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Raja to meet telcos to discuss industry concerns

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Press Trust of India New Delhi
Last Updated : Jan 21 2013 | 3:38 AM IST

Telecom Minister A Raja has called for a meeting with mobile operators to discuss issues concerning the industry on July 7.

Official sources said the minister wants to discuss the "recent issues in the telecom sector".

Industry sources said the issue of Trai's 2G proposals are bound to be the highlight of the meeting in view of the conflicting views of the operators on recommendations which suggested that operators holding radiowaves over 6.2 MHz should pay charges at rates linked to 3G prices.

GSM operators like Airtel and Vodafone had also refused to be part of Trai's latest consultation process for working out the pricing model for 2G spectrum, linking it to 3G. They said the method used by the regulator to fix the price of 2G spectrum they hold beyond the 6.2 MHz mark was neither transparent, nor open.

Airtel, Vodafone Essar and state-run companies like BSNL, who hold over 6.2 MHz of 2G spectrum, have been critical of the Trai decisions and have asked DoT to reject them. Their contention is that these proposals are arbitrary and retrograde, which will nullify the telecom advancements made in all these years.

They have been wary of the proposals because if the recommendations are accepted by the DoT, they would have to fork about Rs 20,000 crore for keeping spectrum beyond 6.2 MHz.

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The country's second largest mobile player, RCom, however, had welcomed these proposals.

Amid these divergent views, the Prime Ministers' Office has asked the DoT to consider referring the issue to the inter-ministerial panel handling 3G spectrum pricing.

"It may be desirable to take a decision on the recommendations after ensuring full deliberations on all aspects," it said.

DoT has set up an internal panel for examining the proposals.

The PMO fears that strong and divergent views of the stakeholders over Trai's spectrum management and licencing proposals could lead to 'potential' controversies.

Trai also lowered the overall spectrum cap to 10 MHz from the current 15 MHz.

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First Published: Jul 02 2010 | 9:12 PM IST

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