The issue of spectrum pricing continues.
Prior to this, the Department of Telecommunications (DoT) had suggested asking mobile operators to pay an auction-determined price for the 2G spectrum they hold for the remaining period of their licences. DoT feels that this will help ensure a level playing field in the industry.
However, the industry has reacted unfavourably to DoT?s suggestion. Tata Teleservices Limited (TTSL), for instance, has said that it will resort to legal means if DoT?s proposal is passed. The operator is of the view that DoT?s proposal would render its operations unviable in the short-and-long term. The operator?s 2G licence is valid until 2023-24.
To this end, N. Srinath, managing director, TTSL, has written to DoT saying that since the government intends to charge for all spectrum prospectively, the players who are due to renew their licences would stand to gain, compared to those whose licences were issued later and hence have longer periods for renewal.
