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GSM Operators Seek Spectrum Pricing Review For Upcoming Auction

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GSM operators have asked telecom minister Ravi Shankar Prasad to review the Rs 3,980 crore base price for 900 MHz airwaves for the upcoming auction, warning that the price is “prohibitive and unreasonable and completely out of line with the pricing approach followed by the sector regulator”.

The Cellular Operators Association of India (COAI), the trade body representing GSM operators such as Bharti Airtel, Vodafone India and Idea Cellular, has also exhorted the minister to ensure at least 15-20 MHz of 3G airwaves in the 2100 MHz band is available for simultaneous auction along with 900 MHz bandwidth next month.

“Reserve price for the proposed spectrum auction in the 900 MHz band in 18 circles has been increased by 32.5% over what was recommended by Telecom Regulatory Authority of India (Trai),” said COAI in its letter to Prasad. It added that the 32.5% escalation over Trai’s recommendation translated into a steep increase of Rs 4,880 crore for 5 MHz blocks across 18 regions. Original post at ET Telecom

Wahengbam Rorrkychand

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Website: http://www.blog.tonsetelecom.com

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