DoT forms committee for segregating revenues from BWA spectrum

The Department of Telecom has constituted a 5-member committee that will look into the segregation of revenues earned by telecom operators from the use of Broadband Wireless Access spectrum.

 

According to sources, DoT has asked operators to put in place a system within 6 months for monitoring and verifying the revenues earned from BWA spectrum.

 

"The competent authority has approved the formation of a committee to ensure satisfaction of the licensor for segregation of revenues," said a source.

 

The Cabinet has cleared flat spectrum usage charge (SUC) of 5% for radiowaves auctioned in February. The existing telecom operators are required to pay the weighted average of their existing SUC, and 5% for the new spectrum.

 

However, the SUC for BWA was kept unchanged at 1%. But it was decided that the operators would be required to report the revenues earned from BWA spectrum separately.

 

If the telecom operators are utilising BWA frequencies in 2300 MHz band, they are required to report the revenues earned from them separately.

 

According to sources, DoT has asked the committee to submit its report by May 15. It has also asked Reliance Jio Infocomm and Bharti Airtel to provide all details related to BWA spectrum.

 

Reliance Jio has got pan-India spectrum in 2300 MHz band whereas Airtel has got it for eight circles, or telecom service areas.

 

Airtel also bought spectrum in 900 Mhz band for Delhi, Mumbai and Kolkata and 1,800 MHz band in 15 circles in the auction last month.

 

Reliance Jio bought 1800 MHz radiowaves in 14 circles. As per the rules, both the operators have to pay SUC of 1% for spectrum in 2300 MHz band and 5% for the newly acquired spectrum.