:
815.1 The Licensee shall roll out the network by installing and commissioning a HUB Station
for Star Network configuration or at least two VSAT Terminals in case of Mesh Network
configuration within 12 months from the date of frequency allotment by WPC. The Licensee
shall approach WPC for frequency allotment within 1 month of obtaining transponder
bandwidth from Department of Space (DoS) or space segment provider duly authorized by
DoS.
5.2
For the purpose of verification of the commissioning of the applicable system,
Licensee shall register with the Network Operations Control Centre (NOCC) of DoT, as per
the prescribed procedure.
5.3
Date of registration by NOCC is to be treated as date of commissioning in case of
successful testing as per test schedule prescribed by NOCC/Licensor. If the testing fails,
then the Licensee shall re-register with the NOCC after necessary corrections and in that
case, Date of re-registration by NOCC shall be treated as date of meeting the roll-out
obligation subject to successful testing.
5.4
The time period for roll out of network as per the rollout obligations mentioned above
shall be deemed as the essence of the License Agreement and the network must be rolled
out not later than such specified time period(s). No extension in prescribed due date will be
granted. If the network is rolled out after the expiry of the due date, such delay in rollout of
network will entail recovery of Liquidated Damages (LD) under this Condition. Provided
further that if the rollout of the network is effected within 15 calendar days of the expiry of
the due date then the Licensor shall accept the rollout of network without levy of LD
charges.
5.5
At present, minimum 60 calendar days duration is prescribed for grant of SACFA
clearance. While examining the compliance of rollout obligations, the delay in grant of the
SACFA clearance beyond the above mentioned prescribed duration shall be excluded from
the duration set for rollout. For the purpose of calculating the delay in grant of SACFA
clearance of VSAT/Hub Station site, the date of ‘WPC acceptance number’ for SACFA
clearance application would be treated as the ‘start date’ and the date on which the SACFA
clearance is granted in the online system of WPC would be considered as the ‘end date’.
The difference between the ‘start date’ and ‘end date’ after excluding the above mentioned
prescribed period would be considered as the delay in grant of SACFA clearance for
VSAT/Hub Station site for the limited purpose of calculating the delay in compliance of
rollout obligations. If the SACFA clearance for VSAT/Hub Station site has been granted
81Amended vide DoT’s letter no. 20-271/2010 AS-I(Vol.-III) dated 06.05.2022
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within prescribed duration, then for that particular site, delay would be considered as ‘zero’
days.
5.6
In case the Licensee fails to rollout the network, within the period prescribed, the
Licensor shall be entitled to recover LD charges @ Rs. 1 Lakh (Rupees One Lakh) per
month subject to a maximum amount of Rs. 24 lakh. For delay of more than 24 months, in
addition to imposition of maximum amount of LD as mentioned above, the frequency
allotment may be withdrawn and the Service authorization may also be terminated. The
PBG shall be encashed to the extent of LD amount, if the same is not paid within the time
period specified in the notice for recovery of LD. The licensee on such occasions, shall
restore the partially encashed guarantee to the full amount. Any failure to do so shall
amount to violation of the terms and conditions of the License.
5.7
For the purpose of calculation of delay in compliance of rollout obligations, the month
shall mean 1 Calendar month and any extra day shall be counted as full month for the
purposes of recovery of liquidated damages.
6.
Network Interconnection:
6.1
Interconnection
i)
Interconnection with PSTN/PLMN/GMPCS–Licensee’s network shall not be
interconnected with PSTN/PLMN/GMPCS Network.
ii)
Network of other VSATs network: Interconnection shall be permitted through the
Hubs of the networks on case to case basis, wherever the CUG nature of the users of the
networks is not violated.
iii)
WAN / Terrestrial data lines leased by customers of VSATs – Interconnection
shall be permitted on case to case basis, wherever the CUG nature of the users of the
networks is not violated.
iv)
Overseas office of the CUG for data transfer purposes:- Interconnection shall
be permitted on a case to case basis subject to the condition that the connection should be
between the hub and the server of the overseas office through a leased line passing
through an international gateway which can be monitored for security purposes.
v)
Internet:- The hub of VSAT Licensee shall be allowed to be connected to internet
node of any of the authorized internet service providers through a lease line taken from
Telecom service provider who is authorized to sell bandwidth/ leased line.
vi)
Other media to provide for redundancy:- Switchover between a terrestrial CUG
network and a VSAT based CUG network belonging to the same customer shall be
permitted for redundancy purpose.
vii)
Backhaul connectivity: Host computer of the customers can be connected to
network of the service provider by radio (subject to availability of the frequencies), leased
lines/ optical fibre cables/ other media from any licensed Telecom service Provider can be
used who is authorized to lease out such lines for such connectivity.
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6.2
Interconnection of CUGs on VSAT networks:-Inter-connection between CUGs,
where the CUG nature of the network is not violated, will be permitted on a case to case
basis.
6.3
Standards for User Network and Network Interfaces:-The user-network and
network interfaces should conform to standard interfaces such as X25, X75, TCP/IP or such
international standards that may be specified from time to time by Licensor.
7. Performance Testing:
7.1
Mandatory performance verification of HUB Station will be carried out by NOCC or
any other agency authorized by the Licensor for this purpose on payment of necessary
testing charges by Licensee.
7.2
For VSATs supplied or leased by the Licensee, a certificate from the Licensee duly
supported by the manufacturer certificate meeting the mandatory performance
requirements shall be submitted by the Licensee to NOCC. Mandatory performance
verification of VSATs will be carried out by NOCC on selective basis on payment of
necessary testing charges by Licensee.
7.3
The Licensee will provide details of equipment, address of equipment location and
site configuration details on monthly basis to the Licensor from the date of signing of the
License agreement or as and when required by the Licensor.
7.4
The monthly report regarding the number of VSATs at the end of each month should
be submitted to Licensing cell/ Satellite Cell/NOCC of DOT by the 7th of following month in
both soft copy and hard copy. The proforma is attached as Annexure-C.
8.
Security Conditions:
8.1
Requisite monitoring facilities/ equipment for each type of system used, shall be
provided by the Licensee at own cost for monitoring as and when required by the Licensor.
8.2 The Licensee shall provide at its own cost technical facilities for accessing any port of
the switching equipment at the HUB for interception of the messages by the designated
authorities at a location to be determined by the Licensor.
8.3 The Licensee shall provide a voice communication facility between the HUB Station
and Network Operation Control Centre at its own cost.
8.4
The Licensee will provide a Hot line/ VSAT along with Remote NMS Terminal
between Hub/Network Control Station of CUG and NOCC for effective monitoring of the
space segment uses.
8.5
In the areas falling within 10 Kms of Line of Control (LOC), Line of Actual Control
(LAC) and International Border between Akhnoor in J&K and Pathankot and other areas as
may be notified from time to time by the Licensor, installation of VSAT/Hub Station by the
Licensee shall be taken up only after prior approval from local Army authorities about
specific location of VSAT/Hub Station with prior intimation to the Licensor and concerned
LSA Field Unit of DoT in addition to requisite clearances. Width of this buffer zone along
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the borders within the Indian Territory shall be as decided by the Govt. of India from time
to time. As and when there is any change in the structure of defined buffer zone, for
whatsoever reason, it should be reported to the Licensor immediately. The Government
and its authorized representatives may carry out physical verification of the accuracy of
buffer zone so created.
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Annexure-A
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri …………………,
resident of ………………………………………………., do solemnly affirm and state as
under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
licensee
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorised by the resolutions dated
…………………………. passed by Board of Directors of the Company to furnish affidavit
on behalf of ………………………….( Name of the Company).
3.
That in compliance of condition No.. ………. Of Schedule…………..Part ………. and
Annexure……of the License Agreement No. ……………………… signed between the
Company and the Department Of Telecommunications, for payment of license fee, a
payment of Rs. ………………….. (Rupees ………. ………………………. is being made for
the period …………………..to ………………………….. . The details of calculation of
‘revenue’ and license fee is as per Annexure …… (attached).
4.
That the contents in Para 2 & 3 and Annexure ……. are true and correct to the
best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION
Verified at ………………….. on ……………………….. that the contents of paragraphs 1 to
3 of the affidavit and Annexure…… are true and correct to my knowledge, no part of it is
false and nothing has been concealed there from.
Deponent.
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Appendix-I to Annexure-A
Format of Auditor’s Report on Statement of Revenue and License Fee
To
The Board of Directors
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures for
the quarter(s) ending _________ appearing in the Statement of Revenue and License Fee
of the company with the figures appearing in the profit and loss account of the company for
the year ended_________ which was audited by us. We understand that the aforesaid
statement(s) ( and the reconciliation) is /are to be furnished to the Central Government for
assessment of the license fee payable by the company to the Government, in terms of the
license agreement No…………………. signed between the company and the Department
of Telecommunications. We report that:
(i) We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
(ii) In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The system,
in our opinion, provides reasonable assurance that there is no unrecorded revenue and
that all revenue is recorded in the proper amount and in the proper period.
(iii) No amounts payable in respect of Goods and Service Tax (GST) or PSTN/toll/roaming
charges were outstanding at the last day of the quarter(s) for a period of more than two
months from the date they became payable, except for the following:………
(iv) In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with the
norms/guidelines contained in the said license agreement in this behalf and gives a true
and fair view of the revenue and license fee payable for the period computed on the basis
of the aforesaid guidelines except for the following:
(Seal and Signature )
Place & Date
*Strike off wherever not applicable.
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APPENDIX-II TO ANNEXURE-A
82Format of Statement of Revenue and License Fee-------------- (Name and address of
operator)
VERY SMALL APERTURE TERMINAL SERVICE License No…………….
Statement of Revenue and License Fee for the Quarter……….of the financial
year…………
(AMOUNT IN RUPEES)
Sl.
No.
PARTICULARS
ACTUALS
FOR THE
PREVIOUS
QUARTER
FIGURES
FOR
CURRENT
QUARTER
CUMULATIVE
FIGURES UPTO
THE PREVIOUS
QUARTER
1.
Revenue from Services:
i.
Revenue from provisioning of
VSAT service
ii.
Revenue from
supplementary/value added
services.
iii.
Goods and Service Tax (GST)
iv.
Revenue from lease/rentals of
items in 2(i) and (ii) below.
v.
Revenue from Annual
Comprehensive Maintenance
Contract (ACMC)/ Annual
Maintenance Contract (AMC) etc.
vi.
Any other income/ miscellaneous
receipt.
2.
Income from Trading activity:
(all inclusive of Goods and
Service Tax (GST)
i.
Sale of VSAT including antennas
and other accessories including
software, hardware etc.
ii.
Sale of accessories, etc.
iii.
Any other income/miscellaneous
receipt from trading activity.
3.
Income from investments.
i.
Interest income
ii.
Dividend income
iii.
Any other miscellaneous receipt
from investments.
4.
Non-refundable deposits.
82Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
138
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5.
Revenue from sharing/leasing
of other infrastructure
6.
Revenue
from
Operations/Activities other than
Telecom Operations/ Activities
as
well
as
revenue
from
activities under a license from
Ministry of Information and
Broadcasting
7.
Miscellaneous revenue.
AA
GROSS REVENUE OF THE
Licensee COMPANY:
(Add 1-7)
BB
LESS
1
Revenue from operations other
than telecom activities/
operations
2
Revenue from activities under a
license from Ministry of
Information and Broadcasting
3
Receipt from USO Fund
4
Items of ‘Other Income’ as listed
in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of profit
of Sale of fixed assets and
securities
iv.
Gains from Foreign Exchange
rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written back
BB
Total (1+2+3+4)
CC
APPLICABLE GROSS
REVENUE (ApGR) (AA-BB)
DD
DEDUCT:
1.
Revenue of pass through nature
passed on to other service
providers. (operator-wise details).
139
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Note: Lease/rent charges for
hiring of infrastructure not to be
deducted.
2.
Goods and Service Tax (GST)
paid to the Government.
DD
TOTAL DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED GROSS REVENUE
(CC-DD)
REVENUE SHARE @ --------------
--- OF ADJUTED GROSS
REVENUE
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Annexure – B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(a)
All amounts billable for the period.
(b)
Any billings for previous years that had been omitted from the previous years’
P&L Accounts.
(c)
Any non-refundable deposits collected from the customers/franchisees to the
extent these are credited to P&L Account for the year.
Subsidiary registers/ledgers shall be maintained for each item given above so as to
enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown separately,
for each category, and the amount that has fallen due for refund but not yet paid also
disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
Goods and Service Tax (GST) billed, collected and remitted to the Government shall be
shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used shall
also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-wise,
under the miscellaneous head (e.g. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure.
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Annexure –C
Monthly Operation Report Proforma For VSAT Network
1.
Reporting Month
:
2.
Name of the Network
:
3.
Name of the Hub Station
:
4.
Number of VSATs in operation at the end of last month:
5.
Number of VSATs in operation at the
end of month reported
:
ANTENNA SIZE
Added during
the month
Withdrawn
during the
month
PROGRESSIVE
TOTAL
6.
Power transmitted from Hub
:
7.
Hub U/L EIRP
:
8.
For Star (TDM/TDMA) TDM/FTDMA:
Out Bound Carriers
In Bound Carriers
DATA
RATE
(Kbps)
UPLINK
RF
Frequency
(MHz)
Satellite
Power
(dBw)
Data
Rates
(Kbps)
No. of
I/B
Carriers
Uplink RF
Frequency
(MHz)
Satellite
Power
(dBw)
9.
