Will the Minister of COMMUNICATION AND INFORMATION TECHNOLOGY be pleased to state:-

(a) whether Government has made an estimate with regard to the market value of 4.4Mhz- 6.2Mhz GSM spectrum that is proposed to be given to new service providers on first come first serve basis at a price of Rs.1651.57 crore; and

(b) if not, the basis on which this spectrum is proposed to be given?

ANSWER

THE MINISTER OF STATE IN THE MINISTRY OF COMMUNICATIONS AND INFORMATION TECHNOLOGY
(DR. SHAKEEL AHMAD)

(a) to (b) No, Sir. The Initial spectrum is allotted to the service providers in accordance with the relevant provisions of their respective Service License Agreements. There are no upfront charges for spectrum and spectrum usage charges only are levied (on revenue share basis). The amount of Rs. 1651.57 crore is charged as one time entry fee for the telecom service license for all service areas in the country.