EGoM to decide spectrum price for auction: Telecom

May 26, 2012 |

New Delhi

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A high-powered ministerial panel headed by Finance Minister Pranab Mukherjee will decide on the minimum price to be fixed for auction of spectrum, Telecom Secretary R. Chandrashekhar said on Saturday.

The Telecom Commission (TC), which met for the second time in as many days, deliberated on the base price suggested by the sector regulator TRAI but decided to leave it to the Empowered Group of Ministers (EGoM) to decide on auction price for the airwaves.

"The commission took note of reserve price which TRAI has recommended and it (commission) felt that an analysis need to be made and presented to EGoM on the impact of spectrum price on certain parameters that have been worked out," Telecom Commission Chairman and Secretary, Department of Telecom, R. Chandrashekhar told reporters here.

The inter-ministerial decision making body felt a balance needs to be struck between spectrum price and three other critical factors - revenue to government, tariff to consumer and viability of investment and continued attractiveness of the sector.

Chandrashekhar said DoT will also make certain analysis which will be presented before Empowered Group of Ministers on telecom.

"We hope to work on finalising our proposition to EGoM by end of month. By the time EGoM meets, we hope analysis of TRAI to be available," he said. Telecom Commission has decided to send representations made by industry players for considertaion in their analysis.

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