The government today decided to make a Presidential Reference to the Supreme Court asking it whether its judgement in the 2G telecom licences case makes auctioning of natural resources across all sectors mandatory in all circumstances.
The Union Cabinet,chaired by Prime Minister Manmohan Singh,cleared the Telecom Ministry’s proposal to seek Supreme Court’s opinion on various issues arising out of is February 2 judgement cancelling 122 2G licenses issues on first-come- first-serve basis.
The Court had also observed that auction was the best suited route for allocation of natural resources like telecom spectrum because the policy of first-come-first-serve was flawed.
“Today,the Cabinet cleared all questions for which we are seeking presidential reference under advisory jurisdiction,” Telecom Minister Kapil Sibal told reporters
after the meeting.
The Department of Telecom feels that the judgement has ramifications on several other sectors which also use the Supreme Court condemned first-come-first-serve policy for allocation of natural resources and had hence sought Presidential reference.
The Supreme Court admitted the government’s review petition filed earlier seeking clarification on the process of auction to be followed on the cancelled licences. But it
rejected 10 other petitions filed by telecom companies seeking review of its February order.