DoT may seek multiple spectrum slots for 2G auction

Department of Telecom may seek more spectrum slots when 2G auctions will happen later this year. Sources told CNBC-Tv18 that DoT may ask for higher number of slots from the empowered group of ministers (EGoM).

Telecom Regulation Authority of India (Trai) had originally said that there will be only one slot allotted in the auction but later changed its stance, saying it can auction more slots of spectrum.

Sources also told CNBC-TV18 that extra slots might give a fair chance to Uninor and Idea. The last date for usage if 22 cancelled licenses of Uninor and 9 cancelled licenses of Idea is 7 September.

Sources say Dot, in principle, agrees with spectrum refarming. But the refarming will depend on availability of and demand for spectrum.

But the reserve price for the auction may not be hiked further. However, the final decision will be taken after the telecom commission meets. The commission is slated to meet on 24 May.

However, The Economic Times reported today that Dot will press for a 17 percent increase in the base price for 2G spectrum bids over the rate proposed by Trai, further adding to the woes of mobile phone companies that were hoping the government would dilute the recommendations of the regulator. It will also reportedly communicate their recommendation to the EGoM before the final auction guidelines are put out.