India’s Department of Telecom (DoT) said yesterday it aims to provide clarity on key issues such as spectrum sharing and trading, but said the planned auction in February won’t be delayed.
An official said that the roadmap for the auction has been set after consultations with the stakeholders and it can’t be postponed, the Economic Times reported.
Last week the DoT rejected the telecoms regulator’s recommendation that next year’s spectrum auction be expanded because the additional spectrum bands suggested are unlikely to be available in time.
Telecom Regulatory Authority of India (TRAI) has called on the government to hold off on the auction until additional spectrum – specifically 800MHz and 2.1GHz airwaves — is available.
The DoT now plans to review key industry concerns that are slowing the sector’s growth, with spectrum issues at the top of its agenda, the Times said.
The industry has been pushing for new rules on spectrum sharing and trading as well as additional spectrum to be released. TRAI, backed by Bharti Airtel and Vodafone India, has given the DoT its recommendations. The department has previously stated it would make a decision by the end of the year, but provided no timeline on releasing them.
The government’s current rules on spectrum trading, which require buyers to pay a market-linked price for spectrum obtained through acquisitions, has slowed M&A in the crowded Indian telecoms markets and prevented much needed consolidation.
In addition to spectrum issues, other topics on the DoT’s agenda are new M&A guidelines, private-sector investment, standard penalties and levies, manufacturing-related issues and uniform annual licence fees on internet service providers.
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