Spectrum freeze not for BSNL

The government has decided to exempt Bharat Sanchar Nigam Ltd (BSNL) from its recent order that meant freezing fresh allocation of radio frequency until the spectrum policy was finalised. The move follows a discussion between Communications & IT Minister Dayanidhi Maran and the Wireless Planning Cell.

The decision was taken as BSNL was not party to the ongoing tussle between GSM and CDMA operators on the quantum of spectrum and the criteria for allocation, telecom department officials said. The government hopes to finalise the spectrum policy by December.

"It has been recommended that no further spectrum be made available to the private operators till the issue regarding criteria and spectrum efficiency of the two technologies is resolved. The allotment of carriers for microwave access (intra-city) and backbone (inter-city, long distance) networks will also be kept on hold," an official added.

The move is expected to affect the expansion plans of the CDMA and the GSM operators in the coming months as they have already exceeded their stipulated limits for accommodating subscribers in their allocated spectrum.

The radio frequency crunch has also forced some operators to stop the addition of new subscribers, especially in the metros, according to a Trai report.

The government has recently set up a high-level committee, chaired by Dayanidhi Maran and comprising GSM and CDMA operators to settle all controversial issues including the spectrum policy.

"The move implies that we have no choice but resolve their differences at the earliest to be able to meet roll-out targets," said an industry representative.