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COAI alleges Mumbai Metro of monopolistic practices over mobile network access

#Law & Policy#India#Maharashtra#Mumbai City
Last Updated : 21st May, 2025
Synopsis

Mumbai Metro was recently accused by the Cellular Operators Association of India (COAI) of charging exorbitant and monopolistic rents for mobile network access. COAI asserted that under the new Telecommunication Act and Right of Way (RoW) rules, a public authority cannot deny RoW to telecom operators in public spaces. Despite telecom service providers proposing a common network to minimise disruptions, Mumbai Metro allegedly ignored the offer and insisted on using a third-party vendor for connectivity, creating a monopoly. The industry body further highlighted that TSPs had offered to provide connectivity free of cost until commercial terms were finalised, but Mumbai Metro allegedly disregarded the proposal.

The Cellular Operators Association of India (COAI) has recently alleged that Mumbai Metro is attempting to impose monopolistic and excessive rents on the provision of mobile network access. According to the industry body, under the new Telecommunication Act and Right of Way (RoW) rules, public authorities are prohibited from denying RoW to telecom operators in public spaces, a guideline that COAI claims Mumbai Metro is currently violating.


In a statement issued earlier this week, COAI indicated that telecom service providers (TSPs) had proposed a common network to minimise disruptions while ensuring seamless mobile connectivity. However, this proposal was reportedly dismissed by Mumbai Metro, which instead opted to create a monopoly by permitting only a third-party vendor to provide network connectivity. COAI described this practice as a means of extracting monopolistic and extortionate rents from TSPs.

COAI Director General S P Kochhar remarked that deploying such networks is a standard practice in major public areas, including the PWD tunnel in Pragati Maidan and the Central Vista, where TSPs have been allowed to lay infrastructure without incurring any costs, including those associated with third-party vendors.

The association further claimed that Mumbai Metro was citing precedents to justify the appointment of a third-party vendor, a move COAI deemed as setting a 'wrong precedence' that would potentially encourage extortionate practices. Members of COAI, including major telecom players like Reliance Jio, Bharti Airtel, and Vodafone Idea, are reportedly addressing these monopolistic practices separately to prevent further exploitation.

Despite the challenges, TSPs have expressed their willingness to invest in establishing network infrastructure within the Metro premises without anticipating additional incremental revenue. However, the association asserted that paying exorbitant fees to Mumbai Metro for network deployment would not be a viable solution.

COAI also revealed that TSPs are currently providing services on a trial basis while a formal agreement is being finalised. Earlier this month, telecom operators had proposed to extend mobile connectivity free of charge, without any payment to either the third-party vendor or Mumbai Metro, until commercial terms could be mutually agreed upon. However, COAI alleged that Mumbai Metro had ignored this consumer-centric proposal.

COAI's claims that Mumbai Metro's actions contravene the new Telecommunication Act and RoW rules could potentially prompt regulatory scrutiny and influence future agreements related to public infrastructure projects. As TSPs continue to offer interim services free of charge, the outcome of this dispute may set a significant precedent for how mobile network access is managed in other public spaces.

Source - PTI

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