Terming the Trai recommendations on spectrum "retrograde and perverse", Vodafone today asked the government to reject the report as its acceptance would sound the death knell for the telecom sector.

In a letter written to Telecom Minister A Raja days after the sectoral regulator submitted the report to the Telecom Department, Vodafone said, "...The entire industry is devastated by the illogical, retrograde and perverse recommendations."

Also Read   Related Stories News Now - Vodafone asks government to reject Trai's 2G proposals - New norms have left enough scope for M&As: Trai chief - Addl 2G fee won't hit operators' profit: Trai - Govt to hear out telcos before deciding on TRAI proposals - Asim Ghosh in talks to sell Vodafone stake - Veta to set up 15 spoken English training centres in Gujarat

Also Read   Related Stories News Now - Markets post worst May performace since 2006 - Kavveri Telecom Q4 net declines over 6% - Wall Street opens flat on economy worries - RIM to set up first BlackBerry innovation zone in India - Rajaratnam bragged about sources of inside info: Gupta lawyers More

All Trai proposals need to be approved by the Department of Telecom (DoT) to be made a law.

The letter comes at a time when all the major GSM operators, including Bharti Airtel, have strongly opposed Trai's recommendation to charge incumbent telecom operators a one-time fee for holding 2G spectrum beyond 6.2 MHz.

For radiowaves beyond the contracted 6.2 MHz in their possession, the Trai on May 11, recommended that operators pay a one-time fee based on prices of 3G spectrum, the auction for which is currently on.

Bharti, Vodafone Essar, MTNL and BSNL hold over 6.2 MHz of spectrum in many of the circles. Bharti and Vodafone hold more than 10 MHz in many circles, including Mumbai and New Delhi.

As per Trai proposals, for spectrum between 6.2 MHz and 8 MHz, operators have to pay a one-time fee discovered by the 3G auction. For spectrum between 8 MHz and 10 MHz, the fee will be 1.3 times the 3G price.

The letter further said that the recommendations have caused much negative sentiment in the market and have already led to a loss of confidence amongst the investing community.

Telecom stocks were battered on the bourses following the Trai proposals in anticipation of operators' balance sheets being hit by huge payout.

"If accepted, will lead to many investors rethinking their business plans and prospective investments in Indian telecom. This would undermine the goal of extending LCM and mobile broadband services to the poorest across the country," the Vodafone letter said.

New Ipad Application :Business Standard's all new IPad App Click here to download for free Other Stories      - Markets post worst May performace since 2006 - Kavveri Telecom Q4 net declines over 6% - Wall Street opens flat on economy worries - RIM to set up first BlackBerry innovation zone in India - Rajaratnam bragged about sources of inside info: Gupta lawyers

Tags : Vodafone | Trai | telecom sector | A Raja | 2G spectrum   Read Business news in  Advertisements -  Help a Child Achieve her. Click to know more -  Benefits Upto Rs. 2.36 Lakhs on the Fully Loaded TJet Petrol. -  Watch The Film Here. Click here to know more.. -  1 billion in saving for Unilever without any tangles. -  One Partnership Endless Possibilities. Click here to know more -  Which is the best plan for your daughter -  Check out the TRUE COLOURS of your Stocks, Now for FREE!