Over 1,500 MHz spectrum likely to be available by 2015

Will help the government expand mobile and broadband penetration in the country

Press Trust of India New Delhi
Last Updated : Sep 21 2014 | 12:32 PM IST

In the premium 700 Mhz band, which can be used for 4G and is even being considered for 5G services, 93 MHz of radiowaves can be put for sale. In the 800 MHz (CMDA), 900 MHz and 1,800 MHz bands 117.5 MHz, 184 MHz and 104 MHz, respectively, can be made available, sources said.

In 2,300 MHz band (broadband wireless access spectrum), 320 MHz spectrum, and in the 2,500 MHz band about 720 MHz could also be put on the block for sale, they added.

Besides, the government expects to make available a fresh set of 300 MHz spectrum for mobile services by 2017 and an additional 200 MHz by 2020.

Sources said that almost all of the spectrum in 800 MHz, 900 MHz and 1,800 MHz will be available through the expiry of licences as well as that unsold in the last conducted auction.

For 700 MHz band, sectoral regulator Trai had recommended that the reserve price for the spectrum should be four-times of that of the 1,800 MHz band.

The 700-Mhz frequency band is considered to be one of the most valuable slots for telecom services as most of the latest technology can be transmitted in this band. Also investment required to roll out infrastructure will be lower for telecom companies in 700 Mhz compared to using higher frequency.

Spectrum auction in the last four years has fetched the government about Rs 1.75 lakh crore, which includes Rs 61,162 crore this year from auction in the 800 MHz, 900 MHz and 1,800 MHz band and Rs 1.05 lakh in 2010 in 2,300 MHz and 2,500 MHz.

Government has set a revenue target of Rs 45,471 crore from communication services, including proceeds from spectrum auction and other related charges in 2014-15 fiscal.

Additionally, there are plans to make available 85 MHz spectrum in the 2,100 MHz band -- presently used for 3G services -- but that will be subject to release by the Defence Ministry, sources said.

Availability of spectrum will aid the government in achieving the objectives in the National Telecom Policy (NTP) 2012.

According to NTP 2012, the government aims to increase rural teledensity from the current level of around 39 to 70 by the year 2017 and 100 by the year 2020.

Besides, it aims to provide affordable and reliable broadband on demand by 2015, to achieve 175 million broadband connections by the year 2017 and 600 million by the year 2020, at minimum 2 Mbps download speed and making available higher speeds of at least 100 Mbps on demand.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Sep 21 2014 | 12:15 PM IST

Next Story