TRAI proposes steep base price for new 2G auctions

TRAI has proposed Rs 3,622.18 crore as the base price for every megahertz of spectrum.

Telecom regulator TRAI today proposed a sharply higher-than-expected base price for the upcoming auction of the 2G radio spectrum. This comes after the Supreme Court in February ordered the cancellation of all telecom licences awarded in 2008 and mandated fresh awards through open bidding.

The regulator has proposed Rs 3,622.18 crore as the base price for every megahertz of spectrum in the 1,800 mega hertz band,where radio airwaves have been made available after the cancellation of licences. For a pan-India licence,this amounts a reserve price of over Rs 18,100 crore. This is well above the record set at the July 2010 3G auctions and is nearly 10 times the floor price at which former telecom minister A Raja had allocated spectrum and telecom licences to companies like Unitech Wireless and Swan in 2008.

TRAI also proposed that the auction should be open to all eligible carriers holding spectrum below a prescribed cap. The recommendations are not binding on the government,which has final say on the auction modalities.

Story continues below this ad

Expectedly,telecom operators have strongly objected to the recommendations and asked the political leadership to ensure that the gains of telecom liberalisation are not undone.

In a joint statement,the two telecom industry bodies,COAI and AUSPI,said the recommendations mean a reserve price of over Rs 18,100 crore for a block of 5MHz in the 1800 MHz band. This was arbitrary,regressive and inconsistent,they said,and detrimental to the sectors future. The regulators actions appear… biased against operators for reasons best known to it.

A majority of operators in their responses to the consultation paper issued earlier by TRAI had suggested the reserve price for 1800 MHz to be fixed for Rs1,658 crore the price charged for a pan-India 2G licence in 2008.

Tags:
A. Raja

Air India safety violations, Air India show cause notices, Air India Boeing 787 crash, Air India London Gatwick crash, DGCA Air India inspections,

‘Unfortunate’: SC slams reports suggesting ‘pilot error’ led to Air India crash

Legal4 hr ago

The Supreme Court Monday issued notice on a plea seeking an independent and expeditious investigation into the June 12, 2025, crash of an Air India Boeing Dreamliner in Ahmedabad, which killed 260 people. The bench also termed as “unfortunate” media reports which indicated that “pilot error” was to blame for the crash, purportedly quoting some preliminary findings by the AAIB.

View all shorts

Live Blog