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Government Issues Details for Auction of 5MHz of 3G Spectrum

Government Issues Details for Auction of 5MHz of 3G Spectrum

By Press Trust of India | Updated: 30 January 2015 16:12 IST

Government has issued details for auctioning 5MHz of 3G spectrum across 17 out of 22 service areas at a pan-India base price of Rs. 3,705 crores per megahertz.

The quantum of spectrum in 2100MHz band (3G) being put for auction is 75 percent less than the quantum recommended by telecom regulator Trai and demanded by the industry.

In the latest amendment to notice inviting application for spectrum auction set to start from March 4, the DoT has said that only one entity will be able to win 3G spectrum in one service area.

One block of 5MHz has been put for auction in all service areas except Jammu & Kashmir, Bihar, Himachal Pradesh, West Bengal and Punjab.

This amounts to a total of 85MHz from which government estimates to garner Rs. 17,555 crores. Of this a sum of Rs. 5,793 crores is expected to be realised in the current financial year.

DoT has not announced any separate time line for 3G auction process which means that interested companies will have to submit application to bid for this spectrum by February 16.

The DoT has also not announced any pre-bid session for 3G spectrum auction as was demanded by telecom sector players on January 13 when the session was held for rest of the spectrum bands - 900MHz, 1800MHz and 800MHz band.

However, companies have the opportunity to approach DoT and seek clarifications by February 2.

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