Spectrum auction continues for 10th day, bidding kicks off from Rs 61,091.83 crore
By insightVAS - Thu Feb 13, 1:16 pm
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“The auction has started with 64th round of bidding,” an official said.
The bidding in 900 MHz band has stabilised as there was no activity for any of the three circles put up for auction in the last two days, whereas aggressive bidding was still going on for a few circles in 1800 Mhz band yesterday.
“Total bids worth Rs 61,091.83 crore, which is about 27 percent more than the spectrum value at the base price, were received at the end of 63 rounds on the 9th day,” Telecom Secretary MF Farooqui said.
Though a larger quantum of radiowaves has been put on for auction compared to the 3G spectrum auction of 2010, the bid value for 900 Mhz and 1800 Mhz bands has now reached over 90 percent of the money that government received in 2010. Bids worth Rs 37,502.21 crore, amounting to 106.6 percent of radiowaves, for spectrum in 1800 Mhz band have been received; and for the premium 900 Mhz band, the amount is Rs 23,589.62 crore.
The government will now get at least Rs 18,273 crore in the current fiscal from the auction in case companies opt for instalment mode. The bidders can pay the part of the money upfront and the remaining amount over a maximum of 10 yearly instalment.
Spectrum price in Assam increased 5 times of its base price at the end of the 9th day of auction rounds at Rs 34.75 crore per megahertz. Demand for airwaves frequencies in 1800 Mhz band was seen in Madhya Pradesh and Mumbai service area yesterday.
Out of five online spectrum auctions, the present auction is largest in terms of radiowaves on sale, and third longest till date in terms of duration. The government has put on the block about 385 Mhz of spectrum in the 1800 Mhz band, and 46 Mhz in 900 Mhz band.
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