The government will continue with the allocation of spectrum for satellite broadband outside the auctions, in accordance with the law laid down in the Telecommunications Act 2023, two people familiar with the development said.
The decision was taken after high-level consultations within the Communications Ministry, one of the people said, even though several petitions filed by the government in the Supreme Court have not been accepted.
“For the items specified in the law that will be provided through administrative allocation, the law will be followed,” said one of the people, who asked not to be named.
According to the Telecommunications Act, 19 types of services can be allocated outside of auctions
According to the first schedule of the Telecommunications Act 2023, there are 19 types of services, including satellite broadband, which is technically called global mobile personal communications via satellites (GMPCS), and others such as TV broadcasting, direct-to-home (DTH), national long-distance communications . calling, maritime and in-flight connectivity services can be allocated outside of auctions.
Also read: Telecom regulator to revive talks on spectrum allocation
“The courts had to be informed and the application was processed. The government will not go back to the Court,” the person said. The Economic Times reported on Wednesday that the Registrar of the Supreme Court had not accepted the government's miscellaneous request to allow administrative allocation of spectrum in special cases, on the grounds that it had not disclosed reasonable grounds for being entertained while also noted the time that has passed since the verdict in 2012. The report added that the government sought review of the order passed by the court in the form of a petition.
The Supreme Court had said in 2012 that competitive auctions will be the route for distribution of natural resources owned by the public. A request for review of the verdict was withdrawn by the government. The verdict was also followed by a presidential reference from the Union government.
Mint had said last week, quoting officials, that the application filed by the government did not seek to modify the court's 2012 order and that auction will remain the sole mechanism for doling out spectrum for telecom services.
To be fair, the government is currently allocating spectrum in certain categories on an administrative basis, for example, radio waves to state-owned carrier Bharat Sanchar Nigam Ltd, spectrum for radar for weather forecasting, for maritime communications on ships, communications and radar for the armed forces. .
Also read: Center targets 30% increase in revenue of telecom companies in FY25
A second person aware of the development said the telecom department was about to prepare a reference to the Telecom Regulatory Authority of India (Trai) for initiating fresh consultations on allocation of airwaves for satellite broadband.
“The referral to the regulator is being prepared and will be sent shortly,” said the person, who asked not to be named.
Mint had said last week that the Trai's new consultation will focus on providing recommendations on the allocation mechanism, the frequencies to be distributed and the pricing of the spectrum that will be administratively allocated.
Trai had first initiated consultations on satellite spectrum allocation methodology in 2022 and had held several rounds of consultations last year, including an open house discussion, but made no recommendations in view of the enactment of the new telecom law.
Also read: Indian telecom companies also want a fair share of the turnover of internet companies
Satellite spectrum is crucial for players like Bharti Group-backed Eutelsat OneWeb, Reliance's Jio Satellite Communications, Elon Musk's Starlink and Amazon's Project Kuiper to launch satellite broadband services in India. While OneWeb and Jio Satellite Communications have a GMPCS license, Starlink and Kuiper have applied for one. DoT had given in-principle approval to Starlink's application, but is yet to get approval from security agencies, which is required for formal approval.
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Published: May 1, 2024 5:26 PM IST