Number of DAMA/PAMA Carriers
Data Rates (Kbps)
NO. OF CARRIERS
Satellite Power (dBw)
P
A
M
A
D
A
M
A
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10. Any Alteration or addition in the configuration of HUB Station/ VSAT (in detail):
11.
Special feature if any:
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CHAPTER-XV
AUDIO CONFERENCING/ AUDIOTEX/ VOICE MAIL SERVICE
1.
SERVICE AREA: The Service Area of Audio Conferencing/ Audiotex/ Voice Mail
Services shall be at National Level.
2.
SCOPE OF AUDIO CONFERENCING/ AUDIOTEX/ VOICE MAIL SERVICE: Scope
of this authorization covers the following:
2.1
The Licensee may provide Audio Conferencing/ Audiotex/ Voice Mail services to the
subscribers using Licensed Service Provider’s Network as under:
i.
Audio Conferencing: The Audio Conferencing Service allows users from multiple
locations to join a single audio conference and interact at the same time. The audio
conference services provide real-time transmission of voice between groups of
users in two or more locations. The service is bidirectional via telecommunication
networks, and provides for interconnection of two or more audio conference
terminals.
ii.
Audiotex: It is either an interactive or a non-interactive non real time service which
provides through appropriate access by standardized procedure for users of
Audiotex service to communicate with database (database system shall be present
within national boundaries) via telecom network. A subscriber can retrieve the
information at any time by interacting with the Audiotex Service Equipment by using
phone and/or the information stored in Audiotex equipment can be disseminated to
the subscriber on his phone in accordance with conditions mentioned in this chapter.
iii.
Voice Mail Service: In a Voice Mail Service (VMS), the subscriber has a voice mail
box with voice mailbox number from authorized telecom service provider. Any
subscriber can leave/ retrieve his message in/ from his Voice mail box via a licensed
telecommunication network using a combination of store & retrieve techniques. A
VMS subscriber can leave/ retrieve this message by dialing voice mail box number
at his convenience in accordance with conditions mentioned in this chapter.
2.2
Point to point conferencing and calling card facility shall not be provided by the
Licensee. However, Point-to-point conferencing services may be provided to the registered
enterprises in India, subject to the following conditions: -
i.
The calls shall originate and terminate within India.
ii.
The complete routing/ switching of the Audio Conferencing calls should remain
within India.
iii.
The Telephone Number resources used by the Licensee shall be taken only from
Licensed Service Providers in India.
iv.
There shall not be any illegal by pass of Telecom traffic for providing such
conferencing services. The Licensee shall have to give an undertaking in this
regard.
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2.3 Except those services permitted under the scope of this authorization, the Licensee
shall not provide any service / services which require a separate service authorization/
license.
2.4 The Service Providers who are providing Audiotex services on commercial basis, to
other entity/ entities, will be covered under this authorization/ license.
3.
FINANCIAL CONDITIONS
3.1
Gross Revenue
The Gross Revenue shall include all revenue accruing to the Licensee on account of
providing Audio Conferencing/ Audiotex/ Voice Mail services and shall be inclusive of goods
supplied, installation charges, application fee, late fees, sale proceeds of handsets (or any
other terminal equipment etc.), use of its resources by others, revenue on account of
interest, dividend, call charges, value added services, supplementary services, access or
interconnection charges, revenue from permissible sharing or leasing of infrastructure, fees
on account of annual maintenance contract and any other miscellaneous revenue, without
any set-off for related item of expense, etc.
3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR)
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
i.
PSTN/ PLMN/ GMPCS related call charges (Access Charges) actually paid to
other eligible/ entitled telecommunication service providers within India;
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ii. Goods and Service Tax (GST) paid to the Government if gross revenue had
included as component of GST.
4.
TECHNICAL CONDITIONS
4.1
The technology for Audio conferencing, Audiotex and Voice Mail services shall be
based on latest standards/ service requirements issued by TEC, as amended or issued
from time to time.
4.2
TEC specification No. TEC/SR/IT/ACS-01/02 JUN-20 defines the parameters of
Audio Conferencing Service, scope of service, its key element, its interface specification,
service description and quality of service to be provided by the LICENSEE.
4.3
TEC specification No.61054:2021defines the parameters of Audiotex Service, scope
of service, its key element, its interface specification, service description and quality of
service to be provided by the LICENSEE.
4.4
TEC specification No. 61064 : 2021defines the parameter of the Voice Mail Service,
scope of service, its key element, its interface specification, service description and quality
of service to be provided by a LICENSEE.
4.5 The Licensee shall follow the above TEC specifications subject to modifications or
updations from time to time. However, the terms and conditions mentioned in this chapter
shall override anything mentioned in the technical specifications.
5.
NETWORK INTERCONNECTION
5.1
The Licensee shall install applicable system/ equipment, complying to the service
requirements, within the Country.
5.2
Inter-Circle traffic from one Licensed Service Area to another shall be routed through
the network of NLD licensee or the Unified Licensee having authorization of NLD service.
5.3
International Long Distance traffic should be routed through network of NLD service
providers, to the ILD service provider’s gateways for onward transmission to international
networks subject to fulfillment of any Guidelines/ Orders/ Directions/ Regulation issued from
time to time by LICENSOR/ TRAI. However, the Licensee may interconnect with the ILD
Service licensee directly in situations where POP of ILD service Licensee and Licensee’s
equipment are located at the same station of Level-I TAX.
5.4
The services should not be used in whatsoever manner for any illegal by pass of
STD/ ISD traffic of any Licensed Service Provider.
5.5
The network interconnection resources required for the operation of the services and
for extending them over the network of the other Licensed Service Providers will be
mutually agreed upon between the parties. The resources may include but are not limited
to physical junctions, PCM derive channels, private wires, leased lines, data circuits and
other such network interconnection resources/ provisions/ elements etc. The LICENSEE
may apply for and obtain from the other Licensed Service Providers the desired network
interconnection resources. The operation and tariff for the traffic passed through these
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resources as well as provision of these resources shall be governed by the prevailing rules
and regulations of LICENSOR/ TRAI.
5.6
In case of Audio Conferencing services, dial out facility using resources of more than
one access service provider may be used with the condition that STD/ ISD traffic should
not be bypassed. Dial-out is not permitted for Audiotex unless dial out is made to callers
who have made incoming calls to Audiotex server.
5.7
Necessary interface specification and requirements with full details with Other
Licensed Service Providers equipment for interconnecting the Audio Conferencing/
Audiotex/ Voice Mail Service equipment shall be furnished within one month from the
effective date of the license to the LICENSOR.
5.8
The acceptance testing for every interface with the Other Licensed Service
Providers shall be carried out by the acceptance testing party of that organization. The
acceptance-testing schedule shall be mutually agreed to.
5.9
Adequate time not less than one month will be given by the LICENSEE for
acceptance testing.
5.10 In case of Audio Conferencing services, the Audio Conferencing unit shall be
connected to the Licensed Access Service provider’s network like PSTN/ ISDN/ PLMN or
IP network by using a combination of appropriate interface as per TEC standards.
5.11 Calls originating from PSTN/ PLMN/ GMPCS/ Internet Telephony networks should
not be interconnected with those from Private/ CUG networks by Audio Conferencing Unit
of the Licensee.
5.12 The LICENSOR will also carry out all performance tests required for successful
commissioning of the service, if it so desires, before the service is commissioned for public
use. The LICENSEE shall supply all necessary literature, drawings etc. regarding the
equipment installed for commissioning of the services, and shall also supply all the tools,
test instruments and other accessories to the testing party of the LICENSOR for conducting
the tests. The list of performance tests will be furnished by the LICENSEE one month prior
to the date of commissioning to the LICENSOR. In case the LICENSOR chooses to
conduct performance test and some deficiency is found therein by the LICENSOR, the
LICENSEE will clear the same before commissioning the service.
6
DELIVERY OF SERVICE
6.1 The LICENSEE shall commission the applicable systems within one year from the
effective date of the License. Commissioning of service shall mean providing commercial
service to customers and due intimation to the Licensor.
7.
SECURITY CONDITIONS
7.1
The Licensee shall maintain log details including CDRs/ IPDRs of all subscribers for
services provided. These details shall be maintained for a minimum period of two years.
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7.2
Transport of Voice Mail Messages to other locations and subsequent retrieval by the
subscriber must be on a non-real time basis. To ensure this LICENSEE shall ensure that
there is no dialing out for delivery of the message to the recipient.
7.3
The LICENSEE shall disclose complete details on terms and conditions and
obligations under all contracts entered into with other Licensed Service Providers within 15
calendar days of entering into such contracts and shall also provide the authenticated
copies of all such contracts within such period.
7.4
The LICENSEE shall keep a record containing the information of the service with
name and address, and access number of the subscribers.
7.5
The LICENSEE shall make available all detailed information about the conference
calls e.g. the parties in conference, date, time, duration of the conference etc. on demand,
to licensor or designated security agencies. The list of registered subscribers of Audiotex
service provider shall also be given, on demand, to licensor or designated security
agencies. The information shall be stored for at least one year period.
7.6
The LICENSEE shall provide a watchdog terminal with access limited to unfiltered
CDR/IPDR file to the Licensor/ Designated Security Agencies.
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ANNEXURE-A
(Proforma for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri
…………………, resident of ………………………………………………., do solemnly
affirm and state as under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
LICENSEE
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorized by the resolutions
dated …………………………. Passed by Board of Directors of the Company to
furnish affidavit on behalf of ………………………….( Name of the Company).
3.
That in compliance of Condition No.. ………. Of Schedule…………..Part ……….
And Annexure……of the License Agreement No. ……………………… signed
between the Company and the Department Of Telecommunications, for payment of
License
fee,
a
payment
of
Rs.
…………………..
(Rupees
……….
………………………. Is being made for the period …………………..to
………………………….. . The details of calculation of ‘revenue’ and License fee is
as per Appendix-II …… (attached).
4.
That the contents in para 2 & 3 and Statement made in Annexure ___ are true and
correct to the best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION:
Verified at ___________ on ___________ that the contents of paragraphs 1 to 3 of
this Affidavit and attached ‘Statement of Revenue and License Fee’ as Annexure are true
and correct to the best of my knowledge, no part of it is false and nothing has been
concealed therefrom.
Deponent.
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APPENDIX-I to ANNEXURE-A
Format of Auditor’s Report On Statement Of Revenue And License Fee
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures for
the quarter(s) ending _________ appearing in the Statement of Revenue and License Fee
of the company with the figures appearing in the profit and loss account of the company for
the year ended_________ which was audited by us. We understand that the aforesaid
statement(s) ( and the reconciliation) is /are to be furnished to the Central Government for
assessment of the License fee payable by the company to the Government, in terms of the
License agreement No…………………. signed between the company and the Department
of Telecommunications.
We report that:
5.
We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
6.
In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The
system, in our opinion, provides reasonable assurance that there is no unrecorded
revenue and that all revenue is recorded in the proper amount and in the proper
period.
7.
No amounts payable in respect of Goods and Service Tax (GST) or
PSTN/toll/roaming charges were outstanding at the last day of the quarter(s) for a
period of more than two months from the date they became payable, except for the
following:………
8.
In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with the
norms/guidelines contained in the said License agreement in this behalf and gives
a true and fair view of the revenue and License fee payable for the period computed
on the basis of the aforesaid guidelines except for the following:
*
Strike off wherever not applicable.
(SIGNATURE)
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APPENDIX-II to ANNEXURE-A
Format of Statement of Revenue and License Fee
_____________________(Name and address of licensee)
Audio Conferencing/ Audiotex/ Voice Mail Service
Statement of Revenue and License Fee for the Quarter …………………
of the financial year………………………………………..
(AMOUNT IN RUPEES)
S.N.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ACTUALS
FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
CURRENT
QUARTER.
1
Revenue from services
i.
Rentals
Ii
Activation Charges
iii.
Airtime Revenue
iv.
PSTN charges
v.
GST
Vi
Service charges
vii.
Income from lease/ rental/
AMC of items in 2(i) and2(ii).
viii.
Any
other
income/
miscellaneous receipt from
service
2
Income from Trading activity
(i)
Sale of handsets (Excluding
GST)
(ii)
Sale
of
accessories
etc.
(Excluding GST)
(iii)
Any
other
income/
miscellaneous
receipt
from
trading
activity.
(Excluding
GST)
(iv)
Goods and Service Tax (GST)
3
Income from investments
(i)
Interest income
(ii)
Dividend income
(iii)
Any
other
miscellaneous
receipt from investments.
4
Non-refundable
deposits
from subscribers
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5
Any other receipt /
Miscellaneous revenue.
6
Revenue from Operations/
Activities other than Telecom
Operations/ Activities as well
as revenue from activities
under a license from Ministry
of
Information
and
Broadcasting
AA
GROSS REVENUE OF
THE
Licensee
COMPANY:
(Add 1-6)
BB
LESS:
1.
Revenue from operations other
than
telecom
activities/
operations
2.
Revenue from activities under a
license
from
Ministry
of
Information and Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains from Foreign Exchange
rates fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written back
BB
Total BB (1+2+3+4)
CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA- BB)
DD
DEDUCT:
1
Charges actually paid to other
Telecom Service Provider(s)
(Operator-wise)
2
GST paid to the Government
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
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EE
ADJUSTED
GROSS
REVENUE (CC - DD)
REVENUE SHARE @ -----------
---- OF ADJUSTED GROSS
REVENUE
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ANNEXURE-B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee Company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other
item/category.
Accrued Revenue shall indicate:
(d)
All amounts billable for the period.
(e)
Any billings for previous years that had been omitted from the previous years’
P&L Accounts.
