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regular-article-logo Saturday, 05 October 2024

Modi government begins discussions with telecom stakeholders for next round of reforms

The Indian Space Association (ISpA), representing private space companies in the country, has urged the Centre to levy reasonable spectrum usage charges (SUC) as a percentage of adjusted gross revenue (AGR) for satellite services under Telecommunications Act, 2023

Our Special Correspondent New Delhi Published 16.07.24, 08:24 AM
Communications minister Jyotiraditya Scindia.

Communications minister Jyotiraditya Scindia. File picture

The Centre has started discussions with telecom stakeholders for the next round of reforms in the industry.

Communications minister Jyotiraditya Scindia held a round of consultations on Monday with representatives of the satellite communication (satcom) industry.

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The Centre is working on fixing prices for spectrum allocated through the administrative route to the satcom players.

It will also outline the terms and conditions for satellite spectrum usage.

The Indian Space Association (ISpA), representing private space companies in the country, has urged the Centre to levy reasonable spectrum usage charges (SUC) as a percentage of adjusted gross revenue (AGR) for satellite services under Telecommunications Act, 2023.

“Satellite service providers in India may be obligated to remit a one-time licence or spectrum fee to the government to secure the licence to deliver satellite services in India and an annual licence fee based on revenue,” AK Bhatt, director-general, ISpA said in a statement

As many as six advisory panels have been formed by the department of telecommunications (DoT) to pave the ground for the next round of reforms.

The panels involve original equipment makers (OEMs), satellite communication companies, telecom service providers (TSPs), internet service providers (ISPs) and R&D experts in the telecom sector.

A meeting is likely on Tuesday with an advisory panel. Bharti Airtel CEO Gopal Vittal, Apple India MD regulation Virat Bhatia, and president and chief public policy and regulatory officer at Reliance Jio Ravi Gandhi will attend the meeting.

Industry players will address issues related to Universal Services Obligation Fund (USOF) levy, reduction of license fees, zero customs duty and telecom equipment exports.

The meeting follows the recent spectrum auction, which fetched the government 11,340 crore, significantly lower than 96,238 crore base price.

In the meantime, telecom sector regulator Trai has started the consultation process to develop a framework for providing telecom services by way of authorisation under the new Telecommunication Act.

The Telecommunications Act, 2023 provides that any person intending to provide telecommunication services shall obtain an authorisation from the government, subject to terms and conditions, including fees or charges according to the rules for providing public and non-public telecom services.

The consultation paper follows reference from the Department of Telecom sent to the Telecom Regulatory Authority of India (Trai) on June 21.

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