The Telecom Regulatory Authority of India (TRAI) has issued its recommendations on captive very small aperture terminal (VSAT) closed user group (CUG) licence and has suggested easier norms for the same.

It has suggested slashing the initial financial bank guarantee submitted by a firm prior to signing of captive very small aperture terminal (VSAT) closed user group (CUG) licence. The amount for these financial bank guarantees will be slashed by half to Rs 1.5 million from the initial Rs 3 million.

Further, TRAI has also recommended the creation of a single-window mechanism for catering to requirements of the applicants/licensee companies for processes involved in obtaining licence, and approvals related to space and ground segment.

As per TRAI, the royalty charges should be limited to the assigned frequencies. There is no justification for charging an additional 25 per cent amount.

The industry regulator had sent its recommendations on captive VSAT CUG policy issues to the Department of Telecommunications (DoT) in July 2017. The latest recommendations and clarifications have been issued by the TRAI after considering the DoT’s back reference in this regard