Scindia Rejects Auction Demand for Satcom Spectrum: Industry Contemplates Next Steps

Telecom Minister Jyotiraditya Scindia dismissed the demand to auction satcom spectrum but clarified that the radiowaves will incur a cost even if administratively allocated. Reliance Jio and Airtel push for a fair allocation method to ensure competition, as Trai seeks input on assigning spectrum prices.

In a firm stance against industry demands, Telecom Minister Jyotiraditya Scindia has rejected the proposition to auction satcom spectrum, while emphasizing that an administrative allocation will still incur costs. This clarification emerged during his address at the India Mobile Congress, where he underscored the role of Trai in determining pricing.

Both Sunil Bharti Mittal of Airtel and officials from Reliance Jio have urged that satcom spectrum should be allocated in a manner similar to that of telecom players, to maintain a competitive field. Trai is currently consulting on suitable methodologies and pricing for spectrum allocation to satellite companies.

The consultation, initiated by Trai on September 27, 2024, seeks to explore fair practices in assigning spectrum that supports services like calling and broadband. The telecom industry continues to debate over achieving a balance between administrative norms and ensuring competitive parity.

(With inputs from agencies.)