NEW DELHI: The government's plan to auction CDMA spectrum in the upcoming mobile airwave sale in January may be in trouble with sector regulator Trai on a warpath with the inter-ministerial Telecom Commision (TC). Trai, which had twice recommended against auctions in the 800 MHz band (used by CDMA players) in its proposals on spectrum pricing, had been recently asked by the TC to work out a pricing mechanism in 15 days.
Trai has now told the government that it cannot suggest a price for auction of spectrum in CDMA band in the stipulated time period, adding that the process needs to be started afresh if reserve price for such airwaves is to be set. It said it will be "unable to proceed further" on the matter unless there is a fresh reference on CDMA auctions.
In its recommendations on spectrum pricing submitted to DoT in September, Trai had proposed a cut of up to 60% in the minimum auction prices for mobile phone spectrum used by GSM technology players like Airtel and Vodafone. But, it had not recommended any auction in the 800 MHz spectrum.
The regulator was criticized by CDMA players like Sistema Shyam Teleservices (part of Russian conglomerate Sistema) and last week the TC had asked Trai to recommend the reserve price for 800 MHz band within 15 days.
In a letter written by Trai secretary Rajeev Agrawal to department of telecom secretary M F Farooqui, the regulator said it has already responded to the original reference made to it on the matter. In case the government still wants a price for the 800 MHz spectrum, it should come out with a fresh reference.
"The authority is of the opinion that the action on original reference is over and done with. There can be no continuing reference to that earlier reference. It is now for the central government to take a final decision," Trai said.
The regulator further slammed DoT for asking it to send ne w recommendations preferably within 15 days. "There is no provision in the Trai Act which enables the stipulation of time limits. There is also no provision which allows for a preference on time limits to be indicated by DoT... Hence, it is clearly not appropriate for DoT to presume that it can suggest a time limit, even as a preference" Trai said.
via Technology - Google News http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNEtUblm9Vjq4K_qsKJSIO5_wwg3rQ&url=http://timesofindia.indiatimes.com/business/india-business/Trai-DoT-on-warpath-over-CDMA-auctions/articleshow/26012593.cms
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