INSUBCONTINENT EXCLUSIVE:
For 2016 auction, government had fixed base price of 700 Mhz band at Rs 11,485 crore per Mhz.New Delhi: Telecom regulator Trai today
recommended rules and prices for the next round of spectrum auction which will include radiowaves for 5G mobile services
The regulator has recommended that base price for bidding should be higher of the two figures - 80 per cent of the average valuation of
spectrum band in the licensed service area or the price realised in the October 2016 auction
The government is yet to finalise the timing of the next round of auction.The regulator has recommended base price of Rs 3,285 per megahertz
for 1800 Mhz band on pan India basis.In a relief to industry, the Telecom Regulatory Authority of India has suggested that the "reserve
price of 700 MHz band should be equal to 2 times of reserve price of 1800 MHz spectrum band" resulting in about 42 per cent reduction in
price of this band at Rs 6,568 crore per Mhz.For 2016 auction, government had fixed base price of 700 Mhz band at Rs 11,485 crore per
Mhz.The price of spectrum in premium 700 megahertz band was fixed at four times the price of 1800 Mhz band -- a frequency range which was
famous as2 2G spectrum earlier.In 2016, spectrum worth about Rs 4 lakh crore was put up for auction but there were no takers for this band
due to its high price.The regulator has recommended reduction of price in telecom circles where spectrum remained unsold in last auction of
2016.Besides, it has issued recommendations for the proposed 5G spectrum in 3300-3600 Mhz band and suggested that "reserve price of
3300-3600 MHz band should be equal 30 per cent of the reserve price of 1800 MHz FDD band".It has suggested that spectrum in 3300-3600 MHz
band should be put up for auction in the block size of 20 MHz."To avoid monopolisation of this band, there should be limit of 100 MHz per
Since the TSPs are allowed to trade their partial or complete spectrum holding to another TSP, the limit of 100 MHz spectrum in 3300-3600
MHz band, shall also apply for spectrum trading," Trai said.
