Can BCC ask OFC firms to fall in line?

BANGALORE: While the BCC is contemplating charging the OFC firms for using public properties, little does it realise the national and state government policy on IT allows these companies a free “right of way’’.
The policy allows private telecom operators to provide bandwidth and connectivity through Optic Fibre Cables (OFC).
An announcement on charging these firms was made in the previous year’s BCC budget; a plan was prepared, which was okayed by the finance and taxation committee in January.
Charges were mooted as ground rent for the mobile towers; licence fee for cables, junction boxes and decks installed on the pavements. Now, the council has returned resolution to the commissioner for modifications.
Now, the authorities realised a snag — whether or not they are empowered to levy charges on the companies. The BCC had proposed to collect charges from Bharat Sanchar Nigam Ltd, Hutchinson Essar South Ltd, Tata Teleservices Ltd, Reliance Communications Infrastructure Ltd, Spice Communications Ltd and Bharti Mobile Ltd.
After the announcement by former finance and taxation committee chairman N.L. Narendra Babu, the BCC had prepared a proposal to levy a one-time charge.
As per the note, charges of Rs 500 per metre for the Cell Site installed on a building terrace and Rs 250 per sq.mt. for those on the ground was proposed. The height of the towers are to be taken into account.
Similarly, for junction boxes and decks installed on pavements, Rs 100 per sq.mt. was proposed. The sum is proposed to be collected through annual contracts.
Meanwhile, the taxation and finance committee members made changes in rates — from Rs 500 to Rs 1,000 for towers on the buildings and from Rs 250 to Rs 500 for those on the ground.
“All these years, as per the state government’s directive, the BCC would issue an NoC to the private telecom firms to set up infrastructure. Now, we want to frame rules to charge the firms for the space provided,’’ sources said.
But the proposal is in contravention of the national policy. “Now that the proposal has been returned to the commissioner for modifications, we have to get back to the rules and see if the charges can be levied. We are not sure on what basis the rates for the towers and junction boxes were mooted,’’ a senior officer said.