The flip-flops on the 3G spectrum auction, which have been going on for over one year, have turned serious now. It is now becoming almost certain that the auctions won?t happen this fiscal and may only happen around August-September. This highlights a serious malaise in our decision-making processes. But apart from the government, the fault also lies with the telecom industry. While this newspaper has highlighted several times the cross-currents and contradictions in the government?s decision-making process, this time around, we turn towards the industry.
It?s time to ask the industry point-blank: does it want 3G spectrum auction? If yes, when? Now the government should put the ball in the industry?s court and ask it to answer in a united voice and only then should there be some movement forward.
The reason for our hard talk is that the major industry players themselves do not want the auctions and work behind the scenes in the government to have it deferred on one pretext or other. As happens in such lobbying, while every industry voice pays lip service to the need for 3G and their preparedness, in actuality they don?t want any such thing to happen and work overtime to have all efforts scuttled.
At the core of this is the fact that most players are not in a position to fork out around Rs 5,000 crore for the auctions and fundraising continues to be difficult. Fair enough. If such is the scene, the industry should come out transparently and declare that ?now is not the time for the government to conduct the auctions and so let?s look at them some time in the future?.
At least one industrialist, Kumar Mangalam Birla of the AV Birla group, who runs Idea Cellular, has been transparent in this. He had written to the government that 3G auctions should only be held once the government has cleaned up the mess in the 2G spectrum space. More such voices are welcome. Let the industry come clean and clear on whether auctions should be held by February-March or August-September or even next year. It?s quite simple, if the major industry players are keen on auctions, the auctions would happen. If they are not, however hard the government may try, the auctions would always get scuttled as someone somewhere would always manage a noting citing apprehension on certain grounds. That?s enough to defer auctions, putting the blame on defence or DoT while the telecom industry gets away with lip service.
rishi.raj@expressindia.com