3G Spectrum Price Likely to be Decided Tomorrow

The base price suggested by the telecom commission is Rs. 3,705 crore, which is 11 per cent more when compared to the prices paid by the telecom companies in 2010.

Published: 27th January 2015 09:28 PM  |   Last Updated: 27th January 2015 09:28 PM   |  A+A-


NEW DELHI: The Cabinet is likely to consider tomorrow the reserve price for spectrum auction in the 2100 MHz band, which is being used for providing 3G mobile services.      

The inter-ministerial panel Telecom Commission has suggested a base price of Rs 3,705 crore per megahertz as 3G spectrum base price for the upcoming auction, scheduled for March 4.     

"Cabinet is likely to take up the pricing of spectrum in 2100 megahertz (MHz) band tomorrow," said a source.  The base price suggested by the Commission is around 11 per cent higher than what telecom firms paid for in the 2010 sale. It is also 36 per cent higher than sectoral regulator TRAI's recommendation of Rs 2,720 crore per Mhz.     

The Commission, headed by Telecom Secretary Rakesh Garg, has considered sale of only 5 MHz of 3G spectrum while determining the price. The Defence Ministry has agreed to free 5 Mhz of 3G spectrum as of now. Last week, the Cabinet had approved swapping of 15 MHz of 3G spectrum between Defence and the Telecom Ministry.

However, government will be able to provide it after completion of the harmonisation process. The Telecom Ministry has proposed to exchange 15 Mhz spectrum it holds in 1900 Mhz band with same quantum of radiowaves held by Defence in 2100 Mhz.          

The Cabinet has asked ministries involved in the process to complete harmonisation within a year.

Stay up to date on all the latest Business news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)


Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp