BANGALORE: The Union cabinet on Thursday approved the migration package for
private telecom companies. However, the meeting, to clear the President's
address could not take up the much-awaited Information Technology (IT) bill
which contains many enabling and promoting features for the spread of
information technology in the country, including recognition of electronic
signatures.
The telecom-migration package visualizes a shift from upfront license-fee
payment to a more favorable revenue-sharing arrangement for private basic and
cellular firms. In August, the Union cabinet had cleared an interim revenue
share of 15 per cent gross annual revenue, which was with effect from August 1.
A Supreme Court judgement had mandated that the new telecom plan would be
applicable subject to its getting the approval of the new government at the
Centre.
The Government, based on the Telecom Regulatory Authority of India's (TRAI)
recommendations, will decide the final percentage of revenue sharing. TRAI has
been asked to forward its recommendations on entry fee and revenue share for
cellular and basic services.
The IT bill, which will be taken up by the cabinet later, seeks to provide a
legal framework for electronic commerce and transactions. The bill has proposed
detailed machinery for licensing, monitoring and certifying authorities. The
bill also has a provision for appointment of a controller and adjudicating
officers to impose penalty and determine compensation in case of violation of
the rules. A Cyber Regulations Appellate Tribunal was also proposed to be set up
to hear appeals from the decisions of the adjudicating officers. The bill is
based on the UNCITRAL Model Law and the US State Laws of Utah and Illionis on
Electronics and Digital Signatures and the Electronics Transactions Act enacted
by Singapore. The President's address to the session is scheduled for Monday,
would mainly focus on the economic issues and the need to expedite the economic
reforms.