DoT mulls dropping auction for spectrum sale

10 Jun 2013

Following poor returns at the last two spectrum auctions, the Department of Telecommunications (DoT) is considering fixed prices for spectrum, the Economic Times writes citing an internal DoT note. An ‘expanded committee’ will ascertain ‘concept, operational parameters and conditions’ for a market-related process for selling the spectrum through means other than an auction, known collectively as ‘administrative allocation’. However, authorities came under fire over frequencies dished out via administrative allocation in 2008, which were sold at ‘throwaway’ prices to ineligible companies and ultimately led to the mass cancellation of concessions in February last year.