The government seems to have had its way with the 3-G spectrum-winning telecom operators, who have agreed to pay higher charges for using the radio waves as part of the amended licence rules. The operators, including Bharti Airtel, Vodafone and Idea who have bagged 3-G spectrum, will have to shell out more for using the radio waves, although a similar decision on 2-G telephony has been stayed by telecom tribunal TDSAT. The move is likely to hit Bharti Airtel, Vodafone, Rcomm, Tatas, Idea Cellular, Aircel and S Tel who had collectively paid a whopping Rs 51,000 crore to the government for 3-G spectrum.
The Department of Telecom (DoT) said that the operators had bid for 3-G spectrum knowing the terms and conditions like usage charge and that their refusal to accept the condition would make the entire auction process infructuous.
The government on Wednesday allocated air waves to private operators after making certain amendments to the licence terms. According to the amended licence conditions, operators are authourised to use the spectrum for a period of 20 years and offer 3-G services till the validity of the spectrum, even if their telecom licences expire prior to that. Also, if the operators fail to achieve the roll-out obligations, they would be given an extension for another year after paying 2.5% of the spectrum acquisition charge per quarter.
Also, in case of two companies merging, only one slot of spectrum can be retained. The operators will have to pay the upward revised spectrum usage charges, ranging between 3-8%, depending upon the quantum of spectrum held by them.
The government has imposed a roll-out obligation, under which the service providers would have to cover at least 90% of the service areas in the metros within the next five years.