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Rediff.com  » Business » Spectrum allocation on seniority basis

Spectrum allocation on seniority basis

Source: PTI
January 14, 2008 15:15 IST
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The government on Monday said spectrum to new telecom players, who were last week awarded Letters of Intent, would be distributed on the basis of who was the first to deposit licence fee - even if the difference is a fraction of a second.

"We cannot change the policy. We have given the LoIs to the eligible candidates in a very transparent manner. First, we have to scrutinise the LoIs and in the next stage, signing of license (will take place) and then comes distribution of spectrum," Telecom Minister A Raja said on the sidelines of a BSNL conference in New Delhi.

On the day of distribution of LoIs, the applicants had swarmed Sanchar Bhawan to pay the fees, seeking licence and then spectrum to start mobile services.

There are 9 companies, including Unitech, Datacom, Shyam Telelink and Swan Communications, in the race to get spectrum first, an exercise, which has been ridden with controversies.

Some of the applicants have suggested that spectrum to all the nine companies should be allotted simultaneously to avoid any legal battle. Asked when the spectrum can actually be allotted to the waiting players, the minister said the availability has to be assessed and then a decision shall be taken.

On the fate of applicants who applied after September 25 and have not been considered in the first round of LoI distribution, he declined to give any definite time frame.

"They (applications received after September 25, 2007) may be considered after allotting spectrum to first batch or earlier," Raja said.

Asked about Bycell whose application has been rejected, he said after complete scrutiny LoIs have been given. If anyone has any grievance they are at liberty to go to court.

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