2G and 3G spectrum auction Wednesday March 04,2015

 

The biggest-ever auction of 2G and 3G spectrum begins today and this is likely to fetch the government over Rs. 82,000 crore based on the reserve price.

The NDA Government plans to sell 380.75 MHz of spectrum in three bands -- the premium 900 MHz band, 1800 MHz and 800 MHz, besides 5 Mhz in the 2100 Mhz band across 17 out of 22 telecom areas in the country.

At the minimum or auction start price for the 2,100 Mega-Hertz band or 3G spectrum, the government would garner at least Rs. 17,555 crore. The reserve price for auction of 2G spectrum in 800 MHz, 900 Mhz and 1800 MHz bands will fetch the government Rs. 64,840 crore.

Most of the spectrum being put up for the auction is presently held by -
Airtel
Vodafone
Idea Cellular and
Reliance Telecom.

Their licences are expiring in 2015-16.Overall 29 licences in 18 service areas will expire in 2015-16

Mobile licences for Idea Cellular's 9 circles, 6 circles of Airtel and 7 circles each of Vodafone and Reliance Telecom are coming up for renewal.

It is mandatory for these companies to bid for spectrum if they have to continue offering mobile and other telecom services as their permit is expiring.

Note
The UPA Government had raked in Rs. 62,162 crore from the last spectrum auction in February 2014

Auction gets Rs 60,000 cr bids on first day

The auction of 2G and 3G spectrum started on Wednesday on a high note with operators making bids worth an estimated Rs 60,000 crore after six rounds of bidding in all four bands.

The bidding will resume on Thursday in the auction through which the government is expecting to raise around Rs 1 lakh crore.