The Telecom Regulatory Authority of India (TRAI) on Saturday Feb 22,2014 announced
reserve prices for CDMA (800 MHz band) spectrum, putting minimum cost of
pan-India per MHz of radiowaves at Rs.2,685 crore, almost 50 per cent
jump for the last auction's base price.
Of 22 telecom circles, the top five service areas in terms of their reserve price are -
Delhi Rs.450 crore per MHz
Mumbai Rs.352 crore
Maharashtra Rs.282 crore
Tamil Nadu Rs.247 crore and
Gujarat Rs.212 crore
The auction for the 800 MHz spectrum is likely to take place later this year or early next year.
The auction be conducted in blocks of 1.25 MHz and it should be mandatory for new entrants to win at least 5 MHz of spectrum especially in the contiguous blocks. "However, an existing TSP (telecom service provider) i.e. a TSP having some spectrum holding in the 800 MHz band should be permitted to bid for a minimum 1 block of spectrum.
Note
For the 800 MHz band spectrum auction held in March 2013, the serve price was Rs.1,800 MHz per MHz. Here only Sistema Shyam Teleservices Ltd (SSTL) had bought spectrum for eight circles for Rs.3,639 crore
TRAI has also recommended that the entire CDMA spectrum held by the telecom PSU MTNL in Delhi and Mumbai be put up for auction as it is underutilised, besides suggesting that spectrum held by BSNL should be taken back and put for auction, except for one block of frequency in Jammu and Kashmir, Assam and North-East service area.
Of 22 telecom circles, the top five service areas in terms of their reserve price are -
Delhi Rs.450 crore per MHz
Mumbai Rs.352 crore
Maharashtra Rs.282 crore
Tamil Nadu Rs.247 crore and
Gujarat Rs.212 crore
The auction for the 800 MHz spectrum is likely to take place later this year or early next year.
The auction be conducted in blocks of 1.25 MHz and it should be mandatory for new entrants to win at least 5 MHz of spectrum especially in the contiguous blocks. "However, an existing TSP (telecom service provider) i.e. a TSP having some spectrum holding in the 800 MHz band should be permitted to bid for a minimum 1 block of spectrum.
Note
For the 800 MHz band spectrum auction held in March 2013, the serve price was Rs.1,800 MHz per MHz. Here only Sistema Shyam Teleservices Ltd (SSTL) had bought spectrum for eight circles for Rs.3,639 crore
TRAI has also recommended that the entire CDMA spectrum held by the telecom PSU MTNL in Delhi and Mumbai be put up for auction as it is underutilised, besides suggesting that spectrum held by BSNL should be taken back and put for auction, except for one block of frequency in Jammu and Kashmir, Assam and North-East service area.
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