DoT is reportedly planning to proceed with TRAI's recommendations regarding auction of spectrum with a reserve base price. In the first round, DoT aims to reserve at least one of the five spectrum slots, each of 5 MHz, for PSUs like BSNL and MTNL. The remaining slots would be opened for bidding by private players.

The Ministry of Communications and IT has expressed its concurrence with the recommendations. DoT's expert panel on 3G spectrum allocation for telecom companies will announce its findings by December 2006.