Communications Minister Jyotiraditya M Scindia told Parliament on Thursday that satellite spectrum would be allocated administratively rather than through auction, aligning with global practices.
"We cannot auction an asset, which is not fully in our control. This applies not only to India but all countries," Scindia said, explaining the technical differences between mobile and satellite communications.
During the Question Hour in the Rajya Sabha, the minister elucidated that mobile technology operates on low-frequency waves that dissipate in the atmosphere, necessitating spectrum auctions to prevent signal interference. In contrast, satellite communications use higher frequencies transmitted directly like a laser through fixed antennas.
"Today, there is no country which auctions satellite spectrum across the world. The US’ Orbit Act prohibits the auction of satellite spectrum. Europe, France, Germany and other countries also assign satellite spectrum administratively. India is only following the global norm," he stated. Scindia added that the pricing of the spectrum would be determined by the Telecom Regulatory Authority of India (TRAI), to whom the government has given a reference. "Once TRAI defines that price, spectrum will be allocated to all providers without discrimination," he said.