Mudasir 4K
Member
- Joined
- 25 Dec 2012
- Messages
- 646
- Reaction score
- 288
Telecom regulator Trai today began
the consultation process for the next
round of auctions for spectrum held
by mobile operators - Airtel,
Vodafone, Idea and RCom - as some
of their licences are set to expire in
2015-16.
"The Telecom Regulatory Authority of
India has today released
consultation paper on valuation and
spectrum price: Licence expiring in
2015-16," Trai said in a statement.
The process will determine the
reserve price of spectrum to be
auctioned across 18 out of the 22
telecom service areas across the
country for 900 Mhz and 1800 Mhz
bands, used for providing mobile
services based on GSM technology
standard.
"The key issues in the consultation
paper are contiguity of spectrum, the
block size, valuation of reserve price
of spectrum in 900/1800 Mhz band"
Trai said.
It has fixed September 8 as last
date for receiving comments from
stakeholders on the consultation
paper, and September 15 for counter
comments. Trai will hold open house
discussions on September 22 to
discuss the subject in details.
As per Trai, 184 Mhz of spectrum in
900 MHz band and 104 MHz in 1800
Mhz band can be put up for the
auction. The government, in its
Budget Estimates for the current
financial year, 2014-15, has projected
minimum revenue of Rs 9,355 crore
from auction of 800 Mhz (used by
operators providing mobile services
base on CDMA technology standard)
as well as the 900 Mhz and 1800
Mhz bands.
Trai has already given its
recommendation for CDMA spectrum
auction.
In December 2015, 4 licences of
Bharti Airtel, 7 each of Idea Cellular
and Reliance Telecom and 6 of
Vodafone will complete their 20-year
term and would require renewal. The
companies can renew their licences
by paying a fixed fee but for
continuing mobile and other
wireless services they will need to
buy spectrum afresh through auction
at market determined rate. By April
2016, two more permits of Bharti and
Idea will come up for renewal. If
Trai recommendations are finalised
as per the expected timeline, then
the auction are expected to start
from February 3, 2015, according to
sources, who said that the
government expects to meet the
Budget numbers at the very least.
The government has set a total
revenue target of Rs 45,471 crore
from communication services,
including proceeds from the three
sets of spectrum frequencies and
related charges in 2014-15. The
receipts under the same head were
Rs 40,847.06 crore in 2013-14,
according to the revised estimates.
As per the process, government will
take the final decision after
considering recommendations of
Trai. Besides auction of 900 and
1800 Mhz band, government is also
working on auction of CDMA
spectrum for which Trai has already
given its recommendations.
The 10-day long auction held in
February this year gave the
government over Rs 61,162 crore, far
exceeding the target. Eight telecom
firms had bid for 900 Mhz and 1800
Mhz bands.
the consultation process for the next
round of auctions for spectrum held
by mobile operators - Airtel,
Vodafone, Idea and RCom - as some
of their licences are set to expire in
2015-16.
"The Telecom Regulatory Authority of
India has today released
consultation paper on valuation and
spectrum price: Licence expiring in
2015-16," Trai said in a statement.
The process will determine the
reserve price of spectrum to be
auctioned across 18 out of the 22
telecom service areas across the
country for 900 Mhz and 1800 Mhz
bands, used for providing mobile
services based on GSM technology
standard.
"The key issues in the consultation
paper are contiguity of spectrum, the
block size, valuation of reserve price
of spectrum in 900/1800 Mhz band"
Trai said.
It has fixed September 8 as last
date for receiving comments from
stakeholders on the consultation
paper, and September 15 for counter
comments. Trai will hold open house
discussions on September 22 to
discuss the subject in details.
As per Trai, 184 Mhz of spectrum in
900 MHz band and 104 MHz in 1800
Mhz band can be put up for the
auction. The government, in its
Budget Estimates for the current
financial year, 2014-15, has projected
minimum revenue of Rs 9,355 crore
from auction of 800 Mhz (used by
operators providing mobile services
base on CDMA technology standard)
as well as the 900 Mhz and 1800
Mhz bands.
Trai has already given its
recommendation for CDMA spectrum
auction.
In December 2015, 4 licences of
Bharti Airtel, 7 each of Idea Cellular
and Reliance Telecom and 6 of
Vodafone will complete their 20-year
term and would require renewal. The
companies can renew their licences
by paying a fixed fee but for
continuing mobile and other
wireless services they will need to
buy spectrum afresh through auction
at market determined rate. By April
2016, two more permits of Bharti and
Idea will come up for renewal. If
Trai recommendations are finalised
as per the expected timeline, then
the auction are expected to start
from February 3, 2015, according to
sources, who said that the
government expects to meet the
Budget numbers at the very least.
The government has set a total
revenue target of Rs 45,471 crore
from communication services,
including proceeds from the three
sets of spectrum frequencies and
related charges in 2014-15. The
receipts under the same head were
Rs 40,847.06 crore in 2013-14,
according to the revised estimates.
As per the process, government will
take the final decision after
considering recommendations of
Trai. Besides auction of 900 and
1800 Mhz band, government is also
working on auction of CDMA
spectrum for which Trai has already
given its recommendations.
The 10-day long auction held in
February this year gave the
government over Rs 61,162 crore, far
exceeding the target. Eight telecom
firms had bid for 900 Mhz and 1800
Mhz bands.
