License rules amended for long distance telecom operators

According to the new rules, a telecom service provider must have a well-outlined organizational policy on security and security management of its network and shall be responsible for security of the network.

The licensee will also have to engage the services of international agencies in consultation with the telecommunications department to fix all security related problems and prevent any such problems from recurring.

In case of any security breach due to the equipment installed, the telecom operator will be fined Rs.500 million for each purchase order along with 100 percent of the contract value.
The new rule also says that the service provider shall work towards a phased plan to take over the maintenance of the equipment locally.

“The operation and maintenance licensees network shall be entirely by Indian engineers and dependence on foreign engineers shall be minimal or almost nil within a period of two years from the date of this amendment,” said the DoT.

The amendments in the licensing rules have come in the wake of the concerns expressed by the country's security agencies on the use of telecom network by the terrorists. The government had earlier asked the telecom companies to take full responsibility while importing equipment from foreign countries for any security breach.