GSM industry body COAI has written a letter to the Department of Telecommunications requesting it to implement Trai’s recommendation of levying a uniform spectrum usage rate of 3 per cent of adjusted gross revenue.
Implementation of the recommendation would lower spectrum usage charge (SUC) of telecom players while increasing the rate for those have broadband wireless access (BWA) spectrum including Reliance Jio Infocomm
The spectrum usage charge, which is levied annually by government as percentage of revenue earned by telecom companies from telecom services, varies between 3 to 8 per cent in case of mobile operators. It is currently 1 per cent for firms like RJIl.
The COAI said the BWA spectrum was acquired under a ISP licence and the scope of licence was limited to data services. “By allowing such licensees to migrate to Unified licence ...The terms of NIA have already been changed for the BWA players. These players cannot be heard to say that the terms of NIA are sacrosanct and cannot be changed,” COAI Director General Rajan S Mathews said.