DoT to allow non-licencees to bid for 3G spectrum

According to Draft Guidelines for Auction and Allotment of spectrum for 3G services, Department of Telecom (DoT) has said that "the successful bidder would get spectrum (radio frequency) allotment for 3G services for a period of 20 years.

"Successful bidders who are not licencees should be given a Unified Access Service (UAS) licence," DoT said.

This paves the way for foreign and new players, besides existing 2G service providers like Bharti, Vodafone and Idea to participate in the auctioning process. Telecom regulator TRAI had strongly opposed the participation of foreign players.

If the guidelines are finalised in the current shape, as many as 342 aspirants, including AT&T, DLF and Deutsche Telecom-MoserBaer who failed to get new telecom licences in the last round, may get to bid for spectrum for launching next generation (3G) mobile services.

According to sources, DoT fears that if only foreign players, who do not even have a licence, were allowed to participate in the 3G process, existing applicants may go to court and delay the entire process.

"If a non-licence holder gets 3G spectrum on the basis of auction, it will be given a licence. There are 342 applications pending for grant of licence on first come-first served basis. These applicants may also go to court and delay the process," sources said.