(f)
Any non-refundable deposits collected from the customers/ franchisees to the
extent these are credited to P&L Account for the year.
Subsidiary registers/ ledgers shall be maintained for each item given above so as to
enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other Deposits taken from the subscriber shall be shown separately,
for each category, and the amount that has fallen due for refund but not yet paid also
disclosed under two categories, namely:
o Up to 45 days
o More than 45 days.
GST billed, collected and remitted to the Government shall be shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used shall
also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/ rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase/decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-wise,
under the miscellaneous head (eg. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure,
shall be shown.
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CHAPTER-XVI
MACHINE TO MACHINE (M2M)
1.
Service Area: The License/Authorization for M2M are granted for three different
Categories namely Category ‘A’, Category ‘B’ and Category ‘C’. The Service Area for
Category ‘A’ authorization shall be the National Area. The Service Area for Category ‘B’
authorization shall be the Telecom Circle/Metro area as defined in Annexure-V. The Service
Area for Category ‘C’ authorization shall be the Secondary Switching Area (SSA) as defined
in Annexure-VII. If the Licensee desires to obtain M2M Category ‘C’ Authorization, under
Unified License, for more than four SSAs in a Telecom Circle, the Licensee shall be
required to obtain M2M Category ‘B’ authorization for that Service Area.
License/Authorization for M2M, granted for more than one Service Area (Telecom
Circle/Metro/SSA), shall be administered at each Service Area level as per terms and
conditions contained in Part-I and in this chapter.
2.
Scope of M2M Service: Scope of this authorization covers the following:
2(i)
The Licensee shall own the underlying network to provide connectivity and related
services for M2M Service Providers.
2(ii) The Licensee can perform functions such as:
(a) access and integration of resources provided by other providers;
(b) support and control of the M2M/IoT capable infrastructure;
(c) offering of M2M/IoT capabilities, including network capabilities and resource
exposure to other providers.
2(iii) The Licensee intending to provide services exclusively through the LPWAN or
equivalent technologies using unlicensed spectrum shall be covered under this
authorization. Such licensees may also obtain licensed spectrum to provide M2M services
exclusively, if they desire to provide M2M services in the licensed band.
2(iv) Except those services permitted under the scope of this authorization, the Licensee
shall not provide any service / services which require a separate service authorization /
license.
2(v)
The Unified Licensees having Access Service authorization and Unified Access
Services (UAS) licensees can provide the M2M services covered under this authorization
and need not to obtain this authorization separately.
3.
FINANCIAL CONDITIONS
3.1
GROSS REVENUE: The Gross Revenue shall be inclusive of installation charges,
late fees, sale proceeds of M2M devices (or any other terminal equipment etc.), revenue
on account of interest, dividend, value added services, supplementary services, access or
interconnection charges, roaming charges, revenue from permissible sharing of
infrastructure and any other miscellaneous revenue, without any set-off for related item of
expense, etc.
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3.1A Applicable Gross Revenue (ApGR):
ApGR shall be equal to Gross Revenue (GR) of the licensee as reduced by the items listed
below:
(i) Revenue from operations other than telecom activities/ operations.
(ii) Revenue from activities under a license/ permission issued by Ministry of Information
and Broadcasting.
(iii) Receipts from the USO Fund.
(iv) List of other income* to be excluded from GR to arrive at ApGR
a. Income from Dividend
b. Income from Interest
c. Capital Gains on account of profit of Sale of fixed assets and securities
d. Gains from Foreign Exchange rates fluctuations
e. Income from property rent
f. Insurance claims
g. Bad Debts recovered
h. Excess Provisions written back
*Subject to conditions given in Annexure VIII.
3.2
Adjusted Gross Revenue (AGR)
For the purpose of arriving at the “Adjusted Gross Revenue (AGR)”, following shall be
excluded from the Applicable Gross Revenue (ApGR):
I.
Roaming revenues actually passed on to other eligible/ entitled
telecommunication service providers and;
II.
Goods and Service Tax on provision of service and Sales, Tax paid to the
Government if gross revenue had included as component of Goods and
Service Tax.
4.
Technical & Operating Conditions
4 (i) The LPWAN networks can be deployed in large geographical areas such as Metro
cities, states or Pan-India, depending on the business case and market demand.
4 (ii) In case the Licensee provides the M2M Communications Access using radio access,
the licensee shall adhere to the prevailing directions/instructions and shall also abide by
further directions / instructions as may be issued by Licensor from time to time in this regard.
4(iii) For carrying originating and terminating traffic, the licensee may establish its own
transmission links within its service area. For this purpose, the Licensee may also establish
‘Last Mile’ linkages within the service area either on fibre optic cable or radio
communication or underground copper cable. In case of radio links, procedure as
mentioned in Chapter VII of this License shall be applicable.
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4(iv) The Licensee may share “passive” infrastructure namely building, tower, dark fibre,
duct space, Right of Way owned, established and operated by it under the scope of this
Authorization with other Licensees.
4(v)
Moreover, sharing of active infrastructure with other licensees shall be governed by
the license conditions/amendments issued by the Licensor from time to time.
5.
Provision of Services:
5.1
The Licensee can acquire customer for delivery of services offered in its network
using technology deployed by the Licensee. While roaming on other Licensees’ network,
the services availed by the subscriber shall be limited to only those services which have
been subscribed in its home network.
5.2
For provision of the service by the Licensee, the Licensee may appoint or employ
franchisee, agents, distributors and employees. Responsibilities for ensuring compliance
of terms & conditions of the License shall vest with the Licensee and not with the
Franchisee. The terms of franchise agreement between Licensee and his franchisee shall
be settled mutually by negotiation between the two parties involved. The Licensee shall
report the details of such Franchisee to the Licensor as prescribed from time to time.
5.3 The Licensee shall have the right to undertake the sale, hire purchase, lease or
renting of the M2M devices/ equipment. Proper usage of M2M devices/ equipment at
subscriber's premises shall be as per agreement between the Licensee and subscriber.
5.4 Licensee shall ensure the Quality of Service (QoS) as may be prescribed by the
Licensor/TRAI. The Licensee shall adhere to such QoS standard and provide timely
information as required therein. In the present stage of deployment of M2M devices and
services, a duty cycle of 10% both at device level and network level shall be ensured.
5.5 Licensee shall adhere to Know Your Customer (KYC) and related guidelines issued
by the Licensor from time to time for all Telecom resources including SIM enabled CPE.
5.6 The details of all the customers of M2M services i.e., physical custodian of M2M
devices having M2M subscription shall be maintained. Up-dated information regarding (a)
details of M2M devices, (b) Make, Model, Registration number etc. of the M2M devices (i.e.
Cars, Utility Meters, POS etc.) & (c) corresponding physical custodian’s name and address
shall be made available to Licensor. Any changes in customers and M2M devices details
shall be updated.
5.7 For all devices sold in India which have active subscription inside the device, the
packaging/ instructions/ supporting leaflet shall include instruction that “This device is
having subscription inside”.
5.8 Requirement to furnish information: The licensee shall provide to the licensor, a
quarterly report indicating the details of M2M Nodes or Points of Presence with their
locations and number of M2M subscribers.
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6.
Network Interconnection:
6.1
The Licensee may establish direct interconnectivity with the network of other Unified
Licensee having authorization of M2M Service.
6.2
The backend traffic generated through LPWAN networks will be transported to the
cloud or servers. The Licensee may obtain bandwidth from any other Licensee authorized
to provide such connectivity.
6.3
Inter-Circle traffic from one service area to another shall be routed through the
network of NLD licensee or the Unified Licensee having authorization of NLD service.
6.4
International Long Distance traffic should be routed through network of NLD service
providers, to the ILD service provider’s gateways for onward transmission to international
networks subject to fulfillment of any Guidelines/ Orders/ Directions/ Regulation issued from
time to time by LICENSOR/ TRAI.
7.
Security Conditions:
7.1
The Licensee shall maintain log-in/log-out details including IPDRs of all subscribers
for services provided. These details shall be maintained for a minimum period of two years.
7.2
For the purpose of interception and monitoring of traffic, the copies of all the packets
originating from / terminating into theM2M devices/equipment shall be made available to
the Licensor/Security Agencies.
837.3 Deleted
847.4 Deleted
857.5 Deleted
7.6
The designated person of the Central/ State Government as conveyed to the
Licensor from time to time in addition to the Licensor or its nominee shall have the right to
monitor the telecommunication traffic in every M2M point in the network set up by the
Licensee. The Licensee should make arrangement for monitoring by Government security
agencies.
83Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
84Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
85Amended vide DoT letter no 20-271/2010 AS-I (Vol. - III) dated 23.08.2022.
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ANNEXURE-A
(Proforma for Affidavit regarding details of calculation of “Revenue” and “License Fee”)
AFFIDAVIT
I ……………………………….., aged about ………….. years son of Shri …………………,
resident of ………………………………………………., do solemnly affirm and state as
under:
2.
That I am …………… …………………….of ………………………… (Name of the
Company),
LICENSEE
of
……………………………………….
Service
in
…………………………..Service Area and I am duly authorized by the resolutions dated
…………………………. Passed by Board of Directors of the Company to furnish affidavit
on behalf of …………………………. (Name of the Company).
3.
That in compliance of Condition No.. ………. Of Schedule…………..Part ……….
And Annexure……of the License Agreement No. ……………………… signed between the
Company and the Department Of Telecommunications, for payment of License fee, a
payment of Rs. ………………….. (Rupees ………. ………………………. Is being made for
the period …………………..to …………………………... The details of calculation of
‘revenue’ and License fee is as per Appendix-II …… (attached).
4.
That the contents in para 2 & 3 and Statement made in Annexure ___ are true and
correct to the best of my knowledge, based on the records of the company.
Deponent.
VERIFICATION:
Verified at ___________ on ___________ that the contents of paragraphs 1 to 3 of
this Affidavit and attached ‘Statement of Revenue and License Fee’ as Annexure are true
and correct to the best of my knowledge, no part of it is false and nothing has been
concealed therefrom.
Deponent.
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APPENDIX-I to ANNEXURE-A
Format of Auditor’s Report On Statement Of Revenue And License Fee
To
The Board of Directors
……………………….
……………………….
We have examined the attached Statement of Revenue and License Fee of
………………………………………(the name of the operators) for the quarter(s) ending
_____________. We have also examined the reconciliation of the cumulative figures for
the quarter(s) ending _________ appearing in the Statement of Revenue and License Fee
of the company with the figures appearing in the profit and loss account of the company for
the year ended_________ which was audited by us. We understand that the aforesaid
statement(s) ( and the reconciliation) is /are to be furnished to the Central Government for
assessment of the License fee payable by the company to the Government, in terms of the
License agreement No…………………. signed between the company and the Department
of Telecommunications.
We report that:
1.
We have obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
2.
In our view, the company has an adequate internal control system in relation to
revenues which is commensurate with its size and the nature of its business. The
system, in our opinion, provides reasonable assurance that there is no unrecorded
revenue and that all revenue is recorded in the proper amount and in the proper
period.
3.
No amounts payable in respect of Goods and Service Tax (GST) or
PSTN/toll/roaming charges were outstanding at the last day of the quarter(s) for a
period of more than two months from the date they became payable, except for the
following:………
4.
In our opinion and to the best of our knowledge and belief and according to the
explanations given to us, the Statement has been prepared in accordance with the
norms/guidelines contained in the said License agreement in this behalf and gives
a true and fair view of the revenue and License fee payable for the period computed
on the basis of the aforesaid guidelines except for the following:
*
Strike off wherever not applicable.
(SIGNATURE)
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APPENDIX-II to ANNEXURE-A
86Format of Statement of Revenue and License Fee_________(Name and address of
operator)
M2M Services in___________________(Service Area) Statement of Revenue and
License Fee for the Quarter …...…of the financial year……..
(AMOUNT IN RUPEES)
S
.
N
.
PARTICULARS
ACTUALS
FOR
THE
PREVIOUS
QUARTER
ACTUALS
FOR
THE
CURRENT
QUARTER
CUMULATIVE
UPTO
THE
CURRENT
QUARTER.
1
Revenue from services
A
Revenue
from
M2M
subscribers:
(i)
Rentals
(ii)
Activation Charges
(iii)
Goods and Service Tax
(GST)
(iv)
Roaming charges
(v)
Service charges
(vi)
Charges on account of any
other
value
added
services, Supplementary
Services etc.
(vii)
Any
other
income
/
miscellaneous receipt from
M2Msubscribers.
B
Revenue from any other
value added service
2
Income
from
trading
activity
(i)
Sale
of
M2M
devices{Excluding Goods
and Service Tax (GST)}
(ii)
Sale of accessories etc.
{Excluding
Goods
and
Service Tax (GST)}
(iii)
Any
other
income/
miscellaneous receipt from
trading activity. {Excluding
Goods and Service Tax
(GST)}
(iv)
Goods and Service Tax
(GST)
86Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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3
Revenue from roaming.
i.
Roaming facility revenue
from own subscribers.
ii.
Roaming revenue from own
subscriber visiting other
networks.
iii.
Roaming
Commission
earned.
iv.
Roaming
revenue
on
account
of
visiting
subscribers
from
other
networks
(provide
operator-wise details).
v.
Goods and Service Tax
(GST)
if
not
included
above.
vi.
Any
other
income/miscellaneous
receipt from roaming.
4
Income from investments
(i)
Interest income
(ii)
Dividend income
(iii)
Any other miscellaneous
receipt from investments.
