The controversy surrounding installation charges and rent levied upon mobile towers will now be solved by the chief secretary.
The controversy surrounding installation charges and rent levied upon mobile towers in different cities and towns will now be solved by the chief secretary.
This was ordered by the Gujarat high court which directed the chief secretary to settle the feud between the state government and the mobile phone service provider companies.
Incidentally, both factions are up in arms for the past more than two years in a bid to levy installation charges and rent in addition to property tax and other charges.
Almost all mobile service provider companies including Idea Cellular and Reliance communication had approached the high court this year as the state government issued a notification deciding rent and installation charges. This despite the high court's clear order to set aside such notification and demand notices issued in case of Reliance communication limited and Junagadh Municipality in September last year.
On December 11, 2008, the urban development department again passed a resolution determining installation charge of Rs25,000 per tower and annual license fee Rs1,000 per meter of the mobile phone tower and other charges. Mobile phone service provider companies again approached the Gujarat high court on this.
According to the companies, the state government and civic authorities do not have any power to levy such type of charges in absence of any legal provision in the Bombay Provincial Municipal Corporations Act of 1949. The companies also said they are already paying property tax and other charges for the installation of the mobile phone towers.
"The resolutions passed by the state government for charges, is contrary to the order passed by the Gujarat high court last year," said a lawyer in the know of the latest development. "Now, with common consensus of the service provider companies, the high court has directed the chief secretary to try and come out with some viable solution," the lawyer said.
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