Friday, August 8, 2014

3G intra-circle roaming


DoT maintains its stand on 3G intra-circle roaming

 
DoT maintains its stand on 3G intra-circle roaming

NEW DELHI: The telecom department (DoT) is sticking to its stand that 3G intra-circle roaming (ICR) arrangements between operators were illegal, dampening expectations of telcos of a change of heart under a new government.

"The DoT still maintains that 3G ICR was illegal," a senior telecom department said Friday. The official said that the DoT has sought legal opinion over whether to contest the Telecom Disputes Settlement Appellate Tribunal's (TDSAT) decision in the Supreme Court.

TDSAT had ruled that the pacts, which allowed operators to ride the 3G network of a rival in circles where they didn't possess any, didn't violate any license conditions. The DoT's view, which was overruled by the TDSAT, was that the agreements amounted to sharing of airwaves, and hence wasn't allowed.

In the meanwhile, DoT is awaiting the Telecom Regulatory Authority of India's (Trai) recommendations over sharing of airwaves. "We will bring out the final detailed policy on spectrum sharing and trading together once Trai makes its final recommendations," the official said.

The DoT is also mulling whether to allow sharing of 3G airwaves. In its draft proposals on sharing, it has previously allowed only 2G airwaves bought in auctions to be shared, but not 3G. But a recent panel report suggests the department is having a rethink.

Trai though has submitted its final recommendations on trading of spectrum, the official said, but declined to give details. Sharing and trading of bandwidth, along with M&A rules, are desperately awaited by the top operators for clarity on avenues available to get additional airwaves which are invaluable but scarce, and for the weaker ones, to monetise the bandwidth that they aren't using optimally, and who may want to exit the sector.

As for 3G ICR, another official told ET that even if the government does allow for sharing of 3G spectrum, in all probability it will contest the 3G ICR issue in court.

"In case 3G spectrum sharing is allowed, we still believe that private operators had been practicing sharing of spectrum in the garb of roaming arrangements. These two are separate matters. So, even if we do allow sharing of 3G spectrum that would still require operators to possess spectrum in that band in the circle they plan to share in".

While the telecom department and the operators have been daggers drawn on the issue, the regulator has batted for the operators who it feels owing to paucity of 3G spectrum have no choice but to enter into roaming pacts.
The regulator has also set up a steering committee with Trai officials and industry representatives to give detailed guidelines on sharing of airwaves. The committee is expected to submit its recommendations shortly. 

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