The SACFA clearance has come only a couple of weeks ago. However, the NSE will now have to get an operating licence from DoT to be able to begin operation at the hub.
An exact replica of the current system used at the NSE in Mumbai will be created at Pune. It will store all the data flowing at the Mumbai system on a near-real-time basis at the hub, a NSE official said.
SACFA basically examines the clashing of frequency of the proposed system with that of the existing services like All India Radio and other using wireless system.
The question of frequency is very crucial as it will decide in future which of the two, Mumbai or Pune, sites remain as main centre for the NSE. If NSE keeps expanding at the rate it is doing at the moment, Pune might eventually become the main centre on account of clash of frequency in Mumbai which is a hub for a host of many other activities.
However, it is a long term eventuality. In such an eventuality the disaster back-up hub will have to be developed somewhere else, R H Patil, NSE managing directer said.
The back up hub will serve as a preserver of crucial data in the event of any natural calamity, fire or other disastrous happening resulting in total or partial breakdown of system in Mumbai.
Most importantly, the National Securities Depository Ltd (NSDL) will also have its back-up hub at the Pune site. The company is learnt to have already applied to DoT for this purpose.
Aa back up hub is mandatory for the depository and is a major item under the various safeguards which need to be ensured for a depository to operate.
Having received the SACFA nod, which meant getting clearance from as many as 30 different agencies, the NSE has now applied for grant of permission for interlinking the Mumbai and Pune sites.
While the NSE has been planning this hub for last one year, it has taken it almost 4 to 5 months to get the SACFA clearance. Getting operating licence would also take few more weeks.
The total estimated capital cost for the purpose of setting up the hub including the interlinking of the Mumbai and Pune sites is put around Rs 50 crore. However, there will be recurring cost incurred every year. The entire cost for setting up the hub will be provided by the NSE of India Ltd.
Patil said that the NSE had already placed the orders for the equipment required for the hub and L/Cs have already been opened. The equipment have mainly been acquired from Stratus, Digital, HCL-HP through GE Spacenet.
