2G recommendations: GSM players withdraw plea

Three leading telecom operators -- Bharti Airtel, Vodafone Essar and Idea Cellular -- on Tuesday withdrew their petition before sectoral tribunal TDSAT challenging the recommendations of Trat on 2G spectrum.

The Global System for Mobile Communications operators decided to withdraw their plea when the TDSAT was about to reserve its order on the maintainability of the petition after hearing the case for more than one-and-a-half hours.

During the proceedings, the Telecom Disputes Settlement & Appellate Tribunal observed that since Trai proposals are only recommendations, the same could not be challenged.

TDSAT chairman Justice S B Sinha allowed the operators to approach other appropriate forum on their grievance.

GSM operators' counsel C A Sundaram said, "We withdrew the petition with liberty to file alternative proceedings or application before the appropriate authority."

TRAI counsel Meet Malhotra told the tribunal that the regulator Telecom Regulatory Authority of India's  recommendations were advisory in nature.

"Recommendations are advisory in nature and the central government is not bound by them.

"Hence, it is premature for the petitioners to have approached the tribunal," Malhotra said, adding that as law they are not aggrieved by it.

Justice Sinha asked the counsels of the operators whether their plea was maintainable as the recommendations were advisory in nature. Anil Ambani group company RCom opposed GSM operator's plea before the tribunal.

The trio has been voicing their criticism of Trai's recommendations and have asked the government to dump the report, which according to them are 'retrograde' and 'absurd'.

Trai proposed a one-time fee for GSM operators, which include the three petitioners, for spectrum in their possession beyond 6.2 MHz.

It also proposed linking that fee with 3G spectrum auction price. These issues are crucial for incumbent mobile operators as paying higher fee for existing as well as future 2G spectrum will be a big financial burden for telecos, especially Bharti and Vodafone, as their profits have already come under pressure due to the intense tariff war.

Trai had also come under their (GSM operators) attack for recommending reforming of spectrum as per which players holding spectrum in the 900 MHz band would be asked to return spectrum as and when their licence comes up for renewal. All TRAI proposals are subject to DoT approval before being made into laws.

The department of telecommunication has constituted an internal committee to look into the report.