The Cabinet Committee on Economic Affairs (CCEA) has approved the proposed spectrum swap deal between the Ministry of Communications and IT and the Ministry of Defence. As per the deal, the Ministry of Communications and IT will swap 15 MHz of spectrum in the 1900 MHz band with the equivalent quantum of frequency airwaves in the 2100 MHz band, which is currently held by the defence forces. However, the swap will reportedly take over a year to complete due to the associated complexities. Further, this spectrum will not be put for sale in the February 2015 auctions.

Meanwhile, CCEA has also approved the creation of a defence band across 49 slots between 3 MHz and 40 GHz, including nine slots that will exclusively be used by the defence forces. Further, additional 31 spectrum slots have been earmarked for both defence and commercial use by organisations such as the information and broadcasting ministry (for television and radio), space department and civil aviation ministry. Nine slots will require further negotiations between the defence and other ministries because of interference-related issues. A working group will be set up to resolve these issues.

Also, CCEA has approved regulations that will govern the defence interest zone (DIZ), which refers to the 50 km area near the international border where the defence ministry and telecom department have been negotiating terms-of-use parameters during peace time and hostilities. The spectrum will be in use for commercial purposes during peace time, while during hostilities or war the spectrum will be transferred to the defence forces. Moreover, if, during peace time, the defence forces need to use the spectrum in the DIZ, they will have to seek permission from the government.