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The Telecom Regulatory Authority of India seeks clarity on spectrum usage charges from the Department of Telecommunications

April 14, 2014

The Telecom Regulatory Authority of India (TRAI) has sought details regarding the current regime of spectrum usage charges (SUC) in place for captive, commercial networks and services under community radio stations, besides the mechanism being used for levying such charges on the operators.

 

The regulatory authority has also sought a list of commercial satellite operators and the frequencies allotted to them. The regulator has asked the Department of Telecommunications (DoT) reasons for assigning spectrum for less than 20 years as per the unified license when spectrum is being used for providing public services such as community radio.

Earlier, in February 2014, DoT had asked TRAI for recommendations for pricing the spectrum in cases of non-commercial, captive and social usage of spectrum.

The department is seeking recommendations since all future spectrum for commercial use are supposed to be allotted at a market determined price, through auctions. According to DoT, any spectrum allotted for less than 20 years, which is the full term of a licence period, will have an impact on the auction process and its rules besides the market price, level playing field and revenue realisation.

However, DoT had suggested that the regulator must take into account that allotment of spectrum for captive and commercial satellite services will continue to be on administrative basis and that SUC will be levied administratively, based on a formula.

 
 

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