Trai says there will be no reservation of spectrum for the renewal of licencees in the 900 megahertz (MHz) or the 1,800 MHz band. No priority will be accorded to these licencees in the bidding process and all bidders should be treated alike.
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The Department of Telecommunications (DoT), through its reference dated July 10, 2013, had sought Trai's recommendations on the applicable reserve price for the auction of spectrum in the 800 MHz, 900 MHz and 1800 MHz bands.
The Block size in 1800 MHz auction is 2X200 KHz. Trai also says existing licencees will have to bid for a minimum of three blocks. New entrants have to bid for a minimum of 25 blocks of 2x200Khz each.
The block size in 900 MHz auction is 2x1 MHz. As per Trai's recommendations, each bidder must bid for a minimum of five blocks in 900 MHz auction.
Trai has retained eligibility norms of November 2012 and March 2013 auctions.
Trai says spectrum trading should be permitted, which allows even private entities to sell or lease airwaves for services. The regulator was earlier of the opinion that allowing spectrum trading might result in anti-competitive conduct through hoarding of spectrum or consolidation or an incumbent may Debar newcomers from providing service by buying out the spectrum required for services. It further recommends flat spectrum usage charge.
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