Trai issues consultation paper on satellite communications, seeks views

Suggests pricing tied to AGR, separate charges for C, Ku, and Ka bands

The Telecom Regulatory Authority of India (Trai) on Friday released a consultation paper on satellite communications seeking industry views on the spectrum allocation process and the pricing of satellite spectrum.

Trai has suggested spectrum charges to be tied to Adjusted Gross Revenue, ensuring the spectrum charges are commensurate with the operator's financial performance.

"This provides for a flexible financial burden that aligns with the operator’s capacity to pay," it said.

“Moreover, revenue-based spectrum charges take into account the level-playing field among operators of different sizes as smaller operators with lower revenues pay less and larger operators, who may generate more revenue,” it said.

The regulator has suggested the pricing exercise for the C, Ku, and Ka bands should be distinct, taking into account the specific characteristics of spectrum utilisation for satellite-based communication services.

The consultation paper seeks to clarify the methodology of allocation, the frequencies to be used, the pricing of spectrum and the terms and conditions to be met by satellite operators with regards to national security.

Trai has sought comments on which frequency bands should be considered for the assignment to Non-Geo Stationary orbit (NGSO) based Fixed Satellite Services for providing data communication and Internet service. 

It has asked which frequency band, range should be considered for the assignment to the Geostationary Orbit (GSO) and NGSO-based Mobile Satellite Services for providing voice, text, data, and Internet service.

Currently, the Indian satellite broadband industry is in its early stages, Trai said.

The growth and business potential of satellite broadband services are expected to become more evident after several years of operation. 

“Therefore, the current pricing exercise should be based on an intertemporal analysis — considering the present state of the satellite industry while also providing predictive insight into its future development," the consultation paper said.

For satellite earth station gateways of different satellite systems operating in the same frequency range, it has asked whether there is a need to prescribe a protection distance or any other measures to avoid interference from each other.