Department of Telecom allocates 4G spectrum to telecom companies, gets Rs 2,306 crore

The allocations were made to operators who had purchased the rights for 4G wireless service in the auction held in March. 

Frequency assignment letters were issued to successful bidders today.

The frequency assignment was accompanied by a frequency harmonization exercise, whereby spectrum blocks assigned to Telecom Service Providers (TSPs) in the current spectrum auction have been made contiguous with the spectrum blocks already held by them, wherever possible, in various bands in different Licensed Service Areas (LSAs), said the statement.

The harmonization of spectrum was accomplished in 19 LSAs in 800 MHz band, 8 LSAs in 900 MHz band, 21 LSAs in 1800 MHz band, 3 LSAs in 2100 MHz band, and 16 LSAs in 2300 MHz band.

The harmonization exercise facilitates more efficient utilization of spectrum held by TSPs, leading to improved Quality of Service for consumers.

As a part of the frequency assignment, the Government has also accepted the request of two TSPs – Bharti Airtel and Reliance Jio Infocom, for assignment of immediately available unsold spectrum blocks in place of spectrum blocks in the same band and LSA assigned to them from later dates.

"An amount of Rs. 2306.97 crore (Rs. 157.38 crore from Bharti Aitel and Rs. 2149.59 crore from Reliance Jio) has been received immediately by the Government, rather than in August/ September, 2021,"the statement said.

It may be recalled that a total quantity of 855.60 MHz of spectrum in 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, and 2300 MHz bands was acquired by Telecom Service Providers (TSPs) in the Spectrum Auction, 2021, conducted on 1st and 2nd March, 2021.

The total amount payable by the successful bidders for the total quantity of spectrum acquired is Rs 77820.81 crore, the official statement said.

Of this, an amount of Rs 21918.47 crore was received as upfront payment from the TSPs on 18th March, 2021, as per terms and conditions of the Notice Inviting Applications.