Spectrum Valuing Rs962.38 Bn At Reserve Prices Being Auctioned

Total spectrum being auctioned is 10,522.35 MHz; Spectrum bands to go up for bidding include - 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz and 26 GHz

To augment existing telecom services and maintain continuity of services, the government will hold the spectrum auction on Tuesday, 25 June 2024.  This is in line with government’s commitment to facilitate affordable, state-of-art high quality telecom services to all the citizens.

The Department of Telecommunications (DoT) has initiated the Spectrum Auction and Notice Inviting Applications (NIA) was issued on 08 March, 2024. The Ministry of Communications announced that the following spectrum bands will go up for bidding in the upcoming auction - 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz and 26 GHz.
 

Total quantum of spectrum being auctioned is 10,522.35 MHz in various bands valuing Rs 96,238.45 Crores at reserve prices.

Highlights of the Spectrum Auction:

• The auction will see participation from three bidders: M/s Bharti Airtel Limited, M/s Vodafone Idea Ltd, and M/s Reliance Jio Infocomm Ltd.
• Process of auction: The auction shall be a Simultaneous Multiple Round Ascending (SMRA) e-auction.
• Duration of spectrum: Spectrum will be assigned for a period of twenty (20) years.
• Payment: Successful bidders will be allowed to make payment in 20 equal annual   instalments, duly protecting the NPV at the interest rate of 8.65%.
• Surrender of spectrum: Spectrum acquired through this auction can be surrendered after a minimum period of ten years.
• Spectrum Usage Charge: There will be no Spectrum Usage Charges (SUC) for Spectrum acquired in this auction.
• Bank Guarantees: It is not required by the successful bidder to submit a Financial Bank Guarantee (FBG) and Performance Bank Guarantee (PBG).

Mock Auctions were conducted on 03th June 2024, 13th June 2024 and 14th June 2024 to familiarize the bidders with e-Auction platform. Subsequently, Auction Catalogue was published on 24th June 2024 at 09:00 AM to ensure there is no inaccuracy in the data of bidders. Live Auction will start at 10:00 AM on 25th June 2024.

Further details of Spectrum Auction including, inter-alia, reserve price, pre-qualification conditions, Earnest Money Deposit (EMD), Auction Rules etc. and other terms & conditions on the above are specified in NIA which can be accessed on DoT website: https://dot.gov.in/spectrum.