Defence ministry may release spectrum by Dec

The ministry of defence (MoD) is understood to have indicated releasing about 50 MHz spectrum by December this year for use in mobile telecom services, and has asked for a list of important locations needing frequency immediately.

The development comes as a ray of hope for prospective entrants in mobile telephony who have applied for licences as well as the existing players requiring additional spectrum.

Meanwhile, the group of ministers examining vacation of spectrum from the armed forces is likely to meet on September 7 for the first time to discuss the issue.

Official sources said at a meeting with telecom secretary last week, the defence secretary suggested that an memorandum of understanding (MoU) could be signed between the two ministries so that an appropriate communication network for the defence services could be set up at the earliest.

"Both (MoD and the Department of Telecom) have agreed in-principle to sign an MoU, if this can lead to quick vacation of the required spectrum for mobile telephone services," sources said.

Additional spectrum is required both by existing players like Bharti and Vodafone-Essar to expand their network in view of increase in number of subscribers and also by Parsavnath Developers and HFCL who have applied for pan-India license.

Besides, Vodafone's joint venture partner Essar has also separately applied for new licenses. Reliance Communication is also in queue seeking spectrum to start GSM services along with its CDMA-based operations.

DoT feels that requirement for additional spectrum was not uniform throughout the country -- about 35 MHz in metros and metro-like cities (total about 50), while requirement for rural areas would be about 15 MHz. The defence forces could vacate this spectrum by December this year.