Telecom Firms Can Start Spectrum Trading as Govt Issues Guidelines

Govt issues spectrum trading guidelines that allow telecom operators to procure radiowaves from other companies.

Satellite tower. (Photo: iStock)

The government has issued spectrum trading guidelines that allow telecom operators to procure radiowaves for mobile services from other companies to meet their requirements and improve service quality.

Earlier, telecom operators only had the option to procure airwaves through an auction conducted by the Department of Telecom as per its own schedule.

“The government has now decided to allow trading of access spectrum as per guidelines,” an official paper said.

It is seen as an exit route for loss-making telcos and offers relief to those with a large subscriber base which need more spectrum.

As per the guidelines, a telecom operator can sell the right to use spectrum to another operator either in part or full holding at the level of a telecom circle.

“All access spectrum bands earmarked for access services by the licensor (DoT) will be treated as tradable spectrum bands,” the guidelines said.