New Delhi Telecom tariffs are set to fall significantly across the board as sector regulator TRAI today announced a cut of more than 37 per cent in the levy paid by private players to BSNL for providing services in rural areas.

"The total amount of levy (Access Deficit Charge) for the financial year 2007-08 is reduced to approximately Rs 2,000 crore from existing level of Rs 3,200 crore," Telecom Regulatory Authority of India said in a statement here.

In particular, international long distance (ISD) calls are likely to become cheaper as the levy on such calls has been completely removed from 80 paise being charged now.

All private operators pay ADC to state-owned BSNL for carrying out social obligations like providing services in unremunerative and rural areas.

"The Authority expects that the reduction is ADC amount resulting from today's order would be fully passed on to the consumers by the service providers," TRAI said.

The new regime would come into effect from April 1 this year.