5
Non-refundable deposits
from subscribers
6
Revenue
from
franchisees
/resellers
including
all
commissions
and
discounts etc. excluding
the
revenues
already
included in IA&IB
7
Revenue from sharing/
leasing of infrastructure
8
Revenue
from
other
Operators on account of
pass
through
call
charges (provide operator-
wise details).
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9
Revenue
from
other
Operators on account of
provisioning
of
interconnection (provide
operator-wise details)
10
Any other income
11
Revenue
from
Operations/
Activities
other
than
Telecom
Operations/ Activities as
well as revenue from
activities under a license
from
Ministry
of
Information
and
Broadcasting
12
Miscellaneous revenue
AA
GROSS
REVENUE
OF
THE
Licensee
COMPANY: (Add 1-12)
BB
LESS:
1.
Revenue from operations
other
than
telecom
activities/ operations
2.
Revenue
from
activities
under
a
license
from
Ministry of Information and
Broadcasting
3.
Receipt from USO Fund
4.
Items of ‘Other Income’ as
listed in Annexure- VIII
i.
Income from Dividend
ii.
Income from Interest
iii.
Capital Gains on account of
profit of Sale of fixed assets
and securities
iv.
Gains
from
Foreign
Exchange
rates
fluctuations
v.
Income from property rent
vi.
Insurance claims
vii.
Bad Debts recovered
viii.
Excess Provisions written
back
BB
Total BB (1+2+3+4)
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CC
APPLICABLE
GROSS
REVENUE (ApGR) (AA-
BB)
DD
DEDUCT
1
Roaming revenues actually
paid to other M2M service
providers. (operator-wise)
2
Goods and Goods and
Service Tax (GST) paid/
payable to the Government
DD
TOTAL
DEDUCTIBLE
REVENUE (1+2)
EE
ADJUSTED
GROSS
REVENUE (CC-DD)
REVENUE SHARE @ ----
OF ADJUSTED GROSS
REVENUE
164
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Annexure – B
NORMS FOR PREPARATION OF ANNUAL FINANCIAL STATEMENTS
Accounts shall be maintained separately for each telecom service operated by the
Licensee company.
Any category of accrued revenue, the amount of which exceeds 5% of the total
accrued revenue, shall be shown separately and not combined with any other item/
category.
Accrued revenue shall indicate:
(a) All amounts billable for the period
(b) Any billings for previous years that had been omitted from the previous years’
P&L Accounts.
(c) Any non-refundable deposits collected from the Customers/ franchisees to the
extent these are credited to P&L Account for the year.
Subsidiary registers/ ledgers shall be maintained for each item given above so also
enable easy verification.
Service revenue (amount billable) shall be shown gross and details of
discount/rebate indicated separately.
Security or any other deposits taken from the subscribers shall be shown separately,
for each category, and the amount that has fallen due for refund but not yet paid also
disclosed under two categories, namely:
o Up to 45 days
o More than 45 days
Goods and Service Tax (GST) billed, collected and remitted to the Government shall
be shown separately.
Details of Income from sales of goods shall be furnished indicating the income and
number of items sold under each category. Method of inventory valuation used shall
also be disclosed along with computation of cost of goods sold.
Sales shall be shown gross and details of discount/ rebate allowed and of sales
returns shall be shown separately.
Income from interest and dividend shall be shown separately, without any related
expenses being set-off against them on the income side of the P&L Account.
Increase / decrease of stock shall be shown separately.
Details of reversal of previous years’ debits, if any, shall be shown component-wise,
under the miscellaneous head. (e.g. Bad debts recovered etc.)
Item-wise details of income that has been set off against corresponding expenditure.
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Annexure-I
Definition of Terms and expressions
Unless the context otherwise requires, the different terms and expression used shall
have the meaning assigned to them in the following paragraphs:
1.
ACCESS GATEWAY (AG): The AG is located in the service provider’s network. It
supports the line side interface to the core IP network for use by phones, devices, and
PBXs. This element provides functions such as media conversion (circuit to Packet, Packet
to circuit) and echo control.
2.
ACCESS SERVICES (AS) means telecommunication service provided to
subscribers by means of a telecommunication system for the conveyance of voice or non-
voice messages through wired or wireless telegraphy on the network of the Access Service
Provider. The subscriber shall have identity indicated by a number or any other address
approved by the Licensor. The subscriber shall be registered and authenticated by the
network of Access Service Provider. Access Service does not cover broadcasting of any
voice or non-voice messages. However, Cell Broadcast is permitted only to the subscribers
of the service. Scope of Service provided under the Access Service Authorization shall be
governed by the terms and conditions as provided in Chapter VIII.
3.
ACCESS SPECTRUM means the Radio Frequency Spectrum allotted for use to
carry voice or non-voice messages from subscriber terminal to the Base Station/designated
point of aggregation.
87Note: The Access Spectrum for the purpose of this license shall mean spot frequency
allocation in frequency bands considered for spectrum cap in NIA’s of auction of spectrum
from November, 2012 onward. At present, such frequency bands are in
800/900/1800/2100/2300/2500 MHz bands
4.
APPLICABLE SYSTEMS means all the necessary equipment, systems / sub-
systems and components of the network engineered to meet relevant ITU standards, ITU-
T, ITU-R recommendations, TEC specifications and International standardization bodies,
such as, ITU, ETSI, IEEE, ISO, IEC etc. or International Fora, viz., 3GPP, 3GPP-2, IETF,
MEF, WiMAX, Wi-Fi, IPTV, IPv6, etc. for provision of SERVICE in accordance with
operational, technical and quality requirements and other terms and conditions of the
License Agreement.
5.
AUDITOR means the Licensee’s auditor for the time being appointed for the purpose
and in accordance with the provisions of the Companies Act, 2013.
6.
BASE STATION means a fixed radio transmitter/receiver station, which provides a
link between the Mobile Station and Mobile Switching Centre (MSC).
7.
BASE STATION CONTROLLER or BSC means a network element to control a set
of base stations and connected to such Base Stations through certain transmission media.
8.
BSNL means Bharat Sanchar Nigam Limited and/ or its successors.
87Amended vide DoT Letter No 20-405/2013 AS-I dated 06.12.2013
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9.
CALLING LINE IDENTIFICATION (CLI) means identity of the calling/originating
subscriber in terms of the telephone number assigned as per E.164 of ITU
Recommendation/IP Address or any other identification as may be prescribed by the
Licensor from time to time.
10.
CELL means a geographical area served by Station for Wireless Telegraphy which
is dedicated to transmitting or receiving Messages which have been or are to be conveyed
by Telecommunication systems designed or adapted to, and capable of being used while
in motion situated for the time being in that area.
11.
CELLULAR MOBILE TELEPHONE SERVICE (CMTS) means a mobile
telecommunication service provided through a radio network distributed over geographical
areas called Cells, each served by at least one Base Station and in which the radio
frequencies are used to connect the Mobile Stations to telecommunication systems which
are designed or adapted to be capable of being use while in motion and are assigned
automatically. Further, the system providing the service is capable of handing-off the
messages automatically, while the Mobile Station moves from Cell to Cell.
12.
CLOSED USER GROUP (CUG):
A Closed User Group is Permissible for following categories of business
association:-
i)
Producer of goods and his trader/agent;
ii)
Provider of service and his trader/agent;
iii)
Producer of same category of goods (e.g. manufactures of petroleum
products); and
iv)
Provider of the same category of service (e.g. bank).
Provided that ultimate consumer of a service or a product shall not be a part of the Closed
User Group.
A Closed User Group can also be formed among a holding company and its subsidiaries,
these terms being defined as per the Companies Act 2013. Provided that such Closed User
Group shall be only for the purposes of legitimate internal business communications of the
group.
13.
CONNECTABLE SYSTEM means a telecommunication system which is authorized
to be run under a License to provide public telecommunications service and is authorized
to be connected to the Applicable system.
14.
CUSTOMER means any person or legal entity, which subscribes to / avails of the
service from the Licensee. In this License, the words ‘Customer’ and ‘Subscriber’ have
been used interchangeably.
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15.
DESIGNATED AUTHORITY means the entity who is authorized or empowered by
the Licensor to issue instructions and to seek adherence to them.
16.
DIRECT EXCHANGE LINE (DEL) means a telephone connection between the
subscriber’s terminal equipment and the terminal exchange.
17.
DISPUTES SETTLEMENT: As per provisions of Telecom Regulatory Authority of
India Act, 1997, the dispute between Licensee and the Licensor shall be settled in the
Telecom Disputes Settlement and Appellate Tribunal, if such dispute arises out of or
connected with the provisions of this AGREEMENT. In the event of any amendment or
modification or replacement of TRAI Act, 1997 such modified provisions shall apply for
adjudication of the said dispute.
18.
DOMAIN NAME means address of a computer, organization, or entity on a TCP/IP
network such as Internet.
19.
DOT means Department of Telecommunications, Government of India who is also
the Licensor. DoT & Licensor, wherever used in the License agreement are inter-
changeable.
20.
EFFECTIVE DATE OF LICENSE means the date which is so specified in this
License agreement.
21.
EFFECTIVE DATE OF SPECTRUM means the date which is so specified in the
terms and conditions of the auction/allotment of spectrum.
22.
EMERGENCY means an emergency of any kind, including any circumstances
resulting from major accidents, natural/man-made disasters and incidents involving toxic or
radio-active materials or as declared by Govt. from time to time.
23.
EMERGENCY SERVICES means the relevant public, police, fire, ambulance, coast
guard or any other services so declared by the Licensor.
24.
ENGINEERING: The technical application of the dimensioning rules and results
thereof in order to provide network resources to meet specified Grade of Service (GOS).
25.
ENTRY FEE: The prescribed non-refundable amount of fee to be paid before signing
of LICENSE AGREEMENT to provide authorized Services in a Service Area.
26. FUNDAMENTAL PLAN includes Numbering Plan, Traffic Routing and Switching
Plan, Signalling Plan and Transmission Plan issued by Department of Telecom as
amended from time to time.
27.
GATEWAY MOBILE SWITCHING CENTRE means a Mobile Switching Centre with
an additional functionality that allow the mobile network to interface with other network.
28.
Global Mobile Personal Communications by Satellite (GMPCS) system means
"any satellite system (i.e. fixed or mobile, broad-band or narrow-band, global or regional,
geo-stationary or non geo-stationery, existing or planned) providing telecommunication
services directly to end users from a single or constellation of satellites".
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29.
HOME NETWORK means the network established by the Licensee from which its
subscriber normally receive the service.
30.
ICC means INSAT Coordination Committee.
31.
ILD POINT OF PRESENCE (POP) means a technical arrangement made by
International Long Distance Service Operator under which it can accept outgoing calls from
and deliver terminating calls to the area required to be served from such POP. It is expected
that switch capacity and bandwidth of the interconnecting link would be dimensioned by
International Long Distance Operator based upon its projections of the traffic to be carried
by POP”.
32.
INFRASTRUCTURE PROVIDER(S) mean a company registered with DoT as IP-I
providing inactive elements of the telecom network including dark fibres, right of way, duct
space, towers etc. as well as IP-II LICENSEEs who provide end-to-end bandwidth to
telecom service providers.
33.
INSAT SATELLITE SYSTEM means Indian satellite system in which the satellites
are either built or procured by the Department of Space (DOS), Government of India. DOS
may lease transponders from other satellite systems to augment the capacity of the INSAT
satellite system.
34.
INSTALLED CAPACITY means the total number of lines for which switching
equipment is available in the exchange for connection of subscribers.
35.
INTERCONNECTION is as defined by the TRAI in its relevant regulations.
36.
INTERNATIONAL LONG DISTANCE NETWORK means a network of transmission
and switching elements connected in a predetermined fashion to provide international
bandwidth/switched bearer interconnection from/to POP of the ILD Service Provider to/from
the International destination.
37.
INTERNATIONAL LONG DISTANCESERVICE means provision of international
bandwidth/switched bearer interconnection over the International Long Distance Network
of the Licensee. Scope of Service provided under the ILD Service Authorization shall be
governed by the terms and conditions as provided in Chapter XI.
38.
INTERNATIONAL PRIVATE LEASED CIRCUIT: International Private Leased
Circuit is defined as point to point non-switched physical connections/transmission
bandwidth including virtual private network (VPN) using circuit or packet switched
technology between user in India and user abroad.
39.
INTERNET LEASED LINE (ILL) means any dedicated link (on wired or wireless
media) from a port on Internet node to subscriber premises having un-contended and
symmetrical full duplex capacity.
40.
INTER – CIRCLE TRAFFIC means the Long Distance traffic originating in one
Telecom Circle/Metro Area and terminating in another Telecom Circle/Metro Area.
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41.
INTRA- CIRCLE TRAFFIC means the traffic originating and terminating within
boundaries of the same Telecom Circle/Metro Area.
42.
IPTV (Internet Protocol Television) service (or technology) is a convergence
service (or technology) of the telecommunications and broadcasting through QoS
controlled Broadband Convergence IP Network including wire and wireless for the
managed, controlled and secured delivery of a considerable number of multimedia contents
such as Video, Audio, data and applications processed by platform to a customer via
Television, PDA, Cellular, and Mobile TV terminal with STB module or similar device.
43.
INTERNET: Internet is a global information system that:
(i) is logically linked together by a globally unique address, based on Internet Protocol(IP)
or its subsequent enhancements/upgradations;
(ii) is able to support communications using the Transmission Control Protocol/Internet
Protocol (TCP/IP) suite or its subsequent enhancements/upgradations, and all other IP
compatible protocols;
8844AInternet Access Service is a service to access the Internet that is:
i.
generally available to the public; and
ii.
designed to transmit data to and receive data from all or substantially all
endpoints on the Internet.
