It is not required by the successful bidder to submit a Financial Bank Guarantee (FBG) and Performance Bank Guarantee (PBG)
FinTech BizNews Service
Mumbai, March 9, 2024: Department of Telecom (DoT) has initiated the Spectrum Auction to augment the existing telecom services and maintain continuity of services. DoT issued Notice Inviting Applications (NIA) on 08.03.2024 to this effect. The Government of India under the leadership of Prime Minister Shri Narendra Modi is committed to provide affordable, state-of-art high quality telecom services to all the citizens.
Highlights of the Spectrum Auction:
• Spectrum being auctioned: All the available spectrum in 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz, 3300 MHz, and 26 GHz bands is part of the auction.
• Process of auction: The auction shall be a Simultaneous Multiple Round Ascending (SMRA) e-auction.
• Reserve price: The cumulative reserve price of the 10523.15 MHz spectrum put to auction is Rs. 96317.65 Crores.
• 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 installments, 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).
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
