The Telecom Regulatory Authority of India (TRAI) said that following the cancellation of numerous 2G licences in the country earlier this year, it will recommend to the government that there is no need for a separate “exit policy” to be put in place – and that the fees already paid “continue to be non-refundable.”

The regulator said that some stakeholders had called for the refund of licence fees on a pro-rata basis, subject to the companies involved having met the conditions of issue (for example, rollout obligations). Reports also suggest that it was mooted that the fees could be carried-forward as partial payment if the licences are re-issued to the same operators.

While the decision is not binding, it is likely to carry significant weight with the authorities. Stakeholders can provide comments and views on the proposals by 5 April 2012.

According to the Economic Times, Telenor has served a notice on the Indian authorities “threatening international arbitration and claiming damages of nearly US$14 billion,” following the cancellation of licences held by its affiliate Uninor.

Apparently, the Nordic-based group has invoked provisions found in the Comprehensive Economic Cooperation Agreement between India and Singapore – possible as its Indian holdings are made via a Singapore-based subsidiary.

Telenor bought its stake in Uninor after the licences had been issued, meaning it is now arguing that it has been “unfairly harmed” by the cancellations. The company is also embroiled in a dispute with Unitech, its partner in the venture.