Government Likely to Issue Spectrum Auction Details by January 6

The government is likely to issue details for the upcoming spectrum auction in the 800MHz, 900MHz, 1800MHz and 2100MHz band by January 6.

The Cabinet will also take a decision on the base price for the spectrum auction - scheduled for February 23 - next week.

"Department of Telecom (DoT) expects to issue auction details through the Notice Inviting Application (NIA) after the prices are approved by the Cabinet next week. The NIA should come likely by January 6," an official source said.

Sectoral regulator Trai has already given recommendations on the base price and other modalities for the auction of the airwaves in 800MHz, 900MHz, 1800MHz and 2100MHz bands and has also suggested that all the bands should be auctioned simultaneously.

On Wednesday, Trai recommended a base price of Rs. 2,720 crore per megahertz pan-India for sale in 2100MHz band, used for offering 3G services, which is about 19 percent lower than what operators paid in 2010.

It had earlier recommended a price of Rs. 2,138 crore per MHz for the 1800 MHz band and Rs. 3,004 crore per MHz for the premium 900MHz band.

For the 800MHz band - used by CDMA operators - the body had suggested a reserve price of Rs. 3,104 crore per MHz.

The Government expects to raise at least Rs. 9,355 crore from auctioning three sets of available spectrum. It also expects to raise additional Rs. 5,000 crore from the auction of 3G spectrum in the 2100MHz band after it is vacated by the Defence Ministry.

The government has already finalised Kolkata-based mjunction services for conducting spectrum auction.