Commission ignores TRAI, forges ahead with higher 3G price

20 Jan 2015

India’s Telecom Commission has ignored the recommendations and warnings of sector watchdog the Telecom Regulatory Authority of India (TRAI) and set a base price for 3G frequencies at INR37.05 billion (USD599.7 million) per MHz of pan-India spectrum, the Economic Times writes. The TRAI last week criticised the government’s decision to limit the availability of 2100MHz frequencies to just 5MHz across 17 circles as well as its refusal to heed the regulator’s recommendations to set the base price much lower, at INR27.2 billion. The government’s decisions have also raised the ire of industry stakeholders, which have pointed out that if operators are forced to pay more for spectrum rights, they have fewer funds to invest in rolling out their networks, limiting coverage and negatively impacting quality of service (QoS).