Prices For 700 Mhz Band Already Reduced, Won’t Change 5G Spectrum Rate, Says TRAI Chairman R S Sharma

Telecom Regulatory Authority of India (TRAI) chairman RS Sharma has said that the body would be sticking to its recommended prices for spectrum, including for 5G services, the Telecom Talk reports.

The statement comes after major telecos had complained about the high base prices for the sale of frequencies. However, Sharma said that the body had recommended many measures to lower the levies on the sector and help to improve the operator’s financial health.

“We have given reserve price recommendation, and we stand by that. In fact, we have reduced prices of 700 MHz band,” Sharma said. Bharti Airtel and Vodafone-Idea had noted that the spectrum prices for proposed auction were too high, and companies would be unable to participate if radio waves are sold at the TRAI recommended prices. The sale is considered as the key to initiate the rollout of 5G services.

TRAI had suggested an auction of about 8,644 MHz of telecom frequencies at the estimated total base price of Rs 4.9 lakh crore. These are inclusive of those needed for 5G services, Sharma said that the Telecom Department (DoT) had not asked any significant query about spectrum pricing.

Speaking about the low level of tariffs, he said telecom that the services rates are under forbearance, and the telecom operators fix them.

“We don’t fix tariff. In fact, there was suggestion from telcos sometime back that tariffs are going to rock bottom, so you do something around it. They said to fix a floor tariff," Sharma said, He adds that during a meeting with operators everybody started asked the body not to get into it.