Mobile phone companies allowed to keep 8 MHz of 2G airwaves

Xen

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Official Info
India will allow mobile phone companies to retain 8 MHz or units of second-generation airwaves in every region when mobile permits of companies come up for renewal beginning 2014, a telecom department official told ET.

The process towards renewing mobile permits will start in early 2013, and the telecom department wants to complete it by mid next year to ensure a smooth transition before the licences of incumbent telcos expire, the official added.

ET reported earlier this week that government will take away the more efficient 900 MHz airwaves from existing GSM operators. This is in line with sector regulator Trai's recommendations that redistribution of the 900 MHz through auctions be undertaken about 18 months prior to the expiry of mobile permits. The DoT official said telcos will only be allowed to retain 2G airwaves in the 1800 MHz when their permits are renewed.

Put simply, if Bharti Airtel has, say, 10 units of airwaves in the 900 MHz band in a region where its permit expires in 2014, the telco will have to put this up for reallocation, and the government will substitute it with 8 MHz of second-generation airwaves in the 1800 MHz band.


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