Explanation: Any service that offers capabilities that are incidental to or provide the
functional equivalent of Internet Access Services, shall also be included within the scope
of this definition.
44.
Internet of Things (IoT): IoT refers to the inter-connection of many devices and
objects utilising internet protocols that can occur with or without the active involvement of
individuals using the devices. The IoT is the aggregation of many M2M connections. M2M
connections form part of the IoT, along with big data analytics, cloud computing, and
sensors and actuators that in combination can run autonomous machines and intelligent
systems.
45.
IP ADDRESSES: Operation of Internet services requires IP address which can have
up to 128 bit binary address or higher in future. This address is required for connection on
Internet. Typically, it is required for the ports of the routers, for the user end
equipments/devices etc.
46.
INTERNET TELEPHONY means transfer of message(s) including voice signal(s)
through public internet.
47.
LEASED CIRCUIT: Leased circuit is defined as point to point non-switched physical
connections/transmission bandwidth including virtual private network (VPN) using circuit or
packet switched technology.
88Amended vide letter no. 20-271/2010 AS-I. Vol.-III dated 26.09.2018
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48.
LENDER: means the parties referred to in the Schedule of the Tripartite Agreement
and includes any Syndicate member or participant lender in any syndicate/participation
financing.
49.
LICENSE: License means a License granted or having effect as if granted under
section 4 of the Indian Telegraph Act 1885 and Indian Wireless Act 1933.
50.
LICENSE FEE means a fee payable by Licensee at prescribed intervals and rates
for the period of the License.
51.
Licensed Service Area (LSA) Field Units: Field offices of Department of
Telecommunications.
52.
Licensee: A registered Indian Company that has been awarded License to provide
service(s) authorized under the License, within the geographical boundaries of the
specified Service Area.
53.
LOCAL CALLS mean calls originating and terminating within the same local area,
which are charged at local call rates. Remote Subscribers’ Unit (RSU)/ Remote Line Unit
(RLU) Concentrators/Media Gateway having switching functions will be treated as an
exchange for the purposes of this definition. For Basic Service, the SDCA is local area and
for mobile network, the Service area is local area.
54.
LONG DISTANCE NETWORK is a network of transmission and switching elements
connected in a predetermined fashion to provide bandwidth /switched bearer
interconnection between different SDCAs/SDCCs. Physically the network elements may
be co-located or be a part of bigger elements.
55.
LONG DISTANCE CALL is defined as a call terminating in a local area other than
that in which it is originated.
56.
LONG DISTANCE CHARGING AREA (LDCA) means one of the several areas into
which the country is divided and declared as such for the purpose of charging for trunk calls
which generally is co-terminus with Secondary Switching Area.
57.
LONG DISTANCE CHARGING CENTRE (LDCC): A particular Trunk
Exchange/Location in a Long Distance Charging Area declared as such for the purpose of
charging long distance calls. LDCCs are generally co-terminus with Head Quarters of
SSAs.
58.
LPWAN (Low Power Wide Area Networks): LPWAN is type of WAN which provide
wireless connectivity to low-power devices over large distance that is suited for M2M
communication.
59.
MESSAGE means anything falling within sub-section (3) of section 3 of the Indian
Telegraph Act 1885.
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60.
89MOBILE NUMBER PORTABILITY (MNP) means the facility which allows
subscribers to retain their existing telephone number when they switch from one access
service provider to another access service provider.
61.
MOBILE STATION means a station in the mobile service intended to be used while
in motion or during halts at unspecified points. Mobile station or mobile handset or user
terminal wherever used in the License agreement, are inter-changeable.
62.
MOBILE SWITCHING CENTRE (MSC) means the switching equipment installed as
a part of the network which performs all switching functions of calls for providing various
services under the scope of this License.
63.
MEDIA GATEWAY CONTROLLER (MGC) ALSO KNOWN AS SOFTSWITCH,
CALL SERVER (CS), CALL AGENT, CALL CONTROLLER:
The Media Gateway Controller is located in the service provider’s network and
handles call control and authorize functions, typically maintaining call state for every call in
the network. A MGC interacts with Application Servers to provide services that are not
directly hosted on MGC in Packet Based networks .It handles the registration and
management of resources at the media gateway. A media gateway controller exchanges
messages with central office switches via a signaling gateway. It processes the signaling
for all types of packet protocols. It controls connection services for a media gateway and/or
native IP endpoints, selects processes that can be applied to a call, provides routing for a
call within the network based on signaling and customer database information, transfers
control of the call to another network element, and interfaces to and support management
functions such as provisioning, fault, billing, etc.
64.
MEDIA GATEWAY (MG): A protocol converter that interfaces a traditional public
switched telephone network (PSTN), or device running PSTN protocols, with a device
running the Internet protocol (IP) suite. As the Media Gateway connects different types of
networks, one of its main functions is to convert between the different transmission and
coding techniques. Media streaming functions such as echo cancellation, DTMF, and tone
sender are also located in the Media Gateways.
65.
MTNL means Mahanagar Telephone Nigam Limited.
66.
“Machine to Machine (M2M) Communication” refers to a communication between
two or more entities (object/devices/things) based on existing & evolving communication
technologies that do not necessarily need any direct human intervention.
67.
“M2M Services” means the services offered through a connected network of
objects/devices, with identifiers, in which Machine to Machine (M2M) communication is
possible with predefined back end platform(s) either directly or through some gateway.
Explanation: M2M services involve communication of end device/ object with predefined
back end platform(s) either directly or through some gateway. The M2M end devices/
objects and the platform(s) collecting and analyzing information from these devices/ objects
are controlled by same organization.
89Amended vide letter no 20-559/2017 AS-I (Pt) dated 24.01.2019
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68.
“M2M Service Provider” (M2MSP)is as an entity that collects and analyzes data
from M2M devices and platforms. However, any entity which intends to provide M2M
services for its own use (captive use) and not for commercial purpose, shall not be covered
under this definition.
69.
NATIONAL LONG DISTANCE NETWORK is a network of transmission and
switching elements connected in a predetermined fashion to provide bandwidth /switched
bearer interconnection between SDCAs/SDCCs of two Telecom Circles/Metro Areas.
Physically the network elements may be co-located or be a part of bigger elements.
70.
NATIONAL LONG DISTANCE (NLD) SERVICE refers to the provision of bandwidth
/ carriage of switched bearer telecommunication service over the national long distance
network of the Licensee between SDCAs/SDCCs of two Telecom Circles/Metro Areas.
Scope of Service provided under the NLD Service Authorization shall be governed by the
terms and conditions as provided in Chapter X.
71.
NATIONAL LONG DISTANCE SERVICE PROVIDER is the telecom service
provider providing the required digital capacity to carry long distance telecommunication
service within the scope of License for National Long Distance Service, which may include
various types of tele-services defined by the ITU, such as voice, data, fax, text, video and
multi-media etc.
72.
90Net worth shall be as defined in the Companies Act 2013 and as amended from
time to time.
73.
Next Generation Network (NGN):As per ITU-T recommendation Y.2001, A Next
Generation Network (NGN) is a packet-based network able to provide services including
Telecommunication Services and able to make use of multiple broadband, QoS-enabled
transport technologies and in which service-related functions are independent from
underlying transport-related technologies. It offers unrestricted access by users to different
service providers. It supports generalized mobility which will allow consistent and
ubiquitous provision of services to users.
75.
NOCC means Network Operations Control Centre of the Department of Telecom,
Government of India.
76.
OTHER SERVICE PROVIDER (OSP) means Indian company registered with DoT
to provide application services like tele-banking, tele-medicine, tele-education, tele-trading,
e-commerce, Call center, network operation centre and other IT enabled services by using
telecom facilities provided by various Telecom Licensees.
77.
OR/QR (OPERATIONAL /QUALITY REQUIREMENT) SPECIFICATIONS means
technical and quality requirements contained in the OR/QR Specifications of Telecom
Engineering Centre, Department of Telecommunications unless otherwise specified.
9177-A.
"Person” shall include an individual, any company or association or body of
individuals, whether incorporated or not, by whatsoever name called to referred to;
90Amended vide DoT Letter No. 20-405/2013 AS-I dated 08.01.2014.
91 Amended vide letter no 20-271/2023 AS-I dated 27.07.2023
173
UL Agreement updated up to 31.03.2024
78.
POINT OF INTERCONNECTION (POI) means authorized interconnection point for
ingress and egress of traffic among the interconnecting applicable systems of service
providers in accordance with TRAI regulations/orders.
79.
POINT OF PRESENCE (POP) means applicable system of appropriate capacity set
up by the Service Provider to provide, on demand, service of prescribed quality and grade
of service in a non-discriminatory manner.
9279-A.
“Public entity” means (a) the Central Government, (b) State Governments,
(c) local authority, (d) any authority, body, company or institution incorporated or
established by the Central Government or the State Government, or under any statute, or
(e) any non-government entity vested with the ownership, control or management of any
public facility or class of public facilities, as notified by the Central Government.
80.
PUBLIC LAND MOBILE NETWORK (PLMN) means a specified switched public
land based telephone network providing mobile telecom services.
81.
PUBLIC SWITCHED TELEPHONE NETWORK (PSTN) means a specified switched
public telephone network providing fixed and/or limited mobility two-way switched
telecommunications service to the general public.
82.
PUBLIC UTILITY SERVICE means a service, as declared by the Licensor from time
to time, for use of general public by access through telecommunication links.
83.
QUALITY OF SERVICE: Quality of Service is evaluated on the basis of observable
measure on the grade of service, Calls lost due to wrong processing, the bit error rate or
the response time and also includes acceptable grade of number of faults per unit
population of the subscriber served, the mean time to restore (MTTR), faults carried over
beyond the MTTR and the satisfactory disposal thereof.
84.
RADIO TRANSMITTER means the Radio Transmitter and Receiver at base
stations.
85.
ROAMING means the facility to a customer to avail services subscribed in its home
network, while travelling outside the geographical coverage area of the home network, by
means of using a visited network. For Access Services, the scope of roaming facility shall
be as provided in the Access Service Authorization in Chapter VIII.
86.
SATCOM means Satellite Telecommunication.
87.
SECONDARY SWITCHING AREA means an area covered by a group of Short
Distance Charging Areas (SDCAs) as per Annexure – VII.
88.
SERVICE means collection, carriage, transmission and delivery of messages over
Licensee’s network in Service Area as per authorization under this License.
89.
SERVICE AREA means the specified geographical area for which service
authorization has been granted under this license. For NLD, ILD, VSAT, INSAT MSS-R,
92 Amended vide letter no 20-271/2023 AS-I dated 27.07.2023
174
UL Agreement updated up to 31.03.2024
GMPCS, M2M and ISP Category “A” services, the service area is geographical area of the
country. For Access Service, PMRTS M2M Category “B” and ISP Category “B” services,
the service area is geographical area of a Telecom Circle/Metro as mentioned in Annexure-
V. For ISP Category “C” services and M2M Category “C”, the service area is geographical
area of an SSA as mentioned in Annexure-VII.
90.
SERVICE PROVIDERS means Telecom service provider licensed under Section 4
of the Indian Telegraph Act 1885 for provision of service
91. SHORT DISTANCE CHARGING AREA (SDCA) means one of the several areas into
which a Long Distance Charging Area is divided and declared as such for the purpose of
charging for trunk calls and within which the local call charges and local numbering scheme
is applicable. SDCAs, with a few exceptions, coincide with revenue tehsil / taluk.
92.
SHORT DISTANCE CHARGING CENTRE (SDCC) means a particular exchange in
Short Distance Charging Area declared as such for the purpose of charging trunk calls.
Head quarters of SDCAs are generally SDCCs.
93.
SIGNALING GATEWAY (SG): The SG provides the authorize interface between
the VoIP network and the PSTN authorize network. It terminates SS7 links and provides
Message Transport Part (MTP) Level 1 and Level 2 functionality. Each SG communicates
with its associated CS to support the end-to-end authorize for calls.
94.
SIM CARD Subscriber Identity Module (SIM) Card, which is fitted into a mobile
station, after which the mobile station can be activated to make or receive voice/non-voice
messages.
95.
SPECIAL AUDITOR means Auditors listed in the panel of Auditors having same
powers as of the company’s AUDITOR as envisaged in the Companies Act, 2013.
96.
SUBSCRIBER means any person or legal entity, which subscribes to / avails of the
service from the Licensee. In this License, the words ‘Customer’ and ‘Subscriber’ have
been used interchangeably.
97.
SUBSCRIBER TERMINAL (UT) (FIXED AND MOBILE TERMINAL OR HAND SET
OR MOBILE STATION) means the equipment used by the subscribers to avail the service
provided by the Licensee.
98.
TARIFF means rates and related conditions at which telecommunication services
within India and outside India may be provided including rates and related conditions at
which messages shall be transmitted to any country outside India, deposits, installation
fees, rentals, free calls, usage charges and any other related fees or service charge. The
term tariff will have the same meaning as may be defined in the Telecommunication Tariff
Orders to be issued by the TRAI from time to time.
99.
TDSAT means Telecom Disputes Settlement and Appellate Tribunal.
100. TEC means Telecom Engineering Centre, Department of Telecommunications.
175
UL Agreement updated up to 31.03.2024
101. TELEPHONE MEANS an item of telecommunication apparatus capable when
connected to the Applicable System, of transmitting and receiving uninterrupted
simultaneous two way speech conveyed, or to be conveyed, as the case may be, by means
of that System.
102. TRAI means Telecom Regulatory Authority of India constituted under the TRAI Act,
1997 as amended from time to time.
