The Telecom Regulatory Authority of India has clarified that there is no need for a separate licence to start 3G services and has recommended auctioning of 3G spectrum under the existing licences.
"No new licence (for 3G) has been envisaged and the regulator did not recommend a new licence for 3G services. Operators can bid for the (3G) services under the existing Universal Access Service Licence (UASL) or Cellular Mobile Telecom Services," a Trai note said.
Trai also recommended allocation of 3G spectrum in the 2.1 GHz band through auction in tranches of 2x5 MHz. And if this spectrum band was not adopted, it would be possible to provide spectrum only to two to three operators, apart from state-owned companies (Bharat Sanchar Nigam Limited and Mahanagr Telephone Nigam Limited), it said.
This would also defeat the purpose of its recommendations and further delay the introduction of 3G services in the country, it said.
The regulator would also recommend providing spectrum to at least five operators to enable competition.
It said the authority had no plan to limit the number of providers of 3G services as this would defeat the purpose of auctioning spectrum.
On mergers and acquisitions guidelines of the Department of Telecommunications under the 3G licences, Trai said there was no need for another M&A policy in addition to the one existing under the UAS/CMTS licences.
Trai said it had also decided not to change the existing policies under the Broadband Wireless Services. The existing policy defines broadband as 256 kbps with an always-on connection.
According to a PTI report, the government said new telecom licences to nearly 575 applicants would be issued according to the existing policy, a commitment that lends hope to those aspiring to enter the GSM-mobile telephony business.
"The government has decided to grant new Unified Access Services licences as per the existing policy," Minister of State for Communication Shakeel Ahmad informed the Rajya Sabha.
