TRAI's New Regulations Mandates Voice and SMS-Only Recharge Plans for Mobile Users

Telecom Regulatory Authority of India (TRAI)

The Telecom Regulatory Authority of India (TRAI) has introduced a significant change under the Telecom Consumers Protection (Twelfth Amendment) Regulations - 2024, mandating telecom operators to offer recharge plans specifically for voice calls and SMS. This decision comes as part of TRAI’s effort to address the needs of millions of mobile users who primarily rely on their phones for communication via voice calls and text messages, without requiring data services.

In India, approximately 150 million users, including senior citizens, rural residents and feature phone users, typically do not require mobile data services. Many of these consumers have been forced to buy bundled plans that include data, even though they do not use it. With the new regulation, telecom operators are now required to offer at least one Special Tariff Voucher (STV) for voice and SMS services only, with a validity of up to 365 days. This change marks an extension from the previous validity period of just 90 days, offering greater convenience for users who do not need frequent recharges.

While this change is good for consumers, it may impact big telecom companies like Reliance Jio and Bharti Airtel. These companies have been focusing on increasing their Average Revenue Per User (ARPU) by offering plans that bundle voice, SMS and data services together. However, the new rule encourages more consumer-friendly options, which could challenge the companies push for upgrading users from 2G to 4G or 5G networks. The new regulation gives users more control over their choices, allowing them to pick the services that suit them best, without being forced into data plans.