The Cellular Operators’ Association of India has endorsed telecom regulator’s proposal to introduce uniform Government charges for using spectrum.
The TRAI had proposed to introduce a flat rate of 3 per cent of annual revenues for all operators. This has been opposed by Reliance Jio because it has to currently pay only one per cent of its revenues for using spectrum.
The COAI, the industry association representing GSM operators, pointed out that the spectrum charges should be non-discriminatory and uniform for all operators providing the same kind of services.
“Any distinction thereon, would be discriminatory and cannot be allowed as it will grossly affect the level playing field,” COAI said.
Reliance Jio Infocomm had opposed the TRAI’s recommendations of a flat spectrum usage charge stating that this goes against the rules specified at the time of auctioning broadband spectrum in 2010. Countering this, COAI has pointed out that Reliance Jio Infocomm had acquired BWA spectrum under an ISP licence and as per the auction rules, it is prohibited from offering voice services using the said spectrum.
“However, by payment of an additional amount, they have been allowed to offer voice services on their broadband spectrum which was not permissible. This is tantamount to change in the conditions of Notice Inviting Application and if this change is acceptable to Reliance Jio, it cannot object to concomitant changes in other conditions of NIA,” COAI said.
COAI strongly recommends that the Department of Telecom should apply the same uniform spectrum charges for all types of spectrum holders for the purpose of voice and data services to ensure a level playing field in the industry.
thomas.thomas@thehindu.co.in