The government has allocated additional radio frequency 2 MHz to
Bharti Airtel in Tamil Nadu but with a rider that it would be subject
to pricing of spectrum beyond 6.2 MHz which is under consideration,
whereas there is no such condition for the new telecom operators.
Allocating additional spectrum of 2 MHz, the Department of Telecom
(DoT) said that the additional allotment of spectrum is subject to
revised pricing as and when finalised and is also to subject pending
court order.
Reliance Communication has filed a petition in the telecom tribunal
TDSAT saying that GSM operators have been given spectrum beyond the
contracted quantity of 6.2 MHz and the extra radio frequency held by
them should be returned so that the same could be distributed to new
players.
No decision has been taken by the TDSAT as yet.
Communication and IT Minister A Raja has already asked the Telecom
Commission to review annual spectrum charges being paid by service
providers as license fee.
According to sources, DoT is likely to raise the charges to a minimum
of eight percent beyond 6.2 MHz and a final decision in this regard is
expected soon.
Government has been allocating spectrum to the service providers based
on subscriber-linked criteria as suggested by the telecom regulator
TRAI and going by that most of the existing GSM players have more than
6.2 MHz in various circles.
Sources said that the operators may be asked to pay higher spectrum
charges beyond a particular level and in case the total quantity goes
up to 10 MHz the DoT may levy charge of 10 percent of firm's
revenues.
DoT has given fresh spectrum to new telecom players and additional to
existing operator like Airtel and in both cases it has been given on
trial basis saying that "the trial should commence within three months
from the date of issue of this earmarking letter."
In case of new telecom players, like S Tel, Unitech, Idea Cellular
(fresh license), Datacom and other, the DoT said "the spectrum charges
for such trial frequencies will be levied as per the government
orders, from the date of earmarking."
"Further, the allotment of spectrum is subject to court orders. Also,
this would not defer/alter the rollout obligations of the service
providers," he added.
Necessary clearances like SACFA, site and other have to be obtained by
the operator and once the earmarked spectrum on trial basis is found
to be interference free during such trial period, the spectrum will be
considered for regularisation for commercial use, DoT said.
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