Defence to vacate spectrum
Committee to give report on Jan 20; Telecom operators told to utilise spectrum better
Is there finally some respite round the corner for beleaguered and hapless mobile telephony consumers? Is the year 2006 going to be free of call drops, cut-offs and general disorder in the cell world ostensibly due to lack of spectrum?
There is some daylight on the horizon. The government has formed a high-level committee to evaluate spectrum requirement and its availability for both 2G and 3G. The committee, headed by Air Commodore Basu (Director- Signals, Air), includes representatives from the Joint Committee Electronics Staff, Army, Navy, joint secretary from DoT M. Sahu and two assistant wireless advisors from the Department of Telecom.
The DoT had created a project definition team headed by M. Sahu to be a part of this high-profile team which has been in confabulations with defence to resolve the matter amicably. Now top government sources told the Hindustan Times that the report was ready and would be submitted on January 20. More significantly, a government official said, “I see early resolution with defence now ready to vacate spectrum for us. This should happen soon.”
According to highly-placed sources, before the allocation of spectrum for 2G to the existing telecom operators, the government will ensure that the incumbent operators use the available spectrum in a more efficient manner. “It is not only about spectrum and defence sitting on it. It is also about utilisation and efficiency. We would like to see how many base transmission stations (BTS) and in-building solutions like Pico Cells have been installed by these operators.
“The installation of such instruments will reduce the load on spectrum and increase efficiency. We are in the process of telling the operators to improve coverage in the open and inside buildings. We are very clear that we won’t be giving fresh spectrum till they utilise what has been given,” said a senior government official.
Because of hectic lobbying and excessive debate, the government has decided to defer the issue of auctioning spectrum for the time being. However, due to mounting pressure on demand of spectrum, a decision needed to be taken at the earliest, said another government official.
In addition, the allotment of fresh spectrum will depend on the number of subscribers in each circle. Will the fresh allotment be technology-neutral? It is a billion-dollar question. The dilemma for the government is whether they should punish more efficient users of spectrum, said government sources. Though the spectrum for 3G would be auctioned, profit maximisation would not be the sole criterion for allotment, added sources. The allotment of 3G spectrum will be done purely for financial purpose, though it has not been successful in Europe and other places. “In the backdrop of such experience, the government would like to ensure that the auctioning does not lead to a situation where the service becomes costly,’’ a government official said.
But then what will be the criterion for allotment? Will it be restricted to the existing operators?
“No, it will not be restricted to the existing players. Fresh entrants will be allowed to participate in the next round of telecom revolution provided that they ensure their capability of rolling out high-quality services, In fact, in many ways, it will be like the migration to the second round of FM radio which was kicked off on Friday. The sources said, “The intent is not to make it cheaper but at the same time no squatters will be allowed.”