Trai cries foul over DoT's spectrum proposal

The Telecom Regulatory Authority of India (Trai) has shot off a missive to the Department of Telecommunications (DoT) alleging the latter's decision on spectrum allocation was not in line with authority's recommendations.

This move could further fan the raging spectrum controversy in the country.

In a strongly-worded letter to the DoT, Trai has stated that the telecom department has deviated from their recommendations of August 28, 2007. The DoT had announced it was endorsing the subscriber-linked allocation of spectrum as recommended by Trai.

According to DoT sources, Trai in its letter dated January 14, 2008, has stated there is a new slab of 7.2 MHz created for GSM spectrum, which is incorrect. Moreover, subscriber-linked criteria for spectrum up to only 7.2 MHz is contrary to its decision and will create uncertainty in the sector.

The regulator has also alleged that no growth path beyond 7.2 MHz has been indicated for GSM services, while the subscriber-linked criteria hinged on 15 users. The letter has pointed these anomalies. It has sought the DoT to address them urgently and place it before the Telecom Commission.

In respect of the subscriber-linked criteria announced on January 9, 2008, the regulator said that though subscriber base criteria recommended by Trai for getting fourth CDMA carrier (5 MHz) in CDMA technology has been accepted in totality, in case of GSM spectrum after the slab of 6.2 MHz, a new slab of 7.2 MHz has been created.

The subscriber base mentioned for allotment of 1 MHz of spectrum (in addition to 6.2 MHz) is the same as what Trai in its recommendations had given for reaching the slab of 8 MHz. The letter also said that DoT's "averment that Trai's recommendation on allocation of spectrum has been accepted will not be correct", sources said.

This means that the DoT has deviated Trai proposals; criteria prescribed for 8 MHz has been specified for 7.2 MHz in the case of GSM, and in case of CDMA criteria accepted "in totality", they added.

In the same Wireless Planning Commission (WPC) order, spectrum up to 7.2 MHz is only given for GSM operations. The DoT had earlier accepted Trai's recommendations on spectrum allocation criteria subject to a maximum of 10 MHz in the service area.

However, this recent WPC order, where subscriber-linked criteria for 7.2 MHz of spectrum are given contrary to this decision, will create an atmosphere of uncertainty and a non-level-playing field.

Trai has also alleged that no growth path beyond 7.2 MHz has been indicated as there are operators with around 1.5-3 million users in GSM. Therefore, clear guidelines need to be issued and criteria beyond 7.2 MHz need to be indicated immediately.

DoT defers decision on spectrum pricing

The government has deferred a decision on increasing annual spectrum charges as percentage of gross revenue of a mobile operator. A committee on spectrum pricing had recommended a flat rate of 8 per cent annual charges for up to 5 MHz of spectrum held by service providers and subsequently 1 per cent for every additional megawatt of frequency.

The Telecom Commission met in New Delhi on Tuesday to discuss the committee's report, official sources said, adding no decision had been taken on the issue. The Commission is meeting again on January 22 to discuss the issue.

Communications Minister A Raja had asked the Commission to work out spectrum charges for arriving at right pricing of the scarce resource so as to ensure that mobile operators use the airwaves in the most efficient manner.

TDSAT refuses stay on Trai directive

Broadcast tribunal TDSAT has declined to stay sectoral regulator Trai's directive to broadcasters to share signals with multi system operators on a pick-and-choose basis. Rejecting the request of Star India, Zee Turner, Set and Sun TV, Telecom Dispute Settlement and Appellate Tribunal (TDSAT) said the direction would not be stayed as it was in the policy interest.

Trai appoints agencies to assess quality

Trai has appointed independent agencies on zonal basis to assess the quality of services provided by telecom operators in the country. The survey will include all basic service providers (both wireline and wireless) as well as mobile and broadband service providers during 2008.