12:45 pm - Wednesday 18 October 2017

EGoM likely to take final call on one-time spectrum fee

By Parvina Purkayastha - Mon Oct 08, 10:31 am

If the proposal gets a go ahead, the incumbent operators will pay at least Rs. 22,640 crore

Finance minister P Chidambaram headed, high-level telecom panel is likely to take a final decision today, on charging telecom operators for excess spectrum beyond contractual obligations. The Empowered Group of Ministers (EGoM) once failed to take a decision on the issue of one-time fee on spectrum held by existing telecom operators.

The Department of Telecom (DoT) in a presentation has conveyed to the  telecom panel that the existing telecom operators must pay a one-time fee for spectrum they may hold in excess of 6.2 Mhz limit.

If the telecom panel gives the proposal a go ahead in its meeting today i.e October 8, the incumbent operators like Airtel, Vodafone and Idea will pay at least Rs. 22,640 crore.

The Department of telecommunications had worked on three options which it suggested to the telecom panel.They are-

1. To impose a one-time fee prospectively on all airwaves held by existing telecommunication companies.

2. To levy this fee on airwaves held beyond the start-up spectrum of 4.4 MHz; or

3. To levy this fee on airwaves held beyond the contracted spectrum of 6.2 MHz.

According to DoT’s calculation, if operators are charged for all the spectrum, it will fetch the government Rs. 72,792 crore. If it decides to charge beyond 4.4 Mhz the government will get Rs. 27,517 and charging beyond 6.2 Mhz, the government will gain Rs. 22,640 crore.

Related Articles:


EGoM on telecom to meet again on October 8


EGoM to decide on payment of excess 2G spectrum


Telcom firms must pay for spectrum beyond 6.2 MHz: DoT to EGoM



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