DoT panel to vet Trai 2G proposal

The telecom department on Wednesday referred two controversial reports — the Sam Pitroda committee’s report on BSNL and Trai recommendations on telecom licences and spectrum — to the internal committee.

The telecom minister, Mr A. Raja, on Wednesday met the officials of the telecom companies who were concerned over some of the recommendations of Trai.
During the meeting it was decided that the government would refer the concerns of the telecom operators on Trai’s recommendations to an internal committee of the telecom department headed by member (technology) Mr Chandra Prakash. The chairman and managing directors of MTNL and BSNL were also present. The old telecom companies are against a number of recommendations of Trai which will result in them shelling out money for the spectrum they hold.
Some of the players have even met with Prime Minister Manmohan Singh claiming that these recommendations if accepted will harm the sector.
The telecom regulator in its recommendation had said that telecom operators who have spectrum beyond 6.2 MHz should pay for excess spectrum in line with the price discovered through the 3G auction. This step will hurt old telecom players like Bharti, Vodafone, Idea, BSNL and MTNL among others who have more than 6.2 MHz in many circles. In the Delhi circle, for instance, Bharti and Vodafone have 10MHz of spectrum and Idea has 8 Mhz. Trai had put a cap on the overall spectrum which an operator can have.
The telecom operators who have spectrum in excess of this will have to return it during renewal of their licence period. Trai had also recommended that telecom firms will have to pay spectrum fee equivalent to that of 3G spectrum.

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