The department of telecommunications will announce a fresh 2G policy to give GSM and CDMA operators extra spectrum. The policy is expected in the next few months, around the time the defence forces vacate 42.5 Mhz of spectrum.
Sources close to the development said the policy would be formulated along with the spectrum-pricing and allocation plan for 3G services. Of the 42.5 Mhz spectrum, 25 Mhz will be for 3G services.
The move is part of communications and IT minister A Raja?s attempts to solve the spectrum issue comprehensively. Former minister Dayanidhi Maran had always stressed that the 2G spectrum policy did not require any change.
The fresh policy will look into issues relating to extra spectrum allocation. It will also taking into account the present criterion of using subscriber-linked allocation and the first-cum-first-served principle. Further, it will examine whether spectrum should be reserved for rural areas, given the aggressive telecom roll-out plans of the government.
The sources said the move had gained urgency, with operators jostling for extra 2G spectrum.
For instance, the apex body of GSM operators, the Cellular Operators? Association of India, has made clear preferences in allocating extra 2G spectrum. According to the association, operators with pan-Indian presence should be given first priority. Operators with regional presence but expanding should come next. The third preference should be given to operators that want to migrate to GSM from CDMA, while the fourth on the list of preferences will be fresh licencees.
But Idea Cellular, Aircel and Spice, which until recently had limited presence but are expanding, do not agree with the association?s position on the preferences. In fact, Idea and Aircel, allocated licenses for new circles recently, are awaiting spectrum.
CDMA operator Tata Teleservices has been a strong proponent of a fresh approach on 2G spectrum.