103. TRIPARTITE AGREEMENT means an agreement signed amongst the Licensee,
Licensor and Lender in the prescribed format with a view to help and facilitate the financing
of the Project to be set up by the Licensee, the terms and conditions of which, inter-alia,
provide for transfer/assignment of License to a third party in the event of default by the
Licensee, as defined therein.
104. Trunk Media Gateway (TMG): The TMG supports a trunk side interface to the
PSTN and/or IP routed flows in the packet network. It supports functions such as
packetisation, echo control etc.
105. UL(AS) means a Unified License (Access Service).
106. Universal Service Obligation Fund (USOF) means the fund established under
Sub-section (1) of Section 9A of the Indian Telegraph Act, 1885.
107. Universal Service Obligation (USO) means obligation to provide access to
telegraph services to people in rural and remote areas as prescribed by Govt. from time to
time.
108. VSAT means Very Small Aperture Terminal.
109. WPC means Wireless Planning and Co-ordination Wing of the Ministry of
Communications, Department of Telecommunications, Government of India.
110. YEAR for the purpose of the License Fee shall be the financial year ending 31st
March and the four quarters shall respectively end on 30th June, 30th September, 31st
December and 31st March.
111. Captive
Non-Public
Network
(CNPN)
means
a
terrestrial
wireless
telecommunication network established for captive use within a specified geographical
area. Such networks cannot be used for providing commercial telecommunication services
176
UL Agreement updated up to 31.03.2024
Annexure-II
Details of Minimum Equity, Minimum Networth, Entry Fee, PBG, FBG and
Application Processing Fee for various service authorizations
Sl
No.
Service
Minimum
Equity
(Rs. Cr.)
Minimum
Networth
(Rs. Cr.)
Entry Fee
(Rs. Cr.)
PBG
(Rs.
Cr.)
FBG
(Rs.
Cr.)
93Application
Processing
Fee (Rs.
Cr.)
1
UL(All services)
25.000
25.000
15.000
44.000
8.800
0.010
Service Authorization wise requirements
1
Access Service
(Telecom Circle /
MetroArea)
2.500
2.500
1.000(0.5
for NE &
J&K)
2.000
0.400
0.001
2
NLD (National Area)
2.500
2.500
2.500
0.500
1.000
0.001
3
ILD (National Area)
2.500
2.500
2.500
0.500
1.000
0.001
4
VSAT (National Area)
Nil
Nil
0.300
0.100
0.060
0.001
5
PMRTS (Telecom
circle/Metro)
Nil
Nil
0.005
0.002
0.002
0.001
6
GMPCS (National
Area)
2.500
2.500
1.000
0.500
0.200
0.001
7
ISP "A" (National
Area)
Nil
Nil
0.300
0.400
0.020
0.001
8
ISP "B" (Telecom
circle/Metro Area)
Nil
Nil
0.020
0.020
0.002
0.001
9
ISP "C" (SSA)
Nil
Nil
0.002
0.001
0.0002
0.001
10
Audio Conferencing/
Audiotex/ Voice mail
service
Nil
Nil
0.100
0.02
0.002
0.001
11
Machine to Machine
‘A’ (National Area)
Nil
Nil
0.30
0.400
0.020
0.001
12
Machine to Machine
‘B’ (Telecom circle/
Metro Area)
Nil
Nil
0.020
0.020
0.002
0.001
13
Machine to Machine
‘C’ (SSA)
Nil
Nil
0.002
0.001
0.0002
0.001
93 Amended vide DoT letter no 20-405/2013 AS-I (Vol.-V) (Pt.2) dated 18th April 2023
177
UL Agreement updated up to 31.03.2024
ANNEXURE-III
PROFORMA FOR PERFORMANCE BANK GUARANTEE
To
The President of India
In consideration of the President of India (hereinafter referred to as ‘the Authority’)
having
agreed
to
grant
a
Unified
License
with
Service
authorization
for
………………Service under Chapter(s)………………….. for …………Service Area of the
said
Unified
License
to
M/s
_______________
of
_____________________________________ (hereinafter called ‘the Licensee’) to
establish, maintain and operate the authorized service(s)(hereinafter called ‘the Service’)
in the Service area as per Letter of Intent/ Unified License No. ____________________
dated __________ (hereinafter called ‘the said License’) on the terms and conditions
contained in the said Unified License, which inter-alia provides for production of a Bank
Guarantee
to
the
extent
of
Rs.__________________
(in
words
_________________________) for the service by way of security for the due observance
and performance of the terms and conditions of the said License. We _______________
(indicate the name and address and other particulars of the Bank) (hereinafter referred to
as ‘the Bank’) at the request of the Licensee hereby irrevocably and unconditionally
guarantee to the Authority that the Licensee shall render all necessary and efficient services
which may be required to be rendered by the Licensee in connection with and/or for the
performance of terms and conditions of the said Licensee and further guarantees that the
service which shall be provided by the Licensee under the said License, shall be actually
performed in accordance with the terms & conditions of the License to the satisfaction of
the Authority.
2.
We, the Bank, hereby undertake to pay the Authority an amount not exceeding
Rs……(Rupees……only) against any loss or damage caused to or suffered or would be
caused to or suffered by the Authority by reason of any breach by the said Licensee of the
terms and conditions contained in the said License including failure to extend the validity of
this guarantee or to give a fresh guarantee in lieu of the existing one.
3.
We, the Bank hereby, in pursuance of the terms of the said License, absolutely,
irrevocably and unconditionally guarantee as primary obligor and not merely as surety the
payment
of
an
amount
of
Rs._________________________
(Rupees
_____________________ Only) to the Authority to secure due and faithful performance by
the Licensee of all his/their obligations under the said License.
4.
We, the Bank hereby also undertake to pay the amounts due and payable under this
guarantee without any demur, merely on a demand from the Authority stating that the
amount claimed is due by way of loss or damage caused or would be caused to or suffered
by the Authority by reason of breach by the said Licensee of any of the terms or conditions
contained in the said License or by reason of the Licensee’s failure to perform any of it’s
obligations under the said License.”
178
UL Agreement updated up to 31.03.2024
5.
We, the Bank, hereby agree that the decision of the Authority as to whether the
Licensee has failed to or neglected to perform or discharge his duties and obligations under
the terms and conditions of the License as aforesaid and/or whether the service is free
from deficiencies and defects and is in accordance with or not of the terms & conditions of
the said License and as to the amount payable to the Authority by the Bank hereunder shall
be final and binding on the Bank.
6.
WE, THE BANK, DO HEREBY DECLARE AND AGREE that:
(a)
the Guarantee herein contained shall remain in full force and effect for entire
currency of the License from the date hereof and that it shall continue to be
enforceable till all the dues of the Authority and by virtue of the said License have
been fully paid and its claims satisfied or discharged or till Authority satisfies that the
terms and conditions of the said License have been fully and properly carried out by
the said Licensee and accordingly discharged this guarantee.
(b)
the Authority shall have the fullest liberty without our consent and without affecting
in any manner our obligations hereunder to vary any of the terms and conditions of
the said License or to extend time of performance of any obligations by the said
Licensee from time to time or to postpone for any time or from time to time any of
the powers exercisable by the Authority against the said Licensee and to forbear or
to enforce any of the terms and conditions relating to the said License and we shall
not be relieved from our liability by reason of any variation or extension being granted
to the said Licensee or forbearance act or omission on the part of the Authority or
any indulgence by the Authority to the said Licensee or to give such matter or thing
whatsoever which under the law relating to sureties would but for this provision, have
effect of so relieving us.
(c)
any claim which we have against the Licensee shall be subject and subordinate to
the prior payment and performance in full of all the obligations of us hereunder and
we will not without prior written consent of the Authority exercise any legal right or
remedy of any kind in respect of any such payment or performance so long as the
obligations of us hereunder remains owing and outstanding.
(d)
This Guarantee shall be irrevocable and the obligations of us herein shall not be
conditional of any prior notice by us or by the Licensee.
7.
We the BANK undertake not to revoke this Guarantee during its currency except
with the previous consent of the Authority in writing.
8.
We, the Bank agree that this guarantee may be invoked on a number of occasions
for part amounts, with the balance standing in favour of the Authority, but so that the total
amount payable hereunder shall not exceed Rs………………………………..
In case where the Bank Guarantee issuing branch is not located at the station/city
as required by the Licensor, any notice for invocation, sent by Licensor through Fax to the
branch of the Bank issuing this Guarantee, with an ink signed copy to a local branch in the
service area of the Licensee, namely …………. (to be designated by the bank at station/city
prescribed by the Licensor) within the validity period shall be deemed to be a valid notice
on the Bank for invocation of this Bank Guarantee.
179
UL Agreement updated up to 31.03.2024
9.
Notwithstanding anything contained above, our liability, under the Guarantee shall
be restricted to Rs…… and our Guarantee shall remain in force until ………year from the
date hereof. Unless a demand or claim under this Guarantee is made on us in writing within
this date i.e. …. all your rights under the Guarantee shall be forfeited and we shall be
released and discharged from all liabilities thereunder.
Dated_______________ day ________________
for
_____________________
(Name of the Bank)
Witness:
1…………………………..
……………………………
……………………………
……………………………
2…………………………..
……………………………
……………………………
……………………………
180
UL Agreement updated up to 31.03.2024
ANNEXURE-IV
PROFORMA FOR FINANCIAL BANK GUARANTEE
To
The President of India
In consideration of the President of India (hereinafter referred to as ‘the Authority’) having
agreed to grant a Unified License with Service authorization for …………….Service under
Chapter(s)………………….. for …………………..Service Area of the said Unified License
to M/s _______________ of _____________________________________ (hereinafter
called ‘the Licensee’) to establish, maintain and operate the authorized service(s)
(hereinafter called ‘the Service’) in the Service Area as per Letter of Intent/ Unified License
No. ____________________ dated __________ (hereinafter called ‘the said License’) on
the terms and conditions contained in the said Unified License, which inter-alia provides for
production of a Bank Guarantee to the extent of Rs.__________________ (in words
_________________________) under the said License by way of security for payment of
the said License fee as well as such other fees or charges required to be paid by the
Licensee under the License. We _______________ (indicate the name and address and
other particulars of the Bank) (hereinafter referred to as ‘the Bank’) at the request of the
Licensee hereby irrevocably and unconditionally guarantee to the Authority that the
Licensee shall pay all the dues, including but not limited to, the License fee etc. to the
Authority.
2.
We, the Bank, hereby undertake to pay the Authority an amount not exceeding
Rs………(Rupees…………only) against any loss or damage caused to or suffered or would
be caused to or suffered by the Authority by reason of any failure of the Licensee to extend
the validity of the guarantee or give a fresh guarantee in lieu of existing one in terms of the
License Agreement, pay all the above mentioned fees, dues and charges or any part
thereof within the periods stipulated in the License.
3.
We, the Bank, hereby further undertake to pay as primary obligor and not merely as
surety to pay such sum not exceeding Rs._________________________ (Rupees
_____________________ Only) to the Authority immediately on demand and without
demur stating that the amount claimed is due by way of failure of the Licensee to pay any
fees or charges or any part thereof in terms of the said License.
4.
WE, THE BANK, DO HEREBY DECLARE AND AGREE that the decision of the
Authority as to whether Licensee has failed to pay the said License fees or any other fees
or charge or any part thereof payable under the said License and as to the amount payable
to the Authority by the Bank hereunder shall be final and binding on us.
5.
WE, THE BANK, DO HEREBY DECLARE AND AGREE that the
(a)
Guarantee herein contained shall remain in full force and effect for a period of One
Year from the date hereof and that it shall continue to be enforceable till all the dues of the
Authority and by virtue of the said License have been fully paid and its claims satisfied or
discharged or till Authority satisfies that the terms and conditions of the said License have
been fully and properly carried out by the said Licensee and accordingly discharged this
guarantee.
181
UL Agreement updated up to 31.03.2024
(b)
The Authority shall have the fullest liberty without our consent and without affecting
in any manner our obligations hereunder to vary any of the terms and conditions of the said
License or to extend time of performance of any obligations by the said Licensee from time
to time or to postpone for any time or from time to time any of the powers exercisable by
the Authority against the said Licensee and to forbear or to enforce any of the terms and
conditions relating to the said License and we shall not be relieved from our liability by
reason of any variation or extension being granted to the said Licensee or forbearance act
or omission on the part of the Authority or any indulgence by the Authority to the said
Licensee or to give such matter or thing whatsoever which under the law relating to sureties
would but for this provision, have effect of so relieving us.
(c)
Any claim which we have against the Licensee shall be subject and subordinate to
the prior payment and performance in full of all the obligations of us hereunder and we will
not without prior written consent of the Authority exercise any legal right or remedy of any
kind in respect of any such payment or performance so long as the obligations of us
hereunder remains owing and outstanding.
(d)
This Guarantee shall be irrevocable and the obligations of us herein shall not be
conditional of any prior notice by us or by the Licensee.
6.
We, the BANK, undertake not to revoke this Guarantee during its currency except
with the previous consent of the Authority in writing.
7.
We, the Bank agree that this guarantee may be invoked on a number of occasions
for part amounts, with the balance standing in favour of the Authority, but so that the total
amount payable hereunder shall not exceed Rs………………………………..
In case where the Bank Guarantee issuing branch is not located at the station/city
as required by the Licensor, any notice for invocation, sent by Licensor through Fax to the
branch of the Bank issuing this Guarantee, with an ink signed copy to a local branch in the
service area of the Licensee, namely …………. (to be designated by the bank at station/city
prescribed by the Licensor) within the validity period shall be deemed to be a valid notice
on the Bank for invocation of this Bank Guarantee.
