TRAI revises financial reporting system for telecom service providers
14 Apr 2012
The Telecom Regulatory Authority of India (TRAI) has issued revised regulation on accounting standards to be followed by telecom service providers with annual revenues of over Rs100 crore.
'The Reporting System on Accounting Separation Regulations, 2012 (7 of 2012)' has been issued after repealing 'The Reporting System on Accounting Separation Regulation, 2004 (4 of 2004)' and the revised guidelines would come into force from the date of its publication in the gazette, an official release said.
The Accounting Separation Regulation, 2004 was framed nearly a decade ago when regulatory reporting requirements were still evolving in a nascent telecom sector.
Since the implementation of Regulation 2004, telecom service sector has changed. New developments have had an impact on the information that TRAI requires as well as on the manner in which such information is to be furnished by the service providers. TRAI said the revised regulation has been issued after consultations with all stakeholders.
The new regulation updates, rationalises and standardises the reporting system, and strengthens audit and accountability provisions.
Regulation 2012 is applicable to all service providers with aggregate turnover of not less than Rs100 crore during the accounting year.
