Deadlock over 3G reserve price continues

The Ministries of Finance and Telecom continue to differ over the reserve price of 3G spectrum with the former favouring Rs 4,040 crore while latter stuck to its estimate of Rs 2,020 crore for pan-Indian licence.

"No consensus as of now on the base price. We discussed various suggestions that whether we should go for uniform base price or differentiate according to circle depending upon commercial viability," Telecom Minister A Raja told reporters after meeting Finance Minister Pranab Mukherjee.

The Department of Telecom (DoT) made a detailed presentation to Mukherjee listing out number of slabs of 3G spectrum to be auctioned, it base prices and other details.

"We shall definitely reach a solution on the reserve price before the presentation of general Budget on July 6," Raja said.

This was his second meeting with Mukherjee during the day. Earlier, after meeting the Finance Minister in the morning, he had said that the government may garner at least Rs 25,000 crore from the auction of radio waves for 3G mobile, and wireless broadband services.

"We have assured (the Finance Minister) of an early rollout, an early auction and more revenue for the government," Raja said.