8. Notwithstanding anything contained above, our liability, under the Guarantee shall be
restricted to Rs…… and our Guarantee shall remain in force until…...year from the date
hereof. Unless a demand or claim under this Guarantee is made on us in writing within this
date i.e. …. all your rights under the Guarantee shall be forfeited and we shall be released
and discharged from all liabilities thereunder.
Dated_________day__________for_______________(Name of the Bank)
Witness:
1…………………………..
2…………………………..
……………………………
……..……………………
……………………………
……………………………
……………………………
……………………………
……………………………
……………………………
182
UL Agreement updated up to 31.03.2024
ANNEXURE-V
SERVICE AREA (TELECOM CIRCLES/ METROS) AND THE AREAS COVERED BY
THEM FOR THE PURPOSE OF THIS LICENSE
Sl.
No.
Name of
Service Area
Areas covered
01.
West Bengal
Service Area
Entire area falling within the Union Territory of Andaman & Nicobar
Islands and area falling within the State of West Bengal and the
State of Sikkim excluding the areas covered by Kolkata Metro
Service Area.
02.
Andhra
Pradesh
Service Area
Entire area falling within the State of Andhra Pradesh and
Telangana state.
03.
Assam
Service Area
Entire area falling within the State of Assam.
04.
Bihar Service
Area
Entire area falling within the re-organised State of Bihar and newly
created State of Jharkhand pursuant to the Bihar Reorganisation
Act, 2000 (No.30 of 2000) dated 25th August, 2000.
05.
Gujarat
Service Area
Entire area falling within the State of Gujarat and Union Territory of
Daman and Diu, Silvassa (Dadra & Nagar Haveli).
06.
Haryana
Service Area
Entire area falling within the State of Haryana except Panchkula
town and the local areas served by Faridabad and Gurgaon
Telephone exchanges.
07.
Himachal
Pradesh
Service Area
Entire area falling within the State of Himachal Pradesh
08.
Jammu
&
Kashmir
Service Area
Entire area falling within the Union Territory of Jammu & Kashmir
and Union Territory of Ladakh.
09.
Karnataka
Service Area
Entire area falling within the State of Karnataka
10.
Kerala
Service Area
Entire area falling within the State of Kerala and Union Territory of
Lakshadeep and Minicoy.
11.
Madhya
Pradesh
Service Area
Entire area falling within the re-organised State of Madhya Pradesh
as well as the newly created State of Chattisgarh pursuant to the
Madhya Pradesh Reorganisation Act, 2000 (No:28 of 2000) dated
25th August, 2000.
12.
Maharashtra
Service Area
Entire area falling within the State of Maharashtra and Union
Territory of Goa, excluding areas covered by Mumbai Metro
Service Area.
13.
North
East
Service Area
Entire area falling within the States of Arunachal Pradesh,
Meghalaya, Mizoram, Nagaland, Manipur and Tripura.
14.
Odisha
Service Area
Entire area falling within the State of Odisha.
15.
Punjab
Service Area
Entire area falling within the State of Punjab and Union territory of
Chandigarh and Panchkula town of Haryana.
16.
Rajasthan
Service Area
Entire area falling within the State of Rajasthan.
17*
.
Tamilnadu
Service Area
Entire area falling within the State of Tamilnadu and Union Territory
of Pondichery.
183
UL Agreement updated up to 31.03.2024
(including
Chennai
Service Area)
17
A*
Tamilnadu
Service Area
(excluding
Chennai
Service Area)
Entire area falling within the State of Tamilnadu and Union Territory
of Pondichery excluding Local Areas served by Chennai
Telephones, Maraimalai Nagar Export Promotion Zone (MPEZ),
Minzur and Mahabalipuram Exchanges
17
B*
Chennai
Service Area
Local Areas served by Chennai Telephones, Maraimalai Nagar
Export Promotion Zone (MPEZ), Minzur and Mahabalipuram
Exchanges
18.
Uttar Pradesh
(West)
Service Area
Entire area covered by Western Uttar Pradesh with the following
as its boundary districts towards Eastern Uttar Pradesh :Pilibhit,
Bareilly, Badaun, Kasganj (Kanshiram Nagar), Etah, Mainpuri,
Etawah and Auraiya. It will exclude the local telephone area of
Ghaziabad and Noida. However, it will also include the newly
created State of Uttaranchal pursuant to the Uttar Pradesh Re-
organisation Act, 2000 (No.29 of 2000) dated 25th August, 2000.
19.
Uttar Pradesh
(East)
Service Area
Entire area covered by Eastern Uttar Pradesh with the following as
its
boundary
districts
towards
Western
Uttar
Pradesh
:Shahjahanpur, Kannauj, Farrukhabad, Lakhimpur, Kanpur Rural
and Jalaun(Orai).
20.
Delhi Service
Area
Local Areas served by Delhi, Ghaziabad, Faridabad, Noida, and
Gurgaon Telephone Exchanges
21.
Kolkata
Service Area
Local Areas served by Calcutta Telephones.
22.
Mumbai
Service Area
Local Areas served by Mumbai, New Mumbai and Kalyan
Telephone Exchanges
NOTE:
1.
Yenum, an area of Union Territory of Pondicherry is served under Andhra Pradesh
Telecom Circle in East Godavari LDCA.
2.
The definition of Local areas of exchanges will be as applicable to the existing
cellular operators, i.e. at the time of grant of cellular Licenses in Metro cities.
3.
The definition of local areas with regard to the above service area as applicable to
this License is as per definition applicable to Cellular Mobile Service Licenses as in
the year 1994 & 1995, when those Licenses were granted to them. This is in
accordance with respective Gazette Notification for such local areas wherever
issued and as per the statutory definition under Rule 2 (w) Indian Telegraph Rules,
1951, as it stood during the year 1994/1995 where no specific Gazette Notification
has been issued.
*
Erstwhile Chennai Service Area & Tamilnadu (excluding Chennai) Service Area as
defined in UAS License, have been merged to make a single Service area namely
Tamilnadu Service Area. For Unified License, there will be Tamilnadu Service Area
as defined at Sl No. 17 in the above List of Service Areas.
184
UL Agreement updated up to 31.03.2024
ANNEXURE-VI
Details of Maximum amount of Penalty under each Service Authorization
Sl
No.
Service Authorization
Maximum
Amount
of
Penalty per violation for
each occasion in Service
Area
1
Access
50 Crore
2
NLD
50 Crore
3
ILD
50 Crore
4
ISP Cat A
1 Crore
5
ISP Cat B
20 Lakh
6
ISP Cat C
10 Lakh
7
GMPCS
50 Crore
8
PMRTS
10 Lakh
9
VSAT CUG
1 Crore
10
Audio Conferencing/ Audiotex/ Voice mail
services
20 Lakh
11
M2M Cat A
1 Crore
12
M2M Cat B
20 Lakh
13
M2M Cat C
10 Lakh
185
UL Agreement updated up to 31.03.2024
ANNEXURE-VII
LIST OF SECONDARY SWITCHING AREA (SSA)
S.
No.
Telecom Circle/Metro Area
Secondary Switching Area
1 ANDAMAN & NICOBAR
ANDAMAN & NICOBAR
2 ANDHRA PRADESH
ADILABAD
3 ANDHRA PRADESH
ANANTPUR (GUNTKAL)
4 ANDHRA PRADESH
CHITTOOR
5 ANDHRA PRADESH
CUDDAPAH
6 ANDHRA PRADESH
ELURU
7 ANDHRA PRADESH
GUNTUR
8 ANDHRA PRADESH
HYDERABAD
9 ANDHRA PRADESH
KARIMNAGAR
10 ANDHRA PRADESH
KHAMAM
11 ANDHRA PRADESH
KURNOOL
12 ANDHRA PRADESH
MAHABUBNAGAR
13 ANDHRA PRADESH
NALGONDA
14 ANDHRA PRADESH
NELLORE
15 ANDHRA PRADESH
NIZAMABAD
16 ANDHRA PRADESH
ONGOLE
17 ANDHRA PRADESH
RAJAHMUNDRI
18 ANDHRA PRADESH
SANGAREDDY
19 ANDHRA PRADESH
SRIKAKULAM
20 ANDHRA PRADESH
VISAKHAPATNAM
21 ANDHRA PRADESH
VIZAYANAGARAM
22 ANDHRA PRADESH
WARANGAL
23 ANDHRA PRADESH
VIJAYAWADA
24 ASSAM
GUWAHATI
25 ASSAM
SILCHAR
26 ASSAM
TEZPUR
27 ASSAM
TINSUKHIA (DIBRUGARH)
28 ASSAM
BONGAIGAON (KOKRAJHAR)
29 ASSAM
JORHAT
30 ASSAM
NAGAON
31 BIHAR
CHAPRA
32 BIHAR
DALTONGANJ
33 BIHAR
DARBHANGA
34 BIHAR
DEOGHAR (DUMKA)
35 BIHAR
GAYA
36 BIHAR
HAZARIBAGH
37 BIHAR
JAMSHEDPUR
186
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38 BIHAR
KATIHAR
39 BIHAR
MOTIHARI
40 BIHAR
MUZAFFARPUR
41 BIHAR
PATNA
42 BIHAR
RANCHI
43 BIHAR
SAHARSA
44 BIHAR
ARRAH
45 BIHAR
BHAGALPUR
46 BIHAR
DHANBAD
47 BIHAR
MONGHYAR
48 BIHAR
SASARAM
49 GUJARAT
AHMEDABAD
50 GUJARAT
BHARUCH
51 GUJARAT
BHUJ
52 GUJARAT
GODHRA
53 GUJARAT
JAMNAGAR
54 GUJARAT
PALANPUR
55 GUJARAT
SURAT
56 GUJARAT
VADODARA
57 GUJARAT
AMRELI
58 GUJARAT
BHAVNAGAR
59 GUJARAT
HIMATNAGAR
60 GUJARAT
JUNAGARH
61 GUJARAT
MEHSANA
62 GUJARAT
NADIAD
63 GUJARAT
RAJKOT
64 GUJARAT
SURENDRANAGAR
65 GUJARAT
VALSAD
66 HARYANA
AMBALA
67 HARYANA
GURGAON
68 HARYANA
HISSAR
69 HARYANA
NARNAUL
70 HARYANA
ROHTAK
71 HARYANA
JIND
72 HARYANA
KARNAL
73 HARYANA
SONIPAT
74 HIMACHAL PRADESH
KANGRA (DHARMSALA)
75 HIMACHAL PRADESH
KULLU
76 HIMACHAL PRADESH
SHIMLA
77 HIMACHAL PRADESH
HAMIRPUR
78 HIMACHAL PRADESH
MANDI
79 HIMACHAL PRADESH
SOLAN
187
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80 JAMMU & KASHMIR
SRINAGAR
81 JAMMU & KASHMIR
JAMMU
82 JAMMU & KASHMIR
LEH
83 JAMMU & KASHMIR
RAJOURI
84 JAMMU & KASHMIR
UDHAMPUR
85 KERALA
CALICUT (KOZHIKODE)
86 KERALA
CANNANORE
87 KERALA
ERNAKULAM
88 KERALA
KAVARATHY
89 KERALA
PALGHAT
90 KERALA
QUILON
91 KERALA
TIRUVALLA
92 KERALA
TRICHUR
93 KERALA
ALLEPPY
94 KERALA
KOTTAYAM
95 KERALA
THIRUVANANTHAPURAM
96 KARNATAKA
BELGAUM
97 KARNATAKA
BELLARY
98 KARNATAKA
BIDAR
99 KARNATAKA
BIJAPUR
100 KARNATAKA
DAKSHIN KANADA (MANGALORE)
101 KARNATAKA
GULBARGA
102 KARNATAKA
HUBLI
103 KARNATAKA
RAICHUR
104 KARNATAKA
SHIMOGA
105 KARNATAKA
TUMKUR
106 KARNATAKA
UTTAR KANADA (KARWAR)
107 KARNATAKA
BANGALORE
108 KARNATAKA
CHIKMAGALUR
109 KARNATAKA
DEVANGERE
110 KARNATAKA
HASSAN
111 KARNATAKA
KODAGU (MADIKERI)
112 KARNATAKA
KOLAR
113 KARNATAKA
MANDYA
114 KARNATAKA
MYSORE
115 MAHARASHTRA
AHMEDNAGAR
116 MAHARASHTRA
AMRAVATI
117 MAHARASHTRA
AURANGABAD
118 MAHARASHTRA
BHANDARA
119 MAHARASHTRA
BHIR
120 MAHARASHTRA
BULDHANA
121 MAHARASHTRA
CHANDRAPUR
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122 MAHARASHTRA
DHULE
123 MAHARASHTRA
GADCHIROLI
124 MAHARASHTRA
JALGAON
125 MAHARASHTRA
JALNA
126 MAHARASHTRA
KALYAN
127 MAHARASHTRA
KOLHAPUR
128 MAHARASHTRA
NAGPUR
129 MAHARASHTRA
NASIK
130 MAHARASHTRA
PEN
131 MAHARASHTRA
PUNE
132 MAHARASHTRA
RATNAGIRI
133 MAHARASHTRA
SANGLI
134 MAHARASHTRA
SATARA
135 MAHARASHTRA
SHOLAPUR
136 MAHARASHTRA
WARDHA
137 MAHARASHTRA
YEOTMAL
138 MAHARASHTRA
AKOLA
139 MAHARASHTRA
KUDAL
140 MAHARASHTRA
LATUR
141 MAHARASHTRA
NANDED
142 MAHARASHTRA
OSMANABAD
143 MAHARASHTRA
PANJI
144 MAHARASHTRA
PARBHANI
145 MADHYA PRADESH
BALAGHAT
146 MADHYA PRADESH
BETUL
147 MADHYA PRADESH
BHOPAL
148 MADHYA PRADESH
CHHATARPUR
149 MADHYA PRADESH
CHHINDWARA
150 MADHYA PRADESH
DAMOH
151 MADHYA PRADESH
DHAR
152 MADHYA PRADESH
GWALIOR
153 MADHYA PRADESH
INDORE
154 MADHYA PRADESH
ITARSI
155 MADHYA PRADESH
JAGDALPUR
156 MADHYA PRADESH
JHABUA
157 MADHYA PRADESH
KHANDWA
158 MADHYA PRADESH
KHARGONE
159 MADHYA PRADESH
MANDLA
160 MADHYA PRADESH
MANDSAUR
161 MADHYA PRADESH
MORENA
162 MADHYA PRADESH
RAIGARH
163 MADHYA PRADESH
RAIPUR
189
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164 MADHYA PRADESH
RATLAM
165 MADHYA PRADESH
REWA
166 MADHYA PRADESH
SEONI
167 MADHYA PRADESH
SHIVPURI
168 MADHYA PRADESH
VIDISHA
169 MADHYA PRADESH
BILASPUR
170 MADHYA PRADESH
DEWAS
171 MADHYA PRADESH
DURG
172 MADHYA PRADESH
GUNA
173 MADHYA PRADESH
JABALPUR
174 MADHYA PRADESH
NARSINGHPUR
175 MADHYA PRADESH
PANNA
176 MADHYA PRADESH
RAISEN
177 MADHYA PRADESH
RAJGARH
178 MADHYA PRADESH
SAGAR
179 MADHYA PRADESH
SARGUJA (AMBIKAPUR)
180 MADHYA PRADESH
SATNA
181 MADHYA PRADESH
SHAHDOL
182 MADHYA PRADESH
SHAJAPUR
183 MADHYA PRADESH
SIDHI
184 MADHYA PRADESH
UJJAIN
185 NORTH EAST
ARUNACHAL PRADESH (ZERO)
186 NORTH EAST
MANIPUR (IMPHAL)
187 NORTH EAST
MEGHALAYA (SHILLONG)
188 NORTH EAST
MIZORAM (AIZAWL)
189 NORTH EAST
NAGALAND (KOHIMA)
190 NORTH EAST
TRIPURA (AGARTALA)
191 ODISHA
BOLANGIR
192 ODISHA
BALASORE
193 ODISHA
BARIPADA
194 ODISHA
BHAWANIPATNA
195 ODISHA
BHUBANESWAR (PURI)
196 ODISHA
CUTTACK
197 ODISHA
DHENKANAL
198 ODISHA
KORAPUT
199 ODISHA
PHULBANI
200 ODISHA
SAMBALPUR
201 ODISHA
SUNDARGARH (ROURKELA)
202 ODISHA
BERHAMPUR
203 PUNJAB
AMRITSAR
204 PUNJAB
PATHANKOT
205 PUNJAB
BHATINDA
190
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206 PUNJAB
FEROZEPUR
207 PUNJAB
HOSIARPUR
208 PUNJAB
JALANDHAR
209 PUNJAB
LUDHIANA
210 PUNJAB
PATIALA
211 PUNJAB
ROPAR
212 PUNJAB
SANGRUR
213 PUNJAB
CHANDIGARH
214 RAJASTHAN
AJMER
215 RAJASTHAN
ALWAR
216 RAJASTHAN
BARMER
217 RAJASTHAN
BHARATPUR
218 RAJASTHAN
BHILWARA
219 RAJASTHAN
BIKANER
220 RAJASTHAN
BUNDI
221 RAJASTHAN
CHITTORGARH
222 RAJASTHAN
JAIPUR
223 RAJASTHAN
JAISALMER
224 RAJASTHAN
JHALAWAR
225 RAJASTHAN
JODHPUR
226 RAJASTHAN
KOTA
227 RAJASTHAN
NAGAUR
228 RAJASTHAN
SAWAIMADHOPUR
229 RAJASTHAN
SIKAR
230 RAJASTHAN
SIROHI
231 RAJASTHAN
SRIGANGANAGAR
232 RAJASTHAN
UDAIPUR
233 RAJASTHAN
BANSWARA
234 RAJASTHAN
CHURU
235 RAJASTHAN
JHUNJHUNU
236 RAJASTHAN
PALI (MARWAR)
237 RAJASTHAN
TONK
238 TAMILNADU
TRICHY
239 TAMILNADU
CHENGALPATTU (KANCHEEPURAM)
240 TAMILNADU
COIMBATORE
241 TAMILNADU
CUDDALORE
242 TAMILNADU
DHARAMAPURI
243 TAMILNADU
ERODE
244 TAMILNADU
KARAIKUDI
245 TAMILNADU
MADURAI
246 TAMILNADU
NAGARCOIL
247 TAMILNADU
OOTY
191
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248 TAMILNADU
SALEM
249 TAMILNADU
THANJAVUR
250 TAMILNADU
TIRUNELVELLI
251 TAMILNADU
TUTICORIN
252 TAMILNADU
VELLORE
253 TAMILNADU
VIRUDHUNAGAR
254 TAMILNADU
CHENNAI
255 TAMILNADU
PONDICHERRY
256 UTTAR PRADESH (EAST)
ALLAHABAD
257 UTTAR PRADESH (EAST)
BALLIA
258 UTTAR PRADESH (EAST)
BANDA
259 UTTAR PRADESH (EAST)
BARABANKI
260 UTTAR PRADESH (EAST)
FARRUKHABAD
261 UTTAR PRADESH (EAST)
GORAKHPUR
262 UTTAR PRADESH (EAST)
JHANSI
263 UTTAR PRADESH (EAST)
KANPUR
264 UTTAR PRADESH (EAST)
LAKHIMPUR KHERI
265 UTTAR PRADESH (EAST)
LUCKNOW
266 UTTAR PRADESH (EAST)
MIRZAPUR
267 UTTAR PRADESH (EAST)
RAIBAREILLY
268 UTTAR PRADESH (EAST)
SITAPUR
269 UTTAR PRADESH (EAST)
AZAMGARH
270 UTTAR PRADESH (EAST)
BAHRAICH
271 UTTAR PRADESH (EAST)
BASTI
272 UTTAR PRADESH (EAST)
DEORIA
273 UTTAR PRADESH (EAST)
ETAWAH
274 UTTAR PRADESH (EAST)
FAIZABAD
275 UTTAR PRADESH (EAST)
FATEHPUR
276 UTTAR PRADESH (EAST)
GHAZIPUR
277 UTTAR PRADESH (EAST)
GONDA
278 UTTAR PRADESH (EAST)
HAMIRPUR
279 UTTAR PRADESH (EAST)
HARDOI
280 UTTAR PRADESH (EAST)
JAUNPUR
281 UTTAR PRADESH (EAST)
MAINPURI
282 UTTAR PRADESH (EAST)
ORAI
283 UTTAR PRADESH (EAST)
PRATAPGARH
284 UTTAR PRADESH (EAST)
SAHJAHANPUR
285 UTTAR PRADESH (EAST)
SULTANPUR
286 UTTAR PRADESH (EAST)
UNNAO
287 UTTAR PRADESH (EAST)
VARANASI
288 UTTAR PRADESH (WEST)
ALMORA
289 UTTAR PRADESH (WEST)
BAREILLY
192
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290 UTTAR PRADESH (WEST)
BUDAUN
291 UTTAR PRADESH (WEST)
DEHRADUN
292 UTTAR PRADESH (WEST)
UTTARKASHI
293 UTTAR PRADESH (WEST)
AGRA
294 UTTAR PRADESH (WEST)
ALIGARH
295 UTTAR PRADESH (WEST)
BIJNORE
296 UTTAR PRADESH (WEST)
ETAH
297 UTTAR PRADESH (WEST)
GHAZIABAD
298 UTTAR PRADESH (WEST)
KOTDWARA
299 UTTAR PRADESH (WEST)
MATHURA
300 UTTAR PRADESH (WEST)
MEERUT
301 UTTAR PRADESH (WEST)
MORADABAD
302 UTTAR PRADESH (WEST)
MUZAFFARNAGAR
303 UTTAR PRADESH (WEST)
NAINITAL
304 UTTAR PRADESH (WEST)
PILIBHIT
305 UTTAR PRADESH (WEST)
RAMPUR
306 UTTAR PRADESH (WEST)
SAHARANPUR
307 WEST BENGAL
ASANSOL
308 WEST BENGAL
BALURGHAT (RAIGANJ)
309 WEST BENGAL
BEHRAMPUR
310 WEST BENGAL
JALPAIGURI
311 WEST BENGAL
KRISHNAGAR
312 WEST BENGAL
MALDA
313 WEST BENGAL
MIDNAPUR (KHARAGPUR)
314 WEST BENGAL
PURULIA
315 WEST BENGAL
BANKURA
316 WEST BENGAL
COOCH BEHAR
317 WEST BENGAL
DARJEELING (SILIGURI)
318 WEST BENGAL
GANGTOK
319 WEST BENGAL
SURI
193
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94Annexure-VIII
List of other income to be excluded from GR to arrive at ApGR
Sl.
No.
Item/ Head of
‘Other
Income’
Description and conditions applicable
a.
Income from
Dividend
Income from dividend is return on investment made by the
company. Such investment is made out of surplus funds available
with the company. Companies Act, 2013 and Accounting Standard-
9 classified dividend income as ‘other income’ i.e., distinct from the
core operations of the entity.
Therefore, income from dividend shall not be part of ApGR for the
purpose of computation of LF.
b.
Income from
Interest
Income from interest is return on investment made by the company
in bank deposits, corporate deposits, debentures etc. Such
investment is made out of surplus funds available with the
company. Also sometimes, Licensee receives interest from Tax
Authorities on advance tax or refundable tax. Companies Act, 2013
and Accounting Standard-9 classified interest income as ‘other
income’ i.e., distinct from the core operations of the entity.
At the same time, Licensee accepts refundable deposits from
customers, telecom vendors and other Licensees. These deposits
essentially are part of telecom operations. The interest income
earned on such amounts should be recorded and certified by
statutory auditors.
Therefore, income from interest shall not be part of ApGR for the
purpose of computation of LF. However, interest earned on
refundable deposits from customers, telecom vendors and other
Licensees shall be considered in ApGR for the purpose of
computation of LF. Also, any refundable deposit received by the
Licensee on the strength of telecom service viz. linkage with tariff,
advance rental etc. shall also have similar treatment for inclusion in
ApGR.
c.
Capital gains
on account of
profit on sale
of
fixed
Capital gain earned by the Licensee on the account of profit on sale
of assets and securities, are of from investing activities instead of
from telecom operations. Therefore, the revenue on account of sale
of immovable property, securities, warrants or debt instruments,
94 Amendment vide DoT letter no. 20-271/2010-AS-I(Vol.V) dated 25th October, 2021
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assets
and
securities
other items of fixed assets shall not be part of ApGR for the purpose
of computation of LF.
d.
Gains
from
Foreign
Exchange
rates
fluctuations
Foreign Exchange differences arise when actual rates at the time
of settlement differs from those at which they were initially recorded
in the books. The provisions contained in the Accounting Standard-
11 require a notional entry for exchange differences in respect of
liabilities at the closing date of the AFSs. The foreign exchange
gains reflected in the profit and loss statement of Licensee could
arise from reduction of payment liability or increase in the value of
foreign exchange accounts receivables. In other words, foreign
exchange fluctuation is a contingency which has impact on every
business which may have something to do with foreign exchange
and is not specific and unique to telecom business.
Therefore, revenue/profit arising out of upward valuation or
devaluation on account of fluctuation of foreign exchange shall not
be part of ApGR for the purpose of computation of LF.
e.
Income from
property rent
Licensee may rent or lease part of their properties and earn
revenue in the form of rent. Some Licensees as part of staff welfare
measure provides staff quarters to their employees and receive
rent from such staff. Revenue from rent cannot be distinctly treated
as only from telecom business. Therefore, revenue/income from
property rent shall not be part of ApGR for the purpose of
computation of LF. In case property is let out for ‘establishing,
maintaining
and
working
of
telecommunication’,
then
revenue/income from such rent shall be considered in ApGR for the
purpose of computation of LF.
f.
Insurance
claims
A receipt from Insurance company against loss of property/fixed
assets is basically a reimbursement in nature for the loss occurred
by the Licensee. Receipt of insurance claim from insurance
company shall not be part of ApGR for the purpose of computation
of LF.
g.
Bad
Debts
recovered
Bad debt is an amount owed by a debtor that is unlikely to be
received/ realized and recognized as an expense in the books of
accounts. Bad Debts recovered represents reversal of debits (i.e.
bad debts) appearing in the profit and loss account of previous
year(s). This basically represents an adjustment to the amount of
an expense (i.e. bad debts) as estimated in an earlier year(s) in
which it had already recorded as part of revenue from operations.
Therefore, income on account of bad debts recovered shall not be
part of ApGR for the purpose of computation of LF.
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h.
Excess
Provisions
written back
Excess Provisions written back represent the reversal of excess
provision made for any liability or expenses in any previous year.
On settlement, this excess provision is written back into books of
accounts as other income. This basically represents an adjustment
60 instead of actual revenue earned.
Therefore, income on account of excess provisions written back
shall not be part of ApGR for the purpose of computation of LF.
