Spectrum bids to generate Rs 40k cr

 Despite getting lukewarm response in the earlier two auctions, the government on Monday expressed its confidence that it would be able to raise Rs 40,000 crore from spectrum sale this fiscal.

“We are very confident that these auctions are going to be successful, and that all the spectrum that is to be auctioned will be sold,” Telecom Secretary M F Farooqui told reporters here.

The Department of Telecom (DoT) is likely to hold the auction in January, and the government has set the target of earning Rs 40,874.5 crore this fiscal from spectrum auction, including auction amount, one-time spectrum charge and annual regular licence fee.

The Telecom Regulatory Authority of India (Trai) had recommended a cut of up to 60 per cent in the auction reserve price for spectrum in the 900-MHz band in the Delhi, Mumbai and Kolkata circles. It had also suggested a 37 per cent cut in the reserve price for spectrum in the 1,800-MHz band.

However, the Telecom Commission, the highest decision-making body of the DoT, had recommended raising reserve price of pan-India mobile phone spectrum by 15 per cent over the one suggested by Trai, and 25 per cent higher in case of key circles like Delhi and Mumbai.

The empowered group of ministers has approved the price recommended by the Telecom Commission.

The government had got Rs 9,407.64 crore from the auction of spectrum in November last year and Rs 3,639 crore from the auction in March this year.

Comments (+)