- The Centre is planning to auction radio waves frequency in the 800, 900 and 1800 Mhz bands for mobile phone operators in February and is expected to raise an initial $1.5 billion from it.
- The total revenue from the auction is however going to be much higher since carriers are expected to pay up to a third of the winning price initially and the remainder in instalments subsequently.
- Earning through airwaves sales is vital in the govt’s efforts to cut its fiscal budget deficit. This year, it raised over $10 billion in total.
- This year, the govt is targeting a total revenue of Rs.45,471 crore from communication services, including proceeds from the three sets of spectrum frequencies and related charges.
- Leading carriers such as Bharti Airtel, Vodafone, Idea Cellular and Reliance Communications are required to auction to renew their permits in some service areas.
- Read at: http://www.thehindu.com/todays-paper/tp-business/centre-plans-15-billion-spectrum-auction-in-february/article6273769.ece