Airtel, Vodafone to hike tariff from December 1

Bharti Airtel and Vodafone-Idea on Monday announced that they will increase mobile phone call and data charges from December 1.

Both the telecom operators said the hike in prices was immanent for the viability of their business. However, they did not specify quantum or details of the hike.

First Vodafone Idea in a statement announced plans to raise tariffs for the first time in 3 years only to be followed by a similarly worded statement minutes later from Airtel.

Vodafone Idea at present provides monthly mobile services at the starting price of Rs 24 without data, and plans with data service starts from Rs 33 onwards. Airtel's monthly plan starts at Rs 24 onward, while the scheme with data begins from Rs 35.

Vodafone Idea last week reported consolidated loss of Rs 50,921 crore - highest ever loss posted by any Indian corporate - for the second quarter ended September 30, on account of liability arising out of the Supreme Court order in the Adjusted Gross Revenue case.

Bharti Airtel, which posted the highest ever loss of Rs 23,045 crore last week, said that it understands that telecom regulator Trai is likely to initiate a consultation for bringing rationality in pricing in the Indian mobile sector, which has been operating at prices that have been eroding its viability.

The Sunil Bharti Mittal led firm Airtel made provision of an amount aggregating Rs 28,450 crore after the Aggregate Gross Revenue verdict.

Vodafone Idea has estimated liability of Rs 44,150 crore post the apex court order and made provisioning of Rs 25,680 crore in the second quarter this fiscal.