MANU/PIBU/1365/2015

Department/Board : Press Information Bureau

Date : 13.10.2015

Guidelines for Trading of Access Spectrum by Access Service Providers

The National Telecom Policy envisage to move at the earliest towards liberalisation of spectrum to enable use of spectrum in any band to provide any service in any technology as well as to permit spectrum pooling, sharing and later, trading to enable optimal utilisation of spectrum through appropriate regulatory framework.

The spectrum trading leads to greater competition provides incentives for innovation, better/new services being available to consumers at cheaper tariffs, better choice to consumer, etc. This also facilitates ease of doing business in India by allowing free play in the commercial decisions and leads to optimisation of resources apart from improving the spectral efficiency and quality of service.

After considering the recommendations of TRAI on spectrum trading, the Government has now decided to allow trading of access spectrum as per guidelines given below:

(1) Spectrum trading shall be allowed only between two access service providers, holding Cellular Mobile Telephone Service (CMTS) License, Unified Access Service License (UASL), Unified License (Access Services) (UL(AS)) and Unified License (UL) with authorization of Access Service in a licensed service area.

(2) All access spectrum bands earmarked for Access Services by the Licensor will be treated as tradable spectrum bands.

(3) The Access Service Provider who is transferring the right to use the spectrum is hereinafter referred as "Seller" while the Access Service Provider who is acquiring the right to use spectrum is hereinafter referred as "Buyer".

(4) Only outright transfer of right to use the spectrum from the seller to the buyer shall be permitted. Leasing of spectrum is not permitted.

(5) Spectrum Trading shall be permitted only on a pan-LSA (Licensed Service Area) basis. In case the spectrum assigned to the seller is restricted to part of the LSA by the Licensor, then, after trading, the rights and obligations of the seller for the remaining part of the LSA with regard to assignment of that spectrum shall also stand transferred to the buyer. Further, relevant provisions of NIA with respect to spectrum assignment in part of the LSA, which were applicable to seller before the spectrum trade, will apply to buyer subsequent to the spectrum trade.

(6) Spectrum trading shall be permitted only in the following block sizes (band wise):

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