NEW DELHI: Ravi Shankar Prasad, who took charge as Union telecom minister on Monday, said the government will auction spectrum for fifth generation or 5G and other bands within this calendar year. The minister also said they would initiate 5G trials in India within 100 days.
“This calendar year, we should auction... we have adequate spectrum,” said Prasad, who had previously held the portfolio before it was given to Manoj Sinha. Sinha and the Department of Telecom had in multiple occasions said that application of 5G in India should be at par with rest of the developed nations to realise the country’s digital ambitions.
Telecom regulator Telecom Regulatory Authority of India (TRAI), in a white paper, had said the telecom department’s delay in auctioning 5G spectrum in 3300-3600 Mhz bands will jack up costs for telecom firms planning to roll out 5G networks, as they will have to make additional investments in next-generation airwaves.
Prasad said 5G will be very crucial for initiatives such as digital inclusion, effective implementation of social schemes and more. However, on the financial side, it is expected to bring handsome income for the government as spectrum sale proceeds are a major source of revenue for the exchequer.
TRAI has recommended auction of about 8,644 MHz of telecom frequencies, including those for 5G services, at an estimated total base price of `4.9 lakh crore, but telecom firms say they cannot afford the price tag. Prasad said he expects either the Parliament’s standing committee on telecom or the finance committee to provide a solution on pricing 5G.