HYDERABAD, May 22: Cellular operators are drawing up a model interconnect agreement for entering into with the department of telecommunications (DoT).The model agreement, among other things, would put in place a protocol, laying down norms for revenue collection by call-generating companies, sources said.

It would shortly be put before the Telecom Regulatory Authority of India (TRAI). The agreement would be drafted by a sub-committee on regulatory issues to be formed by the Cellular Operators Association of India (COAI) at its meeting to be held next week.

The proposal for the model interconnect agreement based on internationally accepted norms follows the contentious fixed-to-cellular tariff issue. DoT is reportedly contemplating an appeal against the TRAI decision to quash the fixed-to-cellular tariff hike.

DoT, on its part, has reportedly decided to start a dialogue with cellular operators on issues like interconnectivity, following the TRAI order to provide multi-point interconnectivity to mobile switching centres within 90 days after the request was received.

Cellular operators are making out a case for cost-based charges as opposed to "fabricated" charges to usher in a realistic tariff system, sources said. This will be laid down in the model interconnect agreement, sources said.

Fifty-five per cent of the mobile companies' traffic originates on cellular networks and end on the DoT network, while 35 per cent begins on the latter's network and the rest 10 per cent is cellular-to-cellular. However, with time the balance of traffic is expected to settle around 45:45 with DoT and cellular companies sharing revenues, while the cellular-to-cellular is estimated to remain at the 10 per cent.

Meanwhile, DoT's plan to invoke bank guarantees is expected to land at the TRAI doorstep.

The affected cellular operators have reportedly decided to appeal against the move on various grounds. The list of defaulters includes JT Mobile, Koshika, Airtel, Modicom and Fascel, which reportedly owe over Rs 300 crore to DoT in licence fees.

Reasons ranging from delayed interconnect agreements in the initial stages of take off and delays in second MSC interconnect to slow approvals by TEC and Airports Authority of India are expected to be cited by operators for their inability to pay licence fees. However, the financial impact on the industry as a result of the reported decision for encashing them may not be huge, sources said.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.