BUSINESS

The auction procedure for mobile spectrum will go on

Government sources told FE on Tuesday that the auction mechanism would still be used to provide spectrum for mobile services.

The government will only provide administrative funding for things like walkie-talkies for law enforcement agencies, radar for predicting weather, radar and communication for ships, communication for space and satellite applications, radar and communication for the Army, Air Force, and Navy, and PSUs like BSNL. The Telecom Act, 2023, provides a precise definition of the same, according to authorities.

In reality, a June auction for 4G and 5G spectrum has already been set aside for mobile services.

The government moved the Supreme Court on Monday to urgently list its application seeking permission for administrative spectrum allocation in cases involving the public interest or where technical or economic grounds are involved. This highlights the importance of distinguishing between mobile services and other narrowly defined areas.

Before proposing the Telecom Bill in the parliament, the government followed proper procedure and filed the application with the Supreme Court.

According to sources, the application does not request that the Supreme Court’s decision be altered.

The government argues in the application that the competitive auctions required by the 2G judgment might not always be appropriate for technical or financial reasons, particularly when it comes to using spectrum to carry out sovereign non-commercial functions like safety, security, and disaster preparedness.

The Telecom Act made it possible for spectrum to be allocated for satellite communication services via the administrative process in a first for the industry. This has been accomplished by placing these services under Schedule 1, which up to now has only included services pertaining to the government and security. Private companies will be included on this list for the first time.

The Telecom Regulatory Authority of India (Trai) will also be consulted by the Department of Telecommunications (DoT) over the cost and process for allocating spectrum for space-based communication services.

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