The Congress on Friday questioned the BJP-led NDA government for turning a blind eye to the recent tariff hike by three cellphone companies — Reliance Jio, Airtel and Vodafone Idea — which together control 91 per cent of the market.

Billing it another instance of “crony capitalism”, Congress spokesman Randeep Singh Surjewala said the cellphone market in India was an “oligopoly” with Jio and Airtel being a “virtual duopoly” as the two companies controlled 87 per cent of the market.

All three companies announced tariff hikes of 15-16 per cent back to back in June and the new rates came into effect from July 3 for Reliance Jio and Airtel, and July 4 for Vodafone Idea. Surjewala asserted that the decision was “clearly in consultation” with each other.

He referred to an observation made by the Supreme Court in Delhi Science Forum Vs Union of India that the "central government and the Telecom Regulatory Authority have not to behave like sleeping trustees, but have to function as active trustees for the public good".

Surjewala then asked how the cellphone companies were being allowed to unilaterally increase tariffs by Rs 34,824 crore annually without any oversight and regulation.

The Congress has arrived at the figure using TRAI data of the subscriber base for the October-December 2023 quarter.