The Hindu Business Line : 3G: Final decision rests with Govt, says DoT

New Delhi May 25 The decision on whether or not to allow foreign players for bidding for third-generation mobile services will be taken by the Government and not the Telecom Regulatory Authority of India (TRAI).

Senior officials in the Department of Telecom (DoT) said that the recommendations made by the telecom regulator are not binding on the Government.

Though the telecom regulator had recommended that the licences for 3G services should be limited to existing operators only, former Communications Minister, Mr Dayanidhi Maran, had rejected it, stating that the Government would allow new players, including foreign operators, to bid for the 3G licence.

Existing operators have opposed this move and have claimed first right to 3G licences.

Senior TRAI officials said that the regulator was backing the operators' stance and the Government would have to send back the recommendations to the regulator if it wants to change it.

Senior DoT officials, however, said that if the Government has already made up its mind to allow foreign players, the second opinion from the TRAI would only be academic to the process.

They pointed out to a number of instances in the past where DoT has overturned TRAI recommendations.

"The TRAI Act clearly states that the Government is the final authority," they added.

"The TRAI's second opinion is also recommendatory in nature. The Government does not need the TRAI's nod to implement its policy."