The inter-ministerial panel on telecom,at its meeting on Friday,proposed a base price of Rs 14,111 crore for the 5-Mhz 2G spectrum in the 1,800-Mhz band in the upcoming auctions. If accepted by the Cabinet,this will be the reserve price for operators who wish to purchase spectrum in the GSM technology,currently the most popular technology for mobile operators.
Likewise,the reserve price for 2G spectrum in the CDMA technology band has been recommended 1.3 times higher at Rs 15,111 crore. Russian operator Sistema-controlled Sistema Shyam is likely to bid for spectrum in the CDMA band of 800 Mhz.
The recommendations,passed by the empowered group of ministers (EGoM) on Friday,will now be deliberated upon by the Cabinet ,the date for which is yet to be fixed. It is still unclear,however,as to what spectrum usage charge the EGoM has proposed with these base prices.
Trai had proposed a much higher Rs 18,110 crore for GSM and a 1.3 times higher than that for CDMA bands with a spectrum usage charge of 3 per cent.