3G auction – Finance Ministry vs. DoT
3G auction has not yet started, but the tussle to grab a piece of action has already begun.
Finance ministry has objected to DoT’s announcement of 3G policy:
Officials in the Finance Ministry said since the 3G policy contained clauses with financial implications such as determination of the spectrum acquisition price and reserve price for auction, fixation of spectrum usage charges and penalties for hoarding of spectrum, it is mandatory for DoT to consult with the Ministry.
They said the Transaction of Business Rules 1981 prescribed mandatory consultation with the Ministry of Finance as a pre-condition in respect of all issues which have issues which have financial implications. They added that the Union cabinet, in its meeting on October 2003 had decided that spectrum pricing would need to be decided mutually between DoT and MoF to ensure efficient usage of spectrum. [source]
DoT now has taken a clear stand that there will be no delay in auctioning spectrum for 3G mobile services and there will be no change in the announced policy guidelines.
Since the Finance Minsitry has fully agreed to spectrum pricing formula and auction , and was fully involved with the process, , we are consistent with the decision of the Cabinet. It is therefore surprising that the Ministry of Finance has now decided to express reservations on procedural aspects. [source]
..And the fight continues.
-
Related posts:
- 3G – Finance Ministry asks DoT to double the reserve price..More Delay?
- 3G Updates: DoT may double base price, CDMA Auction limited
- Telecom Roundup- Datacom Controversy, 3G Auction Price to be Hiked
- Telecom Roundup: 11.75 million Connections Added, 3G Auction by Year end..and more
- 3G Auction Details Announced – Bid starts at Rs. 3,500 crore
About the author - Ashish Sinha is a Startup Mentor/Product Strategy Coach, and the founder/chief editor of pluGGd.in.
He has launched/managed couple of products (consumer as well as enterprise) in US and India, and now consults with startups/small businesses on their product/media strategy. He can be reached at: ashish (at) pluGGd.in [+91 98452 06443]
Thanks to all these political issues, we will never get 3G within a year’s time.. and other countries have even started 3.5G (3g+) services.
one reporter in the Hindustan times wrote about a week ago that India will be one of the “elite few” countries with this service. While the truth is, we are one of the few countries in the developing world who still DON’T have 3g.
All these political fights and news about spectrum allocation are also getting boring.. because we don’t have anything new and exciting to look forward to in the end.
seriously, this is as outdated as the legalization of homosexuals in India TODAY(sorry.. i couldn’t resist)
Let me correct that..
Many countries in the developing world have had 3g+ services for the past 8 months or so.