The Hindu Business Line : TRAI cautions DoT against overriding regulatory procedures

DoT has been exploring the option of introducing a new breed of telecom licences which would enable foreign and new players to bid for 3G (third generation) mobile spectrum.

Thomas K. Thomas

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New Delhi, May 27 The Telecom Regulatory Authority of India (TRAI) has cautioned the Department of Telecom against taking any decision on policy matters without consulting it.

In a note written to Mr Siddarthha Behura, Secretary, Department of Telecom; TRAI’s Chairman, Mr Nripendra Misra, said that the recommendations of the regulator is required according to existing laws and DoT should keep this in mind to avoid any legal complications.

TRAI said that it had come to know that DoT was planning to amend licence term for unified access service and basic telecom providers.

DoT has been exploring the option of introducing a new breed of telecom licences which would enable foreign and new players to bid for 3G (third generation) mobile spectrum.

According to the the proposal being considered by DoT, this new class of licence will limit the operator to only 3G services without having any right to claim spectrum for 2G (existing mobile services using GSM or CDMA technologies).

This new type of licence is being envisaged to over ride the crunch in spectrum availability in 2G mobile services, which has forced DoT to stop issuing any more licences in this category.

The Government had recently given 2G licences to about five new players and is now finding it tough to allocate spectrum to all of them in all parts of the country. However, the current unified access licence conditions does not provide for any new category of operators such as being envisaged by the DoT.

While TRAI had earlier given its recommendations that 3G auction should be restricted to only licence holders, DoT wants it to be opened up for new and foreign players.

However, at the same time DoT does not want any more players in the 2G space.

Concerned that DoT may override its recommendations by constituting a new category of licence, TRAI has also written to the Finance Ministry explaining its position.

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