Mahanagar Telephone Nigam Limited Pays Rs 8,00,000 Financial Disincentive to TRAI
Mahanagar Telephone Nigam Limited (MTNL), a Government of India Enterprise, has been issued a financial disincentive order by the Telecom Regulatory Authority of India (TRAI). The order, dated April 13, 2026, mandates MTNL to pay a total penalty of Rs 8,00,000/- for non-compliance related to Quality of Service (QoS) standards during the quarter ending September 2025.The penalty stems from the contravention of the provisions laid out in the Standards of Quality of Service of Access (Wireline and Wireless) and Broadband (Wireline and Wireless) Service Regulations, 2024 (06 of 2024) for Access Service (Wireless). MTNL received the order concerning the financial disincentive on April 15, 2026.
The imposed penalty is derived from the service provider's failure to meet required QoS benchmarks across several parameters. A detailed breakdown of the contraventions and the corresponding financial penalties is provided below:
| Parameter & Benchmark | Failure in Quarter Ending September 2025 | Penalty Imposed (in Rs.) |
|---|---|---|
| Fault repair by next working day ≥ 85% | 56.50% | 200,000 |
| Fault repair within three working days ≥ 99% | 67.50% | 200,000 |
| Mean Time to Repair (MTTR) ≤ 10 hrs | 49.97 | 200,000 |
| Refund of deposits within 45 days of closure of service or non-provisioning of service 100% | 78.55% | 200,000 |
| Total Financial Disincentive | N/A | 8,00,000 |
The authority noted that the reasons provided by the service provider for the failures—which included factors like construction activities, aging copper cables, and migration to LMG network—were found to be unsatisfactory.
Regarding the operational impact, the order specifies that the total penalty of Rs 8,00,000/- was imposed, and further notes that there is no material impact on MTNL's financial, operation or other activities.
MTNL Stock Price Movement
Shares of Mahanagar Telephone Nigam Limited are edging higher to ₹32.45 as of 12:58 PM, rallying 5.46% and moving up ₹1.68 in live trading. The stock is currently seeing robust buying interest, with a total volume of 3.44 million shares traded on the day.Source:
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