Telecom operators can get spectrum in the 900 megahertz band, used for 4G services, in the upcoming auction for less than half the price paid for several circles in previous auctions, as per the base prices declared by the Department of Telecom.
While most of the base prices are based on the recommendations of the Telecom Regulatory Authority of India (Trai), the Department of Telecom (DoT) has made some changes in the 700 megahertz and 1800 Mhz bands in select circles for the auctions scheduled to start from March 1.
This round of auction will be held for 2,251.25 megahertz (MHz) spectrum in seven frequency bands -- 700 Mhz, 800 Mhz, 900 Mhz, 1800 Mhz, 2100 Mhz, 2300 Mhz and 2500 Mhz -- at a cumulative base price of Rs 3.92 lakh crore recommended by Trai.
The government has kept frequency bands of 3,300-3,600 MHz, that can be used for 5G services, out of the upcoming auction.
These frequencies were part of Trai recommendations for the auction.
The reserve price in the 900 Mhz bands frequencies in Assam, Karnataka and North East have been reduced by more than 50 per cent compared to the amount bidders paid in the spectrum auctions held in 2015.
The DoT has lowered the base price in the 900 Mhz band in 11 circles in the range of 27 to 57 per cent compared to the market discovered price in auctions that were conducted in 2014 and 2015.