 "DoT likely to review bar on 3G spectrum sharing")
The Telecom Commission, formed by representatives from the finance ministry, the Planning Commission, the Department of Industrial Policy and Promotion(DIPP) and the Department of Telecom, is the highest decision-making authority under the Department of Telecommunications (DoT). It has not held a meeting for quite a few months now.
According to a recent communication, the commission is likely to review its earlier decision and explore possibilities of permitting the sharing of spectrum among operators with spectrum in the 2,100-MHz band. The commission might also take a decision on what an operator would pay as spectrum usage charges (SUC) after the sharing of radio waves among themselves.
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According to the communication, the commission will not change the logic of affecting auction, and will ensure operators do not get spectrum through any indirect method where its price is not determined by the market.
DoT had earlier suggested in the draft guidelines for spectrum-sharing that operators having third-generation (3G) spectrum licences would not be permitted to share spectrum among themselves. DoT had also noted that permission for the sharing of spectrum would be given for a period of five years, which can be extended for five more years after the first term.
On SUC, the draft guidelines stated it would be levied on both operators individually for the total 2G spectrum held by both operators together. This means if an operator X, having 4.4 MHz of spectrum shares 4.4 MHz with another operator Y, then both X and Y would be liable to pay SUC on 8.8 MHz with effect from the date of the permission of spectrum-sharing.
The issue of permitting sharing of 3G spectrum came after the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) order on April 29 allowing 3G intra-circle roaming (ICR). Operators Bharti Airtel, Vodafone and Idea Cellular have been offering 3G services through ICR agreements among themselves, even in circles where they do not have the required spectrum. DoT had barred this, and operators took legal steps.
Meanwhile, DoT is still looking into the legalities of moving the Supreme Court against the TDSAT order on 3G ICR. A decision on this is yet to be taken.
The Telecom Commission's decision to allow sharing of spectrum among operators will ensure optimum usage of the scarce natural resource, and also be helpful for smaller operators in monetising their spectrum.
Besides spectrum-sharing, the commission is likely to discuss other things, including full mobile number portability, mobile services in areas affected by Left-wing extremism and the usage of the universal service obligation fund for certain projects.
The commission will discuss the recommendations of the Telecom Regulatory Authority of India on full mobile number portability. It will also discuss the project of establishing the government user network over the National Optic Fibre Network or NOFN, which would connect 250,000 village panchayats with high speed broadband services by September 2015.
The commission will also take a decision on whether the government needs to incorporate a condition on bank guarantee against one-time fee, as the issue of one-time fee is sub-judice.
However, the commission's agenda does not include other important issues like the auction of 800 MHz spectrum, which is currently used by CDMA operators, and the trading of spectrum.
RIDING THE WAVES
* The Telecom Commission is likely to explore possibilities of permitting the sharing of spectrum among operators who have spectrum in the 2,100 MHz band
* The commission will take a decision on what an operator would need to pay as spectrum usage charges after the sharing of radio waves among themselves
* The panel will ensure operators do not get spectrum through any indirect method where spectrum price is not determined by the market
* Other issues such as full mobile number portability, mobile services in areas affected by Left-wing extremism & usage of universal service obligation fund for certain projects would also be discussed