The department of telecommunications (DoT) is likely to ask telecom regulator (TRAI) to come out with recommendations on whether to allow trading of spectrum.

Spectrum trading is one of the key demands of the Indian telecom industry.

COAI director general Rajan Mathews recently said 4 important decisions including spectrum trading will pave way for telecom operators’ (telecoms) revival. The sector will be able to put new strategies in place once they have more clarity on these issues.

Telenor Asia head Sigve Brekke recently said that the government must notify trading and sharing of spectrum to improve chances for consolidation in the Indian mobile industry.

Spectrum trading and sharing will strengthen the case for consolidation and attract foreign investment.

Economic Times on Monday reported that DoT will ask TRAI to make recommendations on trading of spectrum obtained through auction, quantity of spectrum for trading by an operator, revenue payable apart from legal & regulatory and technical framework.

Meanwhile, PTI reported that DoT has proposed creation of a new body that can regulate both telecom and broadcast sectors with greater teeth than existing regulator TRAI.

Under the proposed communications convergence legislation, the new body would be chaired by a retired Supreme Court judge or Chief Justice of a High court.

The DoT panel is working on the new communication convergence Bill and has recommended constitution of a Communications Commission. The commission is also proposed to have some more additional power than present regulator TRAI.

The commission is to be formed under new convergence bill on which government has started working following various common issues in the telecom and the broadcast sector like use of mobile phones for watching videos, possible Internet use through DTH service etc.

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