India government could not take decision on spectrum price

Telecom Lead India: The stage is set for auctioning a
minimum of 10 MHz of airwaves in at least eight slots in July-August.

This will enable mobile operators such as Videocon
Telecommunications, Idea Cellular, Uninor and Sistema Shyam to retain their
licenses through auction.

The Empowered Group of Ministers (EGoM) finalized their
plans for auction of spectrum on Tuesday.

However, EGoM did not take final decision on the pricing
of the spectrum.

“Some decisions have been taken. We will let you
know,” Telecom Minister Kapil Sibal told reporters after the meeting of
the Empowered Group of Ministers (EGoM) here.

The EGoM, headed by Finance Minister Pranab Mukherjee, deliberated on the
reserve price for the auction recommended by sector regulator TRAI.

EGoM is likely to decide the reserve price in the next couple of days.

The committee did not take the decision as telecom
regulator TRAI did not make any presentation to the EGoM.

The EGoM, sources said, may meet again sometime later this month to give final
shape to the auction, which was necessitated after Supreme Court cancelled 122
2G licences, given in 2008 by the then telecom minister A Raja. The apex court
had asked the government to auction the spectrum by August 31.

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