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DoT invites bidders for spectrum auction

1 Oct 2012

Indian regulator the Department of Telecommunications (DoT) has issued a Notice Inviting Applications (NIA) for the upcoming 2G spectrum auction. The deadline for applications is 19 October, with pre-qualification to begin on 28 October. A final list of bidders will be published on 6 November and over the following two days the DoT will conduct a mock auction to allow bidders to familiarise themselves with the rules and methodology of the auction. The auction proper will begin on 12 November for 1800MHz frequencies followed by 800MHz spectrum two days after the completion of the 1800MHz tender (no exact date was given).

Foreign investors may take part in the auction directly, though in order to comply with regulations regarding ownership of companies operating in India, they will not be issued service licences except through partnering with an Indian company (with the foreign entity holding no more than 74% of the joint venture). In terms of payment for spectrum, the DoT

has allowed operators to pay 33% of the winning bid up front, followed by a further ten annual instalments after a two year moratorium.

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