Spectrum beyond 6.2 MHz not obligatory: Raja

There was no 'contractual agreement' between government and telecom operators to allot spectrum beyond 6.2 Mhz, a move that could hurt GSM players like Bharti, Vodafone and Idea Cellular, Telecom Minister A Raja told the Lok Sabha on Monday.

"There is no contractual agreement to give spectrum beyond 6.2 MHz. We are releasing more spectrum based on subscriber base as suggested by telecom regulator Trai," Raja said in the House while replying to a question.

Spectrum is radio frequency used for offering wireless telecom services.

Currently, spectrum allocation norms, which were revised in August 2007, are being followed while the Teleconm Enginering Centre report is awaited.

The minister said the GSM lobby Cellular Operators Assoctaion of India had expressed grievances over the new allocation norms as they wanted old methodology be continued.

Raja also ruled out auctioning of spectrum saying this was not feasible based on previous experiences especially in 1993 when operators were not able to fulfil their roll out obligations.

Since then revenue sharing regime is being followed for spectrum charges.

"At present the service providers are paying spectrum charges based on percentage/share of Adjusted Gross Revenue. The pricing of spectrum is reviewed from time to time, taking into account various relevant aspects, and suggestions thereof," the minister said.