Competition in Telecom Sector: The Jurisdictional Tussle between Competition Commission of India and Telecom Regulatory Authority of India

Abstract

From enjoying natural monopolies to witnessing tough competition for services, the telecom sector in India has come a long way. It is now characterized by one of the fastest-growing sectors of deploying the latest technology and driving the economic growth in India. With the rapid intervention of innovation and competition redefining the sector dynamics, there are new emerging challenges that force the telecom and competition authorities to rethink their role and function and adopt a collaborative approach in deciding intersecting issues. In 2017, Reliance Jio Infocomm Limited (RJIL), a new entrant in the telecommunications market approached Competition Commission of India (CCI) against the incumbents for forming a cartel to deny market entry. Prior to that, it approached the Telecom Regulatory Authority of India (TRAI) against the incumbents for denying adequate points of interconnection. CCI passed an order in favour of the informant, which was challenged in the Bombay High Court and later appeared in the Supreme Court of India. The case that breathed fresh air at every level of Court in the country is a landmark decision in settling the role of CCI with respect to telecom sectoral regulators, particularly in issues that simultaneously fall within the jurisdiction of both the bodies. The objectives of both legislation, when reading together, intend to create an environment that may facilitate fair competition. In fulfilling the concerned objective, the jurisdiction of TRAI and the CCI overlap. Although the watchdogs (CCI and TRAI) share a common goal, they differ in their mandate and approach. The difference in the approach adopted by the CCI and TRAI towards a similar objective leads to cases of jurisdictional conflicts. The Researcher aims to analyze the decision of the Supreme Court of India in terms of its far-reaching effects on CCI while touching base on developments in the case at every level of proceedings through the lens of optimal regulation and competition.