TRAI recommends 5G spectrum at Rs. 492 Cr per MHz

The Telecom Regulatory Authority of India (TRAI) has recommended 5G pan-India spectrum prices at Rs. 492 crore per MHz in 3300 -3600 MHz.

The authority recommends that reserve price of 3300-3600 MHz band should be equal 30% of the reserve price of 1800 MHz FDD band. As 3300-3600 MHz band is unpaired, the reserve price has been calculated accordingly.

TRAI has also released its recommendations on auction of Spectrum in 700 MHz, 800 MHz, 900 MHz, 1800 MHz, 2100 MHz, 2300 MHz, 2500 MHz bands and has also introduced a clause of making entire available spectrum into auction in the forthcoming auction.

Barring the specific locations or districts where ISRO is using the 25 MHz (3400 MHz – 3425 MHz) of spectrum, the entire spectrum from 3300 MHz to 3600 MHz should be made available for access services and should be included in the forthcoming auction for 5G services.

Recommended Reserve Price Per MHz in 3300-3600 MHz band (Unpaired):

Source: TRAI

3300-3600 MHz should be auctioned as a single band and TDD based frequency arrangement should be adopted for this band. Spectrum in 3300-3600 MHz band should be put to auction in the block size of 20 MHz. To avoid monopolization of this band, there should be limit of 100 MHz per bidder. Since the TSPs are allowed to trade their partial or complete spectrum holding to another TSP, the limit of 100 MHz spectrum in 3300-3600 MHz band, shall also apply for spectrum trading.

In case a TSP acquires more than one block, the entire spectrum should be assigned to it in contiguous form. In case a TSP acquires spectrum in 3300-3600 MHz band in more than one LSA, same frequency spots should be assigned to it in all those LSAs.

The authority recommends that no roll out obligations should be mandated for spectrum in 3300-3600 MHz band. However, to avoid any misuse of not mandating any roll-out obligations, the lock-in period for spectrum in this band for becoming eligible for spectrum trading should be 5 years instead of 2 years.