Defence, telecom ministries agree on alternative network

The defence and communications ministries today agreed to set up a dedicated alternative network for the defence services so that the spectrum occupied by them could be vacated for the existing 2G and 3G services.

The two ministries, would sign a Memorandum of Understanding (MoU) to expedite the process of setting up an alternative network, official sources said.

The Group of Ministers led by External Affairs Minister Pranab Mukherjee met here and reviewed the status of spectrum held by the defence forces and ways to release it for telecom services, they added.

The released spectrum will be accommodated in the proposed auction of frequency for the 3G mobile services for which another GoM has been set up to finalise the price and number of players in each circle.

According to sources, the DoT is likely to get more than 40 MHz of spectrum from the Defence services and the same would be allocated to the existing 2G players and also to 3G players by way of auction.

Asked by when the MoU would be signed between the two ministries, officials said it should happen within a week.

Amid difference of opinion on number of players in a circle and pricing for 3G spectrum, the matter was referred to the GoM, which is yet to be formed.

According to sources, the GoM may take a decision on these issue by the end of this month and auction may take place in the first week of March.

Today’s meeting was attended by the Telecom Minister A Raja and Defence Minister A K Antony.

Sources said that the alternative dedicated network for defence services could cost over Rs 10,000 crore and state-run telecom operator BSNL may be entrusted with the job for setting up the network.