Business Daily from THE HINDU group of publications
Wednesday, Oct 21, 2009
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Business Daily from THE HINDU group of publications Wednesday, Oct 21, 2009 ePaper | Mobile/PDA Version | Audio | Blogs |
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Info-Tech
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Telecommunications Web Extras - Outlook Telecom Ministry seeks Finance Minister’s intervention on 3G spectrum Our Bureau New Delhi, Oct. 20 The Communication and IT Ministry has sought the intervention of the Finance Minister for getting the Defence to vacate spectrum for third generation mobile services. Though the Defence Ministry and the Department of Telecom had signed a memorandum of understanding outlining the roadmap for spectrum vacation, there are still differences over the exact radio frequency that will be released by armed forces. Auction of 3G spectrum or radio waves is scheduled to be held on December 7, but the DoT has not yet issued the information memorandum that lists eligibility conditions, rules of auction and the details of spectrum. Earlier, the DoT had asked the Cabinet Secretary to quickly take a final view on the issues related to spectrum vacation by the Defence forces in order to speed up the 3G auction process. The newly-appointed DoT Secretary, Mr P.J. Thomas, in a letter to the Cabinet Secretary had said, “The DoT is taking steps for the auction of 3G spectrum at the earliest since this auction has been delayed considerably and the Ministry of Finance has made a provision of Rs 35,000 crore of revenue from 3G auction in the current financial year. However, before auction takes place, it is necessary that the available 3G spectrum auction is clearly identified. I, therefore, request you to take a final view.” The MoU, signed by the two sides, does not clearly specify the frequency bands in which the radio waves will be made available.
The difference between the two sides emerged at a recent meeting convened by the Cabinet Secretary to work out the modalities of getting the spectrum vacated by the Defence Ministry. At the meeting, the DoT sought frequency bands between 1,920 Mhz and 1,980 Mhz for the auction, while the Ministry of Defence was prepared to give up spectrum from 1,950 Mhz to 1,970 Mhz. According to Government sources, the DoT has pitched in for frequency bands that are commercially and technically feasible for mobile operators to start offering 3G services. The DoT did not agree to the bands offered by the Defence because of possible interference, which could impact the quality of mobile services. The Defence Ministry, on the other hand, claimed that the frequency band being sought by the DoT was already being used by the armed forces, and therefore it would be difficult to give it up. 3G spectrum auction delayed further by 3 months Pricing 3G Industry disappointed with high base price for 3G DoT puts 3G, TCIL stake sale on Cabinet panel’s agenda 3G auction may fetch only Rs 20,000 cr More Stories on : Telecommunications | Outlook
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