If you’re a prepaid Airtel customer, get ready to pay more as the minimum monthly recharge rates have nearly doubled. While earlier the minimum monthly recharge was Rs 23, it has now been hiked to Rs 45. At Rs 23, customers could get call validity and SMS for 28 days.
In a public notice on Sunday, Airtel stated that with effect on December 29, the existing SUK base plan — or Rs 35 plan is being discontinued and the base tariff for new customers, would be 2.5p/sec for all Local & STD voice calls, 5p/sec for National Video Calls, 50p/MB for Data, SMS tariff of 1/SMS for Local, 1.5/SMS for National, and 5/SMS for international.
The company further said that it is mandatory to recharge with Rs 45 or above every 28 days.
“In case of recharge with STV/Combo/Top-up voucher of MRP greater than or equal to 45, the validity of the tariff plan will be extended with the validity of Combo/STV voucher and in case of a top-up voucher, by 28 days,” Airtel said.
It further added that people would get a grace period of 15 days if not updated, services would be suspended.
This hike comes on the heels of Airtel increasing its tariffs, necessitated after it reported a loss of Rs 23,045 crore in Q2, following the Supreme Court verdict on Adjusted Gross Revenue. Bogged down by a host of issues, the telecom industry has been asking for the government to intervene.
This also comes at a time the Telecom Regulatory Authority of India has started a consultation process to determine if floor prices are necessary for mobile prices, what methodology would be used, etc.
“The situation is dire — it is a matter of survival for everyone. Vodafone (Idea) is in losses, Airtel is in losses, (state-owned) BSNL (Bharat Sanchar Nigam Ltd) is in losses,” Bharti Airtel chief Sunil Mittal was quoted in the Economic Times as saying.
He also said that the average revenue per user, or ARPU, needs to rise to Rs 300 per customer in order to revive the industry.