Reliance Jio-take over as service provider for Railways from January 1
Reliance Jio to take over as service provider for Railways from January 1
Railways
has been using Bharti Airtel for over six years for which it paid around Rs 100
crore bill per year.
Reliance
Jio Infocomm will serve the country's largest and most sought-after accounts in
telecom - the railways - from January 1, with officials saying it is likely to
slash the national transporter's phone bills by around 35 percent at least.
Railways
has been using Bharti Airtel for over six years as its telecom provider for
1.95 lakh mobile phone connections used by its employees in closed user group
(CUG) across the country for which the railways paid around Rs 100 crore bill
per year, they said.
Its
validity will expire on December 31 this year.
A
Railway Board order issued on November 20 said it "had assigned the
responsibility to RailTel (railway PSU) for finalisation of fresh CUG scheme
for Indian Railways as the validity of the existing scheme is expiring on
December 31, 2018. Fresh CUG scheme had since been finalised by RailTel and
Reliance Jio Infocomm Limited has been awarded the contract to implement the
scheme."
"The
fresh CUG will come into effect from January 1, 2019," said the order
which detailed the tariff rates to be provided by the company.
Closed
User group (CUG) is a supplementary service provided by the mobile operators to
subscribers who can make and receive calls from any member associated within
the group. This service is applicable for SMS also.
Under
the scheme, Reliance Jio, the latest entrant in the telecom market, will
provide 4G/3G connections and calls will be free of charge.
The
company will provide four packages to railways - one for its senior most
officials (two percent subscribers) - a 60 GB plan with a monthly rental of Rs
125, a 45 GB plan at a monthly rental of Rs 99 for its joint secretary level
officers (26 per cent subscribers), a 30 GB plan at a rental of Rs 67 for Group
C staff (72 per cent subscribers) and a Rs 49 rental plan for bulk SMS.
For
regular subscribers, a 25 GB plan of Jio is available for Rs 199 and
subscribers have to pay Rs 20 per GB thereafter to top up their plans.
Railway
employees have to pay Rs 10 for 2 GB of extra data they use and more
thereafter, according to the plan worked out by Jio.
While
under the present scheme railways is charged for calls outside CUG, the plan
from January 1 will not do so. Also, the 3G/4G data pack in effect from next
year is much cheaper than the present packs available to railways.
"While
Airtel is serving around 1.95 lakh railway subscribers, Jio will serve 3.78
lakh personnel of the railways, and because of the increase in the numbers, we
are getting a better deal from the service provider. As a result of this, we
are likely to reduce our phone bill by around 35 percent," a senior
official said.
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