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NEW DELHI: The Telecom Regulatory Authority of India (TRAI) has recommended the a maximum base price of Rs 80 crore for allocation of 3G spectrum to operators.
While highlighting the recommendations, Nripendra Misra, chairman of TRAI, said that the base price for allocation of spectrum for 3G services has been recommended at Rs 80 crore for Delhi and Mumbai, Rs 40 crore for Chennai and Kolkata and Rs 15 crore for other C category cities. “Now the telecom operators will have to bid for spectrum which will be above the base price recommended,” he said.
Misra said that after receiving comments from the stakeholders the regulator has come up with the recommendations, which will be submitted to DoT by September 30.
He said that the DoT would generate a revenue of around 1400 crore from the base price for allocation of spectrum to the telcos.
The regulator has also recommended for setting up a National Frequency Management Board (NFMB) for long-term vision and planning for spectrum availability. Misra said that the board would be constituted with members from TRAI and DoT, which would have the final say in allocation and roadmap of future of spectrum.
“There is a great deal of urgency in dealing with this issue of allocation of spectrum. If this is not addressed soon, the 500 million target will be difficult to be met,” Misra added.
TRAI said that a specialized division to study spectrum related issues considering future developments of wireless technology an application to be located in TRAI to assist the Board.
The regulator has come up with three set of spectrum frequency bands of 450 MHz, 800 MHZ and 2.1 GHz.
Rajan Bharti Mittal, joint managing director, Bharti Enterprises said that in order to make the 3G services affordable the government should make the price points affordable for the telecos.
“Price would play an important role, which will help telecos to offer services a lower cost,” Mittal said. However, he stressed on lower entry price.
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