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Trai recommendations on 2G pricing in a few days

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BS Reporter New Delhi
Last Updated : Jan 20 2013 | 7:32 PM IST

The Telecom Regulatory Authority of India (Trai) will give its fresh recommendations on pricing of 2G spectrum in the next few days.

In May last year, Trai, in its recommendations, had suggested linking of 2G spectrum with the 3G auction price. However, the suggestion had met with stiff opposition and Trai later said it would come out with new recommendations.

“We will submit our recommendations on pricing of 2G spectrum in the next few days,” Trai chairman J S Sarma told reporters at an Assocham event.

He, however, declined to reveal whether the 2G spectrum would continue to be linked with the 3G price.

He said the spectrum in 900 MHz band would be priced 1.5 times that of 1800 MHz as said in the May recommendations. Trai is working out pricing formula for 1800 MHz band. The new set of recommendations is with regard to pricing of spectrum to be done in future, Sarma said.

Trai's earlier recommendations included levying of a one-time charge on operators who hold excess 2G spectrum beyond 6.2 MHz. It had suggested every MHz of spectrum beyond 6.2 should be linked to 3G auction bid and also at the time of renewal of licences.

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The regulator will also come out with a consultation paper on fourth generation mobile (4G) services by the middle of this year.

“I expect 4G to come in India next year. Trai will bring out a consultation paper on 4G in the middle of this year,” Sarma said. 4G or Long Term Evolution (LTE) is a successor to 3G and 2G standards, with the aim to provide a wide range of data rates up to ultra-broadband (gigabit-speed) Internet access to mobile as well as stationary users.

He said the paper would look into various issues, including spectrum band to be allotted for 4G and quantum and modes of allotment to the operators.

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First Published: Jan 19 2011 | 1:42 AM IST

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