The Department of Telecom (DoT) will seek views of TRAI (Telecom Regulatory Authority of India) on allocation of spectrum worth Rs 65,000 crore to Indian Railways without auction, a top official said.
Telecom Secretary, Aruna Sundararajan said, after the meeting of Digital Communications Commission (DCC), “Indian Railways has asked for 10 megahertz of spectrum in 700 megahertz band for setting up public safety and security service.”
“The DCC has decided that the DoT should take view of TRAI in the matter,” she said.
The radio waves in 700 megahertz band considered premium for long distance mobile communications as it required less number of mobile towers to provide services compared to 3G and 4G services.
The TRAI has recommended base price of Rs 6,568 crore per megahertz of radio waves in 700 megahertz band implying the total value of air waves is about Rs 65,680 crore at the reserve price.
The frequency band is earmarked for mobile services and allocating it to Indian Railways for non commercial use may also adversely impact levies like spectrum usage charges, licence fee collected and adjusted gross